Strategy opens positions in the direction of the trend(momentum)
during high volatility session(European and early US) and
countertrend positions during low volatility session(late US and
Asian). Trend is short-term, defined by a few hourly candles.
Additional market conditions required to trigger buy or sell signal
are based on volatility levels in the last 6, 8, 14, 17 and 23 hours.
Volatility is calculated using high/low ranges in the time frames
mentioned above. So, this trading strategy does not use any standard
analytical tool or indicator. To close positions, two approaches are
used. First one is simple - position is closed if a trading signal
for opposite position is trigered. Second approach uses direction of
the last hourly candle and current profit in pips. If the market is
going up in the last hour and a short position is opened, trade is
closed if profit in pips is higher than 10, and vice versa for long
positions. If the market is going down and a long position is opened,
trade is closed if profit in pips is higher than 10. Stop loss level
is dependent on the market volatility and it ranges from 30 to 70
pips. Take profit order is fixed at 200 pips. The calculation of the
trading volume is made on the basis of the indicated amount in the
parameters AccountEquity and Acc_leverage according to the following
formula: Lot(trading volume) = AccountEquity*Acc_leverage/1000000.
Leverage value is set to 29. Currency pair used is EUR/USD only. Time
frame is one hour.