Heiken Ashi + MACD = SCALPability

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Old Feb 11, 2010, 9:01pm   #1
 
lbranjord's Avatar
Joined May 2008
Lightbulb Heiken Ashi + MACD = SCALPability

Hello all,

I'm by no means a professional trader. I do trade stocks, mostly for dividends, but my Forex skills are largely untested outside of the gaming accounts.

Here is my current strategy that is doing well in Oanda's FXGame.

INDICATORS/CHARTS USED:
Use Heiken Ashi candlesticks on default setting (not sure what Oanda's is)
Use MACD with Defaults or whatever you're comfortable with
Use 3hr, 1hr, 30min, 15min, 5min, 1min chart
Pairs - Use any pair, but look for the low spreads. Per usual, works best with EUR/USD
Profit & Stop Loss at 10pips (so it relies on a great deal of accuracy finding the trend, need to win 2 to 1)

THE STRATEGY:
The time periods are a bit overkill, but that keeps me out of weak trends.

* 3 hour chart must show at least 2 completed bars in the direction of your trade
* 1 hour chart must show at least 3 completed bars in the direction of your trade
* 30 min chart must show at least 3 completed bars in the direction of your trade
* 15 min chart must show at least 3 completed bars in the direction of your trade
* 5 min chart must show at least 1 completed bar in the direction of your trade
* 1 min chart must show at least 1 completed bar in the direction of your trade & the current bar must be indicating bullish or bearish (matching your proposed trade)

*After defining the trend so thoroughly, I use MACD for Confirmation and to help watch for any reversals that can ruin the trade.

*Make sure MACD Histogram shows two vertical bars in the direction of your trade (this can include the current bar) & watch for EMA crosses (judgement call on your part)

PROFIT & STOP LOSS
Set both to 10pips

EXCEPTIONS:
If you see a reversal on the horizon, or if you see that your trade is not triggering the take profit like it should, close it out. Snatch that money!

So far I have been profitable with this, but it's going on a whole 2 days lol, so I don't trust it just yet. Anyone have some pointers or things to optimize this plan? Maybe some reasons why it's good? Or Terrible? Thanks all!
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Old May 17, 2012, 1:40pm   #2
 
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Joined Jul 2011
Re: Heiken Ashi + MACD = SCALPability

no chart...
not sure if i understand you
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