Ok here's the system I have come up with. I have paper traded it and it has been successful over the past year for GBP/USD, GBP/JPY, USD/CHF, and CAD/JPY.
1) Daily Charts with NO Indicators
2) If price has 3 consecutive days where the Close is higher than the Open, on the OPEN of the 4th candle, Initiate a Buy Order.
3) Stop is 2 pips below the previous candle, or 90 pips (whichever is lower)
4) Take Profit is in 2 steps...
a) Take half profit at 30 pips and move stop to break even
b) Take remaining profit at 100 pips
2) If price has 3 consecutive days where the Close is lower than the Open, on the OPEN of the 4th candle, Initiate a Sell Order.
3) Stop is 2 pips above the previous candle, or 90 pips (whichever is lower)
This is an easy system because it eliminates many factors that make the novice trader unsuccessful (overtrading, ignorance about how to effectively use indicators, etc.).
I found that MANY times the 30 pips was hit. The 100 pips take profit was hit but only about half the time. The key, however is to continue looking for a new setup once a trade has ended. What I mean by that is let's say that you enter a Buy trade and it is successful for 130 pips, and it continues heading up, YOU DO NOT RE-ENTER THE TRADE. You look for a completely new signal, which means that price needs to close Lower than it's open before you could look for a new signal to occur.
Out of the 4 pairs that I tested, GBP/JPY and GBP/USD had the best results (close to 1000 pips each for they year), followed by CAD/JPY with 600 pips, and then USD/CHF with 300 pips.
So if one pair is not setting up then another pair usually was.
Thanks for the help.
This is the best method in forex-tsd!!!
From beginning of 2007 to today
2 lots:First lot close at +30,
second lot close at +100 pips
July so far:+150 pips
Total for the year:+1,329 pips
July so far:-130 pips
Total for the year:+2,300 pips
Another part 2
July so far:-150 pips
Total for the year:+463 pips
Another part 3
July so far:+60 pips
Total for the year:+1,930 pips
For all 4 pairs, we have a total of :
+6,022 pips for the year
Wow! Now that is money!
I love this method!!!
Somebody make EA of this method???
I am going to live with this method!!!
6,020 pips for half a year!!!
I usuually trade 5 standard lots on my live account, I made $20,000 and stopped because I thought I got lucky, until now, i'll have to go find the password to my live account and trade this method.THANK YOU!!!!!!
Starting today, i'll be trading 30 lots.:)
30 lots on 6,020 pips would already be a good +$180,000 !!!
OH MY GOSH!!!!!
I can live with $1,000,000 in a fast 1 year.Anyway, with the $180,000 i'd be trading 300 lots, which I would make that 6,020 pips tuen to +$1,806,00+)the current balance($180,000)
So, the total is +$2.6 million !!!
It's profitable but I don't think it's THAT good. I went through each and every trade for the past year, and it only gave me a combined total of about 3500 pips for the past year. I think that the 30 pips is hit probably 85-90% of the time. But the 100 pips is hit between 40-50% of the time.
Remember I had a stoploss of 2 pips beneathe the previous candle, or 90 pips (whichever is lower). But once the 30 pips was reached, the stop went to break even. Many, many times after reaching the 30 pips, the trade was stopped out, because of a retracement.
Also I want to mention that it is 30 pips and 100 pips from the open of the candle. Not 30 pips or 100 pips + spread. That's pretty critical actually.
But I like this system because it is soooooo simple to use. If you see a setup at midnight, you enter the trade. If you do not see a setup at midnight, then you walk away and come back tomorrow.
I would love it if someone could make this into an ea though. Any takers?
The heart is here, seems good...
Is the beginning of a new day 00.00GMT?