Stochastic Oscillator with trend line

Stochastic oscillar with trend line is a trend momentum trading system. Time Frame any but  4H or daily recommended.
Markets: Currency pairs, Commodities and Indicies.
Indicators: Full Stochastic (14, 3,3, close).
Too:l trend line.
Trading rules Stochastic oscilllator with trend line
Draws on the chart trend line. (find chart in trend this is a basic condition). trades only in direction of the trend.
Oscillator stochastic reached oversold area below level 20 and after reached level 10 when exit from oversold zone and crosses upward 20 level you make a buy order.
Oscillator stochastic reached overbought area above level 80 reached 90 level  when exit from overbought zone and crosses downward 80 level put a sell order.
Advantages: With the trend line on the chart to eliminate many of false signals. This strategy is very simple for trading.
Disanvantages: The stochastic indicator can generate many false signals. Tracing a trend line requires experience. How to draw a trend line
Stochastic oscillator with trend line
Stochastic oscillator with trend line

Stochastic with trend line
Stochastic with trend line


Momentum Forex Strategies 5319400092806106753

Post a Comment