Are you ready to take your trading game to the next level? The Forex Profit System is designed specifically for MetaTrader 4 users and can help you navigate the forex market more effectively. For a deep dive into the system, check out the detailed description here.
Additionally, if you're interested in system testing and performance reports, make sure to check out our magazine's issue from May 5, 2008, which you can find right here.
If you want to join the conversation or share your insights, feel free to hop onto our forum here.
Trading Strategy Algorithm
- Open a one-hour chart for EURUSD with a lot size of 0.1.
- Add the indicators: one Parabolic SAR and three Exponential Moving Averages (EMAs) with periods of 10, 25, and 50.
Buying Signal: When the EMA with a period of 10 crosses above the 25 and 50 EMAs, and the Parabolic SAR is below the price.
Selling Signal: When the EMA with a period of 10 crosses below the 25 and 50 EMAs, and the Parabolic SAR is above the price.
Exiting Trades
- Use Stop Loss to limit potential losses.
- Set Take Profit levels to secure your gains.
- Close positions when the EMA10 line reverses: for buy positions, close when the EMA10 peaks; for sell positions, close when it troughs, ensuring you have at least a minimum profit.
It's important to note that the Stop Loss and Take Profit values will differ for buying and selling trades.
We've conducted a back test of these rules from January 11, 2007, to January 11, 2008, with the following results:
We also optimized the parameters during the same period, yielding these results:
For further insights, including a forward test outside the optimization area and discussions on system performance, don’t forget to check that magazine issue from May 5, 2008 here.
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