B.S.R stands for BollingerBand Stochastic and RSI.
indicator setting:
-BollingerBand (50,2) , (50,3) , (50,4)
-Stochastic (14,3,3) , Low/High , Exponential
-RSI (8) , Close
This system can separated into two parts.
-Trade Signal
-Entry Signal
Trade Signal
How to determine a trade signal? We look at M15 chart. Any candle breach RSI level of 20, 30, 70, 80 give us a trade signal. If breach level 20 or 30 is a buy trade signal, and opposite for sell trade signal. The candle must close for a qualified trade signal. The picture show a sell trade signal which I drew a vertical line when the candle closed. Trade signal candle inside BBand between 2 and 3 or 3 and 4 is a higher probability trade.
Entry Signal
After we got the we look into M1 chart. The picture shows two vertical line which is the trade signal candle on M15 chart. So now we wait for entry signal.
Requirement for a entry signal:
-RSI above 80 for sell; Below 20 for buy. (I use these 2 lextreme levels to caught a bigger move)
-Stochastic must at overbought(above 80) for sell; or oversold(below 20) for buy.
-Candle must closed inside BBand, which means between deviation 2 and 3 , or 3 and 4.
Now when you spot a entry signal, DO NOt get in immediately! Wait for the stochastic crossover and breach level 80 for sell or level 20 for buy.
Take profit from 15 pips to 20 pips.
Stop loss from 10 pips to 15 pips.
