Waves of Line – Quotex Reversal

Effective Trading Strategy with Quotex Using Zigzag Indicator and Weighted Moving Averages

Trading on Quotex broker can be highly profitable when using the right tools and techniques. One proven method combines the zigzag indicator, weighted moving averages, Bollinger Bands, and Heiken Ashi candles on a 15-second duration with a 10 second candles. This method is suitable for stocks, cryptocurrencies, OTC currency pairs, and other assets, especially those with high returns.

Key Components of the Strategy

• Timeframe: 15 seconds

• Candle Duration: 10 seconds

• Candlestick Type: Heiken Ashi candles

• Indicators Used:

  • Two weighted moving averages (WMAs)

  • Bollinger Bands

  • Zigzag indicator

• Color Scheme: All indicators use green for clarity and consistency.

How the Strategy Works

1. Zigzag Indicator Waves as Main Signals

The zigzag indicator generates wave patterns that highlight potential entry points. These waves help identify trend reversals or continuation zones.

2. Bollinger Bands for Trade Confirmation

When candlesticks are close to the upper or lower Bollinger Bands, it signals overbought or oversold conditions, offering ideal spots for placing trades.

3. Distance Between Moving Averages and Zigzag Lines

A wider gap between the moving averages and the zigzag line often indicates a trend that is likely to reverse soon. This gap provides a second opportunity to enter trades with a higher probability of success.

4. Reversal Patterns on Candlestick Chart

Look for reversal candlestick patterns such as hammer candles near the bands and moving averages to confirm potential trend changes.

Example Trades

• Trade Entry at Lower Band: When bars are near the lower Bollinger Band, and moving averages are distant from the zigzag, this signals a potential upward reversal. A hammer candle formation confirms this trend shift.

• Trade Entry at Upper Band: When the zigzag reaches the upper Bollinger Band accompanied by a long wick downward but abnormal volume, expect a downward trend.

• Martingale Method Application: In case of losses, apply the Martingale strategy by increasing trade size in subsequent trades to recover losses and secure profits.