Lagurre Scalping Trading System For MT4
Table Of Contents:
- Lagurre Scalping Trading System For MT4
- Selecting the trading instrument
- Lagurre Scalping Trading System For MT4 - Long trade setup
- Lagurre Scalping Trading System For MT4 - Short trade setup
- Trade Management
- Lagurre Scalping Trading System For MT4 - Conclusion
Please note: This strategy was publicly published in the trading community and is free to use. We do NOT make an attempt to decide if this strategy is profitable or not, because we know that the major factors regarding trading results are the skills/experience of the trader who executes the strategy. Therefore, we are mainly explaining the components and rules of the strategy. If applicable, we are highlighting advantages, disadvantages and possible improvements of the strategy.
The Lagurre Scalping Trading System For MT4 is widely used by the experts due to its extreme profit potential. Though the function of this system is based on scalping strategy, retail traders use it like an intraday trading method. EMA 5, EMA21, EMA 80, 16EMA, 48EMA, and Laguerre has been used as the key indicators for this system. The system comes with two preset templates which can be used to take trades in the higher and the lower time frame. To trade a higher time frame, you need to use the beauty EMA template. H1 and H4 tend to give the best result for this template. To trade a lower time frame, the Lema system template needs to be used. The Lema system works best in the M5 and M15 time frame.
Trading with two different templates might seem a tough task. But after reading this article, you will develop the unique ability to trade both in lower and higher time frames just like the trained professionals. For the first template, we will be using the RSI and the exponential moving average with different periods. For the second template, based on EMA and Laguerre indicator. In both strategies, we will prefer to trade with the trend. However, skilled traders can trade the short term reversal by using the Lema system. Let’s see how we should select our currency pairs to get the best results from the Laguerre Scalping Trading System.
Selecting the trading instrument
Advanced traders can trade in any currency pair with Laguerre Scalping Trading System since they have strong knowledge about news impact and currency correlation factor. But the absolute beginners should start with the EURUSD and GBPUSD pair. The analysis should be done only in the London and New York trading session. After successfully trading these two pairs for two months, investors can start focusing on the other major and minor currency pairs. This is where things become a bit complex and the traders need to focus on some important details.
If the Lema system is used, the spread becomes a key issue since the trades will be taken with a short-term profit target. On the contrary, when the Beauty EMA system is used, the trend should be our concern since we are going to hold into our trades for hours. Another key thing to monitor is the major economic news release hours. News like NFP, GDP, FOMC press conferences, etc. holds the key to change the trend. So, we recommend the use of this system to open any trade-in at such a critical moment.
Lagurre Scalping Trading System For MT4 - Long trade setup
We buy an asset when it hits the major support zone. In this segment, we will illustrate the trade setup by using the Beauty EMA template. The red EMA with period 80 is going to act as our trend determiner. Since we need an uptrend, the price should be trading well above the red EMA. If you are lucky, you might get a golden bullish cross in the EMAs. This means, 5, 13 and 21 EMA will cross above the 80 EMA in the H1 or H4 chart. Wait till the price drops down to the 5, 13, or 21 EMA. These lower EMA levels will work as an excellent support level. Try to spot a bullish bounce in the EMA levels as it will act as the first sign to take a long trade.
As you locate the bullish bounce in the EMA, analyze the data from the relative strength index indicator. The blue signal line should be trading near the 50 lines. Note that the slope of the blue signal line must be positive (the signal line will be heading towards the north). Open the new long trade with the SL below the low of the bullish confirmation candlestick. Take profit will be set for 40 -50 pips. Since resistance level greatly varies in asset, we will be using different points in the TP. But if the resistance level is too close, stop taking any trade based by using the beauty EMA system.
Lagurre Scalping Trading System For MT4 - Short trade setup
Short trades are triggered when the price hit major resistance. Now we will be using the LEMA system which is a bit more advanced as the analysis will be done in M5 and M15 time frame. The yellow color EMA (192) is going to be the key player. If the price trades above, the market is in the uptrend. If the price trades below it, consider the trend as down. Now let’s see how we can take trades on bearish reversal. First of all, the EMA 16 and EMA 48 must cross below the yellow moving average resulting in a golden bearish cross. We will now wait for a bullish correction in the price which is most likely to end after hitting the 16 or 48 EMA.
Wait for the bearish rejection in the EMA signal line. As bearish rejection takes place, the lagure signal line will trade below the 0.2 level. Note that, signal line in the Laguerre indicator will be sharply falling when the golden bearish cross takes place. Sell the instrument at the rejection of the EMA with 8-10 pips stop. Be aware, the stop-loss price must be placed above the tested EMA line. The take profit for this method is 25 pips. But the retest takes place at the yellow EMA, you can set the take profit 40 pips.
Trade Management
The Laure Scalping Trading System can be mastered within a short time. But still, traders fail to succeed since they trade with emotions. To control the emotion, you have to control the risk exposure. The risk should be lowered to 2% in each trade and only then you can take trades with strong confidence. However, those who are intending to take multiple trades by using both systems should use a bit more different risk management techniques. For the Lema system, they can risk up to 1% of their account balance and for the beauty EMA, they can risk 2% of their capital. So, the overall risk is 3% when both systems are used to open the trades.
The active users of the Laguerre Scalping Trading System can take 2 trades per day with the Beauty EMA template and 4 trades per day with the Lema template. But do not try to take 4 trades or 6 trades with the Beauty EMA system in a single day. Strictly follow the risk distribution and trade limit factor as it greatly improves your accuracy and performance. Never let your emotions trade on your behalf, as it can blow up the trading account in no time.
Lagurre Scalping Trading System For MT4 - Conclusion
Skilled investors know a lot about the market. Whenever they learn the function of a new trading system, they try to focus on the demo account. So, to master the use of the Laguerre Scalping Trading System, you should practice in the demo account. The demo account will provide you risk a free trading environment and you can test the different functions of this strategy. Since the strategy has two unique templates which solves act as two different trading strategies, traders are advised to take master its use one by one. Novice traders often find it hard to make a profit since they constantly focus on two different templates. You need to use this template strategically.
First, try to find reliable trade signals by using the Beauty EMA. If you fail to find any potential trade setups, move to the Lema template. But do not look for the trade signals by simultaneously using both templates. Always remember, you should be taking the trades without making things complex. And using two different templates from one system to analyze the market is a little bit hard and requires experience. Unless you have more than three years of experience, do not use both templates at the same time.
Download the complete system description and the files here:
Partially Automated Trading Besides Your Day Job
Alerts In Real-Time When Divergences Occur
