Quoting llambert3DislikedSteviet just so you know, I wrote a program that had an initial start date and from there tried to automate this system. It doesn't work. You have to look at the candle patterns and make a decision when the s/l is hit (as you are doing already)... I tried reversing the trade when a s/l was hit of 10, 20, 30, 40, 60, etc. it still never worked. hee hee
Of course I was hoping for something automated, as I went and backtested myself to determine the next trend when a s/l was hit and I was all to often wrong..
I was curiuos about your 10pip s/l..There were plenty of trades in the past that if you had a 15 pip s/l or 20, you'd stay in the trade for more gains, without having to make that dreaded decision again. How did you come up with 10? Do you think it should be different for different situations (ie, when you decide to reverse the trade and it is near the open) or even for different pairs?
Thanks for your help.Ignored
Yes, I agree - I don't think this really can be automated (which I like by the way). I also know that 10 pips may be a little tight as I've been stopped out a few times by the odd pip. On the other side though, if it were widened by another 5 or 10 pips, most times it would be hit on all 5 pairs which would mean losing an extra 25 to 50 pips - difficult one.
What I do know though is that both manually backtested and so far live forward testing has produced consistent positive pips so I'll only re-assess if it becomes a regular pattern.
Thanks for your input
Kind regards
Steve