The Heiken Ashi Kuskus Scalping System is a popular scalping strategy that focuses on identifying trade opportunities based on the direction of the trend. It is designed for use in the 15-minute timeframe and can be applied to various major currency pairs and indices. In this review, we will examine the system’s indicators, entry criteria, and exit strategies, providing a comprehensive analysis of its effectiveness.
Indicators
1. Heiken Ashi Kuskus (1, 15): This custom indicator is a modified version of the Heiken Ashi candles. It helps traders visualize the trend direction by smoothing out price fluctuations and providing clearer trend signals.
2. Bollinger Bands stop (20, 2, 1): The Bollinger Bands stop indicator is used to identify potential trend reversals. It consists of three lines: an upper band, a lower band, and a stop line. Traders look for the color change of the stop line to indicate a potential change in trend direction.
3. Exponential moving average (50, close): The 50-period exponential moving average (EMA) is employed as a trend filter. It helps determine the overall direction of the market and ensures that trades are aligned with the prevailing trend.
4. Pivots Levels: Pivot points are horizontal lines that help identify potential support and resistance levels. Traders can use these levels to set profit targets or exit trades.
5. Exponential moving average (120, close): The 120-period EMA is used as an additional trend confirmation tool. It provides a longer-term perspective on the market direction.
6. Dolly trading time: This indicator assists traders in identifying specific trading times and can be customized based on individual preferences or market conditions.
7. Moving Average Standard deviation (20, 20): This indicator combines a moving average with standard deviation to provide insight into market volatility. It helps traders assess the likelihood of a trend reversal.
8. Kuskus Starlight V.2: This custom indicator offers visual cues for identifying trend direction. It turns blue when indicating a bullish trend and red when indicating a bearish trend.
Entry Criteria
Buy Entry
1. The price must be above the moving averages (50 EMA and 120 EMA).
2. BBstop indicator line should be blue.
3. Heiken Ashi candles should be blue.
4. Kuskus Starlight indicator should be blue.
5. Moving average standard deviation indicator should display a blue dot.
Sell Entry
1. The price must be below the moving averages (50 EMA and 120 EMA).
2. BBstop indicator line should be red.
3. Heiken Ashi candles should be red.
4. Kuskus Starlight indicator should be red.
5. Moving average standard deviation indicator should display a red dot.
Exit Strategies
For profit-taking, traders can consider the following options:
1. Target profit of 15-20 pips.
2. Exiting the trade at pivot levels identified by the Pivot Levels indicator.
Risk management is crucial, and it is recommended to set an initial stop loss of 20 pips to protect against potential losses.
Conclusion
The Heiken Ashi Kuskus Scalping System is a comprehensive scalping strategy that utilizes various indicators to identify trade opportunities based on the trend direction. It provides clear entry criteria and exit strategies, as well as a risk management approach through the use of stop losses. Traders who prefer shorter timeframes and have experience with scalping techniques may find this system valuable for their trading arsenal. However, it is essential to thoroughly test any strategy before using it in live trading and to adapt it to individual trading preferences and risk tolerance.
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