NZD/USD 1-Hour Forex Swing Trading Strategy
The NZD/USD 1-hour Forex swing trading strategy is designed to implement a long-term profit taking technique in a manner that addresses trader’s affinity to hold trades for days or even weeks.
The combination of some of the best swing trading indicators makes it easy to implement a trend system that can endure price swings.
To better understand this system, we encourage you to follow the accompanying trade rules that align with the indicator setup.
Interestingly, traders can also implement this strategy on cryptocurrencies, stocks and options.
MetaTrader4 Indicators: triangulatMA.ex4 (Inputs Variable Modified; Periods=21, Colors Modified; #0=Magenta, Colors Width Modifies; #0=2), Triggerlines.ex4 (Inputs Variable Modified; Rperiod=30), MACD.ex4 (Parameters Modified; Fast EMA=17, Slow EMA=31, MACD SMA=14)
Preferred Time Frame(s): 30-Minute, 1-Hour, 4-Hour, 1-Day, 1-Week, 1-Month
Recommended Trading Sessions: Any
Currency Pairs: NZD/USD + any other pair and MT4 symbol
Buy Trade Example: NZD/USD (New Zealand Dollar / US Dollar), H1 Chart
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets put on display:
- If the magenta triangulatMA forex indicator line crosses below the blue lines segment of the Triggerlines custom indicator lines in a bottom up manner as illustrated on Fig. 1.0, the general market sentiment is said to be bullish i.e. a trigger to go long on the designated FX
- If the silver histograms of the MACD Metatrader 4 indicator break and stay above the 0.00 horizontal level as seen on Fig. 1.0, bulls are said to be driving price higher, therefore a signal to go long on the currency pair of interest.
Stop Loss for Buy Entry: Place stop loss below the previous swing low.
Exit Strategy/Take Profit for Buy Entry
Exit or take profit if the following rules or conditions takes precedence:
- If while a bullish trend is ongoingand the magenta line of the triangulatMA indicator intersects the Triggerlines indicator lines (red lines segment) as illustrated on Fig. 1.0, it is pointing to diminishing bulls power, hence a trigger to exit or take profit at once.
- If the MACD forex indicator pops up a silver histogram below the 0.00 reference level during the course of a bullish trend, more and more bulls are said to be closing their positions, as such an exit or take profit stance is recommended.
Sell Entry Rules
Enter a sell order if the following holds true:
- If the magenta triangulatMA forex indicator line crosses above the red lines segment of the Triggerlines custom indicator lines in a top downward fashion as depicted on Fig. 1.1, the overall market sentiment is said to be bearish i.e. a trigger to sell the selected currency pair.
- If the silver histograms of the MACD forex indicator align below the 0.00 reference level as shown on Fig. 1.1, more and more bears are said to be taking up market orders, hence a signal to go short on the designated currency pair.
Stop Loss for Sell Entry: Place stop loss above previous swing high.
Exit Strategy/Take Profit for Sell Entry
Exit or take profit if the following takes center stage:
- If during the course of a bearish trend, the magenta line of the triangulatMA indicator intersects the Triggerlines indicator lines (blue lines segment) as exemplified on Fig. 1.1, it is signaling weaning bears power, thus a trigger to exit or take profit at immediately.
- If the silver histogram of the MACD forex indicator pops up above the 0.00 signal level while a bearish trend is running, bears are said to be leaving the market increasingly, therefore an exit or take profit stance will suffice.
Sell Trade Example: NZD/USD (New Zealand Dollar / US Dollar), H1 Chart
About The Forex Technical Indicators Used
The triangulatMA custom indicator is a moving average indicator that smoothens out price.
Triggerlines is a custom MT4 indicator that’s designed after the moving average.
It comprises of two moving average trigger lines with crossover features and color changing characteristics for signaling trends.
The Moving average convergence divergence (MACD) is a trend-following momentum indicator that reveals the connection between two moving averages of price.
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