Last updated: May 8, 2025

EMA and MACD Forex Trend Following Strategy

This system works best on selected pairs such as EU, GU, GJ, UCHF, EJ, and UJ. Use 1 hour and 4 hour timeframe for this system. Read the trend carefully.

Forex  Indicators:

• MACD Histogram (3, 6, 3).
• Exponential Moving Average 9-period
• Exponential Moving Average 20-period
• Exponential Moving Average 50-period
• Exponential Moving Average 200-period

For Long Uptrend

• Price must be above both EMA50 and EMA200
• EMA50 crossed EMA200, and is above
• EMA 200.
• MACD value is positive.
• Enter at a retracement

For Short Downtrend

• Price must be below both EMA50 and EMA200
• EMA50 crossed EMA200, and is below EMA200.
• MACD value is negative.

Retracements:

Price moves in waves even though it is trending. It always retrace and goes back to the trend.