AVQ Trend Forex Trading Strategy

The AVQ Trend forex trading strategy is built around the ADXdon.ex4 and the AVQ_trend.ex4 custom indicators. The strategy is quite easy to adopt and currency traders will find it quite handy in their trader’s tool kit.

Chart Setup

MetaTrader4 Indicators: ADXdon.ex4 (default setting), AVQ_trend.ex4 (default setting)

Preferred Time Frame(s): Any

Recommended Trading Sessions: Any

Currency Pairs: Any

Download

Download the AVQ Trend Forex Trading Strategy

Buy Trade Example

Fig. 1.0

Strategy

Long Entry Rules

Enter a buy in the market if the following indicator or chart patterns are on display:

  1. If the AVQ_trend.ex4 custom indicator form green candles on the chart window, it is a signal to go long i.e. buy alert on the pair of interest.
  2. If the red line of the ADXdon.ex4 custom indicator breaks above the 20.0 signal line, price is said to be in a bullish trend i.e. a buy alert. If while this is true, the green line aligns above the red line, then the buy signal is said to be strong. The wider gap between the green and the red line while above the 20.0, the stronger the bullish signal.

Stop Loss for Buy Entry: Place stop loss 2 pips below immediate support.

Exit Strategy/Take Profit for Buy Entry

Exit or take profit on position(s) if the following indicator or chart pattern is on display:

  1. If the AVQ_trend.ex4 custom indicator turns red on the chart window, it is a signal that price is heading downwards i.e. an exit or take profit is appropriate.
  2. If the red line of the AVQ_trend.ex4 custom indicator crosses the green line top downward as seen on Fig. 1.0, an exit or take profit will suffice.

Sell Entry Rules

Enter a sell order if the following conditions or rules are true:

  1. If the AVQ_trend.ex4 custom indicator form red candles on the chart window, it is a signal to go short i.e. sell signal on the pair of interest.
  2. If the red line of the ADXdon.ex4 custom indicator breaks below the 20.0 signal line, price is said to be in a bearish trend i.e. a sell alert.

Stop Loss for Sell Entry: Place stop loss 2 pips above immediate resistance.

Exit Strategy/Take Profit for Sell Entry

Exit or take profit on position(s) if the following are true:

  1. If the AVQ_trend.ex4 custom indicator turns green on the activity chart window, it is a signal that price is reversing from its earlier bearish trend i.e. an exit or take profit is appropriate.
  2. If the red line of the AVQ_trend.ex4 custom indicator crosses the green line bottom up or if it breaks above the 20.0 signal line, an exit or take profit will be appropriate.

Sell Trade Example

Fig. 1.1

Free Download

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About The Trading Indicators

The ADXdon.ex4 custom indicator is an enhanced version of the ADX indicator and it aids investor’s trader in the direction of a strong trend, thus ramping up the potential for profit.

Generally, the ADXdon.ex4 is used to determine when price is in a strong trend.

The AVQ_Trend.ex4 custom indicator on the other hand is a trend following indicator that paints the candlesticks green during a bullish trend and red during a bearish trend.

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