Today we will learn about the classic trend following forex trading strategy for novice traders and learn how to use the Trend Filter indicator. This trend following indicator shows the beginning of the trend and flats with the efficiency of at least 80% and a target profit of at least 20 points.
In this review, you will find the indicator template and detailed instructions for how to use it. You will also learn how to start making money with this indicator.
Simple trend following strategy with the unique Forex Trend Filter indicator
Would you like to learn about a simple and profitable strategy based on a single indicator, which will allow you to open at least 80% of profitable positions under strict conditions?
In this review you will:
You are always welcome to ask your questions in the comments!
The trend-following strategy is a strategy of opening positions in the direction of the market price movement according to the trend indicator signal.
This means we enter the market with a buy position when the indicator gives a signal of a price increase. We sell when we get a signal of the price falling.
If the asset (the selected trading instrument, for example, a currency pair, stock, oil, etc.) grows, you assume that a growing trend has formed, and open a buy position expecting further growth.
If the price of the trading instrument has begun to decline, you open a sell position, because you assume a downtrend has formed. Trend trader always acts in accordance with the trend movement.
Trend Filter is a trend and flat indicator that gives fairly accurate and easily interpreted signals. You can use the MA as a confirmation tool.
Trend Filter is not one of the classic trends following indicator MT4, so it’s not used by everyone yet and its signals are quite effective. It is possible that in the future its formula will need to be corrected.
The essence of the strategy is to follow the classic trading rule - follow the trend and squeeze what you can out of it. To do this, you need to find its beginning and have time to open a position before the trend reverses.
The Trend Filter is quite good at this and is the best trend following indicator. The indicator opens in a separate window below the chart.
It shows the presence of a trend or flat on the market, and in the presence of a trending price movement, it shows its direction.
The main parameters of this trend following strategy:
The target profit level is 20-30 points. This is the intraday trend-following strategy, but there may be situations when trades are opened at the crossing of trading days, so do not forget about swaps. Continue reading with Litefinance.com...