Forex Donchian Channel Double Breakout Trading Strategy
Forex Donchian Channel Double Breakout Trading Strategy:
This Trading System is inspired a Richiard J. Dennis the first at to use an similar trading system This is an Breakout Trend Following System.
Forenx indicator:
Donchian Channel 20 period red;
Donchian Channel 55 perid green.
Rules for: Donchian Channel Double Breakout Trading System
Long Entry
When the price breaks upward the red line of the Donchian Channel 20 period.
If there is a second breakout of the red line of the Donchian channel 20 does not enter, but get into position only if there is a breakout of the upper band of the Donchian channel 55 periods.
Short Entry
When the price breaks downward the red line of the Donchian Channel 20 period.
If there is a second breakout of the red line of the Donchian channel 20 does not enter, but get into position only if there is a breakout of the lower band of the Donchian channel 55 periods.
Exit position with Trailing Stop that depends by time frame and currency pair.
Place initial stopo loss 2 pips below or above the first green line.
Example EUR/USD H1
Trailing Stop 35 pips, place stop loss 2 pips below or above the first green line or fix stop loss at the 40 pips.
Exit position also with Profit Target:
Example EUR/USD 60 min 30 pips, GBP USD 35pips , AUD/USD 30pips, USD/CHF 26pips or ratio 1.3 initial stop loss.
After 20 pips in gain move stop loss (40 pips) at the entry point.
In forex a trading strategy is a fixed plan that is designed to achieve a profitable return by going long or short in markets. The main reasons that a properly researched trading strategy helps are its verifiability, quantifiability, consistency, and objectivity.
For every trading strategy one needs to define assets to trade, entry/exit points and money management rules.
How to install Forex Donchian Channel Double Breakout Trading Strategy?
- Download Forex Donchian Channel Double Breakout Trading Strategy.zip
- Copy mq4 and ex4 files to your Metatrader Directory / experts / indicators /
- Copy tpl file (Template) to your Metatrader Directory / templates /
- Start or restart your Metatrader Client
- Select Chart and Timeframe where you want to test your forex strategy
- Load indicator on your chart
How to uninstall Forex Donchian Channel Double Breakout Trading Strategy?
To shut down an indicator, one has to remove it from the chart. At that, its drawing and recalculation of its values will stop. To remove an indicator from the chart, one has to execute its context menu commands of “Delete Indicator” or “Delete Indicator Window”, or the chart context menu command of “Indicators List – Delete”.
