Forex Strategy “Increasing volatility” – another simple breakdown forex strategy on pending orders Buy Stop and Sell Stop.
The installation level are determined by a very simple formula, depending on the volatility of yesterday’s trading day, the recommended currency pairs to trade: GBPUSD, EURJPY.
Favorite orders to buy are installed by the following formula:
Buy Stop = today’s opening of the market price + 70% of yesterday’s daily candle + value spread for the chosen currency pair.
Stop Loss = 50% of the value of yesterday’s daily candle.
Favorite sell order sets the following formula:
Sell Stop = price of today’s opening of the market – 70% of yesterday’s day candles
Stop Loss = 50% of the value of yesterday’s daily candle.
To calculate the levels be placed pending orders and stop-loss, use indicator Daily Volatility Breakout.mq4 – download it along with a template for Metatrader 4 can be at the end of this strategy forex.
Example look at the picture:
As soon as the profit on the transaction amount to 50 – 70 points – recommend rearrange stop-loss level in “zero”. And further, if desired, you can use a trailing stop at the same distance – 50 points.
TP is not installed, and closing of the transaction occurs at the close of the day or at the trailing stop.
Extras:
1) All pending orders did not work during the day to REMOVE the closing day candles!
2) If one of the orders worked, then the second also clean!
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Download forex indicator for MT4 – Daily Volatility Breakout.mq4
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Download a template for MT4 – daily_volatility_breakout.tpl
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Download the report on strategies for forex “Increased volatility in. Xls file – VolatilityExpansionBacktest.zip
The report “a little” bit old, but still adds another “+” for this strategy …
