My own dream is to be able to create a super simple system in Forex Trading. I know it's a crazy dream but I think I am close to that dream. Introducing the simple system based on SHI Signal and TDI indicator. This system works on any time frame but I recommend you to use M15 for scalping since we can have more positions on this TF.
Rule:
- SHI Signal must present
- TDI Cross over
You can add a trendline breakout for more confirmation if you want. But those two conditions must exist. No matter which one gives signal first. Sometimes, SHI dots comes first but sometimes the TDI does.
Example:
On the chart above, TDI green line cross the red line and gives buy signal before the SHI green dot appear. At this condition, you have to wait until you see green dot appear and then open BUY position on the next candle.
On the next SELL position, the SHI red dot gives sell signal earlier but do not enter SELL immediately. Wait until TDI green line cross the red line and then you enter SELL.
Exit when TDI cross over or the next SHI Signal appear. Stop loss is placed on the previous high or low. I suggest you to trade every signal on M15 time frame. Some times the signal does not give you many pips but on the next one maybe gives you better pips, so do not afraid to trade every signal.
Say it in 10 positions you take, 3 of them ended with loss but if you stick to this rule, you will have 7 others are ended with profits. Do not exit too quick. Use TDI and SHI Signal for exit point. I do not recommend you to use 10-20 pips for target because TDI and SHI came with its open and exit signal. No matter if one position you exit with los, but on the other you get many pips.
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