ADX Magic Strategy: Indicator Strategy for EUR/USD
ADX Magic strategy is an indicator strategy designed to trade on the EUR/USD currency pair.
Input parameters
- Currency pairs: EUR/USD
- Timeframe: H1
- Trading hours: any
- Type of strategy: trending, indicator
Used indicators
- ADX
- SMA(75) simple moving average
- Heiken Ashi
- IBS_RSI_CCI_v3
Conditions for opening a long position
- The candle closed above the SMA(75) line;
- Heiken Ashi indicator white;
- In the ADX indicator, the +DI line must cross the -DI line from bottom to top. The +DX line should be light green and the -DI line should be white;
- In the IBS_RSI_CCI_v3 indicator the yellow line crossed the zero line upwards.
If all conditions are met, a pending BuyStop order must be placed at the level of the candle maximum, at which all conditions for entry coincide.
Stop Loss is set at the level of 50-70 points from the entry point, Take Profit - at the level of 120-140 points.
Conditions for opening a short position
- The candle closed below the SMA(75) line;
- Heiken Ashi indicator is red;
- In the ADX indicator, the +DI line must cross the -DI line from top to bottom. The +DX line should be light green and the -DI line should be white;
- In the IBS_RSI_CCI_v3 indicator the yellow line crossed the zero line from top to bottom.
If all conditions are met, it is necessary to set at the level of the minimum of the candle, on which all the conditions for entry coincided, SellStop pending order.
Stop Loss is set at 100-120 points from the entry point, Take Profit - at 120-140 points.
If the price reverses in the opposite direction, the pending order should be deleted.
According to ForTrader.org experts, when using the ADX Magic strategy, you should not risk more than 5% of deposit for each trade.
Download ADX Magic Strategy Template and Indicators