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Hot Trend Forex Trading Strategy

    The currency trading market is a vast marketplace that can accommodate anyone, and this is one reason why we see an array of investors thronging the marketplace seeking for profits.

    Not everyone is profitable in the market and this makes it increasingly important to own a profitable trading system.

    The Hot Trend forex trading strategy delivers a good win/loss ratio and will keep you afloat in a market that is very liquid.

    Learn how to spot tradable buy/sell setups with this amazing strategy:

    Chart Setup

    MetaTrader4 Indicators: HotPips.ex4 (Default Setting), Hull Trend.ex4 (Inputs Variable Modified; HMA_Period=50)

    Preferred Time Frame(s): 1-Minute, 5-Minute, 15-Minute, 30-Minute, 1-Hour, 4-Hour, 1-Day

    Recommended Trading Sessions: Any

    Currency Pairs: Any pair (Majors, Cross Pairs, BitCoin, Exotic Pairs)

    Download

    Download the Hot Trend Forex Trading Strategy

    Buy Trade Example

    Fig. 1.0

    Strategy

    Long Entry Rules

    Initiate a buy entry if the following indicator or chart pattern gets displayed:

    1. If the blue bars of the Hull Trend custom MT4 indicator gets shown on the activity chart as seen on Fig. 1.0, price is said to be pressured higher i.e. a trigger to go long on the desired currency pair.
    2. If the yellow upward pointing arrow of the HotPips.ex4 custom indicator get placed in the space below the 0.00 level (refer to Fig. 1.0), the sentiment in the market is said to be bullish, hence a buy alert will suffice.

    Stop Loss for Buy Entry: Place stop loss 1-3 pips below trading support.

    Exit Strategy/Take Profit for Buy Entry

    Exit or take profit if the following rules or conditions takes precedence:

    1. If Hull Trend custom MT4 indicator displays a red bar that is paced on the candlesticks as seen on Fig. 1.0, a bearish reversal is said to be looming, hence an exit or take profit will suffice.
    2. If an aqua downward pointing arrow of the HotPips.ex4 custom indicator gets displayed within the indicator’s window, it is a signal to exit or take profit forthwith.

    Sell Entry Rules

    Enter a sell order if the following holds true:

    1. If the red bars of the Hull Trend custom MT4 indicator gets displayed on the price chart as seen on Fig. 1.1, price is said to be pushed lower i.e. a trigger to sell the currency pair of interest.
    2. If the aqua downward pointing arrow of the HotPips.ex4 custom indicator get placed in the space above the 0.00 level as illustrated on Fig. 1.1, the sentiment in the market is said to be bearish, hence a sell alert will do.

    Stop Loss for Sell Entry: Place stop loss 1-3 pips above trading resistance.

    Exit Strategy/Take Profit for Sell Entry

    Exit or take profit if the following takes center stage:

    1. If Hull Trend custom MT4 indicator displays a blue bar that is paced on the candles as illustrated on Fig. 1.1, a bullish reversal is said to be imminent, hence an exit or take profit is advised.
    2. If a yellow upward pointing arrow of the HotPips.ex4 custom indicator gets displayed within the indicator’s window, it is a signal to exit or take profit without delay.

    Sell Trade Example

    Fig. 1.1

    Free Download

    Download the Hot Trend Forex Trading Strategy

    About The Trading Indicators

    The HotPips.ex4 custom indicator employs the yellow and aqua arrow in delivering buy or sell signals respectively.

    In addition to this is the blue histogram tainted at the top with red and at the bottom area with Lime, positioned above or below the 0.00 level to further mark bullish or bearish signals.

    The Hull Trend custom indicator is an oscillator that is a popular trend following technical studies and is based on the moving average 20.