Hi guys, and Happy New Year!
I've been watching this thread and decided to test the method myself. While I only tested it with few transactions, I noticed something important: even if I don't question the rules, I think you should not be stiff with the SL and TP setting.
Look at this GBPUSD transaction from yesterday (and ignore the current transaction, I entered again). It hit TP, but under normal conditions it would have hit SL. That's because the regular SL, on 0 Fibbo, was just above a clear support (3 previous candles reached it). So I moved it just under that support, and look, the last green candle got through the 0 Fibbo but didn't have strength to cross the support too, and it had a huge bounce back to hit TP. I only moved it 12 pips lower, but what an outcome!
I know the wick was not longer than previous candle wick and the direction was not obvious, but it doesn't change much: being a little flexible saves your transaction.
I am sure it's the same with the TP: if the 2 Fibbo is over a clear resistance, taking profit under it should not be an issue for anyone.
So follow the rules, but feel free to slightly break them to refine the transaction, in case some stronger general conditions are met this way.
Good luck to us all!
I've been watching this thread and decided to test the method myself. While I only tested it with few transactions, I noticed something important: even if I don't question the rules, I think you should not be stiff with the SL and TP setting.
Look at this GBPUSD transaction from yesterday (and ignore the current transaction, I entered again). It hit TP, but under normal conditions it would have hit SL. That's because the regular SL, on 0 Fibbo, was just above a clear support (3 previous candles reached it). So I moved it just under that support, and look, the last green candle got through the 0 Fibbo but didn't have strength to cross the support too, and it had a huge bounce back to hit TP. I only moved it 12 pips lower, but what an outcome!
I know the wick was not longer than previous candle wick and the direction was not obvious, but it doesn't change much: being a little flexible saves your transaction.
I am sure it's the same with the TP: if the 2 Fibbo is over a clear resistance, taking profit under it should not be an issue for anyone.
So follow the rules, but feel free to slightly break them to refine the transaction, in case some stronger general conditions are met this way.
Good luck to us all!