Moving Bull-Bear Forex Trading Strategy

The Moving Bull-Bear forex trading strategy is a trend following strategy that works on all time frames and on all forex pairs.

The deployed indicators includes the guppy_multiple_moving_averages.ex4 and BullBearRSI.ex4 technical indicators that are primarily used as trend catching and overbought/oversold market watching tools respectively.

Chart Setup

MetaTrader4 Indicators: guppy_multiple_moving_averages.ex4 (Default Setting), BullBearRSI.ex4 (Inputs Variable Modified; period=21)

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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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:

  1. If the green lines of the guppy_multiple_moving_averages.ex4 custom indicator intersects the red lines in a bottom up manner (see Fig. 1.0), price is said to be pushed higher i.e. a trigger to buy the designated forex pair.
  2. If the deep sky blue bars of the BullBearRSI.ex4 MT4 indicator pops up within its indicator window and above the 0.00 level, the overall market sentiment is said to be bullish i.e. a trigger to go long on the selected currency pair.

Stop Loss for Buy Entry: Place stop loss below support.

Exit Strategy/Take Profit for Buy Entry

Exit or take profit if the following rules or conditions takes precedence:

  1. If price closes below the green lines of the guppy_multiple_moving_averages.ex4 MT4 indicator, an exit or take profit should be highly considered.
  2. If a violet bar of the BullBearRSI.ex4 MT4 indicator pops up below the 0.00 level as illustrated on Fig. 1.0, it is an indication of weaning bulls power, hence an exit or take profit will suffice.

Sell Entry Rules

Enter a sell order if the following holds true:

  1. If the green lines of the guppy_multiple_moving_averages.ex4 custom indicator intersect the red lines in a top downward fashion as illustrated on Fig. 1.1, price is said to be driven lower i.e. a trigger to sell the selected currency pair.
  2. If the violet bars of the BullBearRSI.ex4 MT4 indicator pops up within its indicator window and is aligned below the 0.00 level (refer to Fig. 1.1), the overall market sentiment is said to be bearish i.e. a trigger to go short on the fx pair of focus.

Stop Loss for Sell Entry: Place stop loss above resistance.

Exit Strategy/Take Profit for Sell Entry

Exit or take profit if the following takes to the fore:

  1. If price closes above the green lines of the guppy_multiple_moving_averages.ex4 MT4 indicator, an exit or take profit should be highly considered.
  2. If a deep sky blue bar of the BullBearRSI.ex4 MT4 indicator pops up above the 0.00 level as show on Fig. 1.1, it is an indication of halting bears power, hence an exit or take profit will do.

Sell Trade Example

Fig. 1.1

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About The Trading Indicators

The guppy_multiple_moving_averages.ex4 is a technical indicator that draws changing trends via the use of a technique that combines two groups of moving averages with varying time periods.

The BullBearRSI.ex4 custom indicator works on all time frames and on all forex pairs.

The deep sky blue color depicts a bullish trend, while the violet bars is indicative of a bear trend.

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