Strategy that we want to propose you today, can be used by anyone. Very simple and most importantly profitable in the long run. It is called “48 Hours” and based on the simple moving average (SMA) and relative strength index (RSI) – both are common indicators and can be found on almost every trading platform or software.
Settings
1) Add abovementioned indicators to your chart
2) Change the period setting to 20 for each
3) For the RSI set levels also
4) You can use this system to trade the most liquid curency pairs such us AUD/JPY, AUD/USD, EUR/CAD, EUR/NZD, EUR/USD, EUR/JPY, GBP/USD and GBP/CHF
5) Trade only on H1 timeframe
Position entering conditions and rules
- Open long position if the price is above the SMA and RSI is above 60
- Open short position if the price is below the SMA and RSI is below 40.
SL and TP levels
- Set SL at 90 pips from the position entry level
- Set TP at 180 pips from the position entry level
You have to remember also about MM – do not involve more than 2% of your whole capital!
If the price has not reached SL nor TP level we just close the position after 48 hours of holding it.
Here you can see this strategy in practice. EUR/USD between January-March 2014:
XM offers its clients multiple additional incentives to start trading and keep on trading, starting with a $30 no deposit bonus. In other words, we give you $30 worth of credit just for opening your first Real Account, allowing you to test our products and services by starting to trade with no investment and no risk.
