Forex Strategy “3 Bar Buy / Low Set Up”

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Forex Strategy “3 Bar Buy / Low Set Up” is a classic trend-following strategies, based on candlestick analysis and determining the trend of the most common inidikatoram Forex:

1) An exponential moving average with a period of 50 - EMA 50

3) The indicator ADX (14), we must also establish a level of 25, DX - green,-DX - red.

Rules for the opening transaction for the purchase of forex strategy “3 Bar Buy / Low Set Up”:

Forex Strategy "3 Bar Buy / Low Set Up"

1) First you must determine that the market is in an uptrend. For this purpose it is necessary that the price is above EMA 50, as well as the ADX must be placed above its level 25 and + DI crossed-DI from the bottom up.

2) Then wait until the corrective movement. Necessary condition for entering the market - the formation of 3 in series of descending candles, which have lower minimums. The last of these 3 candles called “signalnoy candles“.

3) After the formation of a “signal candles”, set aside an order to buy (BuyStop) by 2-3 points higher than the maximum of this Candle.

4) The original safety stop-loss set at 2-3 points lower than the minimum “signal candles.

5) Take-profit for a given position, or set to the maximum of the prior trend.

It is also possible to obtain greater profits 50% to close the transaction on perepesi Haya previous trend movement, and the rest arrived accompanied by trawl (trailing stop - the value and step depends on valotilnosti currency pair and time interval) or close the crossing lines DX indicator ADX in reverse order.

Rules for the opening transaction for the sale (Sell) on forex strategy “3 Bar Buy / Low Set Up”:

1) First you must determine that the market is in a downtrend. To do this, so that price was below the average EMA 50, as well as the ADX must be placed above its level 25 and-DI + DI crossed from bottom to top.

2) Then wait until the corrective movement. Necessary condition for entering the market - the formation of 3 in series of ascending candles, which have higher highs. The last of these 3 candles called “signalnoy candles“.

3) After the formation of a “signal candles”, set aside an order to sell (SellStop) by 2-3 points below the low of this candle.

4) The original safety stop-loss set at 2-3 points higher than the maximum, “Signal candles.

5) Take-profit for a given position or at least set the prior trend.

It is also possible to obtain greater profits 50% to close the transaction on perepesi low the previous trend movement, and the rest of the profits treylingovat or close the crossing lines DX ADX Indicator in reverse order.

  • Examples of transactions in forex strategy “3 Bar Buy / Low Set Up”:

Forex for Strategy "3 Bar Buy / Low Set Up"

As a result of the transaction 1 and 2 were shut down after crossing the line DX in reverse order with a profit of 340 and 260 points.
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