Forex Strategy EBB-1 — Indicator strategy for the currency pair EURUSD (H1) with tests for the year, which won the competition for the author’s strategies for forex trading in May 2012
To begin to set the timetable for EURUSD (H1) the following indicators forex:
1) Envelopes (period — 288; shift (shift) — 1; exponential; Apply to close; deviation (SD) — 0.15)
2) Bollinger Bands (24, 0, 2, close).
Rules of entry into the market:
For the conclusion of transactions on sale to the following conditions:
1) the intersection and the closure of the bar below the red line indicator Envelopes
2) stop-los place on the blue line Envelopes
3) When the profitability of the transaction in 40 points (4-digit broker like Forex4you, for 5 digit broker forex, Alpari types this value will be 400 points), the swap transaction in the breakeven
4) The closing of the transaction is only a stop-loss (profit target is not set), which moves the indicator Bollinger Bands (the price is coming to the top Bollinger line, and for those returning to the center of his line, thus forming a kind of ladder)
An example of a deal to sell a look at the picture:
In order to conclude transactions for the purchase is necessary to satisfy the following conditions:
1) the intersection and closing hour bar (candle) above the blue line indicator Envelopes
2) stop-loss orders are placed on the Red Line Envelopes
3) transfer the transaction to break even when the price reaches 40 points
4) Take-profit is not set, and the closing of the transaction takes place on stop-loss (positive or negative), which moves on Bollinger Bands (the price is coming to its bottom line, and then returned to the center thus forming a kind of ladder)
An example of a deal to buy take a look at Figure 2:
Statistics Strategy Forex EBB-1 from May 2011 to May 2012:
- Total profit (in pips) — 2366
- Total income (sum of all wins (nn)) — 4472
- The total loss (the sum of all lesions) — 2106
- The maximum drawdown in points — 303
- Recovery Factor — 7.81
- Profit factor (the ratio of profit to loss) — 2.12
- Secure with a profit factor (ratio of profit to loss), excluding the most lucrative deal — 1.81
- Minimum Custody — 403
Even easier: It was — $ 1,000 Lot 100 $, the author of the strategy risked per trade no more than $ 50 a year was $ 3366!
The author also adds that this strategy is not an excess profit (this can be seen in the tests), but the constant and easy to understand and trade. This is its main advantage!
Addition to the terms of forex strategy EBB-1:
1) STOP LOSS MUST NOT EXCEED 50 pm, if the closing candle is more than 50 points for the installation of safety order, the stop-loss set equal to 50 points is fixed.
2) The risk of a transaction shall not exceed more than 5% of the deposit.
3) Unless an open closed the deal, the second in the same direction does not open, waiting for the closure of the first.
The figure displays a few trades in a row, turned out not a lot of confusion, but if you look carefully, you can understand:
This forex strategy you can download:
- Template for MetaTrader 4 — ebb_1.tpl (patch)
- Bollinger Bands indicator is present in every terminal MT4, so it does not attach
- Forex Indicator Envelopes is also present in MT4 and installed on your schedule immediately after the pattern of this strategy.
