Forex Trading Strategy with RVI and Moving Average

A forex trading strategy in order to consider as useful and profitable must meet some specific criteria.

First and foremost should be simple with as few indicators, very clear description, and to be categorized as profitable it should identify the entry point with high accuracy.

The forex trading strategy where will describe bellow is simple with clear rules and and the forex signals whιch detect is quite profitable.

 

The forex trading strategy contains the following indicators :

• SMA(9) - Simple Moving Average at close.
• SMA(100) - Simple Moving Average at close.
• RVI(10) - Relative Vigor Index

It is not necessary to use RVI. We can use it mainly for momentum.

Timeframe

30min. and 1H chart.

Rules for buy order

When the SMA(9) crosses above SMA(100) we can put a buy order and we can use RVI as a filter when is above ‘0’ level.

Rules for sell order

When the SMA(9) crosses below SMA(100) we can put a sell order and we can use RVI as a filter when is below ‘0’ level. We have to repeate that we use RVI only for confirmation.

Exit Rules

We can close our position and also to reverse it when the SMA(9) crosses back or we can close the position when the price crosses back over the SMA(9) by 20 pips.

Profit Target

Set your profit target around to 20-30 pips.

 

Important : All investors should know that any forex trading strategy before implementing in a real account needs to be tested in a demo account in order to be fully understood.

Also, all traders should be aware that extraordinary events occurring in the forex market very often, and is likely to alter the financial results of a forex trading strategy.

                                                                   
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