Innovator Forex Trend Following Strategy

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Innovator Forex Trend Following Strategy

This system is applicable in all timeframe. The parameters used for moving average is the Fibonacci sequence numbers 5 and 13. Use EMA 5 and 13 when you wish to identify price movement.

Here are the rules to follow:

  • Open the position when EMA5 has crossed EMA13.
  • You can BUY when EMA 5 crossed EMA 13 from below.
  • You can SELL when EMA5 crosses EMA13 from above.
  • Wait until the timeframe closes. If by this time EMA5 and EMA13 have crossed each other, enter the
  • market at the price of opening the following time interval.
  • When opening the position, you should place stop loss order below/above EMA13.

Close the position in case:

  • The closing price showed crossing or equality of EMA5 and EMA13;
  • The prices reached the level of your stop order.

This suggested rules might help you improve results on your trades:

  • Put stop loss at 50 pips from EMA 13
  • Do not open the position if there is a gap of more than 100 pips between the opening price and the level of stop loss order. (This rule is a protection from big market movements which take place during a very short timeframes.
  • Do not open the position when there is only 1 pip between EMA5 and EMA13.
  • Wait until the time interval is closed with more sufficient difference between EMA5 and EMA13.
  • Your risk should be not more than 10% of the total sum of your account.

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