The strategy is based on identifying overbought and/or oversold
moments for the market entry. To do this, momentum indicators like
RSI
and ADX are used. At the same time, it is verified that the market in
the long and medium term has a compatible trend with the entry type
(BUY/SELL), for this purpose different moving averages are used with
varying timeframes (1 hour, 4 hours & daily). The strategy is
multi-instrument, this version is using the EUR/USD & EUR/JPY pairs,
but future version could use more & different pairs. The strategy
uses
money management to determine the trade volume, but allows the entry
of a fixed volume thus disabling money management. Finally, the
strategy also uses a martingale to try to recover from a loss. The
StopLoss:TakeProfit ratio is 9:1 unless the martingale is enabled.
The
strategy was designed exclusively for the Dukascopy Strategy Contest
in April 2014, so will not work correctly in a different period.
Remember that the use of a copied strategy violates the (4.d) section
of the official contest rules (RCR)