Forex trading strategy #32-a (4hr MA Trends)
Submitted by User on June 29, 2010 - 16:48.
Submitted by Egudu
This is Egudu, I want to give you guys a cool system and it's simple.
Indicators: 5 SMA applied to close, 14 SMA applied to close and EMA of 144 and 169 applied to close.
Time Frame: 4hrs only
The 144 and 169 gives the direction of trend, I mean when 144 above 169 it's an uptrend and if below it's a downtrend.
You use the 5sma to enter the market in the direction of trend while you use the 14sma to enter against the trend.
In the direction of the trend given by the two ema, when a candle closes below the 5sma for a sell and above it for a buy, while if against the trend as given by the ema, when a candle closes below the 14sma you enter a sell and above it for a buy.
Stoploss is always the high of the signal candle or low.
Now this system is pretty cool and wonderful, suggestions and questions are welcome. Thanks.
I have attached charts for visuals: