The Forecaster Candle forex trading strategy has the strength to yield a hybrid currency system that can determine when a trend is about kicking off and also discover possible early reversal points for any pair.
Chart Setup
MetaTrader4 Indicators: ForexForecaster.ex4 (Inputs Variable Modified; IPeriod=40), ronz_price_ma_candle.ex4 (Inputs Variable Modified; Period=24)
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 (majors, currency cross pairs, exotics)
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Buy Trade Example
Fig. 1.0
Strategy
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets put on display:
- If the blue candles of the ronz_price_ma_candle.ex4 custom indicator gets displayed on the activity chart as depicted on Fig. 1.0, price is said to be driven to the upside i.e. a trigger to buy the designated fx pair.
- If the line of the ForexForecaster.ex4 MT4 indicator break above the 0.00 level as seen on Fig. 1.0, the overall market sentiment is said to be bullish i.e. a buy alert will suffice.
Stop Loss for Buy Entry: Place stop loss 2-3 pips below the most recent swing low price.
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 running, a red candle of the ronz_price_ma_candle.ex4 custom indicator that pops up on the activity chart, is a trigger to exit or take profit at once.
- If the line of the ForexForecaster.ex4 MT4 indicator dips below the 0.00 level during a buy alert, bulls power is said to be weaning i.e. a trigger to exit or take profit immediately.
Sell Entry Rules
Enter a sell order if the following holds sway:
- If the red candles of the ronz_price_ma_candle.ex4 custom indicator gets displayed on the activity chart as exemplified on Fig. 1.1, price is said to be taken lower i.e. a trigger to sell the selected forex pair.
- If the line of the ForexForecaster.ex4 MT4 indicator dip below the 0.00 level as shown on Fig. 1.1, the overall market sentiment is said to be bearish i.e. a sell alert will do.
Stop Loss for Sell Entry: Place stop loss 2-3 pips above the most recent swing high price.
Exit Strategy/Take Profit for Sell Entry
Exit or take profit if the following takes to the fore:
- If while a sell signal is running, a blue candle of the ronz_price_ma_candle.ex4 custom indicator gets displayed on the activity chart (see Fig. 1.1), is a trigger to exit or take profit straightaway.
- If the line of the ForexForecaster.ex4 MT4 indicator surges above the 0.00 level during a sell signal, bears power is said to be halting i.e. a trigger to exit or take profit immediately.
Sell Trade Example
Fig. 1.1
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About The Trading Indicators
The ForexForecaster.ex4 is a custom indicator that shifts between red and green to indicate bearish and bullish signal respectively.
The ronz_price_ma_candle.ex4 custom indicator is an Exponential Moving Average based price candle.
The indicator allows for the viewing of the Exponential Moving Average indicator as price candle.