Does the moving average envelopes forex indicator sound familiar to you?
If not, it’s a percentage-based moving average indicator with 2 envelopes set above and below the middle moving average.
I’ve developed an accurate fx system based on this indicator and 2 custom built Metatrader 4 indicators.
Feel free to learn and download this awesome system totally free below:
Used MT4 indicators: Envelopes.ex4( (period (14), deviation (0.25%), MA method (simple)), EMA-Crossover_Signal.ex4 ((FasterEMA (13), SlowerEMA (55)), octopus_1.ex4 (default settings)
Preferred time frame(s): any
Recommended trading sessions: any (London, New York, Tokyo)
Currency pairs: any
Example: EUR/USD M15 Chart (click the image to enlarge)
The figure above is an example of the Moving Average Envelopes Forex System in action on the 15 minute Euro/US Dollar forex chart.
It shows our proposed buy and sell entry points (dotted blue low) along with the profit target (close long, close short).
All trades were closed for a profit at the upper-or lower envelope!
Strategy Trading Rules
- Octopus indicator green
- EMA Crossover Signal draws green arrow
==> Open long trade. Place your stop-loss below the lower envelope.
Take profit: take profit at the upper envelope.
- Octopus indicator red
- EMA Crossover Signal draws red arrow
==> Open short trade. Place your stop-loss above the upper envelope.
Take profit: take profit at the lower envelope.