Catapult Forex Strategy is quite simple, it can be attributed to classic strategies. However, it is sometimes useful to remember the pillars on which trading stands, especially since the results of this system are not only good, but also stable and time-tested. It is also worth noting that trading on this trading system is very moderate and does not require constant presence at the monitor.
Statistics:
From November 2019 to November 2020, the strategy showed a positive result of +1480 points (for 4-digit quotes). The maximum drawdown was 120 points.
- Time interval — H4.
- Currency pair — EUR/USD. It is possible to use this system on other major pairs.
Indicators:
- Simple moving average with a period of 3 — SMA3.
- Simple moving average with a period of 30 — SMA30.
- Parabolic SAR indicator with parameters 0.02; 0.2.
Purchase conditions for the Catapult strategy:
1) The fast moving average crosses the slow moving average from bottom to top.
2) The Parabolic SAR indicator is already or turns out to be below the price a little later.
3) At the opening of the next candle, a buy deal is concluded.
4) Stop Loss order is placed for the corresponding value of the Parabolic SAR indicator.
5) The minimum stop size is 30 pips, the maximum is 60 pips.
6) After passing 60 points in the positive zone, the stop loss is moved to the level of opening a deal.
7) After passing 130 points in the positive zone, the stop is moved to the level +70.
8 ) If the price is in the negative zone, and the indicators give a reverse signal, then before opening a new transaction, the previous one should be closed at the market price.
Conditions for trading transactions for sale:
1) The fast moving average crosses the slow moving average from top to bottom.
2) The Parabolic SAR indicator is already or a little later above the price.
3) At the opening of the next H4 candle, a sell trade is opened.
4) Stop Loss order (for insurance against deposit draining) is set for the corresponding value of the Parabolic indicator.
5) MIN stop loss is 30 pips, MAX is 60 pips.
6) After passing in the «+» zone +60 points, the stop-loss order is transferred to the level of the opening of the transaction — to breakeven.
7) After passing +130 points, the stop is moved to the level of +70. Then, a positive stop (stop trade) should be moved beyond the values of the PSAR indicator.
8 ) If the price is in the «-» zone, and the indicators are already giving a reverse signal, then before opening a new deal, the previous one should be closed at the current market price.
Video version of the «Catapult» forex strategy:
- Recommended to watch with English subtitles!
- Download MT4 template — catapulta (archived).
- I do not attach indicators, since they are standard and are present in any Meta Trader 4 by default and will be pulled up when the template is installed on the euro-dollar chart.
- Strategy test for 12 months — here >>>
