In most cases, the currency market is saddled with lots of impatient participants, which means, they all want to get in and get out trades within the slightest possible time.
To be able to get this done, you’ll need a reliable forex trading strategy that can quickly display entry, as well as exit trade setups.
This is apparently what the ASC Trend Scalping forex trading strategy stands for, considering its design simplicity, alongside its structure.
It is made up of the ASCTrend.ex4 and freescalpingindicator.ex4 technical indicators.
They scan for accurate price reversal points and also measure noise levels in the market to reduce the number of false buy and sell signals.
MetaTrader4 Indicators: ASCTrend.ex4 (Inputs Variable Modified; RISK=12), freescalpingindicator.ex4 (Inputs Variable Modified; periods=800000000)
Preferred Time Frame(s): 1-Minute, 5-Minute, 15-Minute
Recommended Trading Sessions: Any (London and New York)
Currency Pairs: Any low spread forex pair such as the EUR/USD and USD/JPY.
Buy Trade Example
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets put on display:
- If the blue upward pointing arrow of the ASCTrend custom MT4 indicator gets placed slightly below the candlesticks as depicted on Fig. 1.0, price is said to be taken to the upside i.e. a signal to go long on the designated forex pair.
- If the lime histograms of the freescalpingindicator forms above the 0.00 level (see Fig. 1.0), it is a trigger to go long on the selected fx pair.
Stop Loss for Buy Entry: Place stop loss 1-3 pips below trading support.
Exit Strategy/Take Profit for Buy Entry
Exit or take profit if the following rules or conditions takes precedence:
- If the red downward pointing arrow of the ASCTrend custom MT4 indicator pops up on the trading chart as illustrated on Fig. 1.0, bulls power is said to be halting, as such an exit or take profit will do.
- If the red histogram of the freescalpingindicator gets displayed while a buy alert is ongoing, it is an indication of a looming bearish reversal, as such an exit or take profit is recommended.
Sell Entry Rules
Enter a sell order if the following holds true:
- If the red downward pointing arrow of the ASCTrend custom MT4 indicator gets placed somewhat above price bars as seen on Fig. 1.1, price is said to be driven lower, as such a sell signal is imminent.
- If the red histograms of the freescalpingindicator forms below the 0.00 level (refer to Fig. 1.1), it is a trigger to go short on the selected currency pair.
Stop Loss for Sell Entry: Place stop loss 1-3 pips above trading resistance.
Exit Strategy/Take Profit for Sell Entry
Exit or take profit if the following takes to the fore:
- If the blue upward pointing arrow of the ASCTrend custom MT4 indicator pops up on the trading chart as shown on Fig. 1.1, bears power is said to be weaning, as such an exit or take profit will suffice.
- If the lime histogram of the freescalpingindicator gets displayed while a sell signal is running, it is an indication of an impending bullish reversal, as such an exit or take profit is advised.
Sell Trade Example
About The Trading Indicators
The ASCTrend.ex4 is a trend following indicator that uses magenta downward pointing arrows or aqua upwards pointing arrows to define sell and buy signals respectively.
The freescalpingindicator.ex4 on the other hand is an indicator designed by Karl Dittman and is deployed as a trend following indicator for intraday traders and scalpers.