Greetings, I'm working through finding a trading strategy that works for me. Currently I'm looking at a method popularized by R.C. Allen involving 4, 9, and 18 day EMAs.

When the 4 and 8 EMA are both crossed the 18, you enter long if above 18, short if below 18.

When the 4 crosses back across the 9, exit. Which ends up giving you a neutral zone.

10m charts, estimate of my week's activity.

http://img202.imageshack.us/img202/9692/10mv.jpg

I'm not sure how well it would do on 5 minute charts

http://img607.imageshack.us/img607/664/71641397.jpg

I filled the lines in after I made the trades, the slopes of the lines are not to scale.

I would greatly appreciate someone ripping this strategy apart and helping me understand weakness and figuring out complementary strategies to implement alongside it.

When the 4 and 8 EMA are both crossed the 18, you enter long if above 18, short if below 18.

When the 4 crosses back across the 9, exit. Which ends up giving you a neutral zone.

10m charts, estimate of my week's activity.

http://img202.imageshack.us/img202/9692/10mv.jpg

I'm not sure how well it would do on 5 minute charts

http://img607.imageshack.us/img607/664/71641397.jpg

I filled the lines in after I made the trades, the slopes of the lines are not to scale.

I would greatly appreciate someone ripping this strategy apart and helping me understand weakness and figuring out complementary strategies to implement alongside it.

Last edited: