{"id":4731,"date":"2020-06-26T14:43:46","date_gmt":"2020-06-26T11:43:46","guid":{"rendered":"https:\/\/roboforex.com\/blog\/?p=4731"},"modified":"2026-05-26T10:56:05","modified_gmt":"2026-05-26T07:56:05","slug":"trading-by-forex-racer-strategy-on-renko-charts","status":"publish","type":"post","link":"https:\/\/roboforex.com\/blog\/2020\/06\/26\/trading-by-forex-racer-strategy-on-renko-charts\/","title":{"rendered":"Trading by Forex Racer Strategy on Renko Charts"},"content":{"rendered":"\n

Today, I will tell you about Forex<\/a> Racer trading strategy<\/a><\/strong> for the Renko<\/a> charts<\/strong>. This type of chart is much less popular among traders than bar or candlestick charts; however, some say that it is most clear of noises, which helps traders make better trading decisions.<\/p>\n\n\n\n

The chart consists of Bricks of the same size; as soon as the price movement exceeds 10 points, a new Brick appears. The chart does not account for the time factor.<\/p>\n\n\n\n

\"Renko<\/a>
Renko charts<\/figcaption><\/figure>\n\n\n\n

Naturally, trading such charts requires special systems that differ completely from traditional ones. The Forex Racer strategy is designed exactly for this type of chart, and traders say it gives good opportunities for active trading.<\/p>\n\n\n\n

<\/span>Characteristics of Forex Racer strategy<\/span><\/h2>\n\n\n\n

The Forex Racer trading strategy<\/a> applies to any currency pairs<\/a> but works better on more trendy pairs. For example, EUR\/GBP<\/a> should be excluded from trading as trend movements are rare here. Classic pairs, such as EUR\/USD<\/a> and GBP\/USD<\/a>, and more volatile ones, such as GBP\/JPY<\/a>, will suit perfectly.<\/p>\n\n\n\n

You may choose any timeframe<\/a>: as you remember, Renko charts are not time-bound.<\/p>\n\n\n\n

The Forex Racer strategy better shows itself during active trading sessions<\/a>, such as the European and American ones. Less volatile sessions, in this case, should be skipped: for this strategy, we prefer good powerful movements instead of flats, like, say, in the Sniper strategy<\/a>.<\/p>\n\n\n\n

<\/span>Essential Indicators for Forex Racer strategy<\/span><\/h2>\n\n\n\n

The strategy implies using a lot of indicators<\/a>. As in any other strategy, the combination of the indicators gives good entry and exit points. <\/p>\n\n\n\n

You can download all these indicators in the bottom of the article. Let us enumerate the indicators.<\/p>\n\n\n\n

\"The<\/a>
The Forex Racer strategy<\/figcaption><\/figure>\n\n\n\n

<\/span>FR Scanner indicator<\/span><\/h3>\n\n\n\n

The FR Scanner indicator<\/strong> shows the direction of price movements on smaller and larger Renko charts. Brick 5 is the smallest timeframe<\/a>, while Brick 35 is the trend on a larger timeframe. In other words, this indicator shows the trend on different timeframes. If on all the timeframes it indicates a downtrend, the price is also likely to go on falling. This indicator also acts as a filter and signals<\/a> to look for entry points.<\/p>\n\n\n\n

\"The<\/a>
The FR Scanner indicator<\/figcaption><\/figure>\n\n\n\n

<\/span>TrendLines indicator<\/span><\/h2>\n\n\n\n

On the chart, the TrendLines<\/a> indicator<\/strong> looks like two lines, very similar to Moving Averages<\/a> or Envelopes indicator<\/a>. The lines change their color depending on the market trend: if it is ascending, the lines will be blue, while in a downtrend, the lines turn red.<\/p>\n\n\n\n

\"The<\/a>
The TrendLines indicator<\/figcaption><\/figure>\n\n\n\n

Note that when the price is above the TrendLine lines, the trend will most often be ascending; hence, the indicator lines will be blue. Conversely, if the price is below the indicator, the trend, in most cases, will be descending, and the lines will be red.<\/p>\n\n\n\n

<\/span>BreakOut indicator<\/span><\/h3>\n\n\n\n

On the chart, the BreakOut indicator<\/strong> looks like a dotted line, either blue or orange. These lines are used for finding entry points and placing Stop Losses<\/a>.<\/p>\n\n\n\n

\"The<\/a>
The BreakOut indicator<\/figcaption><\/figure>\n\n\n\n

<\/span>SupportResistance indicator<\/span><\/h3>\n\n\n\n

The SupportResistance indicator<\/strong> shows dynamic support and resistance levels<\/a>. They form a channel that follows the price so that the levels change constantly. The resistance line is colored light-green while the support line is red.<\/p>\n\n\n\n

\"The<\/a>
The SupportResistance indicator<\/figcaption><\/figure>\n\n\n\n

<\/span>Retracement indicator<\/span><\/h3>\n\n\n\n

The Retracement indicator<\/strong> looks like a line following the price, similar to the trendline from classical tech analysis<\/a>. The purpose of the indicator is to represent corrections on the chart; however, many traders admit that it does not work too well. On the other hand, it may help to find an entry point or place a Stop Loss<\/a>.<\/p>\n\n\n\n

\"The<\/a>
The Retracement indicator<\/figcaption><\/figure>\n\n\n\n

<\/span>ReversalPoints indicator<\/span><\/h3>\n\n\n\n

On the chart, the ReversalPoints indicator<\/strong> looks like a green or orange circle with a point inside. It is used not directly for trading but for understanding the current situation better.<\/p>\n\n\n\n

\"The<\/a>
The ReversalPoints indicator<\/figcaption><\/figure>\n\n\n\n

<\/span>FR Signals indicator<\/span><\/h3>\n\n\n\n

On the chart, the FR Signals<\/a> indicator<\/strong> looks like green or orange rhombuses. It is used among other criteria for entering the market: if a rhombus has formed above a candlestick, it signals to sell; and vice versa, if it is under the candlestick, start buying.<\/p>\n\n\n\n

\"The<\/a>
The FR Signals indicator<\/figcaption><\/figure>\n\n\n\n

<\/span>FR Trend indicator<\/span><\/h3>\n\n\n\n

The FR Trend indicator<\/strong> is placed under the price chart and indicates the current market trend. It is used for Renko charts only and as a separate filter for entering the market. If the indicator line has turned blue, look for signals to buy; an orange line advises to sell.<\/p>\n\n\n\n

\"The<\/a>
The FR Trend indicator<\/figcaption><\/figure>\n\n\n\n

<\/span>How to open a selling trade by Forex Racer?<\/span><\/h2>\n\n\n\n

For a signal to sell to be considered valid, it must meet the following requirements:<\/p>\n\n\n\n