Stochastic High-Low Trading system

[piptrading]

Forex systems which adopt a Stochastic indicator for monitoring the price provide some very good tips about the situation on the market for traders that are willing to see it.

Currency pair: Any.

Time frame: Any.

Indicator: Full Stochastic (14, 3, 3)

Entry rules: When Stochastic has crossed below 20, reached 10, and then crossed back up through 20 – set BUY order.

Entry rules: Sell when Stochastic has crossed above 80, reached 90, and then crossed back down through 80.

Exit rules: Close trade when Stochastic lines rich the opposite side (80 for Buy order, 20 for Sell order).

[cwave]

Originally Posted by piptrading

Forex systems which adopt a Stochastic indicator for monitoring the price provide some very good tips about the situation on the market for traders that are willing to see it.

Currency pair: Any.

Time frame: Any.

Indicator: Full Stochastic (14, 3, 3)

Entry rules: When Stochastic has crossed below 20, reached 10, and then crossed back up through 20 – set BUY order.

Entry rules: Sell when Stochastic has crossed above 80, reached 90, and then crossed back down through 80.

Exit rules: Close trade when Stochastic lines rich the opposite side (80 for Buy order, 20 for Sell order).

Question:
On the Stochastic indicator should I set the parameters to "close/close" on the "price field" or "low/high". On the MA Method leave that at Simple?

Thanks,
cwave

[piptrading]

Originally Posted by cwave

Question:
On the Stochastic indicator should I set the parameters to "close/close" on the "price field" or "low/high". On the MA Method leave that at Simple?

Thanks,
cwave

I believe that you are referring to the Stochastic Oscillator.

Revisit the navigator of the MT4 and open the Custom Indicators below you will find the Stochastic tab. Double click upon the Stochastic tab and you will see the following: Common, Inputs, Colors, Levels, Visualization
Select the "Inputs" tab and you will see "KPeriod" double click and change the value to "14",
"Dperiod" double click and change the value to "3",
"Slowing" Change the value to "3".
Next, Select the "Colors" tab (select any 2 colors that you prefer).
Next, select the "Levels" tab (click upon the "Add" tab 4 times-thus opening 4 Level boxes
Double click upon the top level box and change the value "90",
next level below change the value "80",
next level below change the value to "20",
and final level change the value to "10"
In the Style box you will choose a color
and line type - close the box and you are ready to trade.

[king_king123]

thanks man

[jaguar1637]

Hi

Of course, this is interesting. BTW, the chart is 1 day

I am wandering if this strategy could work on 15 or 30 MN ?

rgds

[Forturama]

Normally TF should not be an issue.
You should adapt the take profit and stop loss values.

Originally Posted by jaguar1637

Hi

Of course, this is interesting. BTW, the chart is 1 day

I am wandering if this strategy could work on 15 or 30 MN ?

rgds

[JoseAGarcia]

Normally TF should not be an issue.
You should adapt the take profit and stop loss values.

and how do we suppose to do so????

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