The Forex scalping strategy with the BB Stops RSI Super Smooth technical indicator consists of only 1 technical indicator (non-repaint) that works great for scalping the Forex market.
This scalping strategy will present you several trading opportunities during the London and New York trading sessions and can be used for both both trade entry and exit.
Typically, we will be looking for 5-20 pips per trade.
Strategy Setup & Recommendations
Indicator (s) used : bb-stops-rsi-super-smooth.mq4 (RSI period: 50)
Currency pairs: EUR/USD, GBP/USD, USD/JPY, GBP/JPY, EUR/JPY
Time frames: M1, M5 and M15
Trading Platform: Metatrader 4
Chart Example (EUR/USD M5)
After you downloaded and installed this strategy on the MT4 trading platform, it should look like the image as shown below.
Strategy Buy & Sell Rules:
- Open a buy trade when the green circled dot signal appears on the bottom chart.
- Place stop loss below short-term support.
- Exit the trade for 5-20 pips profit or wait for an opposite trading signal (sell).
- Open a sell trade when the red circled dot signal appears on the bottom chart.
- Place stop loss above short-term resistance.
- Exit the sell trade for 5-20 pips profit or wait for an opposite trading signal (buy).
How to install this Forex strategy in the Metatrader 4 platform?
Then, install the used indicator(s) 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 strategy indicator (s) file in this folder.
- Restart the trading platform.
- Open any trading chart.
- Attach the indicator (s) to the chart.
Now you are ready to start using this scalping strategy!
About the BB Stops RSI Super Smooth Indicator (MT4)
The indicator is composed of RSI and Bollinger Bands and follows the trend with less lag.
It’s good for scalping and day trading currency pairs + Gold.
Input variables: RSI period, RSI type, RSI price to use, super smoothing period, bands period, bands average type, bands risk
Feel free to combine this strategy 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.