daily-forex-strategy-with-rsi

Daily Forex Strategy With RSI Indicator

Indicator

Daily Forex Strategy With RSI Indicator

A simple yet profitable strategy to trade the daily charts. It’s made up of the RSI indicator and a custom built EMA trend indicator. This strategy requires patience and can be used for larger profit targets ( even up to 1000 pips).

Chart Setup

Indicators: RSI (6), EMA_Trend_Indicator
Preferred time frame(s): daily
Trading sessions: Any
Preferred Currency pairs: Any

Download

Download the Daily Forex Strategy With RSI Strategy for Metatrader 4.

EUR/USD Daily Chart

daily-forex-strategy-with-rsi

As shown in the illustration above, EUR/USD price trades above the EMA trend indicator and the RSI goes back above the 70 level from below 30. Both trading conditions are fulfilled and we buy the EUR/USD pair. Click the chart to enlarge.

Trading Rules

Buy Rules:

  • Condition 1: Price above the EMA_Trend_Indicator
  • Condition 2: RSI (6) back above 70 from below 30

Execute buy order with stop-loss below the previous swing low.
Scaling out: Take 50% partial profit at risk-to reward 1:1 and the rest at 1:2 or at previous swing highs (trail your stop up).

Sell Rules:

  • Condition 1: Price below the EMA_Trend_Indicator
  • Condition 2: RSI (6) back below 30 from above 70

Execute sell order with stop-loss above the previous swing high.
Scaling out: Take 50% partial profit at risk-to reward 1:1 and the rest at 1:2 or at previous swing lows (trail your stop down).

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