The V75 Moving Average Buy Only Strategy has an 80% success rate. The strategy is very simple and it can be used by beginners.
What Do You Need To Use The V75 Moving Average Buy Only Strategy?
To trade volatility 75 or V75 you need to have a synthetic indices account. There is only one broker that offers this trading asset and you can get instructions on how to open a synthetic indices account here.
You won’t get rich overnight with the V75 Moving Average Buy Only Strategy. However, with the right risk management, you can see consistent growth in your account. Please use 0.01 with a minimum of $500 account balance (equity).
How to Set up Your Chart for The V75 Moving Average Buy Only Strategy
These are your indicators needed;
- Simple Moving Average (14 Period)
- Stochastics Oscillator (14, 3, 3)
- ATR Oscillator (14 Periods)
With this strategy, we are only looking for buy signals. You will use 2 timeframes for the execution of trade (4 Hour and 30 Minutes).
How To Use The V75 Moving Average Buy Only Strategy Step-By-Step
- Wait for a period where the price is moving below the moving average. Now you will need to be on the lookout for the first bullish candle to close clearly above the moving average on the four-hour chart.
The candle has to close significantly above the moving average. If it touches the moving average then the signal is invalid and we wait for another candle.
2. After getting the clear bullish candle you now go to the thirty-minute chart. Here you are only concerned with the stochastic indicator. The stochastic should move below the 30 level i.e it should be ‘oversold'. Wait for it to now get above the 30 level and then you enter a buy.
3. Choose a stop loss distance that is a decent distance away from the current price level so that you won't get prematurely stopped out. This is why risk management is important. You do not want a big lot size that will result in a significant stop-loss.
4. Hold your trade and wait for the stochastic to move above the 80 level (overbought) on the 30-minute chart. When the stochastic starts going down and moves to below the 80 level you must then close the trade and take your profit. This is usually after a number of candles and after a significant move.
You may even be in the trade for a couple of days.
Tips for Trading The V75 Moving Average Buy Only Strategy
- trade it only on v75
- use a small lot size with enough account equity to withstand reversals
- your signal candle on the four-hour chart should clearly close above the moving average line
- test this out on a demo account and take at least ten trades using the strategy before trading it live. Do not rush this process as it will help you understand how the strategy works.
- you can use resistance areas as take-profit targets
- do not trade when the market is consolidating or ranging
- remember Deriv is the only broker that offers v75. You can open your Deriv account here.
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Have you tried this V75 Moving Average Buy Only Strategy? How has it been for you? Do you know any other v75 strategies? Please share your thoughts in the comments below.