Profit HAMA Filter Forex Trading Strategy

The Profit HAMA Filter forex trading strategy is an extremely easy-to-adopt trading strategy for day traders and scalpers. It is a proven trading strategy for long-term profits.

The HAMA and Forexprofitsupremefilter custom indicators are specifically deployed to give an easy-to-spot signal setup, with precise information on trend strength and exhaustion in that order.

The examples that will follow are aimed at giving us a clear picture of the working dynamics of this amazing trading system.

Chart Setup

MetaTrader4 Indicators: HAMA_.ex4 (Colors Width Modified; #0=2, #1=2, #2=2, #3=2), Forexprofitsupremefilter.ex4 (Default Setting)

Preferred Time Frame(s): 1-Minute, 5-Minute, 15-Minute, 30-Minute, 1-Hour

Recommended Trading Sessions: London & New York

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 displayed:

  1. If the royal blue rectangular shaped bodies of the HAMA_ custom indicator gets aligned somewhat below price bars as seen on Fig. 1.0, the overall market sentiment is said to be bullish i.e. a signal to buy the designated forex pair.
  2. If the lime green vertical bars of the Forexprofitsupremefilter custom indicator forms within its indicator window, as depicted on Fig. 1.0, it is a trigger to buy the selected currency pair.

Stop Loss for Buy Entry: Place stop loss 2-5 pips below support.

Exit Strategy/Take Profit for Buy Entry

Exit or take profit if the following rules or conditions takes center stage:

  1. If while a buy signal is ongoing, the HAMA_ custom indicator displays a red rectangular shaped body as illustrated on Fig. 1.0, bulls power is said to be weaning i.e. a trigger to exit or take profit at once.
  2. If the vertical bars within the Forexprofitsupremefilter custom indicator window turns dark orange, it is a trigger to exit or take profit at once.

Sell Entry Rules

Enter a sell order if the following holds true:

  1. If the red rectangular shaped bodies of the HAMA_ custom indicator gets aligned fairly above price bars as depicted on Fig. 1.1, the general market sentiment is said to be bearish i.e. a signal to sell the selected currency pair.
  2. If the dark orange vertical bars of the Forexprofitsupremefilter custom indicator forms within its indicator window, as illustrated on Fig. 1.1, it is a trigger to sell the currency pair of focus.

Stop Loss for Sell Entry: Place stop loss 2-5 pips above resistance.

Exit Strategy/Take Profit for Sell Entry

Exit or take profit if the following takes center stage:

  1. If the rectangular shaped bodies of the HAMA_ custom indicator turns royal blue (see Fig. 1.1), bears power is said to be halting i.e. a trigger to exit or take profit is advised.
  2. If the vertical bars within the Forexprofitsupremefilter custom indicator window turns lime green, it is a signal to exit or take profit accordingly.

Sell Trade Example

Fig. 1.1

Free Download

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About The Trading Indicators

The HAMA_ .ex4 indicator deploys a 2-color visualization (red and royal blue) scheme to deliver sell and buy signals respectively.

The Forexprofitsupremefilter.ex4 is a technical study that is designed to support intraday trading.

Its signal is measured using six indicators and most importantly it was designed for newbies, as such requires little or no experience.