Hello friends,
I have secured 2nd position in Strategy Contest in May 2022. This strategy is mostly profitable through out the year. And earlier It helped me to win first prize, second prize in July 2021 and 9th prize in the contest , 4th prize in Dec 2021.
Below is the detailed description of Strategy's logic.
The time frame of strategy is 5 minutes. The instrument is EUR/USD. Logic is, the strategy will identify overbought and oversold conditions on 5 minutes candlestick charts and then will check for trend reversal and accordingly it will open a particular trade.
Details of Logic are as follows.
I have used two Bollinger Bands indicator. One with time period 20 and second is with time period 26.
The main focus is on Bollinger Band with time period 20. The strategy will check if 5 minutes candle is closed below lower level or above of upper level of Bollinger band. Then it will compare the values of two Bollinger Bands. Values should be rising over one another for buy trade and values should be falling over one another for sell trade.
Trade Execution points are as follows.
Buy Trade
1. 5 minutes candle should close below lower band of Bollinger Bands of 20 periods.
2. Value of lower Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be greater.
3. Value of middle Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be greater.
4. Value of upper Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be greater.
5. Means Bollinger bands of 20-period previous values should be higher compared to 26 periods Bollinger Band.
Showing a slow down of current trend.
Check out the image Below
Sell Trade
1. 5 minutes candle should close above the upper band of Bollinger Bands of 20 periods.
2. Value of upper Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be lower.
3. Value of middle Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be lower.
4. Value of upper Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be lower.
5. Means Bollinger bands of 20-period previous values should be lower compared to 26 periods Bollinger Band.
Showing a slow down of current trend.
Check out the image Below
So this way strategy opens a buy and sell trade when conditions satisfy on 5 minutes time frame.
I have added another component when profit loss of current positions moves beyond 3 pips strategy closes a position . The actual target is of 12 pips and the stop loss is of 200 pips.
Friends you can use it with some modifications if you like it. I always appreciates, Dukascopy Strategy Contest for giving us opportunity to win in contest and start live trading. Thank you Dukascopy Team.
I have secured 2nd position in Strategy Contest in May 2022. This strategy is mostly profitable through out the year. And earlier It helped me to win first prize, second prize in July 2021 and 9th prize in the contest , 4th prize in Dec 2021.
Below is the detailed description of Strategy's logic.
The time frame of strategy is 5 minutes. The instrument is EUR/USD. Logic is, the strategy will identify overbought and oversold conditions on 5 minutes candlestick charts and then will check for trend reversal and accordingly it will open a particular trade.
Details of Logic are as follows.
I have used two Bollinger Bands indicator. One with time period 20 and second is with time period 26.
The main focus is on Bollinger Band with time period 20. The strategy will check if 5 minutes candle is closed below lower level or above of upper level of Bollinger band. Then it will compare the values of two Bollinger Bands. Values should be rising over one another for buy trade and values should be falling over one another for sell trade.
Trade Execution points are as follows.
Buy Trade
1. 5 minutes candle should close below lower band of Bollinger Bands of 20 periods.
2. Value of lower Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be greater.
3. Value of middle Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be greater.
4. Value of upper Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be greater.
5. Means Bollinger bands of 20-period previous values should be higher compared to 26 periods Bollinger Band.
Showing a slow down of current trend.
Check out the image Below
Sell Trade
1. 5 minutes candle should close above the upper band of Bollinger Bands of 20 periods.
2. Value of upper Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be lower.
3. Value of middle Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be lower.
4. Value of upper Band of 20 periods Bollinger Bands one candle before compared to 26 periods Bollinger Bands current one should be lower.
5. Means Bollinger bands of 20-period previous values should be lower compared to 26 periods Bollinger Band.
Showing a slow down of current trend.
Check out the image Below
So this way strategy opens a buy and sell trade when conditions satisfy on 5 minutes time frame.
I have added another component when profit loss of current positions moves beyond 3 pips strategy closes a position . The actual target is of 12 pips and the stop loss is of 200 pips.
Friends you can use it with some modifications if you like it. I always appreciates, Dukascopy Strategy Contest for giving us opportunity to win in contest and start live trading. Thank you Dukascopy Team.