Awesome and Simple Strategy With an Awesome Oscillator and a Simple Moving Average


Awesome oscillator and SMAA trader can use many strategies to find the best trade entry points. But to choose the strategy that works for him, he needs to get to know various ones, try them and finally pick a few. So today, I want to present a strategy that is based on two indicators, a Simple Moving Average and an Awesome Oscillator.

How to get started

First, you will have to decide upon an asset you would like to trade and then choose the type of chart. I recommend Japanese candlesticks as it is very transparent and easy to follow. Set the period of candles for 5 minutes.

Next, you will have to set the indicators on the chart. Go to the indicators feature and choose SMA from the trend indicators. The default period is 10 and the color yellow. Change the period to 100. The color and thickness of the line are up to your preferences.

The Awesome Oscillator you will find further down the list of the indicators among oscillators. You may leave the default settings as all you can do here is changing the colors.

5-minute candlestick chart with necessary indicators
5-minute candlestick chart with the necessary indicators

Using a combination of the SMA and the Awesome Oscillator for a long position at Olymp Trade

Your main task is to observe the chart. Once you notice the uptrend, follow the SMA line. When the price will cross the line check the Awesome Oscillator. A green bar on the AO histogram is a confirmation of the signal to enter a long position. With 5-minute candles you can open a fixed-time financial derivative for a longer time, we usually use 25 minutes so it gives five 5-minute candles.

Long signal on EURUSD 5m
A long signal on EURUSD 5m

Using a combination of the SMA and the Awesome Oscillator for a short position at Olymp Trade

Watch the SMA closely. You are looking for a moment when the bearish candle will intersect it. Once it happens, you ought to check the Awesome Oscillator. When the bar on the histogram is red in color on the candle that crossed SMA, you have got the confirmation of the developing downtrend, thus you should enter a short position. It can be as long as 25 minutes.

Short signal on EURUSD 5m
A short signal on EURUSD 5m

Trading with indicators’ help is quite simple. You just need to know how to set the indicators properly and what are the best combinations. The Simple Moving Average works nicely with the Awesome Oscillator. Check it out on your Olymp Trade demo account.

You can also try it out on your real account, but you must be very wary of losses. There’s no magic strategy that will make you big money immediately. What you need to do is diligently study, practice, and patiently deal with losses whenever they happen despite your preparations.

Good luck!

How useful was this post?

Click on a star to rate it!

Average rating 4.5 / 5. Vote count: 16

No votes so far! Be the first to rate this post.

As you found this post useful...

Follow us on social media!

We are sorry that this post was not useful for you!

Let us improve this post!

Tell us how we can improve this post?

Download this article as PDF. (English)

Enter your Email Address

Bart Bregman

Full time day trading, and helping out with Olymp Trade wiki in my spare time to create an awesome platform for beginners. I'm a digital nomad that travels the world while working from everywhere!

Recent Posts

GET STARTED FOR FREE
This is default text for notification bar