After you apply all necessary indicators and template (you can download it on the page bottom) on your chart Compass Forex Strategy looks like this:
Before I explain how you are going to trade by using Compass Forex Strategy, I would like to give some information about the system so that you can know about the components.
I prefer using 4H charts for this strategy. The reason why time frame equal or above 4hr is suitable for swing trading is because noise (in the market) is minimal. And we all know that what makes a trader consistently profitable is his/her ability to filter the noise. Everything about consistent profitability in forex trading is centered on this principle.
The Moving Average is a great tool for measuring the slope of the trend and its strength. When both MAs are pointing upwards, it’s a bullish market, when pointing downwards, it’s a bearish market and when flat, sideways trend. The angle of separation of the MA’s shows strength of the trend. The wider the gap between both MAs, the stronger the trend is.
You can enter trades on as many currency pairs as you want if you can manage all of them. You really don’t need to trade all signals on only one currency pair to profit consistently. If you see two or three signals on different major currency pairs, just pick the one with the best entry conditions. If possible, you could integrate candlestick patterns to improve profit made.
Now let me explain the Compass Forex Strategy rules:
Compass Forex Strategy Buy rules:
BLUE MA > RED MA (When Blue MA is above Red MA).
Transform > Signal Line (Blue line is above Red Line in the separate indicator below price chart).
When candlestick is above Elders Safe Zone.
Compass Forex Strategy Sell rules:
BLUE MA < RED MA (when Blue MA is below Red MA).
Transform < Signal Line (Blue line is below Red Line in the separate indicator below price chart).
When candlestick is below Elders Safe Zone.
Download Compass Forex Strategy Indicators and Strategy
- Ehlers Fisher transform
- PivotsDaily v2.ex4
- SmoothCandle C v1.00