The Forex Strategy «Bawang Scalper» is a scalping trading system and it is used for quite active trading on a five-minute period. It is possible to receive up to 15 signals during one trading day and this is only for three currency pairs offered for trading. Based on this, this system will not work for traders with limited time for trading, but for lovers of active trading, it will be “just right”.
Statistics:
Over the past three months (from November 2021 to January 2022), the trading strategy for only one of the three recommended currency pairs showed a positive result of +600 points. The maximum drawdown was 50 points.
- Currency pair — EUR/USD; GBP/USD; AUD/USD.
- The time interval is M5.
Indicators for MT4:
- Bollinger indicator — Bollinger Bands with parameters 290; 0; 3.
- Indicator MA ribbon filled.89.21 with parameters 100; 1; 0; 50; 1; 0.
- Moving Average — Moving Average 200.
- Indicator MACD_4CZ 50; 100.
Conditions for purchases according to the Forex Strategy «Bawang Scalper»:
1) The MACD_4CZ indicator is colored blue and is above its zero mark. While the indicator is in this state, only purchases are considered.
2) The price falls at least below the green line of the MA ribbon indicator and the next candle closes there. After that, we wait for the next candle to close above the same line.
3) At the close of the same candle, the green line of the MA ribbon indicator is above the pink one and both of these lines are above the purple line, as well as the central line of the Bollinger Bands indicator.
4) In turn, the moving average (purple line) is above the central line of the Bollinger Bands indicator.
5) At the opening of the next M5 candle, a buy deal is concluded.
6) Stop loss is set below the low of the signal candle. The minimum stop is 5 points / the maximum is 12.
7) The transaction is transferred to breakeven in case of formation of three candles with a white body, which are closed above the entry point (you can also transfer the transaction to breakeven after passing a distance equal to the stop loss).
8) Take profit is 20 pips.
9) Three hours before the closing of the daily candle and two hours after the opening of the day, transactions are not concluded.
Conditions for sales for «Bawang Scalper»:
1) The MACD_4CZ indicator is colored red and is below its zero mark. While it is in this state, only options for selling transactions are considered.
2) The price rises at least above the green line of the MA ribbon indicator and the next candle closes there. After that, we wait for the next candle to close below the same MA ribbon line.
3) At the close of the same five-minute candle, the green line of the MA ribbon indicator is below the pink one and both of these lines, in turn, are below the purple one, as well as the central line of the Bollinger indicator.
4) In turn, the Moving Average 200 (purple line) is below the central line of the Bollinger Bands indicator.
5) After all these conditions are met, at the opening of the next M5 candle, a sell deal is concluded.
6) Safety order — stop loss, set above the maximum of the signal candle + the spread value. The minimum stop can be equal to 5 points + spread / maximum — 12p + spread.
7) The transaction is transferred to the breakeven point after the formation of three candles with a black body, which are closed below the market entry point (you can also transfer the transaction “to zero” after the price has passed a distance equal to the stop loss size).
8) We fix the take profit at a distance of 20 points from the market entry price.
9) 3 hours before the closing of the day and 2 hours after the opening, transactions are not concluded.
Video version of the forex strategy «Bawang Scalper»:
- Recommended to watch with English subtitles
- Download indicators for MetaTrader 4 — Bawang-Scalper-indicators (archived).
- Download the mt4 template — Bawang_Scalper_tpl (also in the archive).
