Supersistema
Supersistema
Supersistema
By Russ Horn
www.RapidResultsMethod.com
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Currency Pairs:
Majors like the EUR/USD and GBP/USD.
Indicators:
1.
2.
3.
4.
5.
6.
7.
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Chart Setup
1. 3 EMA (Exponential Moving Average) set to the close price.
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2. 5 EMA (Exponential Moving Average) set to the open price.
The steps for setting the 5 EMA are the same as those for the 3 EMA:
1. Click on the Navigator button to open the Navigator widow.
2. Click on Indicators to expand the list of indicators.
3. Find Moving Averages on the list and double click on it and the settings
dialogue box will pop up.
4. Set the Period to 5.
5. Leave Shift at 0.
6. Click on the MA method drop down menu and select Exponential.
7. Click on Apply to for editing the price of the indicator and set it to Open.
8. Click Style and choose the Red color for your 5 EMA.
9. Leave the line type as it is by default.
10. This is for setting the 3 EMA line width.
11. Click on the OK button to apply the 3 EMA on your chart.
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3. 34 EMA (Exponential Moving Average) set to close price.
The steps for setting the 34 EMA are the same as for the 3 EMA except these 2:
4.
8.
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4. 89 EMA (Exponential Moving Average) set to close price.
To set the 89 EMA, follow the steps for setting the 3 EMA except these 2:
4. Set the Period to 89.
8. Click Style to choose Magenta for your 89 EMA.
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5. 3 RSI (Relative Strength Index) with levels at 20 and 80.
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6. Stochastic (5,3,3) with default settings and levels at 20 and 80.
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7. 14 ADX (Average Directional Movement Index) with +D and D line only.
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The vertical line A marks the signal set up candle for this buy trade.
First, the 34 EMA is above the 89 EMA showing that the long term trend is up at the
moment and we look only for long entry opportunities. The ADX confirms this because
the +D line is above the D line for a while. Then the 3 EMA crossed the 5 EMA
upwards on the previous candle and in the same time, the Stochastic has moved above
its Signal line. The last signal was given by RSI crossing above the 80 level.
At the close of the signal candle, a buy position was opened at 103.572 (B).
After the opening of the long position, a Stop Loss of 8 pips was set below the 34 EMA
at 103.492 (C).
Then, a Take Profit of 16 pips was set at 103.732, which is twice the Stop Loss amount
(D).
As you can see, the 16 pips profit was gained less than an hour after we entered the
trade, when there wasnt much movement on the market. This trade was taken prior to
the open of the Asian session.
Now lets take a look at Short trade conditions that must be met for opening a short
trade.
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Here, we have a short trade on the AUD/USD 1 hour chart. The vertical line A shows
the set up candle.
First, the 34 EMA is below the 89 EMA showing that the long term trend is down at that
moment and we look only for short entries. The 3 EMA has moved below the 5 EMA 2
candles ago. The Stochastic fell below its Signal line at the previous candle and almost
simultaneously, the D ADX line crossed above the +D line. The actual entry signal was
given by the RSI crossing under the 20 level.
Immediately after all the conditions were met and the signal candle closed, a short
position was opened at 1.04959 (Bs).
Then a Stop Loss of 36 pips above the entry was placed at 1.05319, which is just above
the last swing high point (C).
Lastly, a Take Profit of 72 pips was set below the entry, which is double the Stop Loss
amount, at 1.04239 (D).
The Take Profit Target was hit 11 hours later and again, this was a short trade taken
during the Asian session when there isnt much movement on the market.
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In this report, you have learned about the Super System and how profitable it can be
because of its security and conservativeness. False signals are reduced to the absolute
minimum, while profits are maximized.
Thank you for your time and I hope that you will enjoy trading this system!
Best Regards,
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