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MT4 EA Strategy – Profitable M1 Short-term Bollinger Band + MACD + MA Strategy Sharing

I’ve encountered some difficulties recently while developing strategies, probably because I’m still a novice.

I got the inspiration for this strategy in my dreams and wanted to try combining some short-term indicators.

It yielded some unexpected results on EURUSD, although not entirely satisfactory.

Still, I wanted to share the rules of this strategy with everyone, and also welcome any guidance.

If needed, I will take the time to package this strategy into an EA.

Strategy Description

The timeframe is M1, and this is a single-stage strategy.

Here I will only describe the buy side – a buy order will be executed when all conditions are met.

This strategy may involve multiple indicators or conditions, such as crossover of technical indicators, price patterns, or other market signals.

On the M1 timeframe, this strategy will quickly determine if the conditions are met, and enter buy trades accordingly.

  1. The previous bar’s closing price touches the upper band of the Bollinger Bands.
  2. MACD is above or below the 0 line with value greater than 1.
  3. The previous bar’s closing price is above the weekly 200 MA, and the 50 MA is greater than the 200 MA.
  4. RSI is greater than 70.

Backtesting Validation

Strategy Review

Since this strategy uses a shorter timeframe, I did not open orders based on risk ratios.

Because short-term trading can increase maximum drawdown (MDD), I personally feel that using risk ratios to open orders in a short period of time may not lead to steady profits, but rather increase risk.

Although this is my point of view, I’m not sure if others share the same perspective.

I think this strategy may be more suitable as part of a profit protection plan, because orders are not opened based on ratios, it may not yield good performance.

I still look forward to everyone’s suggestions and feedback.

If you need the MQL4 code, please feel free to leave a message.

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