Now you Can download the ZigZag Forex Trading Strategy for free on ForexTrader.pro indicators gallery.
The main reason why many traders new to using the Fibonacci retracement tool find it hard to effectively utilize it is because they’re having trouble identifying swing points which are significant enough to be contemplated. This is where the ZigZag indicator comes in.
The ZigZag indicator is a superb tool to use to discover swing points. If you’d backtest it, it does seem to efficiently pinpoint applicable swing points. Thus, we’ll be using these swing points as a basis for measuring our Fibonacci retracement tool, and we’ll be awaiting the price to react at around 50 percent of the Fibonacci retracement tool.
Currency Pair: any
Trading Session: any
How to trade with ZigZag Fibonacci Forex Trading Strategy?
Purchase (Long) Trade Setup Rules
- The last line attracted by the ZigZag index should be heading up
- Use the Fibonacci retracement instrument to measure the swing points in the low to the high
- Wait for price to Return at around the 50% amount
- Wait for a the zigzagarrows index to publish a blue arrow pointing up
- Enter a buy market order in the End of the candle
- Set the stop loss below the blue arrow
- Establish the take profit at the swing top according to the ZigZag index
Sell (Short) Trade Setup Rules
- The final line attracted by the ZigZag index should be moving down
- Utilize the Fibonacci retracement instrument to measure the swing points in the top to the low
- Wait for price to come back at about the 50% level
- Wait for a the zigzagarrows indicator to print a red arrow pointing down
- Input a market order at the close of the candle
- Establish the stop loss above the red arrow
- Set the take profit at the swing low based on the ZigZag indicator
- The best way to download and set up an indicator?
In order to set up the index on your MT4 system, you need to follow these steps:
- Click “Download Indicator” button situated at the top right corner of this screen.
- Save file to your PC.
- Extract and transfer the files into MT4>Indicator folder of the MetaTrader4 software file directory.
- Restart your Metatrader platform.
- And select”ZigZag Fibonacci Forex Trading Strategy” template to use it on the chart.