New traders will often hear of Banks & institutions in the markets, active at certain levels, and indeed will often see the huge moves created by their activity, but alas are sadly unable to gauge where these players are entering the market, and even less able to gauge how to benefit from these constant streams of liquidity.

We at Littlefish have developed an indicator which tracks the flow and volume of Banks & institutions in the markets and generates signals offering the opportunity to align with these directional flows. As with all great indicators, the indicator is most profitable when used as part of a solid trading strategy that seeks to identify potential market entries and then uses the Order Flow Trader as a powerful confirmation tool.

Read on as we run down the five Order Flow Trading Strategies you need to try right now!

1.ORDER FLOW WITH COT
USDCAD
What Is It?

  • Making the absolute most of available market information, this strategy is an incredibly powerful way to trade in line with the big fish in Forex. Our COT indicator automatically pulls the data from the weekly COT report to display the positioning of the main market participants directly on your charts, giving you the broader directional bias of Banks and institutions. Order Flow trader then tracks the flow and volume of their activity to give specific entries in line with their directional bias.


Best Thing About It

 

  • Made over 39,000 pips profit in 2014
  • Trades in line with Banks & major institutions
  • Clear, easy to read signals
  • Only takes small amount of time to check charts for signals


2.MULTI-TIMEFRAME ORDER FLOW

GBPUSD
What Is It?

 

 

  • An incredibly powerful swing trading strategy looking to trade in line with Banks & major institutions on a much broader scale, using higher timeframe OFT signals to signal a trade direction and confluent lower timeframe OFT signals to confirm and execute the trade at a reduced risk and potentially gain entry to much larger moves.


Best Thing About It

 

 

  • Only need one indicator on your charts
  • Generates really high profits through multiple confluent positions
  • Trades in line with Banks & major institutions on a longer term basis
  • Catches fantastic trends


3.TRIPLE THREAT TRADING (ORDER FLOW WITH COT & PIN BAR)
EURUSD
What Is It?

 

  • A bit of a tweak on our Order Flow & COT strategy, this time we bring the classic Pin Bar candlestick which is an LFX favourite, to act as further confirmation on our trade entry. Geared towards the more conservative trader, this three tier strategy helps to identify prime entries to broad market moves with the security of a multiple filter approach.


Best Thing About It

 

  • Much more conservative, lower trade frequency
  • Gains entry to big market moves from really accurate signals
  • Uses market information and price action to generate profitable trade entries
  • Can use our Pin Bar Indicator to automatically highlight Pin Bars and customize their parameters


4.ORDER FLOW WITH RSI
USDCAD
What Is It?

 

 

  • Combining the best of the old and the new, this powerful swing trading strategy is incredibly straight forward and easy to follow and uses RSI divergence along with Multi-Timeframe OFT confirmation to highlight fantastic trades. Higher timeframe traders will love the simplicity and effectiveness of this method.


Best Thing About It

 

 

  • Totally enhances RSI divergence effectiveness
  • Works off Daily & H4 timeframes and so plenty of time to monitor setups.
  • Can be used on lower timeframes too.
  • Gives really tight entries at big reversal points
  • Really simple strategy with easy-to-learn process

 


5.ORDER FLOW WITH CHART PATTERNS
GBPUSD
What Is It?

 

 

  • An extremely effective strategy teaching the trader how to read market structure and use OFT to confirm movements in line with historical market patterns creating powerful trading opportunities with simplicity and ease.


Best Thing About It

 

 

  • Simple and reliable method
  • Works on all timeframes
  • Only need basic analysis + OFT
  • OFT is a great tool for filtering false breakouts and false moves which are traditional issues with pattern trades

 

 

 


 

 

 


This market forecast is for general information only. It is not an investment advice or a solution to buy or sell securities.

Authors' opinions do not represent the ones of Orbex and its associates. Terms and Conditions and the Privacy Policy apply.

Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange, you should carefully consider your investment objectives, level of experience, and risk appetite. There is a possibility that you may sustain a loss of some or all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Editors’ Picks

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Editors’ Picks

EUR/USD stabilizes near 1.0500 ahead of Fed rate call

EUR/USD stabilizes near 1.0500 ahead of Fed rate call

EUR/USD fluctuates in a narrow range at around 1.0500 in on Wednesday. The pair's further upside remains capped as traders stay cautious and refrain from placing fresh bets ahead of the Federal Reserve's highly-anticipated policy announcements. 

EUR/USD News
GBP/USD holds above 1.2700 after UK inflation data

GBP/USD holds above 1.2700 after UK inflation data

GBP/USD enters a consolidation phase above 1.2700 following the earlier decline. The data from the UK showed that the annual CPI inflation rose to 2.6% in November from 2.3%, as expected. Investors gear up for the Fed's monetary policy decisions.

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Gold near weekly lows ahead of Fed

Gold near weekly lows ahead of Fed

Gold is practically flat near $2,650 on Wednesday after bouncing up from a one-week low it set on Tuesday. The precious metal remains on the defensive as the market braces for the outcome of the last Federal Reserve’s (Fed) meeting of the year.

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