Complex trading system #4 (Trend trading with EMAs)

Trading strategy setup:

Time frame: 1 day, 1 hour or 30 min.
Currency pair: any.
80 EMA
21 EMA
13 EMA
RSI (21)

Trading rules:

Read entire post >>>


Well, I don't trade for a bank, but it is possible that they use mentioned moving averages to identify main trends. Obviously 365 MA is used to see the large trend while 150 for an intermediate term trend.

I can add that 200 SMA and 50 SMA are ones that are commonly used among professional traders.

You would use any of these MAs to find support/resistance levels. Where price approaches a Moving average, an active trading zone emerges - traders start actively initiate new trades based on whether they feel that support/resistance is going to hold or will be broken.
All-in-all you would trade it as any other moving average you used before, with the only difference that you can pay higher attention to the MAs mentioned here as you can anticipate that banks and expert traders are becoming highly interested in price action around these moving averages.


hi Edward,

I am intrigued by the comment from the bank trader ? what does he mean by the 150 & 365 hour MA's

Hi Mike,

I haven't succeeded in forward testing. The system never took even a single trade.
(I've double checked that live trading was allowed and that the EA was running), but I've got no results...


Thnx Edward,I really appreciate you for taking the time to answer these questions.

Hi Robin,

I don't know really. It requires testing. But the timing (13:00-17:00gmt) would be just right for this test.

Kind regards,

Hi Edward, do u think we can use the 5 min time frame during 1300 to 1700 gmt hours?
Thnx Robin

Thanks , Edward for your advice .It should help.


Hi Tony,

:) I understand your situation, it is difficult to stop on one trading strategy.
Try next:
Use advanced #3 on daily charts (daily time frame is a recommended one) - it won't produce many signals and will require only a minute a day to glance at charts.

In the meantime take Complex #4 (1 hour time frame) and run it alongside with Simple #9 (1 hour time frame as well). This way you'll be able to compare the signals and results for both trading systems simultaneously.

Regarding the scalping strategy - you can try it any time later, any time you have few hours and wish to play quick entry-exit game.

You've noticed it right, majority of indicators are lagging. Moving averages, RSI, Stochastic can't in many cases pinpoint the very top or bottom of the price and overall trend reversal, but, on the other hand, by delaying market entries and exits, the lagging factor keeps traders away from sudden and unconfirmed price shifts, providing a signal only after a price has been settled down.

Best regards,

P.S. While testing various Forex strategies, write down for yourself the moments you've liked the most, for example, the best indicator for entries, the best method to exit a trade. When you return to it later, it'll be easier to review/refine the favorite methods, instead of starting it all over again; with time they'll grow into your custom made trading system, where you will have confidence in each and every step you take.

Hello EDward:
On p. 3 you state YOUR persoal favorites are Advanced # 3 and # 5 . But when chatting with Farid , you mention that ALL indicators

are lagging and recommend Fibon. and pivot points.

But , Advanced # 3 uses Two ( lagging ) indicators , RSI and Stoch . !!! I am confused. I am currentky bouncing back and forth


Scalping # 6

Complex # 4

Advanced #3 and

Simple # 9

and then Double Stochastics pops up !

All of this adds to my confusion. I am simply overwhelmed by too many " good " strategies , and don t know where I am heading .


Thanks for any advice you can give me .


Thanks Mike, I'll review it.

Hi Edward,

yes indeed that is a good idea ;)
here you go: complex4.mq4


Hi Mike,

That would be interesting to look at.
But, I would only be able to view an enclosed file (if any) when you tell me where to look for it :)
In other words, upon uploading it, you should have included the link to it into your comment.


Hi Edward,

recently I have changed the job and run out of time for forex due to that I have started to "play" with programing of Expert Advisors and you will not believe but I've discovered that most of strategies are not bringing money in longer periods of time. Even the strategy which I successfully use to trade manually seems to be unprofitable in a long run. Nevertheless from that time I am trying to code all of strategies which can I found just to check if they are working or not. I have prepared an EA of your complex strategy no 4. and it seems not to be profitable except of 4h charts GBP/USD. Of course I can be wrong you never know ;) In enclosure you can find the EA for your system maybe you would be so nice and review it?

Hi Mete,

no need to download it, MT4 has it.
In your MT4 platform upper menu go to:
Insert -> Indicators -> Trend -> Moving average -> a window with Moving average indicator settings should appear.

Set parameters for Moving average:
Period 80
MA method: Exponential
Apply to: Close
That's it.


Dear Edward,
Where could I download all these EMAs indicators (80,21,13,5,3). Is there any .zip file? I couldn't find EMAs on my MT4 's indicator's list.


Post new comment

We read every comment. Proceed if you're a human: