Forex MTF Market Analysis Trading System
Forex MTF Market Analysis Trading System:
MULTI-TIMEFRAME MARKET ANALYSIS
Two days ago, a former colleague at my former employment visited me, this time as a student. Having attended several seminal and read so many books needed to know a better way to trade with profits and consistently. I asked if he has a trading system or will have to buy from one of mine. He got one and he explained the setup to me and I found the problem with it.
He was trading the cross of the 14 and 7 SMA in the 1hour timeframe. He shared his DEMO account with me and I studied it and found inconsistencies. Knocked-out with market noise most of the time. I decided to help him fine-tune his trading plan and I came up with the information below.
Successful trading – you need to have a good understanding of Trend in at least 3 different timeframes. One for the Major Trend, the second for counter trend (retracement) and the last one for entry and exit.
INDICATORS
– 14 and 7 SMA
– Default Parabolic SAR
– Fisher
All in Daily, 4hours and 1hour timeframe
TREND
Your trend is in the Daily timeframe. BULL trend when the 7SMA is above the 14SMA in the daily timeframe. Your counter trend or retracement is in the 4hour. A counter BUY is when the 4hour is saying SELL. That is when 7SMA is below the 14SMA in 4hour timeframe when the Daily is still BUYING.
BUY SETUP
The chart of daily timeframe below shows a BUY because the 7SMA blue line is above the 14SMA the red line.
When the trend is determine, it’s good to wait for a retracement or counter trend in 4hour timeframe so you wait for SELL trend in 4hour when the BUY trend still remain in Daily timeframe. The 4hour chart below shows a counter trend.
Now we watch the 1hour timeframe for entry. You want to trade BUY when 7SMA is above 14SMA. Obviously you will have several BUY noise in this timeframe, but the one you want to trade is the BUY at the point where Fisher 10 of 4hour is green.
Your stoploss is the lowest Low and you can figure out your take-profit as same pips with Stoploss or more or depending on your risk plan.
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 MTF Market Analysis Trading System?
- Download Forex MTF Market Analysis Trading System.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 MTF Market Analysis Trading System?
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”.
