A Two Moving Average and Engulfing Pattern Forex Strategy

Summary

This trading system description combines two moving averages with an engulfing pattern and describes use of stop losses, take profits, and trailing exits. It is presented for major forex pairs and Nasdaq stocks, with the author also mentioning hourly charts. The listed controls include fast and slow moving average settings, trade limits, position sizing, and options to close positions when the trend turns against the trade. Several additional settings govern basket profit and loss thresholds, equity controls, trailing stops, and break-even behavior.

Key ideas

• The strategy combines two moving averages with an engulfing pattern.
• It includes fixed and trailing exit controls, with optional break-even behavior.
• Settings cover position size, maximum trade count, and equity-based drawdown controls.
• The description offers many configurable risk protocols but no backtest results or evidence of performance.
• The material recommends trying the system in a demo environment before live use.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.