The Cougar FX system applies various indicators to mention important info on the chart. This guide will talk about how the indicator works and how you can apply it as a strategy.
What is the Cougar FX System?
Generally, you have one indicator file for every indicator on Mt4 or MT5. However, the Cougar FX system is different. It combines multiple indicators to create a trading system. You must add each file differently when adding the indicator on the MT4.
The cool thing is when you check the system on different timeframes; it changes the chart color.
The Cougar FX displays key info like ADR (Average Directional Range), Candle, Today’s Range, and Spread. This info can help you in determining the unhidden forex pair’s details.
The system also displays arrows (red and blue) to indicate the market trend.
Cougar FX System Strategy
You must look at the red and blue arrows to trade with the indicator. Whenever the red arrow appears, it signals a potential short entry. Conversely, if the green arrow surfaces, you can take long positions.
It’s important to note that the indicator can repaint, so it’s better to wait for the indicator to paint the arrow and then enter the next candle.
The system works on all timeframes. However, the info you see in the dialog box varies according to the timeframe. Also, on shorter timeframes, you may have false signals. So, it’s best to apply the indicator on longer timeframes.
The Cougar FX system can plot different color arrows within the trend. For instance, the system can plot several red arrows if there is a downtrend. So, you can apply another indicator like the RSI or MACD to confirm where the trend is heading. Also, these different color arrows within the trend can be seen as an exit point.
Buy Signal
- The indicator must plot the blue arrow.
- Wait for the current bar to complete, and then enter.
- Place a stop-loss at the recent low.
- Set take-profit at the previous high or exit the trade when the red arrow appears.
Sell Signal
- The indicator must plot the red arrow.
- Wait for the current bar to complete, and then enter.
- Place a stop-loss at the recent high.
- Set take-profit at the previous low or exit the trade when the blue arrow appears.
Cougar FX System Pros & Cons
Although the system combines multiple indicators, it has its share of weaknesses. Let’s see the system’s pros and cons.
Pros
- The Cougar FX presents useful information, especially if you are a beginner.
- The system is easy to understand.
- It can present clear entry and exit points.
Cons
- Sometimes even though there are red/blue arrows, the price moves in the opposite direction.
- The system can repaint.
- It can paint several arrows in a short period.
Conclusion
The Cougar System combines multiple indicators and presents useful info on the chart. The system is easy to understand, and you can trade it easily if you are a beginner. Remember that the indicator can repaint, so you can add other indicators for further signal confirmation. As with any forex strategy, you should have excellent money management so that one bad trade does not cancel out a consecutive run of winners. You can always practice trading on a forex demo account to begin with to improve your trading skills and build up your confidence. Most forex brokers provide a free demo account, including IC Markets. They are my top choice for both manual and automated forex trading systems. This is because they have tight spreads, quick execution speeds, low commission fees and excellent 24/7 support.
Self-confessed Forex Geek spending my days researching and testing everything forex related. I have many years of experience in the forex industry having reviewed thousands of forex robots, brokers, strategies, courses and more. I share my knowledge with you for free to help you learn more about the crazy world of forex trading! Read more about me.
