6960+ Pips Profit!

We've got in a year 2017
Free FOREX Signals
 

Forex Broker AVA Trade

Relaible partner for Traders.
Start trading now!

 

Forex Brokers Rating

Only best Brokers on our website
with honest Rank!

FOREX Advertising

On LiNSTR.com

Forex strategy "Fast moving averages crossover"

Trading systems based on fast moving averages are quite easy to follow. Let's take a look at this simple system. 

  • Currency pairs: ANY
  • Time frame chart: 1 hour or 15 minute chart
  • Indicators: 10 EMA, 25 EMA, 50 EMA.
  • Entry rules: When 10 EMA goes through 25 EMA and continues through 50 EMA, BUY/SELL in the direction of 10 EMA once it clearly makes it through 50 EMA. (Just wait for the current price bar to close on the opposite site of 50 EMA. This waiting helps to avoid false signals). 
  • Exit rules: option1: exit when 10 EMA crosses 25 EMA again.
  • option2: exit when 10 EMA returns and touches 50 EMA (again it is suggested to wait until the current price bar after so called “touch” has been closed on the opposite side of 50 EMA

Advantages: it is easy to use, and it gives very good results when the market is trending, during big price break-outs and big price moves.</p>

Disadvantages: Fast moving average indicator is a follow-up indicator or it is also called a lagging indicator, which means it does not predict future market directions, but rather reflects current situation on the market. This characteristic makes it vulnerable: firstly, because it can change its signals any time, secondly – because need to watch it all the time; and finally, when market trades sideways (no trend) with very little fluctuation in price it can give many false signals, so it is not suggested to use it during such periods.

 

Trading spot currencies involves substantial risk and there is always the potential for loss. Your trading results may vary. 

 

Fell free to contact us with 
admin@linstr.com

FOREX Advertising

 

 
© 2009-2016
LiNSTR.com