Multi-Timeframe Strategy for EUR/USD & GBP/USD

2 years ago, I really got serious about developing a consistent strategy 10 months ago. Thought I'd share what's been working for me and my experience with FXroad as my execution platform.

The Strategy Breakdown

Pairs I Focus On:

EUR/USD (80% of my trades)GBP/USD (15% of my trades)USD/JPY (5% - only during specific setups)

Core Setup:

Daily Chart Analysis:

Identify overall trend using 20 EMA and 50 EMALook for support/resistance levels from previous week's price actionMark key fibonacci retracement levels (38.2%, 50%, 61.8%)

4H Chart Entry:

Wait for pullback to key level in trending marketConfluence needed: Fib level + horizontal S/R + EMA touchRSI oversold/overbought (below 30 or above 70)Enter on break of previous 4H candle high/low

Risk Management:

1.5% risk per trade (never more)1:2 minimum risk/reward ratioMove SL to breakeven at 1:1 RRTrail stop using 4H ATR

How I Developed This:

Started by blowing two small accounts ($500 each) trying to scalp 1-minute charts like an idiot. Realized I needed structure, so spent 3 months backtesting different approaches:

Month 1-2: Tried pure price action - inconsistent resultsMonth 3-4: Added moving averages - slight improvementMonth 5-6: Incorporated fibonacci and confluence - breakthrough momentMonth 7-8: Refined risk management and entry timingMonth 9-10: Fine-tuned for specific currency pair behaviors

The "aha moment" came when I stopped trying to catch every move and focused on high-probability setups that aligned across multiple timeframes.

Performance Results:

Overall Win Rate: 62%Average RR: 1:2.3Monthly Return: 8-12% (varies with market conditions)Max Drawdown: 6.8% (happened during Brexit volatility)Sharpe Ratio: 1.47Best month: +18.2% (March 2024 - trending EUR/USD market) Worst month: -4.1% (August 2024 - choppy summer conditions)

FXroad Broker Experience:

I've Been using FXroad for the past 8 months. Here's my honest take:

Pros:

Execution speed: Average 23ms on EUR/USD during London sessionSpreads: EUR/USD typically 0.8-1.1 pips (acceptable for swing trading)No requotes: Maybe 2-3 in hundreds of tradesWithdrawals: Consistent 24-48hr processing via wire transferPlatform stability: rarely crashes, maybe once in 8 monthsCustomer service: Response within 4-6 hours, knowledgeable staff

Cons:

Swap rates: Not competitive, especially holding GBP/USD overnightNews feed: Basic economic calendar, supplement with ForexFactory

Real Trading Examples:

EUR/USD Long (March 15th):

Entry: 1.0847 (4H confluence setup)SL: 1.0810TP: 1.0921Result: +2.3% account gainFXroad execution: Filled at 1.0847 exactly, no slippageGBP/USD Short (April 3rd):

Entry: 1.2634 (rejection at fibonacci 61.8%)SL: 1.2678TP: 1.2546Result: +2.8% account gainFXroad execution: Minor 0.2 pip positive slippage

Key Lessons Learned:

Patience pays: My best trades come from waiting for perfect setupsRisk management > entry technique: You can be wrong 40% of the time and still profitCurrency pair personality: EUR/USD respects technical levels better than GBP/USDSession timing matters: Best setups during London/NY overlapBroker matters less than strategy: FXroad works fine for swing trading approachCurrent Stats (Live Account):Account Size: $8,400 (started with $5,000)Time Trading: 10 months with this strategyTotal Trades: 127Profitable Months: 8 out of 10Anyone else using multi-timeframe confluence approach?

Your strategy is really impressive! It's clear you've put in serious effort to refine your approach, especially after those early learning experiences - something many traders can relate to.

It's smart how you focus on multi-timeframe confluence, using the daily chart for trend and support/resistance and the 4-hour chart for entries with EMAs, Fibonacci, and RSI. This disciplined approach is clearly paying off, as shown by your excellent 62% win rate and 1:2.3 risk/reward ratio. These figures highlight the power of risk management and patience in trading. Keep it up man!