WPR Overbought Oversold Trading System is a scalping strategy that offers both trend-following and swing trading options. It applies multiple indicators in order to define the market trend and the overbought/oversold condition at the same time.
This system mostly depends on trends and levels of the market in order to process the trade signals. It suits with shorter time frames like M5 to M30 but applicable to trade all kinds of forex currency pairs around the market.
WPR Overbought Oversold Trading System Overview
Download and install the system on the MT4 platform and find your chart as the image below:
WPR Overbought Oversold Trading System Explanation:
- Pivots: It calculates the market pivots and demonstrates them as horizontal levels. These levels are treated as market event areas.
- S/R Levels: These support and resistance levels are plotted based on recent swing areas of the market. It helps you to locate the ideal place to enter for a trade and map the targets.
- Trend Magic: It works as a trend definer. Price moves above its level represents the bullish trend of the market and if turns below its levels then considered as bearish trend of the market.
- WPR Arrows: it shows you the possible swing areas of the market by plotting arrows around the price bars. You must filter its signal directions using other indicators of this system.
- Stochastics: It helps you to identify the overbought/oversold areas of the market. It’s value above 70 means the overbought and below 30 as oversold condition of the market.
- CCI: The Commodity Channel Index helps you to filter the market trend signals generated by Trend Magic. CCI with positive value represents the bullish trend of the market and a negative value as bearish trend of the market.
WPR Overbought: Buy Conditions
- Price rejects to move below the current Pivot & S/R Levels
- Trend Magic Turns blue
- WPR Arrows pointing upwards
- Stochastics value under 70
- CCI value turns positive
- Stop loss below the current Trend Magic Level
- Exit when the price stalls under a Pivot or S/R Level with bearish trend signals
WPR Overbought: Sell Conditions
- Price rejects to move above the current Pivot & S/R Levels
- Trend Magic Turns red
- WPR Arrows pointing downwards
- Stochastics value above 30
- CCI value turns negative
- Stop loss above the current Trend Magic Level
- Exit when the price stalls above a Pivot or S/R Level with bullish trend signals
