Koala Forex Trading System

Koala forex system is an easy forex method, even for a beginner in forex trading can also do this forex method. Koala forex strategy based on trend follower sytem, using several indicators of Moving Average. This method will prevent traders to enter the market against the market trend and increased their success in forex trading.

Now let us see how to do the settings in your metatrader. And rules should you do for this forex strategy that can bring you to success in forex trading.


1. Deploy 3 Moving Averages indicator on the chart. Parameters are

• Smoothed
• Applied to Median Price ( High + Low / 2 )
• Period of 3 ( Red ) , 6 ( Green ) , 9 ( Blue )

These  3 Moving Average give us our primary indicators.


2.  Next deploy 2 moving averages on the chart. Parameters are

First Moving Average:

• Exponential
• Applied to Closing Price
• Period of 200 ( Black )

Second Moving Average

• Smoothed
• Applied to Median Price ( High + Low / 2 )
• Period of 50 ( Brown )

This two moving averages will serve as our secondary indicators.


Koala Forex Trading Rules

While you can use any value for your stop loss and take profit, in view of proper risk and reward ratio and money management, recommended sets are

• 30 SL 30 TP ( Normal )
• 50 SL 50 TP ( Challenging )
• 30 SL 50 TP ( Very challenging )

The more challenging the values are, the more precise your entries should be.



Buy or sell opportunity will surface when

• Primary indicators becomes parallel towards the direction of the trade
• Brown secondary indicator is in the same direction and is not turning in towards the primary indicators. This functions as an immediate support or resistance warning too as the price often react to the moving average
• Black secondary indicator is not near the price action and hence not a potential strong support or resistance

Exceptional conditions

As the system relies heavily on trends, there are certain market conditions that will affect the performance of the system greatly

• Low trading volume conditions resulting in no trends
• Excessive flipping of the price action due to volatility
• Major economic events resulting in unexpected spikes and momentum
• A major support and resistance / trend line is not in the immediate region of the momentum.

Learn More abot Forex strategy at www.babypips.com

1-2-3-4 Forex Trading Method

1-2-3-4 Forex Trading Strategy is a simple strategy almost equal to the forex system 123, but with an additional step that is point 4. A typical 1-2-3-4 chart pattern is best traded after a strong currency pair up - or downtrend and can be defined by an easy set of trading rules. A trader can confirm the reversal trade using a technical indicator such as DMI or MACD.

Some traders said that this forex strategy has a good success rate in reading the direction of the market price. Recommended to apply this forex strategy on 1H chart or greater and avoid to use it on smallerr time frame.


1-2-3-4 Basic Rules for Short Trades

• Point 1: The high in an up trending currency market.
• Point 2: A downward correction in the up trend, the lowest bar in the correction before the price moves back up to point 3.
• Point 3: The high in the move up from Point 2 but a failure to make a new higher high (Point 1).
• Point 4: Go short 1 pip below point 2

 
1-2-3-4 Basic Rules for Long Trades

The reverse is true when applying these basic rules for long trades but now:

• Point 1: The low in a down trending currency market.
• Point 2: An upward correction in the downtrend, the highest bar in the correction before the price falls back up point 3.
• Point 3: The low in the move down from Point 2 but a failure to make a new lower low (Point 1).
• Point 4: Go long 1 pip above point 2

1-2-3-4 Up Forex Reversal Strategy using MACD 

1. Trade this reversal pattern only after a strong downtrend
2. Place points 1,2 and 3 on your chart
3. Place a BUY order 1 pip above 2
4. Confirm the trade using the MACD indicator (or another); the MACD must signal a buy or in buy mode already.
5. Target level: Calculate the distance between 2 and 3; if for example the distance between 2 and is 50 pips, than 50 pips is your target level.
6. Place your stop 1 pip below 3

1-2-3-4 Down Forex Reversal Strategy Using DMI

1. Trade this reversal pattern only after a strong up trend
2. Place points 1,2 and 3 on your chart
3. Place a SELL order 1 pip below 2
4. Confirm the trade using the DMI indicator (or another); DMI must signal a sell or in sell mode already.
5. Target level: Calculate the distance between 2 and 3; if for example the distance between 2 and 3 is 250 pips, than 250 pips is your target level.
6. Place your stop 1 pip above 3

Source: www.aboutcurrency.com

Isakas Ashi Forex Strategy

Isakas Ashi by Kuskus Oosentogg Forex strategy is based on trend forex system. Its trade approach relies on the EMA 4 and 24 crossover. And then confirm the cross with the histogram and the heiken ashi indicators. This forex srategy works with almost pairs, and you need to use it on the M30 or H1 timeframe. You can use higher timeframes if you want but not for lower timeframes.

Download: Isakas Ashi Indicator

The entry rules are easy and clear to spot on the forex charts.

Open SHORT(SELL) position when:

1. The EMA 4 crosses BELOW the EMA 24
2. Histogram is RED
3. Heiken Ashi is RED
4. When ZigZag makes a new HIGH (peak)

Open LONG (BUY) position when:

1. The EMA 4 crosses ABOVE the EMA 24
2. Histogram is GREEN
3. Heiken Ashi is GREEN
4. When ZigZag makes a new LOW (valley)

Stoploss, you should use the previous HIGH (Peak) as your stoploss for your short trades and use the LOW (valley) as your stoploss for your long trades.

For the takeprofit, I suggest you use a trailing stoploss of 15-20 pips for slow pairs and 30-40 pips for pairs that move much more like the gbpusd. You can also takeprofit whenever the trades reach a fixed pips in profit, then re-enter again and again. There are numerous approach which is possible regarding the takeprofit but I am not able to cover them here.

This system is very easy to use but you will need some practice with it in order to get acquainted with the system. Hope you will be making some pips. Enjoy your trading. -www.fxfisherman.com-