Forex Archer – Forex Trading Strategy

0
1342
views
Forex Archer - Forex Trading Strategy
Forex Archer - Forex Trading Strategy

The following strategy suits best to those who like trading with indicators. It is one of those traders’ favorite easy-to-use/easy-to-remember strategies. You will see for yourself.

Key ingredients:

  1. Currency pairs – EURUSD and other majors
  2. Exponential moving average with period 86 (EMA 86);
  3. Exponential moving average with period 21 (EMA 21)
  4. Momentum indicator with period 8 and with the added 100 level
  5. Heiken Ashi (average bar in Japanese) indicator – an indicator used in conjunction with the candlestick charts for the trend identification and price prediction. Just for you to remember I will briefly describe its major signals. There are 5 primary signals: green candles without lower wicks indicating a solid uptrend (the best moment for buying); one candle with a small body surrounded by upper and lower wicks is a trend reversal signal; red candlesticks indicate a downtrend (they are normally used for opening short positions and exiting long ones); red candles without upper wicks is an indication of a strong downtrend.
  6. Stochastic Oscillator with the settings 8-3-3

For long setups:

  1. EMA 21 should cross the EMA 86 from the bottom up; it also should be above EMA 86;
  2. Momentum Indicator should be located above 100 level;
  3. Stochastic Oscillator must be above 40 level and its major line should be above the supplementary one;
  4. Indicator Heiken Ashi should form a green candle;
  5. All the above-listed signals should appear at the same moment;
  6. The trade should be opened at the opening of the next candle;
  7. Stop-loss = 50 pips;
  8. Take-profit = 100 pips.

For short trades:

  1. EMA 21 crosses from up to down the EMA 86; it also should be below the EMA 86;
  2. Momentum indicator should be below 100 level;
  3. Stochastic Oscillator should be below 80 level, and its major line should be below the supplementary one;
  4. Indicator Heiken Ashi should form a red candle;
  5. All the above-listed signals should appear at the same moment;
  6. You may open the trade at the opening price of the next candle;
  7. Stop-loss = 50 pips;
  8. Take-profit = 100 pips.

This Strategy is presented by FBS Broker.

Other Articles:
Oil Trading – Fastest way to make money
How profitable can you get in Forex trading
Top 60 Forex Books in English
Forex Robots – what are they for?
How trading stocks online works

For all Articles related to FBS please click here

OPEN AN ACCOUNT WITH FBS

This site uses Akismet to reduce spam. Learn how your comment data is processed.