Momentum trading strategy

Strategy setups

🟢Instruments: any

🟢Indicators: Relative Strength Index (RSI), Moving Average Convergence Divergence (MACD) with the default settings.

🟢Timeframe: H1 - H4

🟢Risk management rules: 2-5% as margin from the overall balance

🐂 Rules for a long entry

🔢 Spot a moment when the RSI is below 30, and the MACD signal line is above the histogram line.

🔢 Wait until the RSI rises above 30 and the MACD signal line falls below the histogram line.

🔢 Enter a buy trade.

🔢 Set take profit at the resistance level or when a “sell signal” occurs.

🐻 Short entry rules are fully inverted!