The strategy is simple but quite efficient. It is based on four simple indicators, available on any standard terminal MT4. This strategy can be used for the pair EUR/USD in the time period M5-H1.

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

 

The strategy “4 indicators”

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

 

The strategy “4 indicators”

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.