The Universal Kit

Indicators:

• Bollinger Bands (20, 2, 0, close)

• RSI (7)

• ADX (14) with the level of 32

Key conditions:

The timeframe should be at least M30. trailing is recommended. avoid trading during flat and speculative periods.

BUY conditions (all conditions must be met):

• the price is turning up in the zone of the lower or middle Bollinger band

• RSI is in the oversold zone

• ADX is no more than 32

SELL conditions (all conditions must be met):

• the price is turning down from the upper or middle Bollinger band

• RSI is in the overbought zone

• ADX is no more than 32

Exit criteria: exit the trade when a reverse signal appears.

Exercise:

Open a chart with a timeframe of at least M30. Apply the Bollinger Bands indicator with settings (20, 2, 0) based on the close price. Add the RSI indicator with a period of 7 and the ADX indicator with a period of 14, setting the level at 32. Ensure that you are not trading during flat or speculative periods and consider using a trailing stop.

Look for a BUY signal when the price turns up in the lower or middle Bollinger band zone, the RSI is in the oversold zone, and the ADX is no more than 32. Enter a long position on the next bar and set a stop-loss below the recent swing low. Monitor the trade and exit when a reverse signal appears.

Repeat the process for a SELL signal by identifying when the price turns down from the upper or middle Bollinger band, the RSI is in the overbought zone, and the ADX is no more than 32. Enter a short position on the next bar and set a stop-loss above the recent swing high, exiting the trade upon the appearance of a reverse signal.