Most traders do not consider losses on open orders as losses until such positions are closed.
Make no mistake about it, such orders represents losses. A floating negative position remains a loss, but hasn’t been grasped just yet.
The Big Trend Norm forex trading strategy is a well-planned trading system that minimizes your floating losses, thereby allowing you to float more winning positions.
The sheer simplicity of the strategy is key to determining price volatility, smoothening and spot divergence upon implementing the Bands, Big Trend and Gioteen-Norm technical indicators respectively.
MetaTrader4 Indicators: Bands.ex4 (Colors Width Modified; #0=2), Big Trend.ex4 (Inputs Variable Modified; period=36, Colors Modified; #0=Red, #1=Red), Gioteen-Norm.ex4 (Inputs Variable Modified; ExtPeriod=70))
Preferred Time Frame(s): 1-Minute, 5-Minute, 15-Minute, 30-Minute, 1-Hour, 4-Hour, 1-Day
Recommended Trading Sessions: Any (24 hour trading)
Currency Pairs: Any pair
Buy Trade Example
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets put on display:
- If the middle light sea green line of the Bands MT4 indicator cuts across the red Big Trend custom indicator line in a bottom up manner (see Fig. 1.0), price is said to be pushed higher i.e. a trigger to buy the stipulated currency pair.
- If the red line of the Gioteen-Norm custom indicator break above the 0.00 level as depicted on Fig. 1.0, price is said to be pushed to the upside i.e. a trigger to buy the designated currency pair.
Stop Loss for Buy Entry: Place stop loss 3 pips below short-term support.
Exit Strategy/Take Profit for Buy Entry
Exit or take profit if the following rules or conditions takes precedence:
- If the middle light sea green line of the Bands indicator intersect the red line of the Big Trend indicator to stay above it as shown on Fig. 1.0 while a buy signal is running, it is a signal to exit or take profit at once.
- If the red line of the Gioteen-Norm custom indicator dip below the 0.00 level while a buy signal is ongoing, an exit or take profit is advised.
Sell Entry Rules
Enter a sell order if the following holds true:
- If the middle light sea green line of the Bands MT4 indicator cuts across the red Big Trend custom indicator line in a top downward fashion as illustrated on Fig. 1.1, price is said to be taken lower i.e. a trigger to sell the selected fx pair.
- If the red line of the Gioteen-Norm custom indicator break below the 0.00 level as shown on Fig. 1.1, price is said to be driven lower i.e. a trigger to sell the currency pair of interest.
Stop Loss for Sell Entry: Place stop loss 3 pips above short-term resistance.
Exit Strategy/Take Profit for Sell Entry
Exit or take profit if the following takes to the fore:
- If the middle light sea green line of the Bands indicator intersect the red line of the Big Trend indicator to go below (check Fig. 1.1) while a sell signal is ongoing, it is a trigger to exit or take profit forthwith.
- If the red line of the Gioteen-Norm custom indicator surges above the 0.00 level while a buy alert is running, an exit or take profit is recommended.
Sell Trade Example
About The Trading Indicators
The Big Trend custom mt4 indicator is trend following indicator that paints its line light blue (bullish) and tomato (bearish) on the chart window.
The Bands indicator is a typical Bollinger Bands indicator that is used to gauge volatility, offering traders insight into possible market breakouts.
The Gioteen-Norm custom indicator can be used to spot divergence in the market as well as trend, using its indicator line in reference to the 0.00 signal level.
It is a buy signal when its line hovers above the 0.00 signal level and a sell signal when it does the opposite.