Some forex traders have patience and they can wait for the best setup for their trade, but some traders want too early results for their trade. For the gain of the fast result, the traders use some special tools, indicators and strategies or the profitable trade. The 5-minutes forex scalping strategy is one of those strategies that help the impatient traders for their urgent results.it detects the momentum and strength of the currency pairs in the market trend.
When the trade signals in the market trend start losing the strength then the impatient traders want to use any strategy to eliminate the risks of the loss, and a better trading strategy has exit rules to protect the trade profit from losing.
The 5-minute memo strategies make this impossible thing possible. In this article, we are going to discuss the 5-minutes memo strategy, what is a memo and trading strategies. So let’s start the topic. First, we are going to discuss what is Momo?
5 Minute profitable forex scalping strategy
WHAT IS MOMO?
Momo is the abbreviation of momentum. It is used for the term to identify 5-minute momentum history with the help of scalping strategy. It detects the momentum that generates on every new signal after 5-minutes. It uses two different indicators for detecting the perfect momentum for every 5-minute.
It uses EMA exponential moving average indicator and MA moving average indicator. These indicators are used in collaboration with 5-minute scalping strategy indicator because sometimes, the market trend generates higher weights and price movements.
To detect these price movements the traders use these two indicators with this strategy. This strategy is used to detect reversals in the market trend. It also has a stop loss and takes profit parameters.
The 5-minute strategy is used for all the currency pairs but the best currency pairs to trade with the help of this indicator are EUR, USD, GBP/USD, USD/JPY, and EUR/JPY. This strategy is also used for scalping. It is a trading term in the forex trading system that helps the traders to detect even a minor change in the market trend.
5 Minute Scalping Indicator For MT4/MT5
For every scalping indicator, there are fix rules. This indicator also has a fix and specific rules. Market signals appear in the bearish and the bullish trend on the indicator chart. It is the most powerful trading strategy that is used to predict the momentum-based reversal movements in the market trend. It also gives “Get 15% welcome bonus up to $500”
The 5-minute trading strategy uses MA and EMA as collaborative tools. The MA indicator is used to detect the trends in the market and the EMA or MACD indicators are used to measure the momentum in the market trend.
The strategy is to wait for the reversal trade but speeds only when you take advantage of this set is a burst extended extends support to the school opposite the bridge. Positions are in two separate segments.
Does the first half us to benefit and ensures that we will never turn into a loser to a winner and the other half is a very big step for us with not having that risk is to try to catch It has been shown already broken because it can become. The way this works is here:
RULES FOR LONG TRADE:-
There are different rules for long and short term trades. Rules or long term trade are given here:
- For the first, you have to notice it, which currency pair is trending below the 20 periods of EMA.
- Find currency pairs trading below the 20-day EMA and MACD to stay in the negative territory.
- Wait for the price to exceed the 20-term EMA, then make sure the MACD is either in the process of crossing from negative to positive or within the last 25 minutes (5 times or Less than 5 minutes on the chart) has entered the positive territory. ).
- Go up to 10 pips over 20 periods EMA.
- For aggressive trading, put a stop on the swing low on the 5-minute chart. For a conservative trade, place 20 stops below the 20-term EMA.
- Sell half the position at the entrance and also risk the excitement; Move the stop to the brake in the second half.
- Trail the stop with a break or 20 terms EMA minus 15 pips, whichever is higher.
5 Minute Scalping Trading Strategy PDF
RULES FOR A SHORT TRADE:-
Below are the rules for short term trade:-
- Find the currency pair to be positive by trading above EMA and MACD for 20 periods.
- Wait for the price to come below the 20-term EMA. Make sure that the MACD is either in the process of moving from positive to negative or has entered the negative territory which was not more than five times before.
- Shorten 10 pips below 20 periods EMA.
- For aggressive trading, stop at the swing height on the 5-minute chart. For a conservative trade, keep the stop 20 pips above the 20 term EMA
- Repurchase half the position at risk minus the price and pause to stop the other half.
- Trail this stop whichever is less, with 15 pips in addition to the break or 20 intervals EMA.
The 5-minutes forex trading system has many uses because it is a custom based strategy that is used to manage mostly short term trade.
5 Minute EMA Scalping Strategy
This indicator helps the traders to detect momentum changings, trends directions, the strength of the currency pairs, and scalping. It uses only the timeframe of 5 minutes. It uses all the currency pairs for the trade. It is the most powerful trading strategy used in Forex trading. It can come in the handy of short term traders as well as long term traders but this strategy is the best strategies for the short term traders.
It is the most profitable strategy because it uses two oscillator indicators as collaborative tools in the market trend. It uses EMA and mA indicators as helper indicator in these strategies. One of them is used to detect the trends and the second one is used to show the momentum in the indicator chart taken form market trends.