Intraday forex trading strategy on 4 indicators
Intraday forex trading strategy on 4 indicators - what can I say about it?
Apparently, the developer of this trade strategy based on forex indicators did not distract the attention of users with a catchy name, and called his child simply - "Four indicators." In addition to the name, the strategy is of interest to its relative novelty. There is such a view that over time strategies "burn out," and the largest profit they show immediately after birth. So it or not, we suggest you check yourself, returning to the consideration of the system.
"Four Indicators" refers to the class of universal forex strategies on the M5-H1, equally well suited to work on all periods. With the same indicator settings for all periods:
• Smoothed SMMA with period 90 applied to Close;
• CCI with period 12 and additional levels 50/-50 in addition to standard;
• ATR with standard period and additional level 0.002;
• Williams WPR oscillator with period 11 and non-standard levels -15, -40, -60 and -85;
To begin with, you should understand the applicability of all forex strategy signals for EUR/USD and only on closed candles.
So, signals for purchase arise when:
• Finding price above sliding;
• CCI in the resale area;
• ATR span exceeds 0.002;
• And "fast" Williams is below -85.
Accordingly, the sale is made when:
• Falling price below the muwing;
• CCI in the overbought area;
• Confirmed ATR span above 0.002;
• And pass% R above -15.
The stack levels are set at a distance of 100 points with a teak level of 40 points.
Exit from the transaction
The transaction result is fixed by oscillator signals, if there is no closing at fixed TP/SL levels.
• Long positions close or break when Williams breaks -60 from the bottom up or when CCI drops below -50;
• Exit from short positions (or transfer of foot to break-even) is performed at crossing of WPR level -40 from top to bottom, or growth of CCI above value 50;
1. As can be seen, this intraday forex trading strategy has a negative maucid (MO) with current levels of loss and gain. The author has set parameters of levels that do not comply with the rules of capital management;
2. Given the presence in the arsenal of a strategy such as Williams, it is possible to predict frequent closure of open positions "on the market" and rare - on the teak;
3. Again, given the R% signals filtered by combat-tested weapons such as ATR, it is possible to assume a very accurate entry on the system and the final profitability of the strategy.