ADX & RSI Strategy (H1)

A clean H1 trend approach: use ADX to ensure trend strength and RSI to time pullbacks—simple, systematic, and measurable.

Tools

• ADX(14) with DI+ / DI‑ for trend strength/direction. Thresholds: ADX ≥ 20–25.
• RSI(14) for pullback timing (30/70 or custom zones).
• Optional: ATR(14) for stops/sizing; session markers (London/NY).

Bias

• Trade with the dominant H1/H4 trend.
• Consider longs when ADX rising and DI+ > DI‑; shorts when DI‑ > DI+.

Entries

Pullback timing via RSI:

• Long: trend bullish (DI+>DI‑, ADX↑). Wait for RSI dip to 40–50 zone and a bullish candle close.
• Short: trend bearish (DI‑>DI+, ADX↑). Wait for RSI pop to 50–60 zone and a bearish close.

Stop Loss

• Beyond last minor swing or ATR(14) × 1.5–2.0 from entry.
• Add spread buffer for shorts.

Take Profit

Pick one and stick to it:

• 2R–3R target, or
• Structure partials at previous swing; trail the rest under/over minor swings or ATR(14).

Management

• Move to breakeven after a close beyond the pullback origin.
• Avoid entries 1h before high‑impact news; prefer London/NY overlap.

Risk

• Risk ≤ 1%/trade, max 3 concurrent per pair.
• Align with H4 bias; forward‑test before going live.