Free Forex Systems (MT4), Trend Following Systems

20 Pips a Day Forex Scalping Strategy

20 Pips a Day Forex Scalping Strategy comes up with an idea of crossovers in between smoothed and linear weighted moving averages for determining sustainable market trends. According to this strategy, the usual targets are 20 pips per trade. However, it has the potential to bring much more profits when used for long-term tradings.

20 Pips a Day Forex Scalping Strategy offers great flexibility in daily trading executions by allowing you to apply it for all kinds of forex currency pair trading. Besides, this strategy works on all sorts of timeframe charts within the MT4 trading platform.

20 Pips a Day Forex Scalping Strategy Overview

Complete installing the strategy on your MT4 terminal and find your chart like the image below:

20 Pips a Day Forex Scalping Strategy Overview

Also Read: Exness Review

20 Pips a Day Forex Scalping Strategy Explanation

The Scalping Strategy has been combined with two effective Moving Averages. The fastest one is the 5-day Smoothed MA and the slower one is the 144-day Linear Weighted Moving Average.

20 Pips a Day Forex Scalping Strategy Explanation

5 Smoothed MA is greater than 144 LWMA means it is a bullish crossover. On the other hand, 144 LWMA moves above 5 Smoothed MA is considered as the bearish crossover signal of the market trend.

You encounter a crossover opposite to your trade direction should be considered as a trade exit signal. For determining the stop loss areas, you may rely on the 144 LWMA levels.

20 Pips a Day: Buy Conditions

20 Pips a Day Buy Parameters
  • Price bar closes as a solid bullish candle
  • 5 Smoothed MA value turns greater than 144 LWMA
  • Buy triggers when the above conditions are met
  • Set stop loss below the current 144 LWMA level
  • Exit long/take profit whenever the strategy plots a bearish crossover

20 Pips a Day: Sell Conditions

20 Pips a Day Sell Parameters
  • Price bar closes as a solid bearish candle
  • 144 LWMA value turns greater than 5 Smoothed MA
  • Sell triggers when the above conditions are met
  • Set stop loss above the current 144 LWMA level
  • Exit short/take profit whenever the strategy plots a bullish crossover

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I have been actively trading the financial markets since April 2012. Besides trading with my personal money I am a technical analyst in a mutual fund that has Rs. 1 billion in assets under management. At my leisure, I love attending live music, traveling, and partying with friends.

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Trend Following System's goal is to share as many Forex trading systems, strategies as possible to the retail traders so that you can make real money.

Risk Warning: Trading in the forex market is very risky. Thus, it is may not be for everyone. A highly leveraged position can work against the trader when the trade does not work as expected. Trading in the forex market can cause to lose a significant portion of the capital or all of the capital. It is crucial to learn about the trading and gain enough experience in the demo account before trading with real money. The trading strategies published on this website do not guarantee profit as the market is dynamic and unpredictable. The past performance of a strategy is not the indicative of future performance. Trend Following System will not accept any kind of liability or damage caused by trading the strategies published on this website.