A lot of traders base their analysis solely on chart and candlestick patterns – no indicators. These strategies are easy and useful, especially for beginner traders, - let's check them out.
Forex Archer trading strategy
It’s really hard to predict where the price will go without special tools. That’s why, most traders use trading strategies. It’s up to you to make your own strategy or use an existing one. Here below you can find the example of the trading strategy that really works. You will need 5 tools to build it:
- Exponential moving average with period 86 (EMA86)
- Exponential moving average with period 21 (EMA21)
- Momentum indicator with period 8 and with the added 100 level
- Heiken Ashi (average bar in Japanese) indicator
- Stochastic Oscillator with the settings 8-3-3
It takes some time to set up all these tools, but it’s worth it. When you’ve done, you’ll see a clear picture of entries and exits. You always have two ways: to buy or to sell. Let’s see when you should choose one way or another.
Signal to buy:
- The EMA 21 crosses the EMA86 from the bottom up and stays above EMA 86;
- Momentum Indicator is above 100 level;
- Stochastic Oscillator is above 40 level and its main line is also above the supplementary one;
- Heiken Ashi formes a green
Are all the conditions met? Buy!
Signal to sell:
- The EMA21 crosses the EMA86 from up to down and stays below the EMA 86;
- Momentum indicator is below 100 level;
- Stochastic Oscillator is below 80 level, and its major line is below the supplementary one;
- Indicator Heiken Ashi formes a red candle;
Are all conditions met? Sell!
Try it in your trading today!
Watch this video to get some examples! Don't forget to put take profit and stop loss, when you open a position. Good luck!