Knowing exactly what to expect from Stochastic, if at some point plans to add it to your own system, affect the results of its operations dramatically.
For this method:
Currency Pair: Any
Chart: Any
Indicators: Stochastic (14, 3, 3)
Entry rule
Sell Stochastic when the line faster crosses above the line above slow Stochastic.
Exit rule
Sell when the opposite situation occurs and, right after this, open an opposite position.
Again it is recommended that, once it is detected the first contact of Stochastic lines, wait until the next price bar on the graph is closed and only then proceed to act.
stochastic lines cross
The Stochastic indicator is a retrospective or delayed - with this system of crossing lines can create many false signals. It is recommended that traders from changing the settings Stochastic forex indicator regular currency pair for each particular, to eliminate as many false signals as possible.
The Stochastic crossing system is useful when used in conjunction with other indicators.
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