Fiji Forex Strategy
Platform: Trading Systems Last update: September 22, 2024The Fiji Forex Strategy can be categorized into a trend-following forex trading system. You can successfully use it to spot market swing levels along with trade entry points, and exit signals as well.
What’s more, that forex strategy takes advantage of accurate trend identifying gauges like Heiken Ashi and Fiji Trend which are able to deliver the trend signals without any kinds of lagging issues.
How to trade with the Fiji Forex Strategy?
The Fiji Forex strategy consists of a three main indicators, which are the following:
- Fiji BB: that indicator is based on the famous Bollinger Band indicator. Its role is to identify the potential swing areas of the market that occur when the price touches one of the bands. For a long entry, look for the price to hit its lower band. Similarly, for a short entry, aim to enter sell trade from the upper band level of the indicator. In addition, you may also use these bands for determining the stop levels of the current trend.
- Fiji Trend: the Fiji Trend indicator works as a support to the Heiken Ashi candles. It displays a series of upwards and downwards arrows. Its formula is based on a crossover between 5 MA and 11 ATR. That crossover defines market trend direction. Both directions of Heiken Ashi and Fiji Trend should be in agreement before opening a trade.
- Heiken Ashi: it is one of the worlds most popular candlestick indicators. Simply, white candles indicate a bullish trend-momentum, and red reflect a bearish trend-momentum.
Buy Signal
Follow these steps for a long trade:
- Price touches lower band of the Fiji BB
- Heiken Ashi candles turns white
- Fiji Trend arrows switch to upwards
- Buy trade is triggered after the above conditions are met
- Set stop loss a few pips below the lower Fiji BB band
- Take profit or exit trade whenever the Fiji BB starts providing opposite arrows or use your own preferred method of trade exit
Sell Signal
Follow these steps for a short trade:
- Price touches upper band of the Fiji BB
- Heiken Ashi candles turns red
- Fiji Trend arrows switch to downwards
- Sell trade is triggered after the above conditions are met
- Set stop loss a few pips above the upper Fiji BB band
- Take profit or exit trade whenever the Fiji BB starts providing opposite arrows or use your own preferred method of trade exit
