Comments for https://ctrader.com/products/438
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Comments for: https://ctrader.com/products/438
- FForex_Systems
Direct recommendation:
- Use major, liquid pairs: EURUSD, USDJPY, GBPUSD, AUDUSD, USDCHF, USDCAD.
- Avoid indices, equities, bonds, and cryptocurrencies. Also avoid exotic or illiquid FX pairs like USDTRY, USDZAR, USDMXN.
- If volatility rises, increase the first stochastic timeframe to H4 to filter noise.
- Do not trade assets without clear mean reversion. The stochastic works best in ranging FX and worse in heavy tailed trending markets.
- Avoid trading during high impact news and when spreads widen.
Rationale:
Major FX has high liquidity and more stable ranges due to central bank management. The stochastic is a mean reversion indicator. It underperforms in markets with positive kurtosis and explosive trends.
Assumptions:
Strategy is mean reversion using the stochastic.
You trade intraday on H1 to H4. - NIn reply tosystem⬆:NewsTradeHawk
Any pairs/symbols you recommend or advise avoiding?