Trade with simple moving avgs with trend pullback entries

hi friends

Here is a simple trading method that uses 4 moving averages,SMA10,SMA20,SMA50,SMA200.
Method defines area between ma10 & ma20 as buy zone in uptrend and as sell zone in downtrend.

BUY on pullback into buyzone in uptrend
sell on pullback into sellzone in downtrend

you can add pivots.
you can use MACD and RSI and ADX14 with pdi and mdi with 8 periods.

use 2 charts
Lower timeframe and upper timeframe ( 2 times of lower timeframe)
1 trend 2 pullback 3 buy or sell 4 stoploss 5 add position

Trend is up when ma10 & ma20 run together upwards well above ma50 and ma50 above ma200.
The slope at which the pair ma10 & ma20 runs is important.
choppy is when ma10,ma20,ma50 go together with no angle or separation.

No trade if ma10 & ma20 are not apart and if both are not away from ma50

In the chart you see arrows at buy point and sell point.

add to position on next pullback.

What to do if ma10 & ma20 are too close and have no space between them to form buyzone or sellzone?
just avoid trading.
you can trade 1 minute chart and 2 minute chart or 30min chart and 60min chart or 4 hr chart and 8 hr chart
point is dont go against upper timeframe trend.
Last edited:

Similar threads

Broker Special Offers

Intraday Higher Leverage

Save up to 90% in brokerage and get higher leverage for intraday trades.

Are you a day trader?