Forex with RSI

Trading Systems Free Forex Trading Systems
1

Trading Forex base on RSI over sold or over bought

Time chart 4 hours
RSI setup to 9
Get in a trade when RSI over sold or over bought passed 80 or 20

Look for one finished candlestick moved back to the opposite direction. Have to wait, don’t just jump in wait for the candlestick finished.
get in the trade on begin of the next candle.

Stop Loss should be set 2 pips off the last high or low of the last couple candle. Remember, Must set a stop!

Manage the risk: don’t risk more then 3% of your total money

Gain limit should calculate base on twice or 1 and a half of many pips that your stop loss sets. 50 stop then gain limit should be 75 or 100 pips

Fixed, if stop out, trade the next candlestick moved opposite direction of the trend. Set your stop! just make even of the last lossing trade then get out.

Fixed, if stop out again, trade the next candlestick moved opposite direction of the trend. Set your stop! just make even of the last lossing trade then get out.

Fixed, if stop out the third time, trade the next candlestick moved opposite direction of the trend (buy 3 times of number of lots from the last trade, if 5 lots then your should buy 15 lots). Set your stop! just make even of the last lossing trade then get out.

Trade with fewer lots on the begin, if you have $20000 then I recommend to play 5 lots or less to begin.

I know it’s not prefect please give me ideas to improved my Trading Systems. Still learning

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2

for me the rsi ist more important that price action

3

I found wave structure is the most important aspect of any markets. Support and resistance afterwards.

4

I like the system, Im not comfortable with the 3 lot deal on the third try, but thats just me I dont like to try make up for losses. I prefer to just keep pluggin away and let it work itself out.

It is a simple an easy to follow system that has defined stops and I like that.

5

My advice to you is not only to rely upon RSI 20/80. Long term it’s not consistent enough.

6

I agree.

As I said again and again indicators is only good for confirmation but to make a trading decision based on a overbought/oversold condition will kill your account.

7

You can try to move your RSI level to 10/90 or 15/85 which are tighter and safer in my opinion. Solely rely on single indicator are not the best choice.
Maybe adding stochastic may help to filter more good trade. :slight_smile:

8

Thank you, I will add the stochastic acrossed and move back to the 20 or 80 and may be look for a engulf candle as well.

9

I am still trying to out the added another confirmation indicator to filter out some out the fail signal. Thanks