This is a very easy and detailed tool, newbie traders can easily find ideal entry and exit points with its amazing signal combination..
Dynamic Channel, Contrarian Forex Trading System is a blend of Metatrader 4 indicator and Stochastic Oscillator. The aim of this trading system is to transform the accumulated history data into the trading signals.
Dynamic Channel, Contrarian Forex Trading System provides opportunities to spot price volatility and patterns in price dynamics which are not simply visible in simple raw charts.
Once you install the trading system in your Metatrader4 platform, the chart will look like this:
- Dynamic Channel indicator:
The set of lines at the main chart represents Dynamic Channel indicator. It is like a scale that measures the price volatility and extracts trade signals.
- Stochastic Oscillator:
At the second window, you’ll find Stochastic Oscillator. That represents overbought condition at 80 and oversold condition at 20. It also produces crossovers:
- Bullish crossover: When the red line crosses above the light green line.
- Bearish crossover: When the red line crosses below the light green line.
Generally Accepted Use:
- Price gets supported by the lower Dynamic Channel indicator
- Stochastic Oscillator turn above from 20 (oversold) level with a bullish crossover
- Set stop loss below the respective signaling candle’s low
- Take profit when Stochastic Oscillator reaches 80 with bearish crossover and price starts to get rejected from the upper Dynamic Channels
- Price gets rejected from the upper Dynamic Channel indicator
- Stochastic Oscillator turns down from 80 (overbought) level with a bearish crossover
- Set stop loss above the respective signaling candle’s low
- Take profit when Stochastic Oscillator reaches 20 with bullish crossover and price starts to get support from the lower Dynamic Channels
Download Free Forex DC Contrarian Strategy
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