1-Minute Forex Scalping Strategy For AUD/CHF
The 1-Minute Forex scalping strategy for the AUD/CHF currency pair is a decent scalping system that incorporates the crossover of two distinct moving averages.
The Detrended Price Oscillator (DPO) ensures that your orders does not descend into the negative territory during trading.
It is critical to remain calm while waiting for our preconfigured trade setup rules to pop up on the activity chart.
The 1-Minute Forex scalping strategy for AUD/CHF is quite applicable to trade any forex pair available in the market.
Moreover, intraday traders can also deploy this trading strategy.
The strategy performs magically well with on the M1, M5 and M15 time frame charts.
MetaTrader 4 Indicators: Moving Average.ex4 (Parameters Modified; Period=36, Style=Yellow), Custom Moving Averages.ex4 (Colors Width Modified; #0=2), Detrended Price Oscillator.ex4 (Inputs Variable Modified; MA_Period=28, BarsToCount=40000)
Preferred Time Frame(s): 1-Minute, 5-Minute, 15-Minute
Recommended Trading Sessions: London, New York, Tokyo
Currency Pairs: AUD/CHF + low spread pairs (EUR/USD, GBP/USD, USD/JPY,…)
Buy Trade Example: AUD/CHF (Australian Dollar / Swiss Franc), M1 Chart
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets put on display:
- If the yellow 36 SMA Metatrader 4 indicator line crosses below the red Custom Moving Averages indicator line in a bottom up manner as seen on Fig. 1.0, bulls are said to be driving price to the upside, thus a trigger to buy the designated currency pair.
- If the blue line of the Detrended Price Oscillator indicator breaksand hovers above the 0.00 horizontal level as shown on Fig. 1.0, the general market sentiment is said to be bullish i.e. a trigger to buy the stipulated currency pair.
Stop Loss for Buy Entry: Place stop loss below short-term support.
Exit Strategy/Take Profit for Buy Entry
Exit or take profit if the following rules or conditions takes precedence:
- If while a bullish trend is ongoing, the yellow 36 SMA indicator line intersects the red Custom Moving Averages indicator, it is a trigger to exit or take profit at once.
- If the blue line of the Detrended Price Oscillator indicator realigns below the zero reference level during the course of a bullish trend, a bearish reversal is said to be looming, hence a signal to exit or take profit forthwith.
Sell Entry Rules
Enter a sell order if the following holds true:
- If the yellow 36 SMA forex indicator line crosses above the red Custom Moving Averages indicator line in a top downward fashion as depicted on Fig. 1.1, bears are said to be dragging price lower, as such a sell alert will suffice.
- If the blue Detrended Price Oscillator indicator line dips and runs below the 0.00 reference level as illustrated on Fig. 1.1, the overall market sentiment is said to be bearish, therefore a sell alert will do.
Stop Loss for Sell Entry: Place stop loss above short-term resistance.
Exit Strategy/Take Profit for Sell Entry
Exit or take profit if the following takes center stage:
- If the yellow 36 SMA indicator line intersects the red Custom Moving Averages indicator line while a bearish trend is running, bears power is said to be weaning, thus a signal to exit or take profit immediately.
- If the blue line of the Detrended Price Oscillator indicator goesabove the zero horizontal level while a bearish trend is ongoing, a bullish reversal is said to be on the horizon, therefore a signal to exit or take profit is apt.
Sell Trade Example: AUD/CHF (Australian Dollar / Swiss Franc), M1 Chart
About The Forex Technical Indicators Used
The 36 SMA (Simple Moving Average) is a technical analysis indicator that smooths out currency price data by constantly creating an updated average price over 36 periods.
The Custom Moving Averages is used to spot the direction of trend or it can also be deployed in defining possible levels of support and resistance.
The Detrended Price Oscillator or DPO has the sole function of removing trend from price and making it easier to pinpoint cycles (highs/lows), as well as estimate the length of such cycles.
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