Strategy Nomad Forex
Since the market is constantly becoming more complicated, many new Forex strategies are also becoming more difficult, it is unlikely to work out to settle them without experience and good baggage of knowledge. But there are also those that the novice will be able to take advantage of - for example, the Nomad strategy. It does not require knowledge of complex algorithms or cumbersome cunning from a dozen indicators, it is enough only to be able to add a pair of indicators built into the platform to the graph.
In order to work on this forex trading strategy, first it is necessary to determine the general direction of the trend line, and then to follow it, focusing on different time schedules. However, we do not need additional myforex indicators because the standard МТ4 set already contains the necessary ones. Although with a superficial assessment the strategy will seem very simple, it is worthy to claim autonomy. After all, Nomad 's strategy adheres to one of the most important principles of weekly trading system: always work only on a trend and do not trade against.
How do I trade by strategy?
Nomadic forex trading strategy involves three tools: two moving averages and an RSI indicator. The moving averages will have periods of 5 and 12, are painted in different colors and are rated by the closure of the Japanese candle. When setting up the RSI, we set the period 20, levels 20, 80 and 50 (the last level is set manually because it is not standard). Adding levels is simple - on the Levels tab, click Add. Now we begin to identify the signals.
Nomadic Forex 's strategy differs in that it involves opening a deal solely on strong and confirmed signals duplicated on several timeframes. If there is at least one contradiction, the transaction must be cancelled.
As mentioned above, you can only enter the deal by trend. First we go to the D1 and determine the general direction. If the upward trend is red moving average exceeds blue; If the descending line is red, respectively, below blue. To determine the strength of the trend, we will need an RSI, its signal line must be above 50 with a growing trend and below 50 with a falling trend.
After a simple definition of the global trend, we move to Н4 and wait for a duplicate confirmation so that the data fully coincides. Then we repeat the action with the Н1. When the same picture is seen on all these timeframes, then it is time to open the deal in the direction of the trend.
The most favorable situation is when on the D1 and Н4 directions coincide, and on the Н1 confirmation just starts to draw and RSI switches in the right direction.
Stop loss for Nomad strategy
To determine the protective warrant, take the value of the candle, which is the previous before the signal. As the graph moves in the desired direction, it is possible to change the stop loss, both using the trailer stop function and in manual mode.
The use of teak-profite in this strategy is not envisaged, because to close the deal we use RSI readings on the Н1: wait for the signal line to move to the overbought/resale zone and then close the deal as soon as the line starts to leave these zones? Because such a change indicates an impending trend change.
At first it may seem that the strategy of Nomadic myforex is a primitive development, but in reality, here only the principle of "everything genius - simple" is observed. That is, the trader merely adheres to the trend - it is already one of the postulates of successful trade. It is worth noting that the strategy has already been tested and boasts numerous positive results.