This strategy combines the Bollinger Bands (BB), Relative Strength Index (RSI), and Exponential Moving Average (EMA) indicators to help traders identify profitable trading opportunities.
Here are the steps to implement this strategy:
Add the BB, RSI, and EMA indicators to your chart. Set the BB period to 20, the RSI to 14, and the EMA to 50.
Use the EMA to determine the trend direction. If the price is above the EMA, the trend is up; if below, the trend is down.
Watch when the price touches or crosses the lower boundary of the BB for a buy signal, and the upper boundary for a sell signal.
Make sure the RSI is not in the overbought (above 70) or oversold (below 30) zone before entering a position.
Set stop loss and take profit according to your risk tolerance.
