This is a system that is very simple and makes 300+ net pips per trade. The only catch is that it uses OANDA's unique trading platform that allows you to trade odd lots. I traded a demo account with this system and made 8.2% in one day!
OK, here it goes let me know what you think.
I start off with a look at the daily chart and place 3 lines at the high, low and the center line between the high and low from the previous 2 days . Then move to the 30 min chart to see where the current price is compared to the center line if the current price is above the center line sell, if the price is below the center line buy.Best entry is after a move in the opposite direction of the direction you want to trade, if you want to sell wait for a big upswing, if you want to buy look for a big downswing.(still not perfected, suggestions appreciated)
OK, now that we know what direction to trade we move to the 1 min chart and using 50:1 leverage, we start to trade the amount of units that equal the size of your trading account(if you start with $1000 trade 1000 units). Buy a new contract every minute for 30 minutes, don't worry about price fluctuations they won't matter, just stay away from news times. Just buy or sell equal lots for 30 minutes every time a new candle forms.
OK, now after 30 min you will have made 30 trades and you will have to calculate where the exit point is which is simple, OANDA's trading platform shows you your average position, you only need 10 pips from that average and you net 300 pips. Here is how it works, 1000 units= $0.10 per pip and you now have 30000 units combined worth $3 per pip multiply that by 10 and you get $30 and $30/0.10 is 300. So after trading for 30 min look at the average cost of your trades and if you're already 10+ pips in profit close all 30 trades, if not place a limit order to close all 30 orders when the 10 pip target is reached.
Since this thread was started I have been convinced that unlimited risk is not acceptable and believe that a fixed SL will not work in all markets with this system. So to calculate the SL take the distance between the 2 day high and center point and use half of that number of pips for the SL set from the average position price will give you enough space for the trade to close in profit while preventing huge losses in case of an unexpected move against you. If the distance between the 2 day high and center point is 100 pips your SL should be 50 pips from your average position.
OK, now after the first trade is completed assuming that you used a limit order and started with $1000 you now have $1030 for your next trade so you would purchase 1030 units per minute You might not think the extra 15 units is a big deal but in the same time you would earn another $1000 to increase to 2 micro-lots with another broker, you would earn $1314.
I've tested this on the EUR/USD and GBP/USD but it would work on any pair with a decent spread.
I just opened a live account with oanda and I'll start trading this system live this week as soon as my account is funded, but until then I'll be posting screen shots of my demo account.
OK, here it goes let me know what you think.
I start off with a look at the daily chart and place 3 lines at the high, low and the center line between the high and low from the previous 2 days . Then move to the 30 min chart to see where the current price is compared to the center line if the current price is above the center line sell, if the price is below the center line buy.Best entry is after a move in the opposite direction of the direction you want to trade, if you want to sell wait for a big upswing, if you want to buy look for a big downswing.(still not perfected, suggestions appreciated)
OK, now that we know what direction to trade we move to the 1 min chart and using 50:1 leverage, we start to trade the amount of units that equal the size of your trading account(if you start with $1000 trade 1000 units). Buy a new contract every minute for 30 minutes, don't worry about price fluctuations they won't matter, just stay away from news times. Just buy or sell equal lots for 30 minutes every time a new candle forms.
OK, now after 30 min you will have made 30 trades and you will have to calculate where the exit point is which is simple, OANDA's trading platform shows you your average position, you only need 10 pips from that average and you net 300 pips. Here is how it works, 1000 units= $0.10 per pip and you now have 30000 units combined worth $3 per pip multiply that by 10 and you get $30 and $30/0.10 is 300. So after trading for 30 min look at the average cost of your trades and if you're already 10+ pips in profit close all 30 trades, if not place a limit order to close all 30 orders when the 10 pip target is reached.
Since this thread was started I have been convinced that unlimited risk is not acceptable and believe that a fixed SL will not work in all markets with this system. So to calculate the SL take the distance between the 2 day high and center point and use half of that number of pips for the SL set from the average position price will give you enough space for the trade to close in profit while preventing huge losses in case of an unexpected move against you. If the distance between the 2 day high and center point is 100 pips your SL should be 50 pips from your average position.
OK, now after the first trade is completed assuming that you used a limit order and started with $1000 you now have $1030 for your next trade so you would purchase 1030 units per minute You might not think the extra 15 units is a big deal but in the same time you would earn another $1000 to increase to 2 micro-lots with another broker, you would earn $1314.
I've tested this on the EUR/USD and GBP/USD but it would work on any pair with a decent spread.
I just opened a live account with oanda and I'll start trading this system live this week as soon as my account is funded, but until then I'll be posting screen shots of my demo account.