Forex Factory (https://www.forexfactory.com/forum.php)
-   Trading Discussion (https://www.forexfactory.com/forumdisplay.php?f=11)
-   -   Simple and profitable trading style (https://www.forexfactory.com/showthread.php?t=617602)

9jatrader Nov 24, 2016 6:03pm | Post# 1

10 Attachment(s)
First and fore most am not introducing any indicator or Holy Grail in trading. Am introducing a possible where and how you can catch a strong trend- for those who love trending market. Trending market is really easy to trade when you are able to catch the trend at the beginning. I have been backtesting this strategy for a quite a while now, with "Seven" platforms. This is to avoid overtrading by placing all the pairs that met the entry point on one platform. I skipped some also, though I have them in my journal as if I took them. Overtrading would have mess up my backtesting. My major reason for backtesting and checking/study the old charts is the fact that if we are able to catch trend at the beginning, getting hit by retracement will be minimized. Also we would be able to trade profitable no matter the size of the account.
1. The method works best on daily and longer time frames, because there is so much noise on the shorter time frames. I tried on 4hrs only ones, it failed me, though I don't trade 4hrs and other shorter time frames.
2. It works also when market has been moving sideways and it's about breaking out of it. I will post charts to give you a clear picture.
3. It's good for swing and position traders.

The indicator am using is none other than one of the indicators professional traders have been using profitably - Bollinger Bands. For those who're already using Bollinger Bands, it would be much easier, I feel so. If you like to use it it's easy to learn. When market shows some kind exhaustion/sideways we have to be patient and know that a big move is on the way. Monitor both the weekly and the daily charts. When weekly is strongly closing/has closed above the Bollinger Middle Band and at the same time a bullish candle candles closes above Upper Band, then there is the opportunity to start bullish trade. Reverse is the case with bearish trading. For bearish trading, when candle closes/has closed below Middle band on the weekly and first candle that closes below Lower Band on the daily shows that bearish movement has started. If the weekly strongly closed above Middle Band and the daily has not been able to close above Upper Band,there is no need to get in yet. You have to be patient. There are exceptional cases please. You would see in USDJPY long - while the weekly closed above Middle Band the daily candles were still around below upper band, until the first closed above upper band on the daily chart, then you get in. Also in my first entry on NZDJPY my SL was triggered. Even though the SL was triggered by retracement, I knew that uptrend has started. No problem. You would see on the NZDJPY chart where I monitor Bollinger Lower Band rejection to get in again. I closed it before the US election. Then I got in again. When SL is triggered don't worry, uptrend has started.
Click to Enlarge

Name: cadjpy-w1-fxpro-financial-services FFw1.png
Size: 34 KB
Click to Enlarge

Name: cadjpy-d1-fxpro-financial-services FFd1.png
Size: 32 KB
Click to Enlarge

Name: chfjpy-w1-fxpro-financial-services FFW1.png
Size: 32 KB
Click to Enlarge

Name: chfjpy-d1-fxpro-financial-services FFd1.png
Size: 33 KB
Click to Enlarge

Name: gbpjpy-w1-fxpro-financial-services FFw1.png
Size: 31 KB
Click to Enlarge

Name: gbpjpy-d1-fxpro-financial-services-2 FFd1.png
Size: 35 KB
Click to Enlarge

Name: nzdjpy-w1-fxpro-financial-services FFW1.png
Size: 37 KB
Click to Enlarge

Name: nzdjpy-d1-fxpro-financial-services FFd1.png
Size: 37 KB
Click to Enlarge

Name: usdjpy-w1-fxpro-financial-services FFw1.png
Size: 33 KB
Click to Enlarge

Name: usdjpy-d1-fxpro-financial-services FFd1.png
Size: 28 KB

9jatrader Nov 24, 2016 6:53pm | Post# 2

1 Attachment(s)
Also with the same strategy on EURUSD I was hit by retracement and US election. Donald Trump and Hillary Clinton hit my SL . I got in again after election. Here is the chart.
Click to Enlarge

Name: eurusd-d1-global-prime-ptyFFd1.png
Size: 34 KB

9jatrader Nov 24, 2016 6:58pm | Post# 3

Other things about the strategy is also coming - using currency correlation and using Buy Stop and Sell Stop to protect SL and recover loss. Whatever questions you have it will be answered. I wish you happy trading great FF members.

9jatrader Nov 26, 2016 4:43pm | Post# 4

1 Attachment(s)
One of my position also - GBPCAD long. While the 6th November was already closing above Middle Band, weekly, the 10th November daily closed above upper band. Let me see how it goes.
Click to Enlarge

Name: gbpcad-d1-pepperstone-group-limited-FF.png
Size: 38 KB

9jatrader Nov 26, 2016 4:50pm | Post# 5

NZDJPY, CHFJPY, CADJPY, USDJPY and the other pairs am backtesting with it are still doing well. Next week might see a strong retracement. That will not be a problem. Swing and position traders have really learned how to keep emotion in check during retracement. After retracement, it gives another opportunity to add to position, if you like.

9jatrader Nov 26, 2016 4:58pm | Post# 6

I will keep updating. It helps me a lot. It keeps me focused. Am monitoring the bullish movement on GBPCHF on the weekly. The daily has not given any strong signal to join. It continues to trade below lower band on the daily,while the weekly is already moving. If this movement is ok, then we might see the end of EURGBP long, because of their negative correlation. When one is up, the other is down, because of the positive correlation of EURO and CHF. Have a great weekend.

9jatrader Nov 30, 2016 2:13am | Post# 7

1 Attachment(s)
Today being the last day of the month the monthly already closing above middle band. More bullish days ahead.
Click to Enlarge

Name: nzdjpy-mn1-alpari-international-limited FF.png
Size: 30 KB

9jatrader Nov 30, 2016 7:35pm | Post# 8

Monthly finally closed above middle band. Why is middle band so significant? Middle band always acts as support and resistance.

9jatrader Nov 30, 2016 7:37pm | Post# 9

GBPCAD long position pair is poorly obeying this my strategy. But no problem with SL

9jatrader Nov 30, 2016 7:42pm | Post# 10

This thread is like a journal for me, though I write my journal in my notebook. NZDJPY long continues to fly. If you're in this position there is no need to close prematurely. We still have more bullish days ahead.

9jatrader Nov 30, 2016 7:44pm | Post# 11

AUDCAD short retraced and will obey now. They're based on one strategy

9jatrader Nov 30, 2016 8:01pm | Post# 12

The strategy of going short is the strategy to close your long position. In that case you would convincingly close your long position and go short immediately after collecting all the available pips. The strategy I will stress again is using both the weekly and daily time frames. GBPCHF has given a buy signal on the weekly. The daily has not given a go ahead. That's the reason both swing and position traders need more patience than the others.

aszain02 Nov 30, 2016 8:14pm | Post# 13

AUDCAD short retraced and will obey now. They're based on one strategy
hi, can clerify me entry is taken only if the weekly bollinger band cross middle line and the same daily cross above/lower line is the entry point or u wait once it cross after any day ?

lloydxl Nov 30, 2016 8:42pm | Post# 14

What BB settings do you use for this strategy? Secondly, I want to also suggest that if it works for MTF weekly vs daily, it should work for MTF daily vs 4hr.

9jatrader Nov 30, 2016 8:42pm | Post# 15

1 Attachment(s)
EURUSD on a very critical support, Sooner than later it's going to be broken.
Click to Enlarge

Name: eurusd-d1-alpari-international-limitedFF.png
Size: 34 KB

9jatrader Nov 30, 2016 8:51pm | Post# 16

{quote} hi, can clerify me entry is taken only if the weekly bollinger band cross middle line and the same daily cross above/lower line is the entry point or u wait once it cross after any day ?
When the weekly is strongly closing or has strongly closed below middle band and at the same time the daily closed below lower band, that's when you get in. Maybe go through the beginning of the thread again

9jatrader Nov 30, 2016 9:03pm | Post# 17

I will repeat, when your SL is triggered, don't worry. For long position you wait for lower band rejection to get in again. Check my running NZDJPY long. My SL was initially triggered. I waited when candles consistently reject lower band and I got in again and I closed with over 400 pips before US election, then re-entered and still running. You would observed that CADJPY and CHFJPY did not retrace as NZDJPY, though there was noise around them because of the US election.

9jatrader Nov 30, 2016 9:24pm | Post# 18

What BB settings do you use for this strategy? Secondly, I want to also suggest that if it works for MTF weekly vs daily, it should work for MTF daily vs 4hr.
Sorry I didn't see your comment early. As I said at the beginning of the thread, I tried using daily and 4hrs in EURNZD it failed. Anyway it was only once I tried it because of my friend in the same area with me. He trades 4hrs. BB settings the same I met it in MT4. I didn't change anything

9jatrader Dec 1, 2016 10:29am | Post# 19

CADJPY and CHFJPY are even performing more than NZDJPY. When backtesting a strategy it's good to avoid trading all. Though GBPCHF is performing, it has refused to close above upper band on daily chart. Am learning new thing from this pair base on this strategy

9jatrader Dec 1, 2016 10:43am | Post# 20

What I mean is that you can trade all as long as they meet the entry point, but don't place all in one platform. You may not get a good result. As I have said earlier am backtesting the strategy with seven platforms, so that during retracement, the account would not be wiped. And so I decided to have them, if not all, in trade explorer.


© Forex Factory