simplest forex trading stratergy

[trybuying]

I have traded forex for over 8 years, and the most important lesson I’ve learned is that simplicity always wins. If you can’t succeed on a demo account, you stand little chance of making consistent profits in a live one. One of the simplest and most effective methods I use is the moving average crossover strategy. My rule is straightforward: trade only when the slow moving average crosses the fast moving average. You can adjust the moving average settings to suit your style, but the principle never changes. With so many indicators and signals available, it’s easy to get overwhelmed. My advice is to keep your trading clean, focused, and disciplined. Simplicity reduces stress, eliminates confusion, and increases your chances of long-term success.

 

[alan5616]

You seem to be ignoring the main downfall of MA crossovers, which is that, in real time, they don't cross until several bars later. When back testing, it's easy to get fooled into believing that MA1 crossed MA2 when the price was x. In fact the real time crossover price was x + y minutes, depending on the time frame.

 

[trybuying]

You seem to be ignoring the main downfall of MA crossovers, which is that, in real time, they don't cross until several bars later. When back testing, it's easy to get fooled into believing that MA1 crossed MA2 when the price was x. In fact the real time crossover price was x + y minutes, depending on the time frame.

thank you and you have a good point but i use 3 and 7 for my moving average settings keeping it close avoids the time delay .but this stratergy must be incorpereted into the bigger picture ie the trend direction

 

[charles2]

“As alan5616 mentioned, MA crossovers are indeed a lagging indicator. I personally didn’t have much success trading them, but of course, every trader has their own strategy and what works for one may not work for another.”