Genesis Matrix Strategy
Scalping , as a trading style, involves the use of special trading tactics that are aimed at working with market noise.
There are simply a huge number of strategies on the network that are called scalping, but only a few are such.
Unfortunately, applying any trading tactic on a five-minute chart is far from scalping, and when we do this, we are wishful thinking.
Thus, no matter how much you look for real working tools purely for scalping, you will stumble upon the same rake in the form of losses for a very long time.
The Genesis Matrix strategy is one of the most popular trading tactics, which almost every experienced scalper knows about.
Previously, when the strategy first appeared among the masses, there was simply a huge buzz from quite enthusiastic reviews on various platforms.
The developers of Genesis Matrix worked on this shortcoming, and the result was a strong tactic for trading on five-minute or fifteen-minute charts of almost any currency pair that has trending markets.
Installing Genesis Matrix
The basis of the Genesis Matrix strategy is custom indicators that were written for trading through the most popular trading platform - Meta Trader 4 .
Before you start analyzing signals, download at the end of the article a file with indicators and a template that we need to install.
Next, in an open terminal, go to the file menu and launch the directory, where we find the indicators and template folders. Reset the downloaded indicators and template to these folders, then close the root directory and restart Meta Trader 4. After restarting, find the list of your templates by right-clicking on the chart, the additional menu and launch Genesis.
Indicators of the Genesis Matrix strategy
As a rule, scalping strategies are quite rich in indicators, so you should not be surprised when you first launch the strategy, since the strategy contains as many as 8 indicators.
However, despite such a large number, the strategy looks quite harmonious, and most of the indicators are familiar even to most beginners.
So let's take a quick look at some of them. 1) Heiken Ashi - an indicator that colors candles red or white.
The strategy has a short-term filter, namely, we will buy only when the candles are white and sell when the candles are red. 2) FXI Pivots – an indicator thanks to which you can visually see pivot levels, which in turn very often act as support or resistance.
It is worth noting that FXI Pivots is used as an auxiliary tool for traders who find it quite difficult to determine targets and stop orders.
3) ASCTrend1i – a signal arrow indicator that displays the entry point directly on the chart.
This indicator completely duplicates the readings of ASCTrend-Matrix 2TF, which is located in the last additional window, so you can safely remove the latter so that it does not clog the screen. 4) Stochastic Oscillator – this is the most popular standard oscillator, which performs confirmation in the strategy.
So we will buy if the Stochastic Oscillator lines have recently left the oversold zone or are near it, and sell if the indicator lines are near the overbought zone. 5) MTF Stochastic v2.0 is a similar indicator that we discussed above, the only thing is that it displays information not from a five-minute chart, but from a fifteen-minute chart, which allows you to compare the trend with a higher time frame.
6) GenesisMatrix 2.22 is the main indicator, which is why the strategy got its name. The strategy filters the direction of the position and displays information in the form of four cubes.
Signals
Buy signal:
1) The ASCTrend1i indicator displayed an arrow pointing upward.
2) The Heiken Ashi candlestick is white and closed above the moving average.
3) Stochastic Oscillator is near the oversold zone or has recently left it and is directed upward.
4) MTF Stochastic v2.0 is near the oversold zone or has recently left it and is directed upward.
5) All four GenesisMatrix 2.22 cubes are white.
The stop order is placed at the local minimum, and your profit is placed at the nearest pivot level.
You can also exit the market if the GenesisMatrix indicator cubes change their color from white to red. See an example below: Sell signal:
1) The ASCTrend1i indicator displayed an arrow pointing down.
2) The Heiken Ashi candle is red and closed below the moving average.
3) Stochastic Oscillator is near the overbought zone or has recently left it and is directed downward.
4) MTF Stochastic v2.0 is near the overbought zone or has recently left it and is directed downward.
5) All four GenesisMatrix 2.22 cubes are red.
The stop order is placed at the local maximum, and your profit is placed at the nearest pivot level.
You can also exit the market if the GenesisMatrix indicator cubes change their color to the opposite one to the signal. See an example below: In conclusion, I would like to note that despite such a complex system of rules for entering the market at first glance, you will receive a bunch of signals.
It is worth noting that this strategy is especially effective in a trend, but it gives many false entries if there is no clearly defined trend in the Forex market. Download indicators for the strategy .