Forex Strategy Master is a simple strategy that is designed to trade in the forex market. This strategy allows you to enter in the direction of the trend. Using this strategy with proper discipline once can trade successfully in the market. To be able to win with consistency in foreign exchange trading should understand the importance of rules of the trading. Every rule is important in its own way and when they are combined they become more effective. Every trader should have a trading plan before one executes the position in the market. A trading plan is a written set of rules that tells about the trader’s entry, exit and money management strategies. With today’s technology, it has become possible to test a trading system before risking real money in the market. When a plan has been developed and back testing shows good results, the system can be used in real trading to make real money. The main idea here is to stick to the plan. When one deviates from the original trading plan he/she might have to suffer.
Now let’s get back to the system. The system generally consists of six technical indicators.
- 45 EMA: It is the moving average with the largest period among four. This particular moving average is light grey in color and dotted.
- 15 EMA: This moving average is red in color. It is second slowest moving average after 45 EMA.
- 5 EMA: This moving average is dodger blue in color. It is comparatively quite sensitive to the price movements.
- 3 EMA: It is the fastest moving average among the four moving averages. It is made up of dotted yellow colored line.
- GHL: It is a technical indicator which is used to confirm the trade.
- QTI: It is also another technical indicator which appears on the bottom of the main chart which is used to confirm the trade.
Buy conditions Using Forex Strategy Master.
- 3 EMA should cross above all the EMAs.
- The GHL indicator should be green in color.
- The QTI indicator should be green in color.
- Stop loss should be placed below recent swing low.
- You should take you profits as soon as one of the GHL or QTI indicators changesthe color.
Selling Condition Using Forex Strategy Master.
- 3 EMA should cross below all the moving averages.
- GHL indicator should be red in color.
- QTI indicator should be red in color.
- You stop loss should be placed just above the recent swing high.
- You should take profits as soon as anyone of GHL or QTI changes the color.