SUPER SYSTEM

Overview of the Super System

The Super System is a conservative and flexible trading strategy designed to work across different timeframes, suitable for scalpers, swing traders, and long-term traders. It focuses on providing secure signals by utilizing a set of technical indicators to confirm trade entries. The system aims to minimize false signals and maximize profits through disciplined trading rules.

System Components & Indicators

  • Timeframe: Any timeframe can be used.
  • Currency Pairs: Major pairs like EUR/USD and GBP/USD.
  • Indicators:
    • 3 EMA (Exponential Moving Average) set to close price.
    • 5 EMA (Exponential Moving Average) set to open price.
    • 34 EMA (Exponential Moving Average) set to close price.
    • 89 EMA (Exponential Moving Average) set to close price.
    • 3 RSI (Relative Strength Index) with levels at 20 and 80.
    • Stochastic (5,3,3) with default settings and levels at 20 and 80.
    • 14 ADX (Average Directional Movement Index) with +D and –D line only.

Buy Rules

To enter a long (buy) trade, the following conditions must be met:

  • The 34 EMA must be above the 89 EMA.
  • The 3 RSI must cross above the 80 level.
  • The Stochastic must be above its Signal line.
  • The +D ADX line must be above the –D line.
  • The 3 EMA must cross above the 5 EMA.
  • When all these rules are satisfied, a buy trade can be opened.
  • Set the Stop Loss below the 34 EMA or the last swing low point.
  • Set the Take Profit at double the amount of the Stop Loss, or close the trade when an opposite signal is given by the 3 and 5 EMAs, 3 RSI, or ADX indicators (opposite signal: 3 EMA below 5 EMA, 3 RSI below 20, +D line below –D line).

Sell Rules

To enter a short (sell) trade, the following conditions must be met:

  • The 34 EMA must be below the 89 EMA.
  • The 3 RSI must cross under the 20 level.
  • The Stochastic must be below its Signal line.
  • The –D ADX line must be above the +D line.
  • The 3 EMA must cross under the 5 EMA.
  • When all these rules are satisfied, a sell order can be opened.
  • Set the Stop Loss above the 34 EMA or the last swing high point.
  • Set the Take Profit at double the amount of the Stop Loss, or close the trade when an opposite signal is given by the 3 and 5 EMAs, 3 RSI, or ADX indicators (opposite signal: 3 EMA above 5 EMA, 3 RSI above 20, –D line below +D line).

This system ensures disciplined trading by strictly adhering to these entry and exit rules, reducing the risk of emotional trading and increasing the probability of profitable trades.