432# Cobra 1 min scalping
Trading with pullback
Submit by Ermete 27/05/2014
Cobra 1 min scalping is trend following strategy based on the pullback action.
Time Frame 1 min
Currency pairs EUR/USD, GBP/USD.
The market is best to trade during the first few hours of a sessions open.
So, for each session, that would be the first few hours (3 to 5 hours) of:
London, New York.
To do this you need to place three moving averages onto your chart:
- A 34 Exponential Moving Average of the High
- A 34 Exponential Moving Average of the Low
Rules for Cobra 1 min scalping
When the channel is below EMA 200 only Sell.
When the channel is above EMA 200 only Buy.
When price is above the MAs (Moving Averages channel) we are only looking to
buy as price comes back to the Mas (channel).
(…and when price is below the Mas channel, we are only looking to sell when price
comes back to the Mas channel).
What we’re looking for when price pulls back to the MAs is for it to hold
and then show that it is going to continue.
When the price is between the channel and the moving average long-term non-trade.
Some of you may ask, “how far does price have to pull back?”...
There are no hard rules for this – but generally around the middle of the
“tunnel” of the moving average
We look for this continuation signal in terms of a strong, momentum-
in the chart you can see that there are a load of sellers coming
back into the market (long, red bearish candle) after this pullback – this is
the candle that triggers you to sell
Now – that’s really all there is to this system:
1) – Wait for pullback
2) – Enter when momentum comes into market
3) – Exit when momentum slows (or you’re not in profit within a
minute or two)