Quote:
|
Originally Posted by Dr-4x
For those who do not want to call the (9/30 cross) a system, I say fine let us insert 3 or 4 colorfull indicators (it only takes 2 minutes to set up entry and exit rules). Ok here we go:
1- Use DPO indicator (14).
2- Use MACD (default settings).
3- use ADX (default).
Enter short if; DPO below zero + MACD line crosses down signal line + the red ADX line crosses up the green line.
Sl 15 pips below/above the cross. TP 40 pips (then follow the price with 20 pip trailing stop) 
Viceversa for long.
You can see clearly when the 9EMA crosses over the 30 EMA it will force all 3 indicators to folow suit  . Such system was sold 2 years ago for 12000USD. In straight words; they made fool out of you.
Summary: (all you need in FOREX trading is 2 moving averages, no more no less. It is also helps to know historical S/R levels).
p.s. Some like range trading and that is fine too |
When you say take profit 40 pips below cross I have a question. For the currency to make the crossover going down, the currency
has already dropped considerably in pips below the longterm MA to make the shortterm moving average to crossover, and vice versa if it is cross-up. At this point the currency movement can stall and move collapse causing a good stoploss.
How do you deal with this?? 
Dave
<><<<