As the name says, the 20-pips GBPJPY forex scalping strategy is for scalping the forex GBPJPY currency pair during the market London and New York Forex Trading Sessions.
MT4 Timeframes: 5 minutes
MT4 Indicators: 25 forex Exponential Moving Average
Buy/Sell Signal: Bullish/Bearish chart Pin Bar
Ok, with this forex scalping strategy, when you see the price moving above the 25 EMA, it is an uptrend.
If the price moves below the 25 EMA, then the trend is going down.
Also, note the angle of the 25 forex EMA inclined from the horizontal:
- If it is at 30 degrees, that also indicates a good trend.
- If it is flat, then it means that a non-ranging market is one where the price is consolidating and not moving anywhere up or down at all. You should avoid trading in such a situation as you will get too many false entry signals and have your stop loses(SL) hit time and again.
Buy Trading Rules
- The angle of moving average is 30 degrees and above.
- the price must be moving above the forex 25ema line
- A bullish chart pin bar is your buy signal: buy at the market price once that bullish pin bar closes.
- place stop loss at least ten pips under the low of the pin bar
- Take profit target is 20 pips.
Sell Trading Rules
- The angle of the forex moving average is 30 degrees, and above
- price must be moving below the forex 25ema line
- a bearish pin bar is your sell signal: sell at the market price once that bearish pin bar closes.
- Place stop loss at least ten pips above the high of the chart pin bar.
- Take profit(TP) target is 20 pips.
Advantages of 20 Pips GBPJPY MT4 Forex Scalping Strategy
- Forex GBPJPY is a very volatile currency pair, and in a day, it can move between 100-200 market pips which can give you many opportunities to the scalp in a day
- In a solid trending market, this system can perform very good.
- Instead of just relying on the chart pin bar as the buy or sell signal, you can incorporate other forex reversal candlestick patterns to at least have not only one entry signal to watch for but a handful.
Disadvantages of 20 Pips MT4 GBPJPY Forex Scalping Strategy
- This scalping system will perform poorly in ranging or non-trending markets.
- Avoid trading during the Asian trading session as it is a prolonged market, and the price does not move as much. Just trade on MT4 London and New York Session.
Read More: Best NON-Repaint MT5 Indicator FREE Download
hello, can this strategy also work on the MT5?
Where’s the download link???