Most traders assume the " trend is your friend " and trade with the main trend of the chart.
so how can we determine the direction of the trend whether it is uptrend or downtrend ?
this strategy helps you to know the exact trend.
this strategy uses two exponential moving averages ( EMAs). first one is shorter period Ema and second one is longer period Ema. you can change the EMA value.
a bullish crossover occurs when the shorter moving average crosses above the longer moving average. this is also know as a golden cross.
a bearish crossover occurs when the shorter moving average crosses below the longer moving average. this is know as a dead cross.
Here we are using 9 Ema and 26 Ema
buy rules :
when 9 Ema crosses above 26 Ema, we will buy at the high of closing candle
When 9 Ema crosses below 26 Ema , we will sell at the low of closing candle simple moving average exponential moving average smoothed moving average
Trail SL according to 26 Ema .
Keep SL and target ratio minimum 1:2
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