The CCI Woodies Chandelier forex trading strategy is a complete buy/sell trading system composed of the ChandelierExit indicator and the CCI Woodies oscillator indicator.
Learn below how to buy and sell with this great currency trading strategy:
Chart Setup
MetaTrader4 Indicators: CCI_Woodies.ex4 (Inputs Variable Modified; CCIPeriod1=32, CCIPeriod2=24), ChandelierExit.ex4 (default setting)
Preferred Time Frame(s): 1-Minute, 5-Minute, 15-Minute, 30-Minute, 1-Hour, 4-Hour, 1-Day
Recommended Trading Sessions: Any
Currency Pairs: Any pair
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Download the CCI Woodies Chandelier Forex Trading Strategy
Buy Trade Example
Fig. 1.0
Strategy
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets put on show:
- If the steel blue and red line of the CCI_Woodies.ex4 custom indicator breaks above the 0.00 level as illustrated on Fig. 1.0, price is said to be pushed higher i.e. a signal to buy the currency pair of focus.
- If the orange line of the ChandelierExit.ex4 custom indicator gets placed below its black line and price bars as seen on Fig. 1.0, the sentiment in the market is said to be bullish i.e. a trigger to buy the stipulated fx pair.
Stop Loss for Buy Entry: Place stop loss 3 pips below the orange line.
Exit Strategy/Take Profit for Buy Entry
Exit or take profit if the following rules or conditions takes precedence:
- If while a buy signal is holding in the market, the red line of the CCI_Woodies.ex4 custom indicator falls below the 0.00 level, it is a signal of weaning bulls power i.e. an exit or take profit will suffice.
- If a magenta line of the ChandelierExit.ex4 custom indicator gets displayed somewhat above the candlesticks during a buy signal, it is an alert to exit or take profit forthwith.
Sell Entry Rules
Enter a sell order if the following holds true:
- If the steel blue and red line of the CCI_Woodies.ex4 custom indicator dips below the 0.00 level as demonstrated on Fig. 1.1, price is said to be pushed lower i.e. a signal to sell the specified currency pair.
- If the magenta line of the ChandelierExit.ex4 custom indicator gets placed above its black line and price bars as shown on Fig. 1.1, the sentiment in the market is said to be bearish, hence a sell alert is on course.
Stop Loss for Sell Entry: Place stop loss 3 pips above the magenta line.
Exit Strategy/Take Profit for Sell Entry
Exit or take profit if the following takes to the fore:
- If while a bearish trend in ongoing in the market, the red line of the CCI_Woodies.ex4 custom indicator rises above the 0.00 level, it is a signal of halting bears power i.e. an exit or take profit will do.
- If an orange line of the ChandelierExit.ex4 custom indicator gets seen somewhere below the candlesticks during a sell alert, it is a trigger to exit or take profit without delay.
Sell Trade Example
Fig. 1.1
Free Download
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About The Trading Indicators
The ChandelierExit.ex4 indicator was created by Charles Le Beau and featured in Alexander Elder’s books, the Chandelier Exit.
It is broadly used for setting stop-losses in a trending market, however, the ChandelierExit can also be used as a trend trading tool.
The CCI_Woodies.ex4 custom indicator is simply two CCI indicators with different periods displayed in a single Metatrader 4 indicator’s sub window.