Unique trend trading strategy Coppock trend winner

Greetings, dear readers of ForTrader.org Trader magazine. Today I would like to introduce you to a truly unique Coppock trend trading strategy winner. If you go deeper into the search, you will not find it anywhere, neither in the Russian-language segment, nor on foreign forums. The strategy first came to me about a month ago from my friend and fellow trader. According to him, he has been using the strategy for over a year, changing only some indicator settings.

Input parameters

• Currency pairs: any, recommended with a pronounced trend character
• Timeframe: M15 - H4
• Trading hours: 24 hours a day
• Type of strategy: trending, indicator

Installing the Coppock trend winner trading strategy

Setting the strategy in MetaTrader 4 terminal is done in the standard way.

Used indicators

The Coppock trend winner trading strategy consists of four indicators, three of which act as filters and the fourth shows the entry point to the position. Now briefly on each:

• 1_Skdon_trend_sig - the indicator is located directly on the price chart in the form of up and down arrows of red and blue color. The indicator is based on the moving average, so you can optimize its period for your requirements. In the strategy, the indicator is responsible for entering the position.
• Moving Average - standard trend indicator of the MetaTrader 4 platform. The indicator looks like a red line. In this case, it uses the period of moving 60, which can be changed to suit your trading style. It acts as a trend filter in the strategy. If the price is above the moving average, you will only enter to buy. If the price is below the moving average, then we only enter to sell.
• Coppock - the indicator is located in the first additional window in the form of a histogram. The indicator was created back in 1962 by the famous trader Edward Coppock. It acts as a trend filter in the strategy. If the histogram is above the 0 level, the trend is bullish, if the histogram is under the zero level, the trend is bearish. Indicator parameters can be optimized.
• 4_ma_strength1 - the indicator is in the second additional window in the form of bars of green and purple, it shows the direction and strength trend. The indicator is based on the readings of four slides, the parameters of which you can optimize at your discretion. It acts as a trend filter in the strategy. If the bar is colored purple, the trend is bearish, if it is colored green, the trend is bullish.

Coppock trend winner trading strategy buy signals

We enter a buy position if a number of these conditions are met:

• The price is above the Moving Average indicator line.
• The indicator 1_Skdon_trend_sig draws a blue arrow upwards.
• The histogram of the Coppock indicator is above the 0 level.
• The 4_ma_strength1 indicator draws a green bar.

I want to warn you right away, some indicators are overdrawing, so enter a position only on a closed bar.

Coppock trend winner trading strategy signals to sell

We enter a sell position if a number of these conditions are met:

• The price is under the line of the Moving Average indicator.
• The indicator 1_Skdon_trend_sig draws a red down arrow.
• The histogram of the Coppock indicator is under the 0 level.
• The 4_ma_strength1 indicator draws a green bar.

Some indicators are overdrawing, so enter a position only on a closed bar.

Stop Loss setting. Exiting a position

Stop Loss set in the classical way, namely on the local minimums and maximums, levels.

We exit the position at the opposite signal of the indicator 1_Skdon_trend_sig .

Management and Risk Management

The Importance of Proper Compliance money management is indisputable. Like many classics, I can recommend not exceeding the risk per position of 1-3% of the deposit. If you are not familiar with money management, I advise you to read articles on the subject on our website.

Personal opinion of the author of the article

The trend trading strategy Coppock trend winner has proven itself from the best side. First, the strategy is not overloaded with indicators, and second, almost all indicators can be optimized. I also really like the smart selection of indicators. As for the disadvantages, I want to emphasize the moving average period which leads to missing a lot of signals. I can recommend it to both newbies and professionals. Have a nice trend, gentlemen!

Download Trading Strategy Template and Indicators

Other Trend Trading Strategies