Pips strategy

Pips strategy  is use primarily when your
swing, or wave, is 20 pips or less (but no less than 5 pips – thus if
your swing is between 5 and 20 pips). How do you determine this?
You simply look at the price of the last significant low, and the price
of the last significant high, and if the difference is 20 pips or less
then you know that this swing is a candidate for pips strategy . While the price is zigzagging up, down, up, and back down there
will be periods of time that the price has dropped back down below
the last high, but of course still above the last significant low.
When it has dipped down 3 or more pips (preferably more) then you
can place an “Entry Order” at the price of the last high (plus your
broker’s pip spread .If or when the price hits your predetermined set price you then place your stop at the price of the last low. With the pips
strategy you place your limit for preferably the height of the wave
(1:1 risk-to-reward ratio), or you can do 20 pips beyond your entry
price.