Trading signals mainly rely on a combination of 2 indicators Bollinger Bands and CCI.

The main objective of the strategy is mainly to profit from the continuation of the trend. Take a look at the chart below:


Indicator settings:
  • Bollinger Bands (100, 3)
  • The re-coded CCI indicator can help traders quickly identify trend trends and reversals.
In addition, you can also install MACD or ADX indicators to help you determine the momentum of the trend. However, these 2 indicators are used to support the strategy.

Trading principles

For buy setup
  • Wait for the price to break above the MA 10 in the BB indicator
  • Wait for the CCI indicator to turn green
  • Open a long position
  • And best of all, the ADX should be above 25 and the MACD is showing an uptrend.
  • Stop-loss is placed below the nearest bottom below the middle band of the BB indicator. And make sure the stop loss is less than your profit target.
  • Take profit when the price reaches the upper band or exit when the CCI turns red.
As shown below:


For sale setup
  • Wait for the price to break below the MA 10 in the BB indicator
  • Wait for the CCI indicator to turn red
  • Open a short position
  • And best of all, the ADX should be above 25 and the MACD is showing a downtrend.
  • Stop-loss is placed above the middle band of the BB indicator. And make sure the stop loss is less than your profit target.
  • Take profit when the price hits the lower band or exit when the CCI turns green.
As shown below:


Additional note for the strategy:
  • Aim for profits of at least a 1: 1 ratio or higher. This condition is very important. Because there are strategies that look very nice, but if it does not set the desired RR rate then it is best not to trade.
  • It is not necessary to exit the order according to CCI but should rely on ADX and MACD to be more standard.
  • When the price is going sideways, do not rush or exit the order, you should check if the ADX and MACD have the exit signals. If not, you still keep the order. Also knowing how to read price action in such cases is very advantageous for traders.
  • Watch out for supportive resistance on large timeframes. Because they can serve as reliable profit target sets for our trading strategy.