Trend Cross Forex Trading Strategy

The free Trend Cross forex strategy is composed of a powerful trend indicator that works in agreement with a signals indicator to find the best possible entry and exit points in the currency trading market.

This strategy can be used for scalping, day trading, swing trading and position trading.

Chart Setup

MetaTrader4 Indicators: 3_MA_Cross_w_Alert_v2.ex4 (Colors Width Modified; #0=3, #1=3), Trend_ID.ex4 (Input Variable Modified; MVA_Length=100)

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

Download

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Buy Trade Example

Fig. 1.0

Strategy

Long Entry Rules

Enter a buy position if the following chart or indicator pattern gets displayed:

  1. If the red upward pointing arrow of the 3_MA_Cross_w_Alert_v2 custom indicator gets aligned somewhat below the candles, it is a trigger to buy the designated currency pair.
  2. If the red line of the Trend_ID.ex4 custom indicator breaks and stays above the two blue lines as seen within the indicator window on Fig. 1.0, price is said to be pushed to the upside i.e. a signal to go long.

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

Exit Strategy/Take Profit for Buy Entry

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

  1. If the green downward pointing arrow of the 3_MA_Cross_w_Alert_v2 custom indicator pops up while a buy trend is ongoing, it is an indication of weaning bulls power, hence an exit or take profit will suffice.
  2. If the red line of the Trend_ID.ex4 custom indicator crosses the first blue line on its way down, traders should consider exiting or taking profits on their open buy positions.

Sell Entry Rules

Enter a sell order if the following holds true:

  1. If the green downward pointing arrow of the 3_MA_Cross_w_Alert_v2 custom indicator gets aligned on the activity chart above the candles (refer to Fig. 1.0), it is a trigger to sell the designated currency pair.
  2. If the red line of the Trend_ID.ex4 custom indicator breaks and stays below the two blue lines as depicted within the indicator window on Fig. 1.1, price is said to be pushed somewhat lower i.e. a signal to go short.

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

Exit Strategy/Take Profit for Sell Entry

Exit or take profit if the following takes center stage:

  1. If the red upward pointing arrow of the 3_MA_Cross_w_Alert_v2 custom indicator pops up while a sell trend is running, it is an indication of halting bears power, hence an exit or take profit will do.
  2. If the red line of the Trend_ID.ex4 custom indicator crosses the first blue line on its way up, it is pointing to a possible reversal away from the current trend, as such an exit or take profit will suffice.

Sell Trade Example

Fig. 1.1

Free Download

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About The Trading Indicators

The 3_MA_CROSS_W_ALERT_V2 custom indicator is a forex technical study that displays arrows on the chart, where red colored arrows denote bullish trend and green defines bearish trend.

The Trend_ID.ex4 custom indicator consists of three lines, two blue lines and one red line.

Signals are generated when the red line crosses the two blue lines from below (sell) or above (buy).