You can now download the Magic Dot Forex Scalping Strategy for free on AtoZ Markets indicators gallery.
Magic Dot Forex Scalping Strategy based strategy that pinpoints the exact turning points of price. It has high accuracy, it almost has zero lag on the reversal points. This allows us to enter the market at a point wherein there is still so much room to move, giving us the benefit of riding the whole move.
Currency Pair: any
Trading Session: any
How to trade with Magic Dot Forex Scalping Strategy?
This indicator basically plots red dots to signify that price is being pressured to go up. This acts as our buy signal. On the other hand, blue dots are plotted to signify that the market is being pressured down.
The Buy Setup – Entries, Stop Losses & Exits
- As soon as we see a red dot plotted on the chart, we enter a buy order.
- The stop loss would be just a few pips below the latest swing low. Often, due to the accuracy of the indicator, the swing low would be the signal candle itself. In this case, the stop loss would just be a few pips below the signal candle.
- The trade will be manually closed as soon as the blued dots appear, as this an indication that price may already reverse.
- The chart below shows how profitable this strategy could be. The yellow lines are the entry prices, red lines are the stop losses, and the green lines are the exits that should be in profit.
The Sell Setup – Entries, Stop Losses & Exits
- As you might have noticed, the blue dots signify possible bearish reversal of price. These were our exit signals on the buy setups. The same buy setup exits are also our entry signals for sell setups.
- The stop loss should be placed a few pips above the latest swing high or the signal candle.
- The exits will be manual closing of trades when the red dot appears.
- Below is the same chart but with the sell setups. The yellow lines are the entry prices, the red lines are the stop losses, and the green lines are the take profits.
How to download and install an indicator?
In order to install the indicator on your MT4 platform, you need to follow these steps:
- Click on “Download Indicator” button located at the top right corner of the screen.
- Save the file to your computer.
- Extract and move the files into MT4>Indicator folder of the MetaTrader4 software file directory.
- Restart your Metatrader platform.
- Navigate to “Indicators.”
- And select “Magic Dot Forex Scalping Strategy” template to apply it on the chart.
Note: This indicator was developed by T. Morris. AtoZ Markets does not carry any copyrights over this trading tool.