Easy MACD RSI Scalping Strategy
Disclaimer: This article is for educational purposes only and should not be considered financial advice.
Scalping is one of the most popular day trading strategies, and combining the MACD with the RSI can create a powerful confirmation system for intraday moves. In this guide, we’ll break down an easy MACD RSI scalping strategy that can be applied to any market—whether you’re interested in Forex, stocks, or crypto.
Strategy Setup
To begin, add the following indicators to your chart:
- MACD with settings 4, 6, and 12
- 4-period EMA with a shift of 4
- 4-period RSI
This setup is designed to confirm swing highs and lows while keeping entries simple. By combining MACD confirmation, RSI Divergence, and trendline breaks, traders can improve their decision-making.
Buy Trade Rules
- Look for a break of structure (a new high) confirmed by the MACD green histogram.
- Check for an RSI trendline break with at least two touches.
- Wait for the MACD to turn red again during a retracement.
- When price closes above the 4 EMA (shift 4), enter the trade.
Sell Trade Rules
- Look for a break of structure (a new low) confirmed by the MACD red histogram.
- Check for an RSI trendline break.
- Wait for the MACD to turn green again during a retracement.
- When price closes below the 4 EMA (shift 4), enter the trade.
Exits and Risk Management
- Exit when price reaches 1.5:1 risk-to-reward or closes on the opposite side of the 4 EMA.
- Always apply proper risk management: risk only 1% per trade.
- Place stops above/below the nearest swing high/low.
- Consider using the 4 EMA (shift 4) as a trailing stop.
Trade Examples
In live day trading, you’ll encounter both clean setups and tricky situations. For example:
- A textbook Buy Trade occurs when the break of structure, RSI break, and MACD confirmation all align.
- A Sell Trade may occur after a London session break of structure, retracement confirmed by the green histogram, and entry below the EMA.
- Some trades will result in break-even or small losses, especially when price action shows a lot of wicks and false signals. This is why backtesting and forward testing are essential before trading live.
Backtesting & ICT Concepts
Following ICT (Inner Circle Trader) principles, break of structure can be confirmed using swing highs and lows. The MACD helps filter out false breaks, giving traders more confidence. As with all trend trading methods, it’s important to:
- Backtest at least 100 trades.
- Forward test the same way in a day trading live environment.
- Take notes on order blocks, fair value gaps, and even breaker blocks to refine your optimal trade entry (OTE).
Conclusion
The MACD RSI scalping strategy is a straightforward approach to short-term trading. By combining MACD Divergence, RSI signals, and EMA confirmation, traders can align themselves with the market structure while filtering out false moves.
At Grow Money Central, we focus on testing and refining strategies like this so you can build confidence in your trading. Remember—success in trading comes from discipline, consistent testing, and following your plan.
