The turtle Forex scalping strategy for the GBPAUD pair depicts an adaptable trading system that can be applied to trending markets as well as to its choppy counterpart.
The strategy offers scalpers and day traders the opportunity to enter rapid trades and earn multiple small profits in a recurring fashion, that adds up to yield cumulative big profits overtime.
In order to stay highly profitable, users must follow the rules of this trading system to the letter.
Advanced traders can deploy this strategy to filter out high probability trades.
The Turtle Trading Channel indicator is added to the main chart window and generates buy and sell trading signals.
The RVI indicator is added to its own indicator window and confirms the Turtle Trading Channel indicator buy and sell triggers.
MetaTrader4 Indicators: TheTurtleTradingChannel.ex4 (Default Setting), Relative Vigor Index.ex4 (Parameters Modified; Period=32)
Preferred Time Frame(s): 1-Minute, 5-Minute, 15-Minute
Recommended Trading Sessions: Any
Currency Pairs: Any pair
Buy Trade Example: GBP/AUD (Great Britain Pound / Australian Dollar), M1 Chart
Long Entry Rules
Initiate a buy entry if the following indicator or chart pattern gets put on display:
- If the TheTurtleTradingChannel indicator pops up a dodger blue lower channel that’s aligned below the candlesticks as seen on Fig. 1.0, the market is said to be in favor of bullish sentiments, thus a signal to buy the designated forex pair.
- If the green & red lines of the Relative Vigor Index Metatrader 4 indicator surge and hover above the zero horizontal level as illustrated on Fig. 1.0, bulls are said to be driving sentiments, therefore a trigger to go long on the stipulated currency pair.
Stop Loss for Buy Entry: Place stop loss below short-term support.
Exit Strategy/Take Profit for Buy Entry
Exit or take profit if the following rules or conditions takes precedence:
- If during the course of a bullish trend, the TheTurtleTradingChannel indicator displays a red channel above the price bars, a bearish reversal is said to be looming, as such an exit or take profit stance will do.
- If the green line of the Relative Vigor Index forex indicator dips below the 0.00 horizontal level during the course of a bullish trend (see Fig. 1.0), bulls are said to be trailing behind the bears, hence a signal to exit or take profit forthwith.
Sell Entry Rules
Enter a sell order if the following holds true:
- If the TheTurtleTradingChannel indicator pops up a red upper channel that’s positioned above the price bars as exemplified on Fig. 1.1, price is said to be pressured lower i.e. a signal to go short on the currency pair of focus.
- If the green & red lines of the Relative Vigor Index forex indicator dip and hover below the zero horizontal level as seen on Fig. 1.1, the general market sentiment is said to be bearish, hence a trigger to go short on the desired currency pair is recommended.
Stop Loss for Sell Entry: Place stop loss above short-term resistance.
Exit Strategy/Take Profit for Sell Entry
Exit or take profit if the following takes center stage:
- If while a bearish trend is runningand the TheTurtleTradingChannel indicator displays a dodger blue channel below the candlesticks, a bullish reversal is said to be on the horizon, as such an exit or take profit stance will suffice.
- If the green line of the Relative Vigor Index indicator surges above the 0.00 reference level while a bearish trend is on course (refer to Fig. 1.1), bulls are said to be leaving the market increasingly, thus a trigger to exit or take profit without delay.
Sell Trade Example: GBP/AUD (Great Britain Pound / Australian Dollar), M1 Chart
About The Forex Technical Indicators Used
The Turtle Trading Channel indicator is a technical study that was designed by Dennis Gartman and Bill Eckhart.
It relies on the breakouts of historic highs and lows in a bid to enable users enter and close trades.
The Relative Vigor Index technical indicator is a technical tool that gauges the conviction of a recent price action and the likelihood that it will continue.
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