Simple 5/8 EMA System:

Trading Systems Free Forex Trading Systems
1

Hello,

I found a very simple system on another trading forum site that I would like to share:

SYSTEM:

  1. Enter long when the 5 EMA crosses above the 8 EMA.

  2. Enter short when the 5 EMA crosses below the 8EMA.

I wait until the bar closes to enter a trade.

This strategy looks most promising on the Daily chart.
The more volatile the currency, the better.

Strategies for stops/profit targets can be left to the imagination.

I like to use a fxed stop and trail my profits.

I don’t know how to post charts- but it isn’t necessary- the system is simple enough that it’s self-explanatory.

Any ideas on how to improve this system are welcome!

Happy Trading

2

I demo’d this for a while; you get in late and be sure to get out when the price stalls or the candles are short - no momentum.

3

Are you saying that this method gets you in too late or that it’s a good to get in the trade a little late?

4

All moving average crosses get you in too late. And if the pair is ranging, then you might as well toss up the white flag.

5

great idea but must trade religiously through draw downs and u will make money overtime but on higher timeframe like 30 min charts

6

There is a greatly expanded discussion of this strategy on that other forum. The 5ema is set to Close, the 8 to Open & I only use it on the 4H and D. Simple and efective.

7

How many pips you pullin on average per trade? Just curious.