Forex Strategy quiet positional
Forex Strategy quiet positional is a simple trend-based system forex indicators, which are available at any trading platform Metatrader 4:
1) SMA (21) - simple moving average with a period averaging 21, which is based on closing prices
2) Stochastic Oscillator - Stochastics (% K period - 5, period% D - 3 three deceleration).
analysis of your chosen currency pair produce any timeframe on the Daily. Location on the market price in relation to the moving average SMA (21) indicates the basic trend of the situation at the moment. Ie Average SMA (21) - is like a water line of the forex market - if the price at the moment, are located above the moving average, then we will open a transaction to buy if the prices are below - we will deal only open for sale. Roughly it looks like this:
Now that we have no problems to decide which direction we will open a deal, let's define the moment of entry into the trading position of forex strategy quiet positional:
And so for the transaction to the implementation of 3 conditions:
1) The availability of the necessary setup for the opening of the transaction;
2) The presence of a trigger to open the transaction;
3) allowing the signal to the input filter into the market.
If all these conditions are fulfilled - open a bargain at the price of the opening of the next candle. Now consider these terms in more detail:
trading set-up to open the transaction - the provision of 2 standing bars close relative to the moving average SMA (21). These two candles should be on one side of our moving average. It is also possible that the 1st candle was placed on one side of average, and its high or low (it depends on the direction of the desired opening of trading positions) was on the opposite side from the middle - where is the 2nd candle setup.
All the candles to the left of the figure drawn on a red rectangle are the candles setup for the purchase of . All the candles to the right of this red rectangle - candles setup for sale (according to the rules of the market position relative to the SMA (21)). However, they are two candles in the rectangle are not candles trade setup. This condition is necessary to ensure that the trader has not concluded any deals in the day of a trend reversal in the market.
Trigger for the deal - the closure of the current trading day below the minimum price the previous trading day for the transactions concluded on the sale and closure of the current trading day above the previous price peak for transactions concluded on the purchase.
Look at the examples of these situations:
of the filter of a stochastic oscillator:
As soon as the% K crosses% D line from the bottom up, we get a signal on the deal on the purchase, and on the contrary - down - up for sale. Be sure to note that the trading signals that come from the overbought (80), and from the oversold zone (20) should be ignored!
Now let's combine a all conditions for the opening of trading positions together to trade forex strategy quiet positional .
example look at the picture:
And here's another example:
safety stop-loss for forex strategy quiet positional:
Stop-loss orders should be installed simultaneously with the opening of trading positions - they will be a maximum of the last 3 trading days for the transactions concluded on the sale or at least the last 3 days for transactions concluded on a purchase.
See an example
closing transactions at a profit at the price of opening of the trading day following the day, which closed above the previous high for transactions made on the sale price and the opening of the trading day following the day which closed below the previous low for retail transactions for the purchase.
support of trade deals:
6E in the markets (foreign exchange futures - similar EURUSD) and 6J (currency futures - similar USDJPY) after the opening of trade transactions should be carried out maintenance of trading positions. Ie formed after the 1st extremum in the profit zone, you should move our stop order at the top of this extreme. And then every day to carry this stop order (otherwise it is called stop-trade ), the maximum closed down trading day for the transactions for the sale and closed down at least the trading day for the transactions for the purchase, as long until the market itself will not close our open trading position.
You should pay attention to a small addition: If you did not work fixed order stop-Trade and appeared on the market condition to the closing trading positions at a profit, you should close the trading position on the opening price the next trading candles.