662# Channel Scalping

Submit by Dimiti

Channel Scalping is a simple trading system for Metatrader 4 based on Donchian Channel. The strategy style is a chennel breakout filtered. The signals are generated by the breaking of the relative highs and lows, but not all the breaks are taken. The system as mentioned is very simple and clear and is based only on two indicators: the channel indicator and the timing signal indicator to enter the market. 

Time Frame 1 minute, 5 minutes, 15 minutes, 30 minutes, 60 min.

Currency pairs: preferably volatile, but also suitable for commodities and indices.

The Channel Scalping system generates few operations because the signal algorithm is quite filtered so for these characteristics it can be suitable for Dynamic Heging.

Metatrader 4 indicators.

Donchian Channel period 50.

Channel Arrow the main indicator ( trend 6 period, filter 25 peruiod).

Simple Moving Average 13 period, close (optional).

Trading rules Channel Scalping

Buy

Buy arrow for long position.

Place initial stop loss below the channel.

Apply also the move stop loss if gain.

Profit target minimum ratio initial stop loss 1:1 .

Sell

Sell arrow for short position.

Place initial stop loss above the channel.

Apply also the move stop loss if gain.

Profit target minimum ratio initial stop loss 1:1 .

This strategy is suitable for applying Martingale with multipliers from 1.1 to 1.8. So there is a lot of elasticity for aggressive money management.

Being very simple this strategy is suitable for beginners.

In the pictures channel scalping in action.

Telegram Channel https://t.me/freeforexresources

Share your opinion.