Bounce20 method... very good trading system with low Risk/HIGH Reward ratio - page 3

To add comments, please log in or register
Gert Jakobus Visser
578
Gert Jakobus Visser  

As far as I can see we have to follow 3 important steps here:

  • Wait for MACD to retrace from red line
  • Wait for price to bounce off SMA 20
  • NOW, wait for next candle to close below/above SMA 5

Looking back on the charts I've found that if you don't get a retrace below/above SMA 5 within the next 3 candles it's most likely not a good signal. The best signals came from an immediate retrace below SMA 5 after the bounce off SMA 20.

I believe a setup is forming on the EURUSD as I'm typing and if the current candle close below SMA 5, I'll place a BUY order with a SL 5 pips below latest swing low, which is 1.2813. I would also not use a SL bigger than 30 pips, but that's just me.

Also an idea to catch the trend without having to sacrifice pips is to move your SL to BE once you are 20 or 30 pips positive. That way if the trend turn around you are BE, but if the trend runs you are in the pound seats :-)

Files:
pw79
21
pw79  

Hi, is it possible for someone to list the indicators required to test this system.

Many thanks

Gert Jakobus Visser
578
Gert Jakobus Visser  
sitestuff:
As far as I can see we have to follow 3 important steps here:
  • Wait for MACD to retrace from red line
  • Wait for price to bounce off SMA 20
  • NOW, wait for next candle to close below/above SMA 5
Looking back on the charts I've found that if you don't get a retrace below/above SMA 5 within the next 3 candles it's most likely not a good signal. The best signals came from an immediate retrace below SMA 5 after the bounce off SMA 20.I believe a setup is forming on the EURUSD as I'm typing and if the current candle close below SMA 5, I'll place a BUY order with a SL 5 pips below latest swing low, which is 1.2813. I would also not use a SL bigger than 30 pips, but that's just me.Also an idea to catch the trend without having to sacrifice pips is to move your SL to BE once you are 20 or 30 pips positive. That way if the trend turn around you are BE, but if the trend runs you are in the pound seats :-)

For those of you who picked this trade this morning would have made 30 pips! Now we wait for the next setup.

Gert Jakobus Visser
578
Gert Jakobus Visser  
pw79:
Hi, is it possible for someone to list the indicators required to test this system.Many thanks
  • MACD - Default settings
  • SMA 20
  • SMA 5
Gert Jakobus Visser
578
Gert Jakobus Visser  

I'm getting good signals with EU H1.

Are any of you guys using this strategy?

strawmango
27
strawmango  

This is a win with low risk and high return strategy. Thank you for sharing. I will try this in 15 time frame.

forex
69
forex  

nice system .thanks for sharing...

flexw
20
flexw  

At the author of the thread...

I am happy ...

that anybody else exist that want to trade BOUNCING BACK INSTEAD OF BREAKING THROUGH.

Maybe my ideas could help to increase this strategy

I would only enter when price additionally to your settings bounces back from stronger support & resistance based on fractals or something like this ... no fibonacci etc..... it could help to catch more huge movements with very, very good risk-reward-ratio.

Please take a look here and proove if it could be valid additionally to your system - I could also need your help and advice-

https://www.mql5.com/en/forum/200190

karol vesely
369
karol vesely  

Much better for the eyes and much more information if you use candlesticks instead of stone age bars. Pin and engulfing candles are good confluence signals for decision making.

Hermes

shashirkiran
3
shashirkiran  

Hi, can u please explain the same scenerio in Today's 15 Mins chart

Thanks in advance

To add comments, please log in or register