We put TakeProfit for the first transaction on 70-100 points, for the second transaction the rigid profit cannot be determined as this transaction will be closed only after the histogram of the AwesomeOscillator indicator changes the color for opposite.
StopLoss is fixed on 50-100 points from a point of opening of both transactions. After achievement of the profit level of at least +50 points on two transactions we transfer StopLoss to opening price.
We will ignore any signals for both transactions until they have reached profit in 50 points and have transferred Stop to profitability level. The use of the StsRoyal is important now.
Several practical notes
Strategy of Trend Finder is known as a trend strategy, but there can be various trends. In practice this technique makes profit only on strong and long movement, and in a flat it does everything to the contrary – sale on a minimum and purchase on a maximum. Therefore, even in a wide flat, after the recommended profit of 50 points it is worth fixing 30-50% of transactions and tightening a profit further by means of a trailing. In practice Stops in 50-100 points can be not profitable. Therefore it is recommended to set up them behind the level of the next max / min.
Trend finder strategy
For trade under Forex Trend Finder strategy it is necessary to choose an asset with stable volatility, without speculative bounces, and in the modern market it is difficult to find such a currency pair. At least, popular EUR / USD or GBP / USD will hardly give a stable profit.
The system really looks effective on currency pairs, but you should not forget that all three indicators of the basic strategy are oscillators. Signals on indicators are late, and there is practically no filter of ‘false’ signals in system. Without application of moving average it is better not to trade – it will help to monitor a major tendency of the market more precisely. It is better to select parameters for oscillators for a specific asset and to apply on the real account only after careful testing.
Forex Trend Finder technique is not ideal. Trading signals arise seldom, even though all of them have rather high reliability. Stable results practically on any asset are undoubted advantage of the system. Therefore, it can be used as addition to the short-term techniques. Strategy is suitable for a quiet medium-term trade and for the technically trained traders. As all medium-term strategies, it places rather great demands on the deposit to wait out possible kickbacks and speculative bounces.