Forex SEMAFOR MACD: How To Trade and Place Stop Losses Like a Pro Trader

High Accuracy Forex SEMAFOR MACD System – The Great System To Trade and Place Stop Losses Orders Effectively.  I am a big fan of the SEMFOR, great and powerful “re-painting” indicator.

So let’s start by addressing “re-painting indicators“. First – Forex prices are not static. Second, trading is not an exact science.

There are a lot of gray area’s in trading and if you cannot accept this then you are in for some painful days.

If I call you at 9 am and tell you the high printed at 1.6395 – is there any guarantee that at 9:05 there won’t be a new high?

So what is re-painting other than the indicator doing what it is supposed to do and alert you that a new high has printed.

If the semafor has painted a new high, we will be looking for an edge.

Forex-Semafor-indicator

If you enter a trade solely based upon a semafor painting – you are essentially entering trades every time a new high or low is made. If you can find an edge in doing this, more power to you and there is no need to continue reading as you are a market wizard.

So if anywhere someone complains about repainting, be prepared to be told that trading is not for you!

 

High Accuracy Forex SEMAFOR MACD System

 

Once a high semafor is painted, wait for a buy signal (red) but do nothing – instead wait for the next sell signal from filter indicators and enter short.

Use the trading system for M30 time frame or higher.

Filter Indicators
READ  High Accuracy Forex Simple Momentum Stochastic Oscillator Trading System

 

LONG Entry

Forex-Semafor-MACD-BUY

  • Lime SEMAFOR circle below the price
  • MACD Histogram blue color and above 0 level
  • RSI (8) upward above 50 level
  • Price close above upward 11 EMA line
  • Kijun Tenkan + upward above 11 EMA line
  • Mint Signal green color

 

SHORT Entry

Forex-Semafor-MACD-BUY

  • Lime SEMAFOR circle above the price
  • MACD Histogram red color and below 0 level
  • RSI (8) downward below 50 level
  • Price close below downward 11 EMA line
  • Kijun Tenkan + downward below 11 EMA line
  • Mint Signal red color

 

How To Place Stop Losses Like a Pro Trader

Take the initial stop loss 5 pips above or below SEMAFOR circle with SL:TP ratio 1:2 or 1:3 or use “ATR trailing stop loss”

Forex-Semafor-MACD-STOPLOSS

First of all, the beauty of the stop-loss order is that it costs nothing to implement. Your regular commission is charged only once the stop-loss price has been reached.

Most importantly, a stop loss allows decision making to be free from any emotional influences.

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