EMAs and BBs Strategy

EMAs-and-BBs-strategy
EMAs-and-BBs-strategy
EMAs-and-BBs-strategy

Setup

This forex strategy requires 2 charts open simultaneously. Remember to wait till the previous 5 minute bar closes before placing a trade, or closing any open trades.

5 minute chart:

EMA (14)
EMA (21)
EMA (50)
Bollinger Bands (20, 20)

1 hour chart:

EMA (14)
EMA (21)
EMA (50)
Bollinger Bands (20, 20)

BUY Entry

5 minute chart:

EMA (14) > EMA (21)
EMA (21) > EMA (50)
EMA (50) is within the Bollinger Bands

1 hour chart:

EMA (14) > EMA (21)
EMA (21) > EMA (50)
EMA (50) is within the Bollinger Bands
Current bar is touching EMA (14) or EMA (21)
Current bar closing price is above opening price

Place a BUY trade if all the above conditions are met on both the 5 minute chart and 1 hour chart. Wait for the 5 minute bar to close before taking the trade.

SELL Entry

5 minute chart:

EMA (14) < EMA (21)
EMA (21) < EMA (50)
EMA (50) is within the Bollinger Bands

1 hour chart:

EMA (14) < EMA (21)
EMA (21) < EMA (50)
EMA (50) is within the Bollinger Bands
Current bar is touching EMA (14) or EMA (21)
Current bar closing price is below opening price

Place a SELL trade if all the above conditions are met on both the 5 minute chart and 1 hour chart. Wait for the 5 minute bar to close before taking the trade.

Exit

Exit the trade if the following conditions are no longer met on both the 5 minute and 1 hour chart:

  • EMA (14) > EMA (21) > EMA (50) for buy trade.
  • EMA (14) < EMA (21) < EMA (50) for sell trade.
  • EMA (50) is within the Bollinger Bands

    EMAs-and-BBs-strategy

    EMAs-and-BBs-strategy

Currency Pairs

EURUSD

Time Frame

5 minutes & 1 hour charts

Backtesting

link -> backtesting results

Expert Advisor

EA Builder