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E+MA+CD is an exceptionally sophisticated forex trading strategy, whose main strength is the combination of the dynamics of moving averages together with the robustness of MACD. Thanks to this the strategy provides superior predictions that result in regular profits in the hundreds of pips.
Of course, the high percentage of success of predicted signals is also a matter of course, without which this strategy would surely become just another ordinary strategy among many others.
E+MA+CD can be traded in two possible ways, which are not difficult to understand, however, they require strict adherence to the established rules, which are an essential component for achieving the resulting success.
E+MA+CD - meeting the four
Setting: EMA 25 - High
EMA 25 - Low
MACD - 12,26,9
Entry conditions:
1) Waiting for EMA 25 High to break
2) Waiting for EMA 25 Low to break
3) The MACD has gone from positive to negative (sell signal) or vice versa (buy signal)
4) A candle that has broken through a lower MA(in case of sell signals)/higher MA (in case of buy signals) should have a relatively longer body which is indicative of the relative strength of the move.
The chart below shows practical examples of entries after all the above conditions are met. On the chart it is also possible to see a situation (in order second from the left) where the first three conditions were met, but the breakout candle did not have a large enough body and therefore the entry was rather not made here.
E+MA+CD - all in a snap
Setting: EMA 34 - High
EMA 34 - Low
MACD - 12,26,9
Entry conditions:
1) Waiting for EMA 25 Low(sell signal)/Waiting for EMA 25 High(buy signal) to break
2) Within the breakout candle, the MACD will change "side", either going from positive to negative and vice versa
Unlike the previous method, here both conditions need to be met within the breakout candle, only conditions met in this way provide the right signals with which to trade the longest trends (see chart below)
E+MA+CD performs best in highly trending forex markets, where it can typically exceed a success rate of 75%. However, the most important thing that gives the strategy its uniqueness is not only its success rate, but also its simplicity and the ability to trade really long and strong trends.
