69# ADX, Parabolic Sar and three EMA Trading System

Indicators:

5 exponential Moving average, close (Blue Colour)

10 exponential Moving average, open (Red colour)

80 simple moving average set to close, (Blue colour)

Parabolic Sar set to default

ADX Indicator set to default (yellow colour, to activate the ADX indicator, you will not see ADX but you will see Average Directional Movement Index in your indicators list, click on it to activate as that is the ADX indicator) +D1 (make it blue colour) it's your buy entry signal and confirmation to enter the market

-D1 (make it red in colour) opposite of +D1, that is the sell entry confirmation.

Four Horizontal trendlines with parameters set to 10, 20, 25 and 40

The 80 SMA only serves as trend direction and resistance and support points

Parabolic Sar will serve as your trade direction alert.

ADX is the magic and the friendliest indicator that you will ever need because it has 3 in one indicator that does triple functions. ADX alone tells the strength of the market and this tells you when the market is strong for you to enter or not to enter. ADX will be telling us when the market is strong when it has risen above the 20 trendline or that the market is weak and sounding a leave it alone signal when it has moved below 20. Any Market with ADX above 40 shows that the trend is strong and profitable. ADX can also serve to indicate a divergence.

+D1 is your buy entry signal and confirmation

-D1 is the sell entry confirmation.

The four horizontal trendlines will determine when it’s safest for you to open a trade.