Many forex traders believe that levels that were significant in the past will be significant in the future. This follows from the logic that if a market drops to a certain level and then 'bounces' back, the market viewed that level of support as a good place to buy. If the forex pair falls back to that level, it may indicate a potential trading opportunity.
Use the bounce strategy only at market openings, when announcements or unexpected news tend to move prices in unpredictable ways. Also, do not attempt the bounce if the currency pair you are trading is moving aimlessly around the EMA and there is no trend present. Always take into account the dominant trend, as indicated on your 15-minute chart by the general direction of the pair over the previous 24 hours. Always use stop-loss orders, and never risk more than 2% or 3% of your capital on a single trade.