The 200 EMA with Colored MACD Forex scalper system provides precise buy and sell signals that work for scalping and day trading any pair.
This system consists of the 200 exponential moving average and colored MACD indicator.
The trade logic goes as follows:
The 200 EMA follows the overall trend and the MACD indicator pinpoints trade entries.
Strategy Setup & Recommendations
Indicators (MT4) : macd-colored-histogram.ex4.mq4 (default settings), 200 EMA (exponential moving average)
Currency pairs: works on any currency pair and metals
Time frames: M1, M5, M15
Trade style: scalping, day trading
Trading Platform: Metatrader 4
Chart Example (CAD/CHF M5)
After you downloaded and installed the 200 EMA with Colored MACD Forex scalper system on the MT4 trading platform, it should look like the image as shown below.
System Buy & Sell Rules:
- A buy signal is given when price trades above the 200 EMA white line and the MACD indicator is colored green.
- Place stop loss just below short-term support.
- Exit the buy trade for 10-25 pips profit.
- A sell signal is given when price trades below the 200 EMA white line and the MACD indicator is colored red.
- Place stop loss just above short-term ressitance.
- Exit the sell trade for 10-25 pips profit.
How to install this Forex system in Metatrader 4?
Then, install the technical indicators as follows:
- Open your Metatrader 4 platform.
- Open the data folder from the top menu.
- Open the MQL4 folder.
- Open the indicators folder.
- Paste the downloaded indicators in this folder.
- Restart the trading platform.
- Open any trading chart.
- Attach the indicators to the chart.
Now you are ready to start using this trading system!
About the macd-colored-histogram.mq4 indicator (MT4)
The colored MACD indicator is an improved version of the classic MACD indicator.
Input variables: Fast EMA period, slow EMA period, signal period
Feel free to combine this trading system with other technical indicators or with price action.
Explore and experiment with the indicator’s different inputs and settings to create your own personalized strategy setup.