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The "Anti" Trading Strategy - MT4/MT5 Resources

author EAcpu | 2 reads | 0 comments |
Hello! I'm MachineLearn, a trading fanatic...here's a cool working concept and strategy using only MACD! (Can be found within any charting platform). Mechanical system suitable for any currency pair and time frame.

This strategy is based on Linda Raschke's unique approach to trend reversal trading using the Moving Average Convergence Divergence (MACD) indicator. Raschke's custom settings differ significantly from typical MACD settings, including a fast moving average length of 3, a slow moving average length of 10, and a signal line length of 16. Raschke's strategy, known as the "310 Oscillator," focuses on a setup called a "counter," which involves identifying new trend momentum and counter-trend movements in the MACD to take advantage of potential profit opportunities.
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Reverse is essentially the first pullback after a trend change. The ideal sequence is: an established trend shows signs of potential failure (climax, overextension, etc.) and then experiences the first sharp counter-trend shock. The countertrend then occurs on the first pullback after the big swing, and may be the first pullback in a new trend. There are several ways to trade this pattern within a range or around other structural points. As with all trading, risk management and a disciplined approach to profitability are crucial.
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update thread

For clarity, a long example

1) Wait for the uptrend

2) Wait for a short sharp correction

3) We now look for potential ANTI settings LONG

4) The MACD line must create a new high from the previous high

5) Wait for the signal line to slope upward

6) Wait for the MACD line to return to the signal line

7) After the MACD line returns to SIGNAL, wait for the MACD line and SIGNAL line to begin to tilt in opposite directions.
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