The RSX Scalping System was developed by a trader by the name Janus. Just as the name suggest, this trading system is designed to be used by the scalpers. It is a simple to use trading strategy that is recommendable to even the Forex trading beginners.
This trading system should be used to trade on timeframes that are 15 minutes or higher. But since it is mainly for scalping the 15 minutes timeframe is the best for this strategy. When it gets to the currency pairs, this trading system can be used to trade any of the currency pairs.
The RSX Scalping System is based on a combination of two indicators. These indicators are the RSX nrp indicator and the votro indicator which is also commonly known as the RSI Timing indicator.
Fig.1. Snapshot of the template of the RSX Scalping System.
The RSX nrp indicator is indicated just below the main trading system and it consist of a line whose color changes from green to yellow and vice versa as it oscillates around several levels (0, 30, 50, and 70). It is also responsible for giving an alert (both in terms of a sound and a pop up alert message). The higher the level that the line crosses on its way up the higher the chances of a down trend taking place. Also, the lower the level that the line crosses downwards, the higher the chances of an upwards trend in the near future.
The Votro indicator on the other hand is displayed below the RSX nrp indicator’s window and it consists of a blue line that swings on a scale of -100 to 100. There are also red dotted line on the -90 and 90 levels. When the blue line hits the 90 level red dotted line, the trader should be prepared for a downward movement in the market prices. Also, if the blue line hits the -90 level of the red dotted line, the trader should be prepared for an upward trend.
When to place a BUY using RSX Scalping System
First you will have to choose the time frame that you want to use while trading.
A buy signal occurs when the votro indicator hits the -90 red line at the bottom and the RSX nrp indicator is below the level of 30.
When to place a sell using RSX Scalping System
First you will have to choose the time frame that you want to use while trading.
A sell signal occurs when the votro indicator hits the 90 red line at the top and the RSX nrp indicator is above the level of 70.
Fig.2. Placing orders using the RSX Scalping System.
Defining profit Targets using RSX Scalping SYSTEM
For buy orders:
- First profit target: when RSX reaches line 50.
- Second profit target: when RSX reaches line 70.
For sell orders:
- First profit target: when RSX reaches line 50.
- Second profit target: when RSX reaches line 30.
Defining Stop loss levels using RSX SYSTEM:
When the trader places a sell order, he or she should place a stop loss on the candle corresponding to higher value of RSX
When the trader places a buy order, he or she should place a stop loss on the candle corresponding to lower value of RSX
Fig.3. Placing stop losses using the RSX scalping System.
Open demo account to test this system.
Download Free Forex RSX Scalping System
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