Forex Strategy «Momentum Elder» — another strategy Elder (previously we looked at forex strategy at 3 screens) based only on 2 indicators forex: Moving Average Moving Average and the indicator Momentum, as well as rules-login trading position and out of it. Strategy multicurrency (suitable for all currency pairs), although more or less stable results gave the following currency pairs: USDJPY, USDCAD, GBPUSD, EURUSD, trade was conducted in the interval H1.
- For example, consider the currency pair EURUSD.
First of all, set in the schedule for the chosen currency pair required forex indicators:
- exponential moving average (LED Moving Average in MT4, the method of Exponential) with a period of 19 — EMA (19), applied to a close
- Indicator Momentum (18), applied to a close, as well as add a level of 100
For ease of installation, the progress indicator, I suggest downloading and installing the chart EURUSD (H1) template for Metatrader 4 — at the end of forex strategy. Indicators do not spread because they all have in any trading platform MT4 default and optional install them do not have to!
And so, the essence of forex strategy «Momentum Elder» is very simple:
1) We look at the hourly chart of the chosen currency pair (EURUSD) and look forward to the first signals — Momentum (18) crosses a level of 100
2) As soon as the closing hour candle COMPLETELY over the moving average EMA (19) or at-least 80% (if the candle very more than the previous few candles) — opens a deal to buy at the opening of the next candle after the confirmation signal
Signals at the entrance to the market may not appear immediately on a closed candle, and consistently, and within a few candles, so the opening of the transaction, you need to wait for 2 signals!
3) safety stop-loss is set as follows: we choose the most proximal period on the chart when the Momentum (18) was below its level of 100 and a stop-loss set at the lowest values during this period.
4) Take-Profit: 1,5 — 1.8 times greater than the stop-loss.
5) You must close the deal in the reverse cross the line a value of 100 Momentum
6) If you wish, you can use a trailing stop at a distance of 20-30 points (as well as universal trailing stop)
7) And most importantly, as with all strategies forex trading — do not forget to observe the Money Management Forex!
Once again — the deal is only at the closing hour candle after the confirmation of all the signals!
For transactions on sale — check the conditions!
The testing strategy forex «Momentum Elder» in EURUSD (H1) with these parameters, we obtain the following results:
- Template Metatrader 4 — momentum_eldera.tpl (you must first decompress!) — suitable for 4-digit forex brokers — such as Forex4you, and for 5-digit forex brokers — like Alpari
- Just look here: how to install the template in Metatrader 4?
Subject to strict adherence to rules of the forex strategy «Momentum Elder, we get approximately the following trading results
Test results Advisor Forex Momentum Elder:
1) Test forex strategy «Momentum Elder» — EURUSD (H1) by Councillor Momentum Elder
2) Test forex strategy «Momentum Elder»- GBPUSD (H1) by Councillor Momentum Elder
3) Test forex strategy «Momentum Elder«- USDJPY (H1) by Councillor Momentum Elder
4) Test forex strategy «Momentum Elder»- USDCAD (H1) by Councillor Momentum Elder
