No Name Trading System
Hello Again,
I was not able to upload the screen-shoots in the previous post due to limitations on the number of files and so I am adding to the previous post with this one.
Below you will find screen-shots of the three types of setups mentioned.
1) Fresh Cross
2) Fast Retracement
3) Slow Retracement
Who has triedit and experience on short TF and longTf?
Hello Again, I was not able to upload the screen-shoots in the previous post due to limitations on the number of files and so I am adding to the previous post with this one. Below you will find screen-shots of the three types of setups mentioned. 1) Fresh Cross2) Fast Retracement3) Slow Retracement
Hi
Did you test it on demo account ?
Tanx
Hello FXPink,
I have been trading the strategy since October of 2009. The performance of the strategy can be accessed at the following link
MT4 Stats - Share your MetaTrader 4 Statements with the world
I will follow-up with a post for today's trade.
Cheers,
Greetings Members,
I am posting the trade I took today.
Currency pair: EURUSD
Entry time-frame: 1Hr
Trade type: Trend continuation on 1H
Trade Setup: Slow retracement
Entry price: 1.23819
Exit price: 1.23150 (projected Fibonacci support)
Stoploss: 1.24150
Profit: 66.9 Pips
Profit: $6690
Cheers,
Hi Did you test it on demo account ? Tanx
Hello FXPink,
I posted a response to your post but for some reason it disappeared. At any rate,
Ihave been trading the strategy and refining it since October 2009. My performance using it can be viewed at
MT4 Stats - Share your MetaTrader 4 Statements with the world
Cheers,
Greetings members,
Please review the attached chart showing the Long-term, Medium-term, and Short-term charts that I use.
This is a situation where I am sitting idle waiting for a setup to happen before I jump in.
Long-term trend analysis: Overall inclination - Short
1) Price closed below resistance level (Short)
2) Trigger lines loosing momentum and are closing (Short)
3) Price bouncing off 34 MA (Long)
4) Zerolag MACD crossed to the down side and well above zero line (Short)
5) Cycle indicator started to loose momentum and curve down (Short)
Medium-term trend analysis: Over all inclination - Neutral
1) Price well below resistance level (Short)
2) Trigger lines strong momentum to the down side (Short)
3) Price extended far from 34 MA (Long)
4) Zerlolag MACD crossed to the up side and well below zero line (Long)
5) Cycle indicator with weak momentum and curve down (Flat)
Short-term trend analysis: Over all inclination - Neutral
1) Price at resistance level (Short)
2) Trigger lines consolidated and tight (Flat)
3) Price bouncing off 34 MA (Long)
4) ZerloLag MACD flat with consolidation (Flat)
5) Cycle indicator started to loose momentum and curve down (Short)
Possible scenarios:
1) Long-term trend to continue the impulse wave to the downside with a possible support target at 1.9667
2) Long-term trend to continue the correction wave with a possible target of 1.26037 with divergence on ZL MACD.
3) Medium-term trend to retest price level 1.23168 before continuing down (ideal for entry and could confirm scenario 1 above) for a possible target of 1.21539
4) Medium-term trend to close above 1.23168 with a potential target of 1.24538, then 1.26037.
5) Short-term trend is irrelevant at this point since Long-term and Medium-term trends are not in sync.
My instinct tells me that the EURUSD will continue its dive for a potential target of 1.9667, but we don't trade on instinct and so I will wait for my setups to happen (closed)
Please note that I am not providing recommendations to act on, I am simply sharing with you my personal opinion on what I think will happen. I could be wrong and I have been wrong in the past, so make sure to make your own analysis as well.(nerd)
Cheers,
Greetings Members,
I have uploaded the system's template to make it easy for you to follow the strategy. Enjoy!
Cheers,
Here is the update for the market condition posted at post #6 above. It is saying a totally different thing today now that new price action took place
Long-term trend analysis: Overall inclination - Long
1) Price closed well above resistance level (Long)
2) Trigger lines regained momentum and are separating (Long)
3) Price bouncing off 34 MA (Long)
4) Zerolag MACD crossed to the down side and well above zero line but is flattening instead of curving down (Short)
5) Cycle indicator is gaining momentum and has picked up some positive slope (Long)
Medium-term trend analysis: Over all inclination - Long
1) Price well above resistance level (Long)
2) Trigger lines closed up and lost momentum to the down side (Long)
3) Price right at resistance of from 34 MA (Short)
4) Zerlolag MACD crossed to the up side and well below zero line with strong slope upwards (Long)
5) Cycle indicator curved up (Long)
Short-term trend analysis: Over all inclination - Long
1) Price bounced off support level (slow retracement setup) (Long)
2) Trigger lines gained significant momentum and are sloped upwards consolidated and tight (Long)
3) Price far from 34 MA (Short)
4) ZerloLag MACD crossed downwards and well above zero line (Short)
5) Cycle indicator is gaining momentum and has picked up some positive slope (Long)
Possible scenarios:
1) It would seem the market is still continuing the upward trend on the daily chart. First resistance level would be 1.23685, followed by 1.24538 then 1.26037, respectively.
2) There is also a possibility that the market is setting up for a divergance on the daily chart where it will reach the the first resistance level on that chart while the MACD is going down. We shall see.
Despite of the above, I am staying aside. I would like to see a better setup on the 4H time-frame (i.e. All indicators are in agreement, specially the Triggerlines)
So, as you see, what makes the markets interesting is that everyday it tells a different story; with each passing day a new clue appears that gives a hint as to which way the price will go. Yesterday it was short, today it is long. I find that just amazing.
Refer back to my strategy, I mentioned to always trade on facts and not assumptions or instinct. What I just described above are my opinions on what I view as facts. Of course others may disagree, and that is yet another dimension of the beauty of what we attempt to do
Trade well my friends.
Cheers,
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Greetings fellow traders,
Today I would like to share with you a trading system I developed a while back. I have been using this method since October 2009 with consistent profits. System performance can be viewed at my MT4stats page by clicking on the link in my signature below
I will present to you this system in the simplest format possible so that it is easy to understand and will include tips that will help in your implementation.
In short, the system consists of four indicators and those are:
1) Triggerlines2 (20,5,300)
2) Close Line (20,5,300)
3) Zerolag MACD (12,26,9)
4) Cycle_GJH4
The system utilizes 3 time frames to represent short, medium and long-term trends. The time frame of the trend could by anything you are comfortable trading; the only rule is that each progressively higher frame needs to be at least 4 times the prior frame. Personally I use 1Hr, 4Hr, and Daily charts. Since I am not able to be in front of the screen at all times, I have chosen time-frames that will allow me to swing trade the market at a comfortable pace.
I use the long-term time-frame to determine trends, the medium-term time-frame to determine setups, and short-term time-frame to determine entry.
Types of Trades:
1) Trend Trade: a market position in the same direction of the long-term and medium-term trends; position taken at the start of the trend
2) Trend Continuation Trade: a market position in the same direction of the long-term and medium-term trend; position taken after a corrective move or counter-trend to the main trend exhausts itself.
3) Counter-trend Trade: a market position in the opposite direction of the long-term trend. Utilized short-term and medium-term trends to trade; position taken at the start of the corrective move or counter-trend on the short-term time-frame.
Market Evaluation:
The first thing I do is determine long-term trend using the Daily chart. I am looking for descending/ascending Triggerlines, with bar closes below/above the fast Triggerline. In addition, I am looking for descending/ascending Zerolag MACD and Cycle_GJH4. This tells me that a trend has been established.
Next, I evaluate the medium-term trend on the 4H chart. Initially I determine whether the indicators on this time-frame are in agreement with the longer time-frame or in contradiction. If medium trend is in synchrony with the long-term trend I only trade trend and trend continuation trades. If medium trend is not in synchrony with the long-term trend, I then either stay out of the market, or capitalize on counter-trend setups.Once the state of trend on the long-term and the medium-term is determined, I use the 1Hr time-frame to time my entry in the desired direction of the trade. This means I attempt to obtain best entry price by timing the tops and bottoms.Types of Setups:Whether I am trading trend, trend continuation or counter-trend trades, I always look for 3 setups to trade and those are:
1) Fresh Cross: (Trend Trade)
a. Cross on second highest time-frame in same direction of trend on higher time frame
b. All indicators are changing directions on the same bar (i.e. fresh cross or turns on all indicators)
c. Cross must occur on previous bar or higher (bar 1+) and not current bar ( bar 0)
d. Entry is on bar 0 once the cross has been established.
2) Fast Retracement (Trend Continuation Trade)a. Triggerlines are well separated with steep angle of separation.
b. Zerolag MACD Fast line is well separated from Slow line
c. Price retraces main move sharply in the same candle and in opposite direction of trend.
d. Enter in direction of main trend
e. This is the only trade that takes place on current bar or bar 0 in real-time
f. Will require you to be in front of the screen to catch it
3) Slow Retracement
a. Triggerlines are well separated with steep angle of separation.
b. Zerolag MACD Fast line is well separated from Slow line
c. Price retraces main move over several bars and in opposite direction of trend
d. Enter in direction of main trend
e. Entry is on the open of bar 0 once bar 1 retraces to touch the fast Triggerline
Important Points to Understand:
1) Trade setups should be used as guidelines. As you practice and gain experience you will be able to determine the strength of the setup.
2) Zerolag MACD and Cycle_GJH4 indicators are susceptible to divergence (i.e., they will go one way and price will go another way)
3) If observation 2 above occurs on the long-term time-frame, stay out of the market or take counter-trend trades.
4) ZerloLag MACD will always respond first to changing market conditions and thus is more susceptible to whipsaw/fake-outs as time-frame decreases.
5) Triggerlines will respond second (most reliable)
6) Cycle_GJH4 will respond third
7) Triggerline and Zerolag MACD separation, the wider and steeper the slope, the stronger the momentum and trend
8) Cycle_GJH4, the steeper the slope, the stronger the trend.
Money Management:
Personally, I only trade at 1:5 leverage. This allows me to risk up to 2% of my trading capital without significant loss to my account. Furthermore, I average cost my entry to allow greater room for entry errors. For example, with a $10,000 account, I will only trade 0.5 lots total at any given trade. I enter the market with 0.25 lots and place a limit order 20 pips away from previous order. The stop-loss for both orders would be the same and set at 2% of account balance (which would be $200 in this case). My take profit is usually based on previous highs/lows or support/resistance levels. Furthermore, when entering a trade, I look for at least 1:2 risk to reward ratio.
Important Trading Tips:
1) Resist the urge to catch bottoms and tops
2) A safer entry is on pull back or hesitation points
3) Do not trade on anticipation, only facts
4) Indicators on higher time-frames supersede indicators on lower time-frames
5) Do not over-trade, wait for setups, you may not, and most likely will not, have a trade everyday.
Further Development:
I have recently been tinkering with the application of Fibonacci support and resistance levels in a whole new way to complement this strategy. More details on this development can be found here in this forum, but this is a separate discussion.
I hope you found this post easy to understand and follow. If you find any point unclear or require further expansion on the subject please do not hesitate to leave your comments with your questions and I will be happy to revise the post to address them.
Happy trading.
Cheers,
P.S. This post serves the purpose of helping members of this forum to develop their knowledge base and to test new strategies that may fit their trading style. You are free to use this strategy for your own personal use but you are not, under any circumstances, are allowed to hijack or re-package and commercialize or market this strategy for your own gain.