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EUR/USD MACD Trend

A two-sided forex trend strategy that trades EUR/USD in both directions using MACD crossovers aligned with a higher-timeframe moving-average bias.

Last updated June 18, 2026

The idea

The EUR/USD MACD Trend strategy trades the world's most liquid currency pair in both directions. It uses the MACD for timing and a long-term EMA to decide which way it is allowed to trade, so longs are only taken in uptrends and shorts only in downtrends.

How it works

  1. Directional bias — if price is above the 200-period EMA, only longs are allowed; if below, only shorts.
  2. Long entry — go long when MACD crosses above its signal line while the bias is up.
  3. Short entry — go short when MACD crosses below its signal line while the bias is down.
  4. Exit / stop — exit on the opposite MACD cross, with a protective stop at 2× ATR(14).

Why a directional bias

Currency pairs spend long stretches ranging, where naked MACD signals whipsaw. Restricting trade direction to the side of the 200-EMA keeps the strategy trading with the dominant flow and avoids fighting the prevailing trend.

Parameters to tune

Parameter Default Notes
MACD fast / slow / signal 12 / 26 / 9 Standard momentum settings
Bias EMA 200 The trend gate for both directions
ATR stop Adjust to session volatility

Next steps

Backtest the strategy on hourly EUR/USD data in Horizon, check performance across trending and ranging regimes, then deploy it through a connected broker.

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Trading and investing involve significant risk. Many participants lose money through trading and investment activities. Nothing on this site or within the Horizon platform should ever be interpreted as financial advice. Any decision to buy, sell, hold or trade securities, cryptoassets, commodities or any other financial instruments carries risk and should be made with the guidance of licensed financial professionals. Past results never guarantee future performance.

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