Trading Results If You Followed The Purple Indicators In March


After a month, we’re bringing you monthly evaluation again with the results of trading by the use of our unique Purple indicators. It’s clear that March 2020 was a month when the financial world, thanks to the coronavirus pandemic, changed a lot, and it was seen in the results of one of our main Purple indicators in the end.

So, let’s take a look at the trading opportunities in March if you used Purple indicators and how this stated pandemic affected one of them, “adversely.”

Purple Strike indicator

The chart below shows the development of the Purple Strike indicator at EUR/AUD pair in March 2020 (start – 02. 03. 2020 => green vertical line). In the past, we have introduced you to this indicator as it belongs to user-friendly and very effective ones, so even trading newbies could use them without any problems.

We should mention again that no indicator would be completely free of any failures, and therefore, over time, there are situations when indicators fail and provide incorrect signals to traders.

Note: In the case of Purple Strike, it’s possible to reduce the number of false signals by the use of moving averages (added to the chart), serving as a certain confirmation of signals for position opening, received from the Purple Strike indicator.

Strategy description and trading results in March

The strategy we picked for the Purple Strike indicator is so difficult as the user settings. In our strategy, we simply set that positions will be open in the trend direction, determined by an extra inserted moving average. Therefore, it means that if Purple Strike provided a signal to open in the direction of the trend (e.g., buy signal, and the price was seen below the moving average), position opening was executed, and conversely, if the signal was contradictory to the trend, it was not executed.

With Purple Strike, March provided really nice opportunities to traders, when it was possible to trade around 2,650 pips of long trades and ca 845 pips in case of short trades.

Note: the moving average was shifted forward within the selected strategy, thus ensuring its stability at actual candles.

You can find more information about indicator settings and moving average below the chart.

trading performance results Purple Strike indicator

Purple Strike Settings: Moving Average Settings:

  • Period: 5

You can find more information about the Purple Strike Indicator here .

Purple Extreme Indicator

Purple Extreme represents our second Purple indicator today, whose development in March will be summarized here and belonging to the group of so-called oscillators.

Strategy description and trading results in March

For the purpose of opening signals, also a moving average was applied for the Purple Extreme indicator, on the basis of which trading positions were open (or were not). It means that trading positions were opened only if the trend correlated with an expected bounce from the limit level, and in case of opposite development, no position was executed. Example: If the price was found below the moving average (short trend indication) and the yellow line of Purple Extreme hit the upper limit level (indicating potential bounce back downwards), a position was opened, while in case of an opposite development (in case of dissent or if the price was found around the moving average), a position would not have been opened.

On the chart, we can see blue arrows – executed long positions, red ones – executed short positions, and the light blue vertical line means non-executed entries.

At the end, in March, traders had the opportunity to trade even 2165 pips with Purple Extreme in case of long positions and 1179 pips in case of short positions.

More detailed information about indicator settings and moving average could be found below the chart:

trading performance results Purple Extreme Indicator

Purple Extreme settings: Moving Average settings:

  • Period: 36
  • Oversold Level: -80
  • Overbought Level: 80

You can find more information about the Purple Extreme Indicator here .

Purple Bands indicator

Purple Bands is another Purple indicator from the series of oscillation indicators, and we will summarize its March developments here.

Strategy description and trading results in March

Purple Bands result in March at USD/JPY was not very successful, but this is the life in the Forex market.

In the case of this indicator, we have chosen a relatively simple trading strategy based on waiting for the moment when the market hit one of the first zones. Then, we opened trading positions in the opposite direction. In case the price passed through the entire first zone or ended within the first zone at the end of the session, a loss was experienced. Conversely, if the price bounced back and passed at least through half of the neutral zone, or ended in the neutral zone at the end of the trading session, the trader would have ended with a profit. With regard to the fact that the spread of first zones is much narrower than the spread of half of the neutral zone, also the rule of “right” Money-Management setting was met.

Note: If the same zone was hit repeatedly within the same session, no other trade was open.

Here, on the chart below, we can see that in March, Purple Bands experienced a higher number of trades with losses, whose cause can be attributed to the global pandemic events. Purple Bands is an indicator working with long-term tested daily spreads, and unfortunately, the situation related to COVID-19 moved markets so much that spreads in March dropped below long-term averages.

More detailed information about indicator settings may be found below the chart:

Purple Bands indicator trading performance results

Purple Bands settings:

  • Settings for this indicator may not be changed; it’s completely automatic.

You can find more information about the Purple Bands Indicator here .

Purple Levels indicator

The last from Purple Levels indicators offered an incredible month to traders, full of trading opportunities.

Strategy description and trading results in March

Purple Levels, as well as the Purple Band indicator, is an indicator that needs to be only uploaded, and that’s all. The strategy here was selected in a simplified way, so we waited for any created zone to be hit, and subsequently, trading positions were executed in the opposite direction as the zone was hit.

Purple Levels indicator trading performance results

Thus, in March, it was possible to trade even 16 trades. Thanks to the incredible accuracy of indicator, it could provide around 2028 pips to traders through short positions and around 377 pips through long positions.

Purple Trading indicators can be downloaded HERE .

If you would like to try out trading with top tier trading conditions and professional forex broker, don’t hesitate to try our demo account that may be open on our website completely for free and free of any risk:

We wish you many profitable trades!

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