Forex Retracement Scalping Strategy
Forex Retracement Scalping Strategy:
Time Frame 5min
Pairs: GBP/USD EUR/JPY
Indicators:
55EMA
MACD (4,9.6)
Long Entry:
The Closing price must be above 55EMA on The Hourly Chart;
The closing hourly candelstick must be a bullish candelstick;
MACD bar mus show a positive divergence or show a higher low bar.
If all of the conditions above agree,
switch to a 5-min chart.
Scenario A: look out for 38% or 50% Fibonacci retracement (support) from the recent swing low on hourly chart. Open long position if the candelstick went below but closed above the retracement level (eigther 38% or 50 %); set stop loss at 61,8% or recent swing low if your risk per trade allows.
Scenario B: if the price action does not retrace to 38% level, open long position at the break of the previous hourly candle’s high; set stop loss at 61,8% or at recent swing low.
Short Entry:
The Closing price must be below 55EMA on The Hourly Chart;
The closing hourly candelstick must be a bearish candelstick;
MACD bar must cross lowe the Signal EMA on the hourly chart and color must be red.
If all of the conditions above agree,
switch to a 5-min chart.
Scenario A: look out for 38% or 50% Fibonacci retracement (resistance) from the recent swing high on hourly chart. Open short position if the candelstick went below but closed above the retracement level (eigther 38% or 50 %); set stop loss at 61,8% or recent swing high if your risk per trade allows.
Scenario B: if the price action does not retrace to 38% level, open short position at the break of the previous hourly candle’s low; set stop loss at 61,8% or at recent swing high.
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 Retracement Scalping Strategy?
- Download Forex Retracement Scalping 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 Retracement Scalping 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”.
