Short term trading styles are a great way to make profits, with traders eager to pick a side at the start of the day, acting on their market preconception, and then closing the day off with either a profit or a loss.
Traders that have enough time throughout the day to examine, initiate and monitor positions will find day trading quite suitable.
The Ribbon MA Fisher forex trading strategy is designed to keep you from holding overnight trades and also make decent profits in the short-term.
The indicators that are deployed includes MA ribbon filled.89.21, MA_Details, and Fisher custom indicator which are most effective in scanning the market for suitable entries.
MetaTrader4 Indicators: MA ribbon filled.89.21.ex4 (Default Setting), MA_Details.ex4 (Inputs Variable Modified; Color_1=Blue, Colors Width Modified; #0=2), Fisher.ex4 (Inputs Variable Modified; period=50)
Preferred Time Frame(s): 1-Minute, 5-Minute, 15-Minute, 30-Minute, 1-Hour
Recommended Trading Sessions: London, Ney York, Tokyo
Currency Pairs: Any low spread forex pair
Buy Trade Example
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets put on display:
- If the red line of the MA ribbon filled.89.21 indicator intersects the blue line of the MA_Details indicator in a bottom up manner as shown on Fig. 1.0, price is said to be driven higher i.e. a trigger to go bullish on the designated currency pair.
- If the lime histograms of the Fisher indicator forms above the 0.00 level as depicted on Fig. 1.0, it is an indication of weaning bulls power, hence a signal to go long on the selected forex pair.
Stop Loss for Buy Entry: Place stop loss below short-term support.
Exit Strategy/Take Profit for Buy Entry
Exit or take profit if the following rules or conditions takes precedence:
- If price closes below the red line of the MA ribbon filled.89.21 MT4 indicator while a buy signal is ongoing, it is a trigger to exit or take profit without delay.
- If while a buy signal is ongoing, a red histogram pops out below the 0.00 level as illustrated on Fig. 1.0, it is appropriate to exit or take profit at once.
Sell Entry Rules
Enter a sell order if the following holds true:
- If the red line of the MA ribbon filled.89.21 indicator intersects the blue line of the MA_Details indicator in a top downward manner as depicted on Fig. 1.1, price is said to be pushed lower i.e. a trigger to go bearish on the selected fx pair.
- If the red histograms of the Fisher indicator gets aligned below the 0.00 level as seen on Fig. 1.1, it is an indication of halting bears power, hence a signal to sell the currency pair of focus.
Stop Loss for Sell Entry: Place stop loss above short-term resistance.
Exit Strategy/Take Profit for Sell Entry
Exit or take profit if the following takes center stage:
- If price closes above the red line of the MA ribbon filled.89.21 MT4 indicator while a sell alert is being observed, it is a trigger to exit or take profit forthwith.
- If while a sell signal is running, a lime histogram pops out above the 0.00 level as depicted (see Fig. 1.1), it is suitable to exit or take profit at once.
Sell Trade Example
About The Trading Indicators
The MA ribbon filled.89.21 is a custom indicator designed for Metatrader 4 platforms that is based on moving average.
The indicator offers a simple and quick way to determine the trend direction and possible price reversals.
The MA_Details indicator is a modified simple moving average that is set at period 13.
The Fisher custom indicator is a MetaTrader 4 indicator that tries to pinpoint trend direction, trend changes and trend strength in view of market action.