The Bible system V3.0 is a popular forex trading strategy for the MT4 platform that is designed to provide traders with accurate buy and sell signals.
The system uses a combination of technical indicators and chart patterns to identify trading opportunities in the market.
The key indicators used in the Bible system V3.0 include the MACD, Stochastic Oscillator, and Moving Averages. The MACD indicator is used to identify trends in the market, while the Stochastic Oscillator helps to determine overbought and oversold conditions.
The Moving Averages are used to smooth out price movements and identify potential support and resistance levels.
The Bible system V3.0 also utilizes a range of chart patterns, including triangles, flags, and wedges, to help traders identify potential breakout opportunities.
These patterns can be used in conjunction with the technical indicators to generate more accurate buy and sell signals.
Buy Signal Generation With Bible system
Based on the Bible system V3.0, a buy signal is generated when the blue line of the Bollinger Band indicator crosses the lower red line from below and the candles are also green.
Additionally, the RSI indicator should be above the 50 level and the MACD histogram should be above the zero level. This combination of indicators indicates a potential buying opportunity in the market, as the price may be poised to rise.
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Sell Signal Generation With Bible system
To generate a sell signal using the Bible system V3.0, traders should look for the opposite conditions of the buy signal. That is, the price should be below the SMA and the RSI should be below 50.
Additionally, the Stochastic indicator should be above the 80 levels, indicating that the currency pair is overbought and due for a reversal.
Once these conditions are met, traders can enter a short position with a stop loss above the recent swing high and a take profit at a predetermined level, such as the next support level or the 100% Fibonacci retracement level.
