Super Simple 5min Scalping

Setup:
Stoch- 21,3,3, line on the 50 level
Heiken Ashi

Tested trade times:
London, open to close

Pairs Traded:
GJ
GU
EU
EJ

Long Entry:
Stoch under 50 line, K and D cross, HS is white on close.

Short Entry:
Stoch over 50 line, K and D cross, HS is red on close.

Chart:



Red: Short entry 1
Aqua: Long Entry 1
Red: Short entry 2

What would be your entry and exit points? at color change? some pips target?

Regards
Victor

seems good to aim for 15-25 pips with stop loss of 10-15.

Looks good with a cherry pick chart, but markets move crazy and only rarley trend that well.

But even so I do see merit to your idea. Im doing something like this now from the trafficlight thread.

Oh and i use the HA smoothed indicator instead.

This may work better on H4 chart where the noise is less.

Good luck bro.

Looks pretty good Cgiant! :-)

Heres a couple from the last couple hours. Out of my usual trading times though.

To Tombstone:
This does work on higher time frames, and that definitely helps with false entries.

As long as you are being nimble and managing risk, this strategy sounds pretty...sound.

I'd be sure that you at least glance at a larger timeframe to see if you are going long into major resistance or going short into major support.

Just control your risk and trade intelligently and master your edge and I can see this working out nicely. I've always loved scalping :P

How do you detect range market? In this picture you have some false entries after 20 jan 12:35.

I do not use another indicator to tell me when to stay out currently.

A lot of the time, if a signal goes badly, I will wait until a complete reverse signal before entering again. This keeps me out of alot of false entries, but at the same time it will always miss a good one.

Here is a few recent entries

Very low gains on these trades, market is still cool from the weekend. Just wanted to show some more examples.

If you don't like to handle a lot of false entries, you may want to consider a higher time frame. Here is a great one from 30min.

Hi CGiant,

I usually don't use any indicators, but I think this is a good simple method.
What I like about this method is it only uses Stochastic.

I took a short entry this morning, and it is still going in my favor.

I entered long.

I was out for -5 pips at the open of next candle
after the stochastic made a downward cross.

quite simple lazytrader.............thanks 4 sharing

Good looking system, very similar to what I use. I use HA bars and stoch but my stoch settings are different. How did you come up with 21,3,3 and the 50 level? What about stops and targets?

Thanks,
Max

Glad to see others having success with this system. Here are a couple more examples:

I will try and answer some questions in a few hours when I have a little extra time.

Good luck everyone

I think the entry is simple and nice for those trade. But u need a proper filter your system.Because that many whipsaw in 5 min Timeframe. Then ur money management, and a logic exit.. I dont think just a simple stohastic can help generate consistency in dis market. so need more workout. This is just my sharing. anything that i write wrong Plz forgive me. thx..

Use Stochastic 21/3/3 with MACD 5/20/1 crossing zero line, QQE 5 crossing level 50 and Top Trend indicator with settings 20/1. This is a very high potential strategy on 5 min for GBP/JPY. Use the Top Trend indicator line as trailing stop and trade it as a trend following system. Stay in your trade until trailing stop is hit or opposite signal. Trade only London open - London close!