班卓琴发散系统 (Banjo divergence system)

Hey all!

I trade divergences for a 5 years. I developed my own style.

At first go there - http://www.forexfactory.com/showthread.php?t=573414
There is how I started my way.

Now, I must apologise - the people were a little fooled by me because I told, that there is a magical, special indicator for divergences. It's not true.
The best indicator for divergences is one and only - STOCHASTIC OSCILLATOR.

Yes, stochastic. The best indicator created by far. The succes of trading divergences is in parameters of stochastic.

In my practice I found 2 parameters which gives a very high probability that divergence will be profitable.

First stochastic parameters.
1) D period=1
2) slowing=1
3) Price field=close
4) MA method=simple
5) Turn off chech mark in max and min stochastic values
6)

Second stochastic parameters.
1) D period=1
2) slowing=1
3) Price filed=close
4) MA method=simple
5) Turn off chech mark in max and min stochastic values
6)

Rules

Use both stochastics in the same time and chechk all trading pairs for divergences. You can trade two types of divergences - classical and hidden.


Trading timeframes - only H4, D1. It's in MT4 but if you trade in MT5, you can use H2, H6, H8, H12 as well.
Take profits and Stop losses you can do by your own way because there are a lot of ways how to do this. For example, Stop lose under the low, high of divergences and take profit put 1:3.

And some examples of divergences.