The two indicators we are going to talk about here are found to be very well working when used side by side. This Forex trading system is an another simple discovery; and hundreds of such discoveries can be made when traders are there to learn and experiment.
Any currency pair and time frame can be used.
Indicators: Parabolic SAR default settings (0.02, 0.2), ADX 50 (with +DI, -DI lines)
Entry rules: Sell When the +DI line is below the -DI line, and Parabolic SAR gives sell signal. When the +DI line is above the -DI line, all Parabolic sell signals must be ignored.
Entry rules: buy when the +DI line is above the -DI line, and Parabolic SAR gives buy signal. When the +DI line is below the -DI line, all Parabolic buy signals must be ignored.
Exit rules: when +DI line and -DI lines have crossed again.
Also the higher the ADX rising - the stronger the current trend is. If ADX has reached 25, the strong trend is in place.
Advantages: allows filtering entries and predicting good exits.
Disadvantages: Both Parabolic SAR and ADX are follow-up indicators. Although they complement each other very effectively, the “weakest” in chain is ADX, because during trading it can give one signal, but later change to the opposite. Once given a signal from ADX, waiting for the current price bar to close to avoid such misleading is advised.
----- by; fxStrtgyRvld ----
Sunday, December 14, 2008
Forex ; Parabolic Sar + ADX
Artikel Terkait Forex ; Parabolic Sar + ADX :
Forex ; Fast Stochastics or Slow Stochastics ??One of the technical indicators we teach in the FX Course is the Stochastic Oscillator. Developed by George C. Lane in the late ...
Forex Trading SystemForex Trading SystemThe "RickyD" SystemIt would not help you much to tell you how I do as we all put something different into our ...
Forex ; the current Trend Line Trading StrategyI have been demoing a simple trading strategy for a week (29th September-3rd of October 2008) and achieved almost 200% return on ...
Forex ; Continuation PatternsForex Chart - Continuation PatternsIn the candlestick theory, there are two main patterns that are continuous, the Falling Three ...
Forex ekpereHamaafter trying out hundreds of systems on both demo and real accounts for more than a year i found out that the secret of forex is ...
Subscribe to:
Post Comments (Atom)
Hello Everybody,
ReplyDeleteI've attached a list of the highest ranking FOREX brokers:
1. Best Forex Broker
2. eToro - $50 min. deposit.
Here is a list of money making forex tools:
1. ForexTrendy - Recommended Odds Software.
2. EA Builder - Custom Strategies Autotrading.
3. Fast FX Profit - Secret Forex Strategy.
I hope you find these lists beneficial.