Short-term strategy for RSI, MACD, MA and Stochastic
Intraday trading strategyThe following indicators are used on the 10-minute charts: WMA(5), SMA(10), Stochastic (5, 3, 3), RSI(14), MACD (by default). If you want to trade this method on 5-minute charts, you will need to double the parameters of all the indicators: WMA(10), RSI(28), etc.
Marketplace: ;
Currency pairs: any;
Timeframe: from M5;
Indicators : WMA, SMA, Stochastic, RSI, MACD;
Trading time: from 8:00 a.m. to 12:00 p.m. MSC;
Strategy: intraday;
Protective orders: StopLoss.
Rules of the trading strategy
Add the above indicators to the 10-minute chart. The trades are opened only between 8:00 p.m. and 12:00 p.m. Moscow timeframe.
Buy signal is formed when the WMA(5) crosses the SMA(10) downwards, Stochastic gives an up signal, the value RSI indicator is greater than 50, the MACD histogram is greater than 0, and the MACD averages are crossed upwards.
Sell signalWhen the WMA(5) crosses the SMA(10) from top to bottom, the Stochastic gives a down signal, the RSI is less than 50, the MACD histogram is less than 0, and the MACD averages are crossed down.
Profit Take near key levels: quotes end at 00, 20, 40, 60, 80. The level StopLoss: 25 pips.
An example of a trading strategy
Sell signal on EUR/USD. Note that the WMA(5) went below the SMA(10) as early as 5:00 pm Moscow time. Stochastic is down, RSI is below 50, MACD indicator shows downward. A clear signal to sell, take profits at key levels.
Buy signal on EUR/USD. 5/10 moving averages crossed up, Stochastic up, RSI above 50, MACD crossed up with histogram above 0. Take profits on key levels.
Sell signal on EUR/USD. Note that the WMA(5) went below the SMA(10) as early as 5:00 pm Moscow time. Stochastic is down, RSI is below 50, MACD shows down. Clear sell signal, take profit at key levels. Notice that the pair went lower to the next key level.
Buy signal on EUR/USD. Intersection 5/10 - up, Stochastic - up, RSI above 50, MACD crossed upward with histogram above 0. Take profit at key levels.
During the same session a sell signal also appeared. The pair passed through several levels of profit taking.
Yes. Then remove the MASD altogether - what the hell is the need for it! Heavy and triggers at the end of the movement. And the combination of signals to enter in any order: the light MA crossing the heavy, the stochastic signal and the RSI approach beyond the 50 level. The exit by stochastic or by stochastic and MA with transfer to b/y. To test it, it is necessary to write an Expert Advisor...
It doesn't look like night and morning trading is advised. Or what confused you?