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200 EMA Best Forex Strategy.

Best Forex Strategy

My topics today are a very simple 200 ema best forex strategy and one that is widely used in Forex market. Many have already shared this 200 Ema strategy. I’m just sharing my best. I have tried to explain in a simple way. If there is a problem in understanding due to the complexity of the language, I will try to explain it in detail.

When a forex trader makes an entry?

I think this is it. Entry can be taken in several ways. From the signals of others, from one’s own analysis, from watching the news, and from the ups and downs of the market. No matter which way you take it, a trader has confidence in his trade. Lets strat:

Rules of 200 ema best forex Strategy:

  • Timeframe: H4 & D1
  • Indicator: Moving Average (200 EMA Close)

First, you open the day chart of your trade pair. Acquired our pair NZDUSD.

Best Forex Strategy

Take a look at the current price movement above or below the 200 EMA. The bullish movement is above and the bearish movement below 200 EMA. It is seen that the price movement of our pair is above 200 EMA and a full bullish candle has been created. Notice the circular circle. That means NZD USD is a bullish trend.

Let’s see how to trade with 200 EMA best forex strategy?

Now you see the H4 timeframe:

See H4 200 crosses EMA and creates strong bullish candles. You will be able to enter the trade once the bullish candle is finished. Of course, BUY trade.

See in this picture the price has dropped and the price has reversed by getting very close to 200 EMA.

A full bullish body has been created after two near rejections and also notice if the price of D1 is above 200 EMA. If above, take BUY. (I saw D1 was bullish at the time of writing)

Best Forex Strategy

Notice the image below:

The red point shows that the price has moved down and is going up and down. While writing this tutorial, I checked that the D1 Candle is still above 200 EMA. If the price movement of H4 gives the opposite signal of D1 then we will refrain from taking trades.

The picture shows that the signal of H4 coincides perfectly with D1 and notice that a full bullish candle has been formed.

Best Forex Strategy

The image is a rejection image and D1 is still bullish. So BUY signal.

The image is a rejection image and D1 is still bullish. So BUY signal.

Best Forex Strategy

If you look at this picture, you will understand why the trade was not taken. My question is why the trade was not taken, you say in the comments?

If you understand the writing, I hope you will find the answer yourself and be able to answer.

Best Forex Strategy

Live trade of the current price.

Why was the trade taken ?

I have tried to write the above writings quite neatly. Hope you understand. If not, ask questions and I will try to answer.

Key point in best forex strategy :

  • H4 must have a trend match with D1. Then you decide.
  • If you understand the trend by looking at W1, you will take confirmation by looking at D1. The same applies to other time-frames. However, the advice is to do it in a big timeframe.
  • Take the trade after rejection or cross.
  • Of course the movement needs confirmation. Suppose this is a strong candle body. Do not trade immediately after crossing. If you take the H4 trade, wait at least one hour. Then take the trade.
  • Stops and TP will give the next support and resistance. Of course support and resistance above or below 200 EMA. (There can be no substitute for support, resistance, and trend line)

Tips: Signals rarely come in this strategy. Therefore you can trade in major and cross pairs. If you trade in 10-15 pairs, you will get a signal in one pair every day. The advantage of trading in this strategy is that the chart can be seen clearly.

Happy trading

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