Skip to content

Correlation Forex Strategy For Metatrader 5

    The Correlation Forex strategy for Metatrader 5 gets you in the correct trend fast and rides that trend until it’s exhausted for maximum pips.

    It’s composed of the popular TRIX and DEMA indicators for the MT5 platform.

    This amazing strategy can be used by scalpers, day traders and swing traders on any timeframe without exception.

    For best results, apply the strategy to low spread currency pairs such as EUR/USD, USD/JPY, GBP/USD,…

    Trade Setup 

    MetaTrader 5 Indicators: Triple Exponential Average.ex5 (Parameters Modified; Period=18), Corr generalized DEMA.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)

    Download

    Download the Correlation Forex Strategy For Metatrader 5

    Buy Trade Example: EURJPY, 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:

    1. If the red line of the Triple Exponential Average Metatrader 5 forex indicator breaksand hovers above the 0.00 horizontal level as indicated on Fig. 1.0, the overall market sentiment is said to be bullish, as such a buy trigger is said to be looming.
    2. If the medium sea green multi-colored line of the Corr generalized DEMA custom indicator aligns slightly below the candlesticks as shown on Fig. 1.0, price is said to be pressured higher i.e. a trigger to go long on the stipulated forex pair.

    Suggested Stop Loss for Buy Entry: Place stop loss below support.

    Suggested Exit Strategy/Take Profit for Buy Trade

    Exit the buy trade if the following trading conditions are met:

    1. If the red line of the Triple Exponential Average indicator dips below the 0.00 horizontal alert level while a bullish trend is ongoing (see Fig. 1.0), price is said to be making a likely U-turn, as such an exit or take profit stance is duly recommended.
    2. If the multi-colored line of the Corr generalized DEMA forex indicator alters to orange red during the course of a bullish trend, a bearish reversal is said to be looming, therefore an exit or take profit is duly advised.

    Sell Entry

    Open a sell trade if the following trading conditions are met:

    1. If the red line of the Triple Exponential Average indicator dips and hovers below the 0.00 horizontal level as seen on Fig. 1.1, the general market sentiment is said to be bearish, as such a sell alert will suffice.
    2. If the orange red multi-colored line of the Corr generalized DEMA forex indicator aligns somewhat above the price bars as illustrated on Fig.1.1, price is said to be dragged lower i.e. a trigger to sell the currency pair of interest.

    Suggested Stop Loss for Sell Entry: Place stop loss above resistance.

    Suggested Exit Strategy/Take Profit for Sell Entry

    Exit the sell trade if the following trading conditions are met:

    1. If the red line of the Triple Exponential Average indicator surgesabove the 0.00 horizontal signal level during a bearish trend, current market sentiment is said to be altering, as such an exit or take profit stance is duly advised.
    2. If the multi-colored line of the Corr generalized DEMA forex indicator changes to medium sea green while a bearish trend is running as depicted on Fig. 1.1, a bullish reversal is said to be on the horizon, thus a trigger to exit or take profit at once.

    Sell Trade Example: EURJPY, H1 Chart

    Fig. 1.1

    Free Download

    Download the Correlation Forex Strategy For Metatrader 5

    MT5 Trading Indicators Used For This Strategy

    The Triple Exponential Moving Average, which 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.

    The Corr generalized DEMA is a technical indicator that applies the “correcting” method on the Generalized DEMA to yield the new “corrected” generalized DEMA.

    Its development is credited to Dr. Alexander Uhl, and it is also known to be used for quick trend assessment.