Forex Signal is an indicator trading strategy based mainly on the readings of a signal indicator. The beauty of this strategy is that it gives clear signals not only to open orders, but also to close them. Any currency pair can be used in trading. It is advisable to choose medium-term timeframes: from M30 to H4. But if you prefer short-term intraday trading, you may also test this strategy on M5 or M15 timeframes. Three indicators are used in this strategy: Stochastic, Signal 2, Forexsignal 30.
- Currency pairs: any
- Timeframe: M5 to H4
- Trading time: any
- Risk management: don’t risk more than 2-5% of the deposit per trade
Installing indicators and system template
- Unpack the zip file with templates and indicators
- Copy the indicators to the MQL4 folder -> indicators
- Copy the template file to the templates folder
- Restart the MT4 terminal
- Opening the chart of the required currency pair
- Install a template named “# forexsignal30.tpl”
The price chart with the strategy template should look like this:
Rules for opening deals using the Forex Signal strategy
To open a SELL order, the following conditions must be met:
- The price should be at the upper border of the price channel (it is drawn automatically), this rule can be neglected, but the risk of hitting the stop loss increases significantly.
- A large red arrow pointing down appeared on the chart.
- Stochastic indicator is above level 80 (overbought zone).
- An upward spike appears on the Forexsignal 30 extreme indicator.
To open a BUY order, the opposite conditions must be met:
- The price must be at the lower border of the price channel.
- A large blue up arrow appeared on the chart.
- Stochastic indicator is below level 20 (oversold zone).
- A downward spike appears on the Forexsignal 30 extreme indicator.
Closing of previously opened orders is performed when a blue cross appears above the price chart with an open buy position, or when a red cross appears under the chart when a sell order is open.
A safety stop-loss is set at 30-80 points (depending on the timeframe on which you are trading: the higher the timeframe the larger stop-loss should be) above or below the most recent high or low of the price.
In Forex-signal.zip file you will find:
- # forexsignal30.tpl
Download Forex signal strategy files for free: