The Ichimoku Pux forex trading strategy is a decent and profitable trading strategy that most currency traders will find easy to use on all timeframes.
It is based on the popular Ichimoku trading indicator. I’ll show you how to set it up below:
MetaTrader4 Indicators: Ichimoku.ex4 (Default Setting), PUX_CCI.ex4 (Default Setting)
Preferred Time Frame(s): Any
Recommended Trading Sessions: Any
Currency Pairs: Any
Buy Trade Example
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets displayed:
- If the sienna line and vertical bars (green and blue) of the PUX_CCI custom MT4 indicator breaks, and hovers above the 0.00 level (refer to Fig. 1.0), the prevalent market sentiment is said to be bullish, hence a trigger to buy the stipulated forex pair.
- If the cloud of the Ichimoku custom indicator gets placed below the candlesticks as shown on Fig. 1.0, price is said to be pressured higher, as such a buy signal will suffice.
Stop Loss for Buy Entry: Place stop loss 3-5 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 sienna line of the PUX_CCI custom indicator dips below the 0.00 level during a buy alert, a bearish reversal is said to be looming, hence an exit or take profit is advised.
- If price declines to close within the cloud of the Ichimoku custom indicator, it is a signal to exit or take profit at once.
Sell Entry Rules
Enter a sell order if the following holds true:
- If the sienna line and vertical bars (red and blue) of the PUX_CCI custom MT4 indicator breaks, and hovers below the 0.00 level as depicted on Fig. 1.1, the dominant market sentiment is said to be bearish i.e. a trigger to go short on the designated forex pair.
- If the cloud of the Ichimoku custom indicator gets placed above the candlesticks as illustrated on Fig. 1.1, price is said to be pressured lower, as such a sell alert will do.
Stop Loss for Sell Entry: Place stop loss 3-5 pips above short-term resistance.
Exit Strategy/Take Profit for Sell Entry
Exit or take profit if the following takes center stage:
- If the sienna line of the PUX_CCI custom indicator jumps above the 0.00 level during a sell signal, a bullish reversal is said to be imminent, hence an exit or take profit is recommended.
- If price surges to close within the cloud of the Ichimoku custom indicator, it is a signal to exit or take profit straightaway.
Sell Trade Example
About The Trading Indicators
The PUX_CCI is a trend momentum that is designed around the CCI indicator. It is most effective on majors with low spreads.
Ichimoku is a technical or chart indicator that is also a trend trading system.
The creator of the indicator, Goichi Hosada, introduced Ichimoku as a “one glance” indicator.
In a few seconds you are able to decide whether a tradable trend is present or if you should wait for a better set-up on a specific pair.