This 15 minutes forex trading strategy is a scalping trading system on 15 minutes time frame, it’s based on Metatrader charting, the trading indicators and tools needed are:
Currency pair: EURJPY
1. Timeframe: 15M
2. Heiken Ashi
3. SMI (STOCHASTIC MOMENTUM INDEX by William Blau) First indicator window (Settings: 14,10,14,5) (Levels:+40,-40,0)
4. Stochastic Oscillator [This one in the second indicator window] (Settings:10,1,7) Price field: close (MA method: simple (Colors: Main: Magenta and insignal type in none.) Levels: 20,50,80
5. Moving Averages crossover signal [arrow] (Settings 5,6)
6. VQ [Volatility Quality] indicator by Raff (Setting:timeframe 0) (length 5,method 3,smoothing 3,filter 3). This indicator must be dragged from your navigator window down to your firstindicator window where your SMI is situated.
7. Insert a 60 and 200 EMA on price chart.
Download indicators and template
How it works:
Starting from 7am GMT start looking for the following:
– SMI must either be curling up from -40 or the Zero lines, the MA signal [arrow] must show on your chart.
– Heiken Ashi candle must be white.
– VQ will show an arrow in the indicator window.
– Stochastic oscillator must have moved up from the 20% line.
– Take profit when the SMI hits the +40 line or the candle hits the 60MA. Could be 30 to 50 pips.
– SMI must be moving down from +40 line,
– An arrow of VQ and arrow of MA must have appeared.
– Heiken Ashi indicator must have turned red.
– Stochastic must also be on its way down from 80% line.
– Take profit when SMI hits the -40 line or a candle hits the 60MA. Another 30 to 50 pips.
Important notes when trading the 15M strategy
– When starting out, do not trade this strategy on a live account, you should practice it first on a forex demo account.
– Check the TREND on the 1H and 4H timeframe charts.
– Check where the daily pivot levels are.
The daily pivots are support and resistance levels which can cause a reversal of the current trend. Take profit at these levels. You can always re-enter if it breaks through and opens a new candle above or below the pivot levels.