Strategy based on BB, MACD, MA indicators

Strategy based on BB, MACD, MA indicators

Recommended timeframes M15

The strategy described below is quite a simple strategy based on indicators. Three simple indicators installed in all standard MT4 terminals underlie this strategy. It is applicable to all major currency pairs, such as EUR/USD, GBP/USD, AUD/USD, CAD/USD, NZD/USD, and USD/JPY. The time-frame used: M15.

Underlying indicators:

• Bollinger bands (Period 20, Shift 0, Deviation 2)

• Smoothed moving average (Period 2, Shift 0)

• MACD indicator (Fast EMA 11, Slow EMA 27, MACD SMA 4)

Conditions for opening Buy trades:

• The moving average (displayed in orange in the pictures) crosses from below the middle line of Bollinger Bands (displayed in green).

• The MACD histogram is below the line.

Conditions for opening Sell trades:

• The moving average (displayed in orange in the pictures) crosses from above the middle line of Bollinger Bands (displayed in green).

• The MACD histogram is above the line.

Conditions for closing trades:

• Stop Loss at the distance of 12-16 points (depends on the type of pair)

• Take Profit near pivot points, normally at the distance of 10-15 points from the opening level.