97# SMA Crossover Trading System

Submit by Joy22 (Written By Luca De Wilde)

 

The simple moving average crossover forex strategy is one of the most used trend following strategies among currency traders. 

Forex Chart Setup 

Preferred Time Frame's: 1 hour and above 
Trading Indicators: 5 exponential moving average (EMA)200 simple moving average (SMA) 
Recommended Trading Sessions: Euro and Us 
Currency Pairs: Any 

How the strategy works 

1) Buy when the EMA 5 crosses the SMA 200 from below. 
2) Sell when the EMA 5 crosses the SMA 200 from above. 
3) Place a stop loss below the most recent level of support for buys and above the most recent level of resistance for shorts.


Take Profit Ideas 

1) Exit the trade when the two moving averages crosses in the opposite direction of the original buy or sell signal. 
2) Go for X pips. (for example 100 pips) 
3) Buy two lots and sell the first 
for risk-to-reward 1:1 and the second half for risk-to-reward 1:2. 
4) 
Use a trailing stop loss

How to increase your chances of success trading the forex moving average crossover?

Determine 
the overall trend on a higher timeframe and trade only in the direction of the overall trend. For example, is there a strong up trend on the daily chart? Take only long positions on the 1 hour chart. Avoid trading against the trend.

Euro/Dollar 1 Hour Chart Example

 

Share your opinion, can help everyone to understand the forex strategy.

Comments: 1
  • #1

    Abhijit (Sunday, 23 August 2020 13:58)

    Pls send this strategy

EMA (Exponential moving average) Forex Strategies

25# EMA's Band Scalp - Forex Strategies - Forex Resources - 

4# Cross EMA - Forex Strategies - Forex Resources - Forex 

84# 5 EMA and 13 EMA Fibonacci Numbers - Forex Strategies ...

40# MACD, RSI, 50 Ema and Pivot Points - Forex Strategies - 

35# 100 EMA MultitimeFrame - Forex Strategies - Forex Resources

Ema Metatrader Indicator - Forex Strategies - Forex Resources ...

69# ADX, Parabolic Sar and three EMA - Forex Strategies - Forex

12# Ema, stochasticand RSI - Forex Strategies - Forex Resources

50# Williams % R , Stochastic and EMA - Forex Strategies - Forex

155# EMA CROSS RSI with Digital MACD - Forex Strategies - 

72# EMA's, RSI and Stochastic - Forex Strategies - Forex 

65# 100 'EMA and MACD “4H Strategy” - Forex Strategies - Forex

76# EMA's Retracement - Forex Strategies - Forex Resources ...

15# Ema Bands - Forex Strategies - Forex Resources - Forex ...

108# EMA's and RSI - Forex Strategies - Forex Resources - Forex

32# 4 EMA and Channel - Forex Strategies - Forex Resources ...

85# Ema's with Trading Range - Forex Strategies - Forex 

126# 200 EMA Forex Strategy – - Forex Strategies - Forex ...

9# 6-12 EMA's - Forex Strategies - Forex Resources - Forex 

96# EMA Cross - Forex Strategies - Forex Resources - Forex ...

6# Two Ema and MACD - Forex Strategies - Forex Resources ...

70# 3EMA'S - Forex Strategies - Forex Resources - Forex Trading

322# Channel 50 EMA two methods - Forex Strategies - Forex ...

83# 3 EMA's Forex Trading System - Forex Strategies - Forex ...