The Two crossover strategy presented here is specially designed for intraday or overnight trades. It includes the + to measure market momentum, which allows the trader to confirm the reliability of the crosses. However, some false signals may occur.
The system and its rules are quite simple as discussed below. Please use the strategy on backtesting mode before risking your money.
Indicators and system settings
A chart in any time frame.
It is recommended for any currency pair, although its effectiveness has not been evaluated in different pairs. I recommend use from 2 to 4 hour timeframes in BTC/USD .
Don't use when important fundamental news dominate the market sentiment or on choppy markets.
+ custom indicator (Don't showed in the graphic)
Custom indicator EMA/EMA Cross Indicator.
Origin and final time for the calculations.
Stop Loss risk management options.
The strategy uses two EMAs on the chart. The trading rules are very simple:
Enter Long when faster crosses above slower . The + is in upward direction (confirmation signal). The signal has more strength if the is above 17.
Enter Short when faster crosses below slower . The + is in direction (confirmation signal). The signal has more strength if the is above 17.
================ REMEMBER ================
The 90/90/90/90 rule is a basic trading rule. It means that 90% of new traders lose 90% of their initial capital within 90 days. Can a trader avoid being part of this statistic? Of course! When you create a trading strategy, test it through virtual trading, research the currencies you want to trade with and establish a realistic profit target and a minimum loss target to assume in your operations.