Today we look at the strategy forex "Zebra", another strategy to the daily chart, she even has some similarities with the strategy of "The Elephant and the lap-dogs", but it is only at first glance. If this strategy we are by and large are trying to take a good impulse the movement, in this strategy, we will enter the market at the end of the correction in the direction of the main trend.
This strategy proposes to use on the risk of each transaction 5% no matter the size of the stop-loss orders, it is sometimes equal to 200 points, and sometimes only 30 (for 4-digit quotes). Thus statistics represent points according to this strategy is not quite appropriate, since every time the amount of the transaction and the price of the item will be different.
As a percentage, this strategy only 4 currency pairs (although the strategy can be applied to any tools) shows the results for the past year, July 2014 to July 2015, approximately 150% of the initial deposit. Transactions during this time there were only about 50, which is not much, and hence the time required for a minimum trade.
Time interval - D1.
Currency pair - any strategy multicurrency.
Indicators:
For trade, we will use only one indicator - simple moving average with period 22 (SMA (22)).
1) After another candle crosses above the moving average (MA 22) and closes it, we are waiting for the formation of a black candle (this candle should not close below the MA 22).
2) Next, once formed a white candle, we set the order buy stop above the high of the last day candles by 2 points + spread for this currency pair.
3) Stop-loss is set below the low of the candle. If the candle is less than 30 points, the stop is still set at a distance of 30 pips + spread.
4) Take-profit is equal to the size of the signal candle, that is also equal to the size of stop loss orders. If the candle is less than 30 points, the profit is set at a distance of 30 points.
5) After passing the halfway point in the positive zone deal translates to breakeven.
Additional terms for the purchase:
1) In those transactions where profit more than 90 points, if the price of only 30 points to the objective includes a trailing stop of 30 points.
2) If the order is not activated for the next day, then it must be removed and then we have to wait for another signal.
3) If, after the entry into the market next candle is still closed below the MA 22, the deal should be closed at the market price.
4) As long as there is an active transaction, other signals in the same direction are not taken into account.
5) After the close of the first transaction for re-entry in the same direction (assuming that the price did not fall below the MA 22) have to wait for the formation has at least two black candles in a row and only after they are waiting for the formation of white candles, on the basis of and which will enter the market. If this method is obtained a stop, it is necessary to wait until the signal is already full with the intersection of the moving average.
