With a bit of practice, the 10 Pips Forex Scalping Strategy is easy to learn and can consequently become an invaluable addition to your scalping strategy.
The system places emphasis on scanning the forex market for small gains within a short time period.
The indicators that we have chosen for this task are formulated to help your determine when short-term price gaps are likely to take place.
As a matter of fact, currency speculators will be able to enter trades throughout the trading day due to the amazing technical indicators we have on board.
Buy or sell trade decisions are entered when our technical indicator are seen to point in the same direction on the chart window.
MetaTrader4 Indicators: (T_S_R)-Big Trend.ex4 (Inputs Variable Modified; period=60), Stochastic Oscillator.ex4 (Parameter Modified; %K period=15, %D period=6, Slowing=6)
Preferred Time Frame(s): 1-Minute, 5-Minute, 15-Minute
Recommended Trading Sessions: Any
Currency Pairs: Any pair
Buy Trade Example: EUR/USD (EURO / US Dollar), M5 Chart
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets put display:
- If the light blue (T_S_R)-Big Trend custom indicator line stayssomewhat below the price bars as shown on Fig. 1.0, the overall market sentiment is said to be bullish, therefore buy order position(s) taking is appropriate.
- If the light sea green and dotted red lines of the Stochastic Oscillator Metatrader 4 forex indicator break and hover above the 50.00 horizontal level as illustrated on Fig. 1.0, the EUR/USD price is said to be pressured higher, therefore a buy trigger will do.
Stop Loss for Buy Entry: Place stop loss below short-term support.
Exit Strategy/Take Profit for Buy Entry
Close the trade for 10 pips profit or..
Exit or take profit if the following rules or conditions takes precedence:.
- If while a bullish trend is ongoing, the color of the (T_S_R)-Big Trend custom indicator line reverts to tomato (see Fig. 1.0), it is signaling a plausible end in bullish price momentum, as such an exit or take profit stance is recommended.
- If the light sea green line of the Stochastic Oscillator forex indicator dips below the 50.00 horizontal level during the course of a bullish trend, bulls power is said to be weaning, thus a trigger to exit or take profit at once.
Sell Entry Rules
Enter a sell order if the following holds true:
- If the tomato (T_S_R)-Big Trend custom indicator line staysslightly above the candlesticks as depicted on Fig. 1.1, the general market sentiment is said to be bearish, thus a trigger to go short on the designated forex pair.
- If the light sea green and dotted red lines of the Stochastic Oscillator forex indicator break and hover below the 50.00 horizontal level as exemplified on Fig. 1.1, price is signaling an imminent bearish signal, thus an alert to go short on the currency pair of focus.
Stop Loss for Sell Entry: Place stop loss above short-term resistance.
Exit Strategy/Take Profit for Sell Entry
Close the trade for 10 pips profit or..
Exit or take profit if the following takes center stage:
- If while a bearish trend is running, the color of the (T_S_R)-Big Trend custom indicator line changes to light blue, it is pointing to a diminishing bears power, hence an exit or take profit stance is advised.
- If the light sea green line of the Stochastic Oscillator forex indicator surges above the 50.00 reference level while a bearish trend is ongoing, bears power is said to be halting, thus a trigger to exit or take profit immediately.
Sell Trade Example: EUR/USD (EURO / US Dollar), M5 Chart
About The Forex Technical Indicators Used
The (T_S_R)-Big Trend is a trend following moving average type indicator that has its period set to 80, which gives it more lag. Its line color changes between tomato and light blue.
The Stochastic Oscillator is a momentum oscillator that is attributed to George Lane.
The indicator is made up of two lines, the %K fast line and the %D slow line, while it oscillates between 1 and 100.
Basically, the Stochastic gauges the relationship between an assets closing price and its price range over a specified time period.
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