One of the biggest challenges that most beginners face when trying out their hand at Forex trading is that they’re usually void of understanding the basic strategies to deploy when trading.
It is grueling for most beginners who venture into forex trading with zero guidance, it’s impossible to succeed this way.
The Beginners Forex strategy for Metatrader 5 is a simple, yet profitable trading strategy anyone can learn, even when you are completely new to forex trading.
This simple strategy is designed to always follow the trend.
Trade Setup
MetaTrader 5 Indicators: nduet.ex5 (Default Setting), Triple Exponential Average.ex5 (Default Setting)
Trade Style: Scalping, day trading, swing trading
Trading Sessions: London | New York | Tokyo
Currency Pairs: Majors, cross pairs, exotics
Platform: Metatrader 5 (MT5)
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Download the Beginners Forex Strategy For Metatrader 5
Buy Trade Example: EURGBP, H1 Chart
Fig. 1.0
Trading Strategy Rules For Buy and Sell Trades Explained
Buy Entry
Enter a buy trade if the following trading conditions are met:
- If the red line of the Triple Exponential Average Metatrader 5 forex indicator breaksand hovers above the 0.00 horizontal level as shown on Fig. 1.0, price is said to be driven to the upside i.e. a trigger to go long on the designated currency pair.
- If the blue line of the nduet custom indicator crosses below its red line as seen on Fig. 1.0, the overall market sentiment is said to be bullish, therefore a buy signal is recommended.
Suggested Stop Loss for Buy Entry: Place stop loss below short-term support.
Suggested Exit Strategy/Take Profit for Buy Trade
Exit the buy trade if the following trading conditions are met:
- If the red line of the Triple Exponential Average indicator breaks below the 0.00 horizontal level while a bullish trend is running, bulls’ power is said to be weaning, hence a trigger to exit or take profit immediately.
- If price closes below the blue line of the nduet custom indicator as seen on Fig. 1.0, the current sentiment is said to be diminishing, as such an exit or take profit stance is advised.
Sell Entry
Open a sell trade if the following trading conditions are met:
- If the red line of the Triple Exponential Average forex indicator dipsbelow the 0.00 horizontal level as illustrated on Fig. 1.1, price is said to be dragged lower i.e. a trigger to go short on the selected forex pair.
- If the blue line of the nduet custom indicator crosses above its red line as depicted on Fig. 1.1, the general market sentiment is said to be bearish, thus a signal to go short on the currency pair of interest.
Suggested Stop Loss for Sell Entry: Place stop loss above short-term resistance.
Suggested Exit Strategy/Take Profit for Sell Entry
Exit the sell trade if the following trading conditions are met:
- If the red line of the Triple Exponential Average indicator surges above the 0.00 horizontal reference level during a bearish trend, more and more bears are said to be closing their positions, therefore an exit or take profit is duly advised.
- If price closes above the blue line of the nduet custom indicator as exemplified on Fig. 1.1 while a bearish trend is ongoing, a bullish reversal is said to be looming, as such an exit or take profit stance will do.
Sell Trade Example: EURGBP, H1 Chart
Fig. 1.1
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Download the Beginners Forex Strategy For Metatrader 5
MT5 Trading Indicators Used For This Strategy
The nduet Forex indicator is a technical tool that is comprised of two different Moving Averages periods and it attaches a semaphore indicator to the activity chart
The Triple Exponential Moving Average, which is also known as Trix, is a Metatrader 5 momentum indicator that was developed by Jack Hutson in the 1980’s and finds its use in spotting the percentage change in a triple exponentially smoothed moving average.