Thanks, birdt. I'll take a look at the Auslanco threads. Also thanks for the idea of the three momentum indicators. Will experiment.
Please suggest a simple & effective Method/System of "Trading System" Forum to newbie 180 replies
Day Trading system - Simple system to make money 51 replies
Another great Breakout GBP/JPY System (Dachel's Simple system) 62 replies
My Simple System (Can we automate this system?) 96 replies
An Easy System (With the help of ES Trader - Another Simple System) 13 replies
DislikedHello guys!
I would like to share this simple but effective system with you. I'm not an author of it but use it quite successfully. Hope for some of you it will give a nice profit specially for those who is not a full-time trader and has only limited time to trade. OK here it is:
Buy Rules
1) Daily Charts with 20/50 EMA (close)
2) If price has 3 consecutive days where the Close is higher than the Open and 20 EMA > 50 EMA and the slope of these two emas is positive, 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
Sell Rules
1) Daily Charts with 20/50 EMA (close)
2) If price has 3 consecutive days where the Close is lower than the Open and 20 EMA < 50 EMA and the slope of these two emas is negative, 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)
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
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 would recomend to move your SL to breakeven as soon as possible, 20-30 pips are quite enough.
TP levels may differ depending on pair being traded. Say for GBP/USD optimal TP is 39 pips and 80 pips. You have to optimize your TP for each pair you trade.
You may paper trate any pair you like and post your results!
Thanks to IndyCash for creating backtest tool for SIMPLE. You can find it here and experiment with optimal TP and SL levels.
You trade only once a day and it takes about 15 minutes to look over the charts and make your decision.
I wish you success and have fun!
Take care!
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DislikedThis thread is dead. Perhaps this may be of interest to some of the followers.
I focus mainly on GBPJPY these days but I noticed a number of three candle formations which may or may not be valid depending on whether you are willing to trade contra-trend and how you define that trend.
Three black crow formations exist on:
AUD/CAD
AUD/JPY
AUD/USD
EUR/JPY
GBP/JPY
NZD/USD
and there is a three white soldiers (bullish) formation on:
EUR/AUD
They all look like pretty good set-ups to me, but I do have reservations about trading in such a thin market. Therefore I'd recommend reducing position size and leaving stops a little wider or profit targets a bit closer.
Happy trading all!Ignored
DislikedWhy did this thread die? I didn't keep up with it.... haven't read it since about page 10 or so.....
Did it look unprofitable? ThxIgnored