Rules for a Long Trade
1. Look for currency pair trading below the 20-period EMA and MACD to be negative.
2. Wait for price to cross above the 20-period EMA, then make sure that MACD is either in the process of crossing from negative to positive or has crossed into positive territory no longer than five bars ago.
3. Go long 10 pips above the 20-period EMA.
4. For an aggressive trade, place a stop at the swing low on the five-minute chart. For a conservative trade, place a stop 20 pips below the 20-period EMA.
5. Sell half of the position at entry plus the amount risked; move the stop on the second half to breakeven.
6. Trail the stop by breakeven or the 20-period EMA minus 15 pips, whichever is higher.