Forex Strategy Vegas-Wave
Forex Strategy Vegas-Wave is designed for the time interval (H1) and a signal for the opening of trading positions taken: Fundamentals Elliot Wave Theory and the signals from the Exponential Moving Average - EMA 144 EMA 169, which form a channel on the chart.
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Exponential Moving Average EMA 144 has a very important feature - a sufficiently strong and long-term trending move, it is simply an excellent support for the price. And as if the price crosses the exponential moving average EMA 144, this intersection indicates that the trend in the market going to change its direction of motion is reversed prior.
If skillfully use these two properties of EMA 144, and thus apply more and some additional filters on the trading system - it may be possible to use the resulting system for a profitable and logical trading system.
Signaling to enter the market will be the intersection of the price channel, formed by 2 moving averages: EMA 144 or EMA 169. Filter to sign trade deal will be the formation of a fractal in the market, the breakdown of fractal and we will place a pending order.
signals to fix the profit will be taken out of the Elliott Wave Theory, as well as on the levels and Fibonacci extensions, measured from the 1st of the Elliott wave on the current trend in the market.
And despite the fact that the forex market can not be applied to any one pattern, so when trading forex strategy "Vegas-Wave" losing trades will still be as entry into the market will take place not only at the beginning of the trend movement. But the trade statistics of the strategy says that in any cases of profitable trades when trading turns out about 3 times larger than the closed with a loss. And this is a big plus for the forex strategy!
Principle trading strategy forex Vegas-Wave:
Moving averages EMA 144 or EMA 169 form a channel on the chart. If the price is above the channel, this zone is called zone shopping , if the price is lower educated channel, this zone is called zone sale .
Trading signals for a deal to buy:
We look at the selected price chart - if the candle on the hourly interval breaks of channel 2 EMA, and then rose above the channel, either directly in the channel (between 2 medium), then we need to wait until a fractal graph. This will be a fractal filter for a pending order to buy BuyStop (as option 1 of the 5 candles this fractal to close either above it or in it).
If you change the trend, the signal may be an ordinary fractal, which struck one of the 2 medium formed channel, not taking into account the closure of the candles.
That is all you need to do - is to wait for the formation of pulse-rollback for the transaction of purchase and set aside the order on the breakdown of BuyStop fractal ulichyvat + + filter value of spread. Stop-loss order should be set on the opposite side of the channel formed in the first wave of the extreme value (local minimum), or the previous fractal, if entry into the market you are not at the beginning of a trend reversal in the market.
Trading signals for a deal to sell:
Analyze the selected time schedule - if a candle on the hourly interval punched channel moving average and closed below the channel, or between 2 medium, you must wait for the formation of a fractal on the chart. This fractal is an additional filter for a pending order to sell (as a possible option is one of the 5 candles this fractal should close or below it or in it).
If you change the trend of the signal may be fractal, which struck one of the moving average channel, not taking into account the closure of the candles.
Ie should wait until the formation of pulse-rollback for a transaction to sell, and set a pending order SellStop to break this fractal + filter. Safety stop-loss order should be set on the opposite side of the channel formed by the moving average for the first price wave extremum (local maximum), or the last fractal, if you do not enter the market at the beginning of a trend reversal in the market.
Trading Rules op strategy forex Vegas-Wave:
1. Above the channel zone is a moving average purchase below this zone is the same channel sales, the pending order is placed on the breakthrough of the 1st fractal appears on the market higher or lower than the channel average. Safety stop-loss order is placed above or below the start of first-wave Elliott. If market entry is not in the 1st wave, the stop-loss order is placed for the previous fractal that is situated on the opposite side of the channel medium.
2. The size of trading positions should be divided into 2 equal parts.
3.Pravila to close the profit on the transaction:
a) The 1st part of the transaction should be recorded either on 262% Fibonacci extension of the magnitude of the 1st wave, or at the end of third Elliott wave.
b) The 2nd part of the transaction should be recorded on the Fibonacci extension 362% -424% of the 1st wave, or at
end of fifth Elliott wave.
c) If the trend in the third wave powerful enough, the profits for the 1st 50% of transactions in the suspension fix
price movement, it usually happens in the 300-338% -362% Fibonacci extension of the magnitude of the 1st wave.
d) When trading on the wave structure, as well to consider more junior levels of the wave, or in other words are considered as the Elliott wave at intervals of 15N-M30, to more accurately determine the closing level of profit.
e) If you walk into the bargain in the 5th wave of Elliott, the 1st part of the profit is fixed at 362% Fibonacci, while also closing the area should be clarified profit on the younger wave structure.
e) After fixing the first 50% profit stop-loss level should be set to bezubytka the second part of the open lot.
4. Just stop loss to breakeven is moved over the resulting level of rollback, after a broken extremum of the price movement.
5. Possible variant of fixing 2nd part of the open lot (if this 1st part of it has already been fixed at a Fibonacci 262% 362% from the first wave Elliott) - Application of trailing stop on the previous fractals, the opposite movement.
6. Just should be considered a temporary filter to open transactions on currency pairs EURUSD and GBPUSD. Ie should place orders in the interval from 8:00 am to time of the terminal, and to 18:00-19:00 hours (ie, approximately 7:00 am until 17:00-18:00 on GMT).
7. After 17-18:00 GMT on currency pairs EURUSD and GBPUSD warrant can be installed, but should take into account the foreign exchange market. 7:00 am GMT on pending orders should not be installed at all!
8. If the trend in the market is over, then consider a temporary filter to enter the market (such as the trend continued for at least one week), it will be a minimum of 2 days of trading after the end of a trend - that is, orders are not displayed.
9. Pending orders on currency pairs, cross rates: GBPJPY, EURGBP, GBPCHF can be installed entirely at any time of day trading.
10. The same should ignore trading signals for the purchase or sale, if it is formed after a sufficiently large stroke rates in the direction of trade signal.
See examples of Business Strategy Forex Vegas-Wave:
To buy: in this case was originally a stop-loss level is set at 1.4050, minus 5 points of the filter.
Entering the market is produced in the early third Elliott wave.
example for sale:
The entry made the same way in the early third Elliott wave.
In this case, the 1st 50% of the transaction was closed at approximately 323% from the first wave Elliott. 2nd 50% of deals were closed on set take-profit at 362% minus the filter.
© Vladimir Ivanov < / p>