This is a very simple strategy in forex trading. This uses Exponential Moving Averages and Fast stochastic. Let us take an example of EURJPY pair.
Process: 1. Add 10 day EMA and 28 day EMA.
2. Add Fast stochastic with 10,5,5 specifications.
How do you do it? 1. Look for the stochastic to rebound from 20 or retrace from 80 levels.
2. Remember, initiate a transaction only on rebound or retrace.
3. You can come out with a minimum of 30-50 pip profit.
This seems pretty easy. But follow this with some strict guidelines.
1. Do not get a leverage of more than 40 times.
2. I have tested this only in 1 Hour Candles.
3. Keep a stop loss of 40 pips or the stochastic reaching the opposite side.
If you are ready to risk more, the buy and sell can be initiated on the stochastic reaching either sides.