First of all, this stategy is quite simple, and but is not a holy grill.
The strategy setup is using the default of Bollinger band (period 20, deviation 2, shift 0 ) and Stochastic ( 14,3,3 ).
Quite long time when i first learn the forex , I hate Stochastic very much, because of my misunderstanding with this indicator.
Later i found it after i am self-experiment ( of course with some my saving money .... ) , this indicator can help me :
- Filtering my emotion (When i must open or take position )
- Filtering my greedy ( Want to have a big cash in short period )
- Knowing when i can prepare for my next Position ( of course with Bollinger band help and Candlestick reversal pattern )
Ok, This is my simple strategy ( and i am in the progress for my EA with this base of strategy ).
*------- cross with Upper Band ( do the same for lowerband )
1. The previous candle ( from current candle ) cross BB Upper from below
2. Main Stochastic above Signal Stochastic
3. The Current Candle is bullish and Stochastic below 80
1. The previous candle ( from current candle ) cross BB upper from above.
2. Main Stochastic below Signal Stochastic
3. The current Candle is bearish and Stochastic above 20
Take profit : 50
Trailing Stop 15
Stop Loss : 50
Time Frame H1
The candlestick that i often use it Bullish and bearish engulfing.
Please beware that Forex is a business with high risk, This Strategy is work on me, so it's under your own risk.
no.1 no entry. ( the stochastic is already Overbought area)
no.2 sell entry
no.3 sell entry