This trend following strategy consists of the realMACD indicator and an arrow based system with upper-and lower band, which allow us to precisely place stop loss orders without the need for second guessing.
Indicators: ArrowsAndCurves, realMACD
Preferred time frame(s): M5 and above
Trading sessions: Euro, US
Preferred Currency pairs: Majors + Currency Crosses
Example: GBP/JPY 5 Min Chart
The GBP/JPY chart displays the system in action and corresponding forex trades. Two wins, 1 loss (stopped out).
- Arrows And Curves indicator draws blue arrow (up trend)
- Wait for the realMACD indicator to cross the 0.00 level from below (short term bullish)
Open buy trade now (green big arrow). Place stop-loss order 1 pip below the green lower band.
Price objective (GBP/JPY 5 min chart): Close the trade for 30 pips or near previous resistance level.
- Arrows And Curves indicator draws red arrow (down trend)
- Wait for the realMACD indicator to cross the 0.00 level from above (short term bearish)
Open sell trade now (red big arrow). Place stop-loss order 1 pip above the green upper band.
Price objective (GBP/JPY 5 min chart): Close the trade for 30 pips or near previous support level.
More target levels (example): 1H chart: 75 pips, 4H chart: 130 pips,…