EMA-Crossover Signal With Stochastic Colored Forex Binary Options Trading Strategy
The EMA Crossover signal with stochastic colored is a trend momentum system. You can use this on a trending market and also with reversals. The timeframe used for this system is 15 minutes or higher and has an expiry time of 1 candle.
MT4 Indicators:
- EMA alert signal ( fast EMA 1 period, slow EMA 2 period. This setting of EMA is very fast they are problem of stability.)
Note: A configuration so fast can create stability problems of the algorithm that diminish with time frames higher. A filter makes it more readable and reliable configuration so boost. The proposed filter is the stochastic oscillator.
- Stochastic colored (5,3,3).
SMA with 0 mode is better (more stable).
Trend following:
Call Entry:
- There is a buy arrow of the EMA crossover.
- The stochastic has a green bar.
Put Entry:
- There is a sell arrow of the EMA crossover.
- The stochastic has a red bar.
Reversal:
Call Entry:
- The price must touch or break the lower band.
- The buy arrow must appear confirmed by the green bar of the stochastic colored.
Put Entry:
- The price must touch or break the upper band.
- The sell arrow must appear confirmed by a red bar of the stochastic colored.
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