M1 (1 minute)

Currency Pairs: EUR/USD, GBP/USD, AUD/USD, however, any other pair with low spreads can be used. Low spreads are essential because of the low timeframe we will use, otherwise, a big spread will just eat our profits.

Indicators:

• 100 Exponential Moving Average (EMA) - set to the close price.
• 50 EMA - set to the close price.
• Stochastic Oscillator with default settings - %K period = 5, Slowing = 3, %D period = 3, Price field = Low/High, MA method = Simple and with levels at 20 and 80 (default).

Long Entry Rules

• The 50 EMA must be above the 100 EMA.
• We wait for the price to retrace back to the EMAs.
• The Stochastic Oscillator must cross above the 20 level from below.
• As soon as all the conditions above are met, we can open a buy order.

Short Entry Rules

• The 50 EMA must be below the 100 EMA.
• Wait for the price to retrace back to the EMAs.
• The Stochastic Oscillator must cross below the 80 level from above it.
• As soon as all the conditions above are met, we can place a sell trade.