This is a trend trading system with a slightly contrarian view point. Fact is I use moving averages to find potential peaks in a trending market. When all but one of the moving averages says bull market I say Bear. Fact is you will ALWAYS find a peak when all but one of the moving averages says up. Then I zero in on that section that says bull and wait for price action to say bear. Enjoy.
Instrument:
EUR/JPY
Time Frame:
4H my preference
Rules:
Downtrend:
1. Wait for the following colors to come into order from top to bottom to short.
White - MTF Weekly SMA
Yellow - 5 SMA
Aqua - 10 SMA
Blue - 50 SMA
Green - 200 SMA
2. Next look for a close below the heiken ashi previous low then short.
3. Place stop near the recent high.
4. Target, at least 2 times your risk
Uptrend:
1. Wait for the following colors to come into order from top to bottom to short.
Green
Blue
Aqua
Yellow
White
2. Next look for a close above the heiken ashi previous high then go long.
3. Place stop near the recent low.
4. Target, at least 2 times your risk
The following is an example of a downtrend short.
Instrument:
EUR/JPY
Time Frame:
4H my preference
Rules:
Downtrend:
1. Wait for the following colors to come into order from top to bottom to short.
White - MTF Weekly SMA
Yellow - 5 SMA
Aqua - 10 SMA
Blue - 50 SMA
Green - 200 SMA
2. Next look for a close below the heiken ashi previous low then short.
3. Place stop near the recent high.
4. Target, at least 2 times your risk
Uptrend:
1. Wait for the following colors to come into order from top to bottom to short.
Green
Blue
Aqua
Yellow
White
2. Next look for a close above the heiken ashi previous high then go long.
3. Place stop near the recent low.
4. Target, at least 2 times your risk
The following is an example of a downtrend short.
Attached Image (click to enlarge)
Attached File(s)
