The fisher EMA foreign exchange trading strategy is a technique that incorporates the exponential moving average (20) and that of the fisher custom indicator in providing scalping signals for market traders. The strategy can be easily utilized by both beginners as well as advanced forex traders.
1. Fisher.ex4 and exponential moving average.ex4 both with default setting are the only MetaTrader 4 indicators required for utilizing this trading strategy.
2. The recommended time frame is one minute or five minutes.
3. Applicable on any endorsed trading sessions.
4. Applicable on any currency pairs.
Purchase Trade Instance
Position a purchase in the market if the following rules are observed:
1. If the lime colored histogram of the fisher custom indicator are in line higher up the 0.00 level, it’s an indication that price is being pressured to the upward side. Thus, a purchase signal.
2. If price ends higher up the magenta colored line of the exponential moving average (20), it’s an indication that price is moving in the north side; as such it’s convenient to position a purchase order in the market.
Position a stop-loss of seven to fifteen pips beneath entry price.
Take-Gain for Purchase Rule
Exit or take-gain on position if the chart arrangements are observed:
1. If a red colored histogram of the fisher custom indicator creates beneath the 0.00 level, following a decreasing of the lime colored histogram as observed in the purchase instance above, this explains that price is shifting. Thus, an exit take-gain is appropriate.
2. If price ends beneath the magenta line of the exponential moving average (20), it’s an indication of price change of state. Thus, an exit or take-gain triggers.
Position an auction order if the following rules are observed:
1. If the fisher custom indicator creates red colored histogram beneath the 0.00 level, then it’s a sign that price is moving lower. Thus, an auction signal.
2. If price ends beneath the magenta borderline of the exponential moving average, it indicates downward price pressure, thus providing an auction signal.
Position your stop-loss seven to fifteen pips higher up the entry price.
Take-Gain for an Auction Rule
The following conditions will determine an exit or take-gain strategy:
1. Observe for the Fischer custom indicator, if it is retracing upwards and eventually creating a lime colored histogram, it hence satisfies our condition for a take-gain or an exit.
2. If price by all means ends higher up the magenta colored exponential moving average (20), it’s a take-gain or an exit trigger.
Utilize this strategy at your own risk. WindsorForex.com cannot be responsible for any losses associated with utilizing any strategy presented on the site. It’s not recommended to utilize this strategy on the real account without testing it on demo first.