This is the strategy I’m using with good results so far. I called it 30 pips because 30 pips is the goal of each trade.
About me there is nothing to say, I’m not an expert, I know about forex like 1 year ago, and I’m still a newbie.
About the strategy
I use one indicator written by Jason Robinson called Double CCI-With SMA that is well explained by Janqie in Forex Factory page 4 in his strategy “Madscalper”. Also I use 2 MACD’s, 1 Stoch, 2 EMA and Fractals. I trade the majors when London opens in the 15 min TF.
Attached is a screenshoot of how it looks.
Hope you enjoy it and sorry if my english is not very good but spanish is my first language.
Patience is the first thing you have to have if you are considering use this strategy.
We are going to trade only in the direction on the 2 EMA. If they are pointing up we will buy, if they are pointing down we will sell. UP when fast EMA (blue) is above red ema, and DOWN when low EMA (red) is below blue ema.
How to enter a trade: After london opens we wait Double CCI indicator that gives us a buy signal or a sell signal.
Buy Signal:
Histogram is green and above + 100 level. +100 level is colored in blue.
Yellow and grey lines are above 100 level.
Fast MACD and Slow MACD are pointing up
Stoch is pointing up
Sell Signal
Histogram is red and below -100 level. -100 level is colored in blue.
Yellow and grey lines are below 100 level.
Fast MACD and Slow MACD are pointing down
Stoch is pointing down
After buy or sell signal appears, set a 30 pips TP target
For SL set a targert of 3 pips below or above the last fractal. As you know fractal shows supports and resistances.
You can close the trade manually if EMA cross against our trade and a candle close below or above the EMA.
Wait to hit the TP or SL.
I will include some pictures with examples. Feel free to ask and share your ideas.
Update: Attached is the template with the indicators, in this way you can see directly in your pc the trades mentioned in this thread.
Ok, the week is over so we can check how the strategy was doing during the week. I know that past events are easy to analyse as there is no psychology pressure, but I have to do it for explanation porpuses.
Pair EUR/JPY a tough one. Monday Nov 8th.
The first vertical red line is the London open, it is just for reference, it says 10 am because this broker is 2 hrs above from London.
The 2nd vertical red line is our entry. As you can see, 2 EMAS are in downtrend, double CCI histogram is red and below -100 level, yellow and grey lines are below -100 level, fast MACD is not pointing down but it is in crossover, slow macd is pointing down, and stoch is pointing down.
Set a 30 pips TP and a 3 pip SL above the last fractal.
All signals are line up, so we can put our 30 pips TP.
This 3rd line gave us another signal, so if you missed the first one you can enter here or, if you want to enter again, here is the moment. This one hit the TP until the next day during ASIA session.
Ok, that was the analysys of the last week in the pair EUR/JPY
As you can see all the signals were clear, but take into account that not always is in this way, this is not a perfect system and you will have loser days.
Here is the analysys of EUR/GBP pair, this one is a hard one too.
Monday Nov 8th.
As soon as London opened we had a sell opportunity. The question is: Is it good to take this trade according with the signals? Let’s see.
Histogram is red and below -100 level.
Yellow and grey lines are below -100 level.
Fast and slow MACD are flat.
Stoch is pointing down.
As MACDs don’t show any direction is better to be out of this trade. If you take it your succes rate is 50/50, in this case will hit our TP until next day.
Second red line is our signal to buy, all the parameters are in line so we enter the trade.
Third red line, unfortunately the EMA cross against our trade and a candle close below the EMAs.
We close the trade manually with a loss of 8 to 10 pips instead of wait that the trade hit our SL that is the last fractal plus 3 to 5 pips, so we save 15 pips.
The red line is the london open line and is our trade opportunity, this one is very similar as the one we had on Monday, the MACDs are flat which means indecision.
I’m very confident in this trade because the Double CCI indicator goes down with such violence that histogram goes beyond the screen.