DislikedHi.
I have also experienced this problem, after studying the trade that I made, I realised that the 5ema is very important to the success of the trade, also the position of the red line on the indicator - is it pointing in the direction of your trade? I think it is very easy to trade against the trend without realising. I have put a few rules in place to try & help with the success of this system.
1.Check weekly chart - is the price trading above or below the 5ema, If its above I will only trade long, if its below - short.
2.Check Daily chart, I...Ignored
I hope you don't mind me asking few questions (apologies for my slow learning pace):
1) Should the red line slope up for longs and vice versa?
2) Should I wait for the cross and the closure of that 4 hour candle and then enter on the opening of the new candle only after the cross is there?
3) What pairs should I monitor?
4) Does the different opening time of 4 hour candles from different brokers affect the performance (my broker's 4 hour candles start at 0:00, 4:00... GMT)
5) Are the wicks (that lines protruding from the bodies of HA candles) important? - If they are too long on both sides - not good to enter?
Once again apologies for all these questions - I tried it and managed to pick up some impressive losses on my demo account. I can see there are lot of satisfied users, so must be something wrong with my way of trading the system.
PS Best wishes for a speedy recovery to Eelfranz