Strategy for intraday trading Stoch crossing
Stoch crossing strategy is designed for action trading and is based on the use of only two technical indicators. The strategy has a trending nature and has absolutely uncomplicated rules, which will be available even to novice traders.
Input parameters
- Currency pairs: any, including cryptocurrencies
- Timeframe: M15 and older
- Trading times: London, New York
- Risk management: after calculating the stop-loss, choose such a volume of lot, that the risk was not more than 2-5% of the deposit per trade
Used indicators
- Extreme W.A. (150, 30, 15, 15)
- StochCrossing (30, 10, 10) - "slow" variant of the indicator settings, most suitable for trend trading
Setting up the price chart
- Unpack the archive
- Copy the template into the templates folder
- Copy the indicators to the folder MQL4 -> indicators
- Restarting the terminal
- Open the chart of the desired currency pair
- Install a template named Stoch crossing
The schedule should look like this:
Signals indicating the opening of a long position
- a green up arrow appears;
- on the Extreme W.A. indicator the green bar is above the yellow line.
Signals indicating the opening of a short position
- a red down arrow appeared;
- On the Extreme W.A. indicator the red bar is above the yellow line.
Setting Stop Loss and Take Profit Orders
- stop loss is initially set above/below the previous maximum/minimum.
- Take Profit order is set fixed, depending on the used timeframe and the traded currency pair. It is also allowed to close a position when the StochCrossing indicator arrow appears in the opposite direction.
Presented pattern trading strategy Stoch crossing is quite aggressive and along with the rapid profits the risks of false entries remain quite high.
To reduce trading risks, we recommend using an additional indicator as a trend filter and opening deals exclusively in the direction of the current trend. In this case trading by Stoch crossing strategies will remain profitable, but the number of risky trades will decrease.
Download Stoch crossing trading strategy template and indicators
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