GOLDEN RULES FOR 5 MIN MACD TRADING

1. Trade time is intraday.No overnight position for any reason.

2. 60 min  MACD has to support the side of the trade. Thus Either positive(better) and 30 min MACD not overbought or oversold but turning positive so at least 30 min MACD is positive.

3. In case there is a strong 5 min trend (both MA's pointing same direction and MA 20 has not crossed MA 50,it has to finish if it is against the direction of the trade.

4.5 min MACD is positive or turning positive when  1min MACD is not overbought for long trades not oversold for short trades. 5 min MACD has not to go all the way to oversold. If it turns positive midway, with a support close it is possible to take the opportunity.

5. Better close to Lower bollinger band of 5 min chart for long entry.

6. 5 min MACD break up in the middle of the band is ok if the support is close.


STOP: only if the support stop level is broken / OR  if the trade worked in the favor but then failed to go further stop when 5 min MACD breaks down.

EXIT: 1 min MACD breaks down 1st target(if it worths to take the profit) . 5 min MACD breaks down second target.