The Relative Vigor Index Forex Trading Strategy

The Relative Vigor Index (RVI) foreign exchange trading strategy is established on a lesser well known fx indicator named the Relative Vigor Index (RVI).

The Relative vigor index is an indicator that is now well known as its counterparts, the stochastic and the Relative strength Index (RSI) indicators. Majority of foreign exchange trading strategies either comprises of the stochastic or the relative strength indicator and less of the relative vigor index indicator.

Nevertheless, in this content you will acquire knowledge on how to trade with the RVI indicator.

Features

1. You can trade with any currency pairs.
2. The recommended timeframe is one hour and above.
3. The relative vigor index is the only required forex indicators.

Please refer to the chart displayed below for the purchase and auction rules:

Purchase Rules

1. A purchase signal is created when the RVI indicator is beneath the 0 level and moving up after the bypass of RVI indicator.
2. After bypass of the RVI indicator occurs, you just pause for a vigorous candlestick.
3. Position a purchase stop order for at least two pips higher up, the high of that candlestick and position your stop-loss 2 to 5 pips beneath that candlestick’s low or if that will be too nearby to the starting price, then position your stop-loss just 2 pips higher up the closest swing low.
4. Target for a take-gain that is two or three times more than what your original risk was or if not utilize the prior swing high as your take-gain aim level and even that, make sure its two or three times that what you risked at the beginning.

Auction Rules

1. An auction signal is created when the RVI indicator is higher up the 0 level and is moving after the bypass of RVI indicator.
2. After bypass of the RVI indicator occurs, you just pause for a bluff candlestick signal.
3. Positions an auction stop-loss at least two pips higher up the low of that candlestick and position your stop-loss 2 to 5 pips higher up that candlestick’s high or if that will be too nearby to the starting price, then position your stop-loss just two pips beneath the closest swing high.
4. Target for a take-gain that two or three times more than what your original risk was or if not utilize the prior swing high as your take-gain aim level and even that, make sure its two or three times more than what you risked t the beginning.

Utilize this strategy at your own risk. WindsorForex.com cannot be responsible for any losses associated with using any strategy presented on the site. It’s not recommended to use this strategy on the real account without testing it on demo first.