FOREX TRADING STRATEGY - "CHARIOT OF ENGINEERING" UNDER THE MOVING AVERAGE
There's only one indicator - Moving Average (MA) at the time of closing, whichever period is used in the trading process by using the strategy of "Chariot" is 40.
Any currency pair, as well as the time span at any time, which ranges from one hour to one week, would fit with this forex strategy. This strategy is more suitable when used with a longer time span.
The situation is when the price moves up slowly, which often occur in the process of trading, although it also occurs when prices have a big movement in the opposite direction. This forex trading strategy is designed to be used for the condition of swing (swing) like this, when markets fall or rise. Although this trading strategy looks very simple, but it was quite effective if the price moves sideways or on the market with the general trend moving upward / downward. It is advisable to use this strategy on the weekly chart, but can also be used on the intraday and daily price chart.
This trading rules are very simple. If the price is above the moving average, you should open a long position (buy). In this case, there is no short positions opened.
If the price moves in a flat condition and the range is close to the moving average, it is not recommended to open new positions. In a situation, where in the chart, the candlestick (candle) first surpassed moving average (MA), in which the closing occurs at the top of the price range, then you should do the following:
open a position on the first candle stick, at least not at the moment the price is more than 80% of long candles in the moving average, if the price closed in the upper third of the price range;
open a long position when the price broke through the top of the candles, which are relevant to this character. Rod wax candles is considered a sign.
While the balance of the price is above and below the moving average, the opportunity to enter the market available after the price "dip" out of the moving average (MA). If the candles before of candles entrance is located on the Moving Average and closing occurs in the upper half of the price range, then this is a signal that you're ready to open a long position, but you should only enter the market when the price broke through the top of the stem of this candle.
Position to buy should be opened if the price is above the moving average (40) and a short position - below. Initially, this strategy will involve a long position.
MA on the chart indicator settings
Stop Loss is best placed at the level of the bottom of a rod wax candles before admission. Take Profit does not need to be placed as well as the use Trailing Stop. The larger the scale of time, the greater the value of a trade. Similar choices - is closing some positions, with the benchmark development and Fibonacci levels, which is placed nearby.
Before opening a position, it is important for traders to analyze the price schedule and ensure the existence of a price reversal in the SMA (40). The best thing is if the amplitude (amplitude) of the reversals occurred to the maximum, because this is a new sign of the occurrence of a consolidation. Look for a trend that is not too strong, not greater than 45 degrees. In the conditions of a bigger trend, the angle of the price will be similar to the movement of SMA (40). When you move away from this picture, it is better not to open any position. The core of this strategy is to follow a proper trend when the trend began. To avoid a delay, you can use the ADX as an additional oscillator.
Each person chooses the most appropriate strategy for himself. However, in any situation, you should try all the popular and common strategy, because you alone are going to find a suitable strategy to deliver yourself to get a steady income.
There's only one indicator - Moving Average (MA) at the time of closing, whichever period is used in the trading process by using the strategy of "Chariot" is 40.
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| Forex Trading Strategy |
The situation is when the price moves up slowly, which often occur in the process of trading, although it also occurs when prices have a big movement in the opposite direction. This forex trading strategy is designed to be used for the condition of swing (swing) like this, when markets fall or rise. Although this trading strategy looks very simple, but it was quite effective if the price moves sideways or on the market with the general trend moving upward / downward. It is advisable to use this strategy on the weekly chart, but can also be used on the intraday and daily price chart.
This trading rules are very simple. If the price is above the moving average, you should open a long position (buy). In this case, there is no short positions opened.
If the price moves in a flat condition and the range is close to the moving average, it is not recommended to open new positions. In a situation, where in the chart, the candlestick (candle) first surpassed moving average (MA), in which the closing occurs at the top of the price range, then you should do the following:
open a position on the first candle stick, at least not at the moment the price is more than 80% of long candles in the moving average, if the price closed in the upper third of the price range;
open a long position when the price broke through the top of the candles, which are relevant to this character. Rod wax candles is considered a sign.
While the balance of the price is above and below the moving average, the opportunity to enter the market available after the price "dip" out of the moving average (MA). If the candles before of candles entrance is located on the Moving Average and closing occurs in the upper half of the price range, then this is a signal that you're ready to open a long position, but you should only enter the market when the price broke through the top of the stem of this candle.
Position to buy should be opened if the price is above the moving average (40) and a short position - below. Initially, this strategy will involve a long position.
MA on the chart indicator settings
Stop Loss is best placed at the level of the bottom of a rod wax candles before admission. Take Profit does not need to be placed as well as the use Trailing Stop. The larger the scale of time, the greater the value of a trade. Similar choices - is closing some positions, with the benchmark development and Fibonacci levels, which is placed nearby.
Before opening a position, it is important for traders to analyze the price schedule and ensure the existence of a price reversal in the SMA (40). The best thing is if the amplitude (amplitude) of the reversals occurred to the maximum, because this is a new sign of the occurrence of a consolidation. Look for a trend that is not too strong, not greater than 45 degrees. In the conditions of a bigger trend, the angle of the price will be similar to the movement of SMA (40). When you move away from this picture, it is better not to open any position. The core of this strategy is to follow a proper trend when the trend began. To avoid a delay, you can use the ADX as an additional oscillator.
Each person chooses the most appropriate strategy for himself. However, in any situation, you should try all the popular and common strategy, because you alone are going to find a suitable strategy to deliver yourself to get a steady income.
