ATR Stops with Magic FX - trend following trading system

ATR is based on two indicators ATR Stops and Magic FX , The idea of the strategy is to generate signals to enter the market using the ATR Stops indicator and filtering with the Magic FX indicator. The system can be used on all timeframes, but the author recommends H1

We tested on 5M and 15M found the signal to be quite good, but one must respect the Pivots points and key resistance/support areas also trade during peak hours on the 5M timeframe. The download file contains pivot pints indicator and template.

The trading system is simple to understand requires some training to find your ideal timeframe. 

Chart Setup

ATR – Stop1.01
FIB – MarketHours
Magic FX Formula
Pivot_point_-_Daily_sShiftedd.
ATR Stop with Magic FX Template

Settings for indicators for M5, M15 and Hour 1

ATR Stops and Reverse indicators, depending on the timeframe used, the following settings should be applied:
For the M5 - 15 Minutes Triple moving average -TEMA, ATR Period 10
For the M15 – 30 Minutes Triple moving average -TEMA, ATR Period 10
For the H1 – H4 Triple moving average -TEMA, ATR Period 10
Magic FX use default settings

Lower indicator in the chart is the Market Hour information is there to confirm the current trading session useful when trading 1 Hour timeframe

Chart Timeframes : 5M 15M 1H recomended
Target Pips : 5M 10pips, 15M 20 pips 1Hour.
Pairs : Works on any pair recommend are GBPUSD, USDJPY, EURUSD 
Trading Times : Tokyo Open, London open and New York open is the best time to open the trades, 
Exits : The exit should be based on the indicators and major support and resistance areas
Metatrader Version : 4

ATR Stops with Magic FX - trend following trading system
ATR Stops with Magic FX - trend following trading system

How to use the system

Settings for indicators for M5, M15 and Hour 1
ATR Stops and Reverse indicators, depending on the timeframe used, the following settings should be applied:
For the M5 - 15 Minutes Triple moving average -TEMA, ATR Period 10
For the M15 – 30 Minutes Triple moving average -TEMA, ATR Period 10
For the H1 – H4 Triple moving average -TEMA, ATR Period 10
Magic FX use default settings
Lower indicator in the chart is the Market Hour information is there to confirm the current trading session useful when trading 1 Hour timeframe

Buy Order

1. Green line from the ATR Stops
2. A Blue Vertical line from the Magic FX

Sell Order

1. Red line from the ATR Stops
2. A Red Vertical line from the Magic FX

Stop loss is recommended at 2 pips from the ATR Stops Indicator line

Take Profit is set as next level of resistance / support or when opposite signal appears

The trading system is simple to understand requires some training to find your ideal timeframe  

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