Bollinger Bands Breakout with MACD

Bollinger Bands Breakout with MACD is a trend following breakout day trading strategy

Slow MACD oscillator is used to identify the direction of market (uptrend or downtrend) The Bollinger bands indicator are used to catch only strong trends.

Time Frame 5 min.

Currency pairs: GBP/JPY, GBP/USD, USD/JPY, USD/CHF, EUR/USD.

Forex Indicators:

Slow MACD (24, 48,9);

Bollinger Bands (period 20 , deviation 3.0).

Pivot Points Level

Trading rules

Buy

MACD Line Crosses upward signal line.

MACD Histogram is above zero level.

The price close above the upper bands of Bollinger Bands.

Sell

MACD Line Crosses downward signal line.

MACD Histogram is below zero level.

The price close below the lower bands of Bollinger Bands.

Exit

Initial stop loss 4 pips below/above the middle band.

Profit target 10-15 pips depends by currency pairs or at the level of the pivot points.

In the pictures Bollinger Bands Breakout with MACD.