Forex Strategy «End of level» is not some revelation, and even based on the basic rules for trading in the forex market — rebound from the resistance / support level, and the advantage of this strategy is that these levels do not have to look for yourself, all of us It makes the indicator attached to the end of the strategy. This indicator is not always draws explicit levels, but if you decide to trade on this strategy, it is on his line, and should be based.
Another advantage of this strategy — it’s not too many signals that the trader leaves enough free time.Some statistics of the Strategy:
Due to the nature of the indicator S_R_lines, only managed to analyze the past 8 months (from mid-March to mid-November 2015). On average, the strategy brings in about 120 points a month (4-digit quotes). The resulting loss is quickly compensated by profitable trade. For 8 months it was obtained about 30 trading signals.
Timeframe — H4.
Currency pair any — strategy multicurrency.
1) S_R_lines indicator — line index 1. This indicator draws levels of support (red line) and resistance (green line).
2) Stochastic indicator with parameters 5; 3; 3.
Conditions for forex purchases «End of level» strategy:
1) Another candle came to the level of support from the top, and touched him. Thereafter, this plug is closed above this level at a distance of 3 to 20 points.
Important! The newly formed level shall be valid only after the separation of the price of it, that is, next to the candle had no points of contact with him. Only after that from this level can purchase.
2) Stochastic indicator is below its level of 20 or touches it. The same signal is deemed to be received if after leaving the oversold zone (below 20) indicator rises smoothly and do not cross the line.
3) At the opening of the next candle opens the transaction for the purchase.
4) Stop-loss is set at a distance of 30 points from the support line.
5) Take-profit is 80 points.
Conditions for sale in «End of level» strategy:
1) Regular h4 candle came to the level of the bottom and touched his resistance. Thereafter H4 candle closes below that level at a distance of 3 to 20 points.
Important! The newly formed level shall be valid only after the separation of the price of it, that is, next to the candle had no points of contact with him. Only then can buy from him.
2) Stochastic indicator is above its level 80 or touches it. The same signal is deemed to be received if after leaving the overbought zone (above 80), the indicator decreases gradually and do not cross the line.
3) At the opening of the next candle, after receiving all the signals, opening the deal to sell.
4) A safety stop-loss is set at a distance of 30 points from the line of resistance.
5) Take-profit set at a distance of 80 points.
Additions to the strategy:
1) Each line of the indicator S_R_lines valid as long as it is drawn as soon as it ceases to draw light, this level we are no longer interested.
2) If the candle bounces simultaneously on two levels, the curfew rules apply to both levels. That is, both of them close price must be between 3 to 20 points.
3) If, after the first contact to the level of the price jumped more than 20 points, the second contact is no longer waiting for, and this level is no longer considering.
Download the template MT4 — end_of_level (as in archive)