Dislikedyes reason for that rsi is overbough over sold indicator. Ema forms a trading band which price retrace back into. If you start using this please post youre results for today i have made 50 pips with sl of 20.
RegardsIgnored
However, my approach would be (we are scalping, do not forget):
- TP: 6 to 10 pips or
- close position as the candle closes regardless the result. i.e., trade will last at most 5 minutes.
- SL: 10 pips. If the candle goes further, it means that it is very strong. we'd better wait for the next candle.
I am using gbp/usd today (sorry, cannot post the graphic now). (GMT times) (spread not included in the computations) (not real trades, only looking at graphs, eh!):
- 10:15: good setup, 10 pips
- 10:25: not so lucky, -2 pips (with my approach of closing with the candle)
- 10:30: this one again a good one, +5 pips.
- 12:05: -1 pip. (if tp would have been 5 or 6 pips, it would have been a positive)
- 12:10: +2pips
total: +14 pips, from 10:00 to 12:10. Not bad.
I'll try to attach the graphics tonight (spanish time). I can't now.
Best Regards to all, and Happy Pips
gonso