122# 15 min MTF Trading System

15 min trading

Submit by Janus Trader 22/02/2012

 

Set The Indicators:

The following are the indicators we are going to use.

1) EMA

2) MACD

3) CCI Indicator

4) Stochastic Indicator

60 min chart setup

Setting Moving averages:

You need to set three moving averages. For all the moving averages use enough widths to see them

clearly.

First Moving Average:

Period – 12

Shift – 0

MA Method – Exponential

Apply to – close

Color – Red

Second Moving Average:

Period – 24

Shift – 0

MA Method – Exponential

Apply to – close

Color – Turquoise

Visualization – Hourly Chart

 

Third Moving Average:

Period – 13

Shift – 8

MA Method – Smoothed

Apply to – Median Price (HL/2)

Color – MediumBlue


15 minutes trading
Trading System
15 minutes trading.pdf
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Set 15min Chart

Setting MACD:

Parameters:

Fast EMA: 12

Slow EMA: 26

MACD SMA: 9

Apply to: Close

Don’t use fixed min. and fixed max.

 

Once you set the MACD as mentioned above you will see the chart as follows. And you will see the

MACD indicator only on hourly chart as you set the visualization to hourly chart only.

 

Setting CCI:

From the navigator window drag and drop the CCI indicator on the chart window and set the following

values.

Parameters Tab:

Period – 14

Apply to – Typical Price (HLC/3)

Color – Any color you want

Do not use fixed minimum and fixed maximum.

 

Setting Stochastic Indicator:

From the navigator window drag and drop the Stochastic indicator on the chart window and set the

following values.

Parameters Tab:

%K period – 5

%D Period – 3

Slowing – 3

Price field – Low/High

MA method – Simple

Fixed minium – 0 (Check the checkbox)

Fixed maxium – 100 (Check the checkbox)

 

Once you set all the above indicators as explained, you will see the moving averages andMACD on the hourly chart and not on the 15 min. chart. You won’t see the Stochastic andCCI indicators on the hourly chart but you will see them on the 15 min. chart.

The following is how the hourly chart and 15 min. chart look like.

 

How to trade:

Go to the hourly chart and observe the trend.

Uptrend: If the red line is above the Turquoise line and if the Turquoise line is above the Medium Blue

line that means the trend is upwards.

Downtrend: If the Red line is below the Turquoise line and if the Turquoise line is below the Medium

blue line that means the trend is downwards.

If the trend is upwards enter only long trades. If the trend is downwards enter only short trades.

15 Min. Trading Strategy for Long Trades:

1) Make sure that the trend is upwards (Red line is above the Turquoise line and the Turquoise line

is above the Medium Blue line)

2) Make sure that the histogram bars are above the zero line.

3) Make sure that Signal line in MACD does not leave the histogram bar.

 

In the above picture check the vertical red lines that I have drawn. In between the red lines the MACD

histogram bars are above the zero line and the red signal line of MACD did not leave the histogram bars.

Now go to the 15 min. chart. On the 15 min. chart

1) Observe the CCI indicator. Wait for the CCI line to fall below ”-100” level.

2) Once the CCI is in the oversold region observe the Stochastic indicator.

3) Wait for the Stochastic moving averages to cross each other at this point.

4) Once the Stochastic moving averages cross each other enter a long trade.

Check the following picture which shows the 15 min. chart for the above indicated hourly chart.

 

In the above picture check the vertical red lines that I have drawn. In between the red lines the MACD histogram bars are below the zero line and the red signal line of MACD did not leave the histogram bars.

Now go to the 15 min. chart. On the 15 min. chart

5) Observe the CCI indicator. Wait for the CCI line to raise above ”100” level.

6) Once the CCI is in the overbought region observe the Stochastic indicator.

7) Wait for the Stochastic moving averages to cross each other at this point.

8) Once the Stochastic moving averages cross each other enter a short trade.

Check the following picture which shows the 15 min. chart for the above indicated hourly chart.

 

In the above 15 min. chart the CCI raises above the 100 line two times. At this point once the Stochastic moving averages cross each other enter a short trade. The overbought regions of the CCI indicator are indicated by blue circles in the above chart and the point of entries for the short trade are indicated using blue lines.

Stop Loss and Take Profit:

Once you enter a long trade or a short trade, use a take profit of 25 pips and a stop loss of 40 pips. Observe the MACD in the hourly chart and if the red signal or the MACD leaves the histogram bar exit the trade with little profit.

 

 

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