14# Bullish Engulfing" and "Bearish Engulfing pattern trading system

Candlestick pattern forex strategy

Submit by Janus Trader 18/04/2013

Time Frame 15 min or higher Works best on the highs time frames.

Currency paira:any

Metatrader Indicator

Engulfment pattern

SMA1

SMA20

Look out for bullish or bearish engulfments.

I reproduce the classic engulfment patterns in Figure.

Entry:

For bullish engulfments: buy at market price when

the white body of the current bar exceeds the high of the last dark-bodied bar (see below) and SMA1>SMA20.

For bearish engulfments: sell at market price when the current dark body of the current bar goes lower then low of the last white-bodied bar. (see below) and SMA1>SMA20.

Stop Loss: 3 pips above or below entry bar.

Profit Target Exit: ratio 1.1 Stop loss or discretionary.

In the pictures Bullish Engulfing" and "Bearish Engulfing pattern forex system in action.

Share your opinion, can help everyone to understand the forex strategy.

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Comments: 3

#1
chamane (Tuesday, 07 April 2015 19:21)

You can add a 50 sma as a buy/sell line to filter out a few bad trades.
#2
jennifer martin (Monday, 29 August 2016 00:45)

if you want to spread this around, do not force people to use the windows app store to get at the above indicators. not all so called modern stuff is better. a simple download is sufficient.
#3
shaan (Wednesday, 31 May 2017 12:05)

well it's really good strategy,
but i didn't understand SMA1 ? why did you put SMA1 .. could you please explain .