Keeping risk small and rewards big is what a good trader is always attempting to do.

How can we do that???

How can we gain that kind of advantage??????

One way I have discovered is by trading off of the 1 minute time frame.

Why is that an advantage??????
It keeps your risk small when you find yourself on the right side of the trade and within a matter of minutes, you will see that you can secure a very nice profit.

The advantage that it has over larger time frames is that you are able to get in on a move quicker, giving you access to more profit with a smaller risk. Many times when you are trading off of the larger time frames by the time you get your confirmation, the move is almost over, the reward is smaller and the risk bigger, especially if you day trade.

One of the problems that comes as a result is that you find yourself in a nice profit briefly before price reverses strongly on you again, then you find yourself hoping and waiting for price to come back in your favor, kicking yourself all of the time, thinking 'I should have got out when I had a profit.'

Now I do need to mention that while you get many more trading opportunities off of the 1 min time frame, You also get many more false trading signals.............

Let's put the odds in your favor a little more. I don't use a trend line on the 1 min chart, just on my longer time frames, so there is always a trend line available, but it comes off a larger time frame. On your 1 min chart, you may want to consider a moving average, right now I am experimenting with the 8, 10, 14/15, 20 and the 50 period SMA.

Though your SMA is a lagging indicator, it can still give you some clear trading advantages by showing you the times that the odds are the most in your favor.......

The real sweet spot.......

TIME, time is the magic ingredient to pulling off a successful and profitable trade. There are market sweet spots, times when your pair is the most active. Those are the times that give you the biggest opportunity for profit. You want to capitalize on these times. Two good trades at these sweet spots will make your trading day.

Here is a chart that will give you an idea when your pairs are the most active:

The most important thing to remember about the 1 min chart is to get in, get your profit and get out. You can not ride a 1 min trade all day.................On the 1 min chart it iS imperative that you cut your profits when things are no longer going in your favor, because price can soon engulf your profits if you don't.

So in closing the things you want to keep your risk small are:
The sweet spot in time:
A proper trade set-up
Speed of execution.


  1. Nice video. I was also afraid of trading that chart. But I think that I will give it a try now.

  2. Abner, You may want to do that on your demo account first to perfect it. It is a very effective strategy as long as you pick good entries and cut your losses quickly. Never let your losses ride only allow your profits to ride (^_^)