The indicators, used in this strategy are as follows:
- Moving average (Period 90, average Smoothed, applied to Close)
- Indicator CCI (Period 12, fixed levels: 100 and -100, 50 and -50, applied to Typical)
- Indicator ATR (Period 14, fixed level: 0,002)
- Indicator Williams Percent Range (Period 11, levels: -15, -85, -40, -60)
Conditions required for opening Buy positions:
Prior to opening a position make sure that at the moment of closing, a candlestick has the following parameters:
- The price is above the moving average on the chart
- Indicator Williams is below the level of -85
- Indicator CCI (12) is below the level of -100
- ATR (14) above the level of 0.002
Conditions required to open Sell positions:
- The price on the chart is below the moving average
- Indicator “Williams” is closed above the level of -15
- CCI (12) is also above the level of 100
- ATR (14) is above the level of 0.002
Stop-loss is set at the distance of 40 points from the opening price
Take-profit is set at the distance of 40 points from the opening price
Closure of a transaction:
- On stop-loss
- On take profit
- For the Buy transactions: if “Williams” indicator has reached the level above -60, we shall either move the position to the breakeven zone or immediately close it. For the Buy transactions: if “Williams” indicator has reached the level above -60, we shall either move the position to the breakeven zone or immediately close it For the Sell transactions: as soon as “Williams” has reached the level below -40, the positions shall be either moved to the breakeven zone or immediately closed; the procedure is similar to what we did for the Buy transactions but at the level of Williams < -40.
- Close Buy position if CCI has crossed the level -50 from top to bottom.
- Close Sell position if CCI has returned to the zone above the level of 50.
- If market is favourable, it is advisable to move Take-Profit to the Stop-loss of breakeven zone with the help of the Trailing stop.