I got the main concept for this system on another site. While I have made one important change, I must stress that the heart of this system was created by someone else! We must give credit where credit is due!
Y'all know baby pips. @Forexphantom published about this system and did both back and forward test around 10 years ago. I found it on the sit and now I put it to code to see how it performs. I assume 10 points spread for every trade. I use Renesource or AxiTrader to get the low spreads.
There are 2 mods, the single trades and constant trading on the direction.
Main concept Indicators 5 EMA -- YELLOW 10 EMA -- RED RSI (10 - Apply to Median Price: HL/2) -- One level at 50.
TIME FRAME 1 Hour Only (very important!)
PAIRS Virtually any pair seems to work as this is strictly technical analysis. I recommend sticking to the main currencies and avoiding cross currencies (just his preference).
WHEN TO ENTER A TRADE Enter LONG when the Yellow EMA crosses the Red EMA from underneath. RSI must be approaching 50 from the BOTTOM and cross 50 to warrant entry.
Enter SHORT when the Yellow EMA crosses the Red EMA from the top. RSI must be approaching 50 from the TOP and cross 50 to warrant entry.
I've attached a picture which demonstrates all these conditions.
These results are misleading, because the trail_offset parameter is not set, the exit is at the top/bottom of each wick, giving maximum profits, this is not how live trading works.