Forex Strategy «Vols Break»- Scalper v.2

Forex trading strategy based Systems «Volatility Break» — Scalper v.2

Danae trading strategy worked well in forex trading and has passed the test of time and volatility of the Forex market.

Key Features

Forex strategy «Volatility Break» — Scalper v.2:

Traded currency pair in the given trading strategy — EUR / USD (or any other, but with different values of stop-loss and the value of compression).

Parameters used vehicle:

Time period schedule H1 (1 hour).

In the trading system (hereinafter referred to TA)  Indicators — ATR and MovingAverages.

The size of trading lots — any, but always intended to be permanent.

In TC the maximum possible series of losing trades — 3 (depending on settings).

Desirable minimum initial size of the trading account — $ 500 (If you trade 0.1 lot). Or 500 cents (If you trade 0.1 lot on cent accounts).

The effectiveness of the trading strategy Forex — at least 50% profit per month.

Hours2Check = 8 — number of hours to measure the range of punctured

CloseHour = 9 — the time of closing all open positions

EarliestOpenHour = 14 — earlier this hour, do not open trading deal

Days2Check = 10 — Number of days to measure the average daily range

ChannelK = 1.5 — value ratio calculation channel

CheckHour_8 = 8 — punctured the measurement range of 8 hours

ProfitK_8 = 2 — coefficient of take-profit calculation for an 8 hour channel

OffsetK_8 = 2 — calculate the distance ratio breakdown for an 8 hour channel

CheckHour_12 = 12 — time value of measurement range punctured in 12 hours

ProfitK_12 = 2 — coefficient calculation take-profit for the 12-hour channel

OffsetK_12 = 2.5 — distance factor calculation breakdown for the 12-hour channel

Description Forex trading strategy (TS) «Break of the Vols» — Scalper v.2:

And so, we construct two channels 8 and 12 pm GMT. In Check hour (CheckHour_8 and CheckHour_12) measures the range of hours2check hours, open a position if he tries, the condition for opening a trade position is performed if the price broke through the channel offset points, offset is calculated as the range of previous days2check days (average) / offsetK. For open positions as needed to our channel (channel) did not exceed  average/channelK- it filter. Close position either in close hour the next trading day, either by stop-loss, or for take-profit that  relative to the mean range of previous days2check days after the corresponding coefficients.

The calculation of take-profit (TP) and Stop-loss (SL) for the 8 hour range:

TP is equal to the average range days2check * ProfitK_8

Exit from the trading position as soon as the price went against the position: Closing an open position occurs when the complete intersection of MA with period 14 — MovingAverages (14)

Safety stop-loss equal to the average range days2check * LossK_8

Calculating Take-profit and stop-loss for 12-hour range:

TP is equal to the average range days2check * ProfitK_12

We leave from an open position once the price has gone against our open positions: Position closing occurs when the complete intersection of MA — MovingAverages (14)

A safety SL is equal to the average range days2check * LossK_8

Please note:

A safety SL need for hedging the open position, in case you’re not on the computer. Stop-loss is always, do not forget!

Test results for the trading system Scalper v.2:

Currency pair — EURUSD (Euro vs US Dollar)

Transitional Period — 1:00 (H1)

Testing period: 2003.01.01 — 2006.06.01

Initial deposit — $ 500.00

Net income amounted to — 5118.64

Total income amounted to — 8117.67

The total loss amounted to — 2999.03

Profitability TC — 2.71

Maximum drawdown TC — 134.81 (9.90%)

Total transactions for the period — 330

Short positions (Sell -% winners) — 158 (67.72%)

Long positions (Buy -% winners) — 172 (63.95%)

The biggest profit in the bargain — 142.21

Losing trade — 87.00

Maximum number of continuous winning trades (profit) — 12 (683.54)

Continuous losing trades (loss) — 4 (-114.32)

Developers of trading system breakdown Volatility «(Scalper v.2) created a digital indicator that is needed to facilitate the calculation of all parameters and track the signals of the trading system, for better and timely entry into the market. The indicator gives us a visual representation of the market and trade system as a whole! With this indicator, you are given the opportunity to enter and exit the market and from market signals, which it feeds.

Indicator for MT4 Scalper 8_12 able to perform the following functions:

Draws a line of channel 8 hour diapason

Draws a line feed 12 hours of diapason

Gives trading signals to the input of 8-hour range

Gives trading signals to the input of 12 hours of diapason

Sends a signal to the output of the time the next trading day (on the strategy in 9:00) 8 hour range

Sends a signal to the output of the time the next trading day (on the strategy in 9 hours) 12 hours of diapason

Indicates a dynamic take-profit of all trading processes (8 and 12 hours)

Specifies safety stop-loss of all trading processes (8 and 12 hours)

Indicator — not redraw the trading signals!

Absolutely all options trading system may change and reconfigure:

White circle denotes the position of the output only from the intersection of the EMA money went not in our favor

You can fully rely on this strategy, forex trading, since these indicators themselves all  and served the necessary signals to the input / output to / from the market (s)! You only need to bargain, to put take profit calculated by the indicators (TC), put the safety stop-loss for the open position and monitor the ongoing situation, so that you can in time to get out and close the position at the intersection of lines Moving Averages, if not work take-profit and the price can not cross the line indicator MovingAverages at 9.00 the next trading day to close a trading position.

Annotations to the drawing and the interpretation of trading signals indicator:

The arrows used indicator of the price chart indicate the future direction of prices — white and yellow, white arrows drawn trading signal for market entry 8-hour range, yellow arrows drawn on the input signal to the market 12-hour range, while red crosses drawn profit target in the course of our arrow, red crosses against our arrows indicate safety stop-loss, round dots of yellow and white flowers drawn on the trading signal output from the open position at 9 am the next trading day.

Files LevelSC_8.mq4, LevelSC_12.mq4, MovingAverages.mq4 and LevelSC_8.ex4, LevelSC_12.ex4, MovingAverages.ex4 paste in the folder / experts / indicators in the directory MetaTrader4, then run the terminal MT4, open the hourly chart (H1) the currency pair EURUSD and you installed it on our indicators. Then the lights will draw channel lines 8 and 12 hour range, and all of the previous trading signals.

Strategy Forex trading Scalper based trading system is optimized for a currency pair EURUSD, for the time schedule. This vehicle operates around the clock! The average is about 2-3 transactions a week.

TC Scalper v.2 is fully functional and ready to use after installation.

Caution: Changing settings can lead to a deterioration of the profitability of the forex strategy.