Forex trading strategy #8 (EMA breakthrough)

Hi Hanz,
Yes, a good exit sets certain difference.
My first idea about exits for this system was to start with Fibonacci extension which will set some initial profit target.
Then to find out daily range average for chosen currency pair. For, example, GBP/JPY will have 150-200 pips average, NZD/JPY about 70 - 90 pips. Set 150 mark for GBP/JPY and 70 for NZD/JPY.

Now it is all about working out probabilities:
If Fibonacci target is further than daily average target, then once the last one is reached, set a trailing stop. Exit on Fibonacci extension level.
If Fibo is closer than daily average target, take partial profits at Fibs extension and allow the rest to hit daily average target, after which again set a trailing stop.
This exiting concept should fit this system; what do you think? Let us know about results once you test it.

Regards,
Edward.

Dear edward,
thanks for this strategy i try it on daily fram i gives a very very good results and don't requier a lot of attention but the problem now when i should exit or what will be the fair target from each deal?
i got around 200 pip from NZD/JPY and around 250 pip from GBP/jpy but i return to the starting point again today.
what is your suggentions for this problem?
Hanz

good one.

Thank you for your question.
I've looked at both, to me they pose very little difference in this case. Either one can be used.

It very much depends on those specific signals you want to read off RSI.

I would probably try 14 RSI, it's a bit faster, it may confirm price expectations 1-2 candles quicker than, for example, 21 RSI.

Regards,
Edward.

Mr what RSI settings u advice to use with this strategy .. i.e 14 or 21?
Thanks .. I appreciate ur efforts..

Hi I personally Include in this system Ema 100 and 200 to know this where l trend principal and to use 100 and 200 As Support and Resistance

Frank