Simple easy LOPEN strategy (eurusd)

UPDATED UPDATED UPDATED

Go to post 14 to check the rules of the strategy.

UPDATED UPDATED UPDATED

Join Discord Trading Room - PM me to get your invite

Looks nice and simple

Hi ryu
summing up strategy is follow de 1st hour LON session, isnt it?

If you will use 1h you can't see shooting star for example and so on. Also it will be very big SL (because the candle is x2 size). Better results on 30m only.

I can see a bear candle with a long upper wick meaning rejection
I'll do some research, looks easy to automatize

Hello ryuryu,

Thank you for uploading this simple easy London Open strategy.I have a question,if we don't have 2 bearish or 2 bullish candles back to back in order for a valid setup to be formed,is it possible to wait for a breakout of HH or LL to enter,or cancel and wait for another day? Thank you.

If you don't have a good sequence it is better not to enter the trade. Because it most cases your SL will be hit first. So it is better to wait for new day yes.

Thank you ryuryu keep safe. Awesome thread.

From LO Gold dropped almost 300 pips to ADR low,even though we had no back to back bearish candles i used the breakout on HH,LL.Looking at 40 pips SL to gain 200+ if you had trail the price.EURUSD had its shooting star 30+ pips on the sell....if i do get stopped out,I'm using my loss recovery technique....thanks again,most difficult thing is waking up within my timezone for LO.Common sense trading....thanks again ryu

Today EU was good yes. I was stopped out in profit on the 3rd candle.

Want to add some and modify the strategy a little.

So the rules are:

1. Draw Asian Session High and Low lines at 09:59 broker time (ICMarkets) and at 10:03 place buy stop and sell stop at them.
2. Wait will 10:50. If not triggered remove all.

So we will trade only 50 min from London open using Asian High or Low as entry. I'm taking Asian HL from 03am till 9:59am. Not from day start. Because first few hours are very messy.

Take profit and Sl depends on your MM strategy. I'm using about 75points for EU for example.

Sl=75 or tp=75?

To get RR 1:1 it is 75 TP (real 69.5) and 64 SL (real 69.5 too).
RR 2:1 is 150/72

But 150 is too big as for me.

Also it is good to check swap rates. Bigger rate = that direction is ok. For example swap for long is -2.1 for short is -1.3. Then it is long OK.

UPDATED UPDATED UPDATED


So the rules and preparations are:

TF 1H. All Majors, Gold, US500 and DE30.

1. Draw vertical line at 3:00 am broker time (1)
2. Wait till 10:00 broker time (2) - it is London open
3. Draw horizontal line at high (3) and low (5) in time between 03:00-10:00



4. Wait for candle to be closed higher or lower the level from 11:00 till 17:00 broker time (1 hour after London open and 2 hours after NY open)
5. Check the daily open (3) and global trend (6).

In this example:
a) USDCAD is in the range, no trade
b) USDCHF short trade
c) USDJPY short trade


Here we have
a) EURUSD long trade
b) GBPUSD long trade
c) XAUUSD no trade still in the Asian range

Exit rules: next candle close, or wait till 17:00.

This strategy is good for manual trading with majors. Also it is highly recommended to check swap rates. For example if main trend is up, but swap rates bigger for short... it can be range market or reverse soon. So it is better to avoid such a trade for that symbol.

What to do if smth went wrong? I prefer add the same size at 1/2 ATR (in most cases it is half of the Asian range). If no profit then lock the position and pause trading for that pair till next day. Then check the setup again.

Why not 00:00-10:00 but 03:00-10:00? Because first 2-3 hours can be very big wicks. So the range of Asian session can be not real. Always compare the range with ATR. The range must be about 2 times bigger.

Let's take a look.
I'm trading 9 pairs with this strategy. They are:
EURusd
GBPusd
AUDusd
XAUusd
NZDusd
US500
usdCAD
usdCHF
usdJPY

Here we go. I have already closed all positions in profit.
Here we have

EURusd closed in loss. I don't like to wait for the miracle. If total profit exist I don't care if some pair is in loss.
GBPusd closed in profit
XAUusd closed in profit


XAUusd closed in profit
NZDusd closed in profit
US500 closed in profit


usdCAD closed at zero (mean it was in little profit and instead of closing it immediately I placed SL in BE 5,5$ to cover comission and then SL was hit)
usdCHF closed in profit
usdJPY closed in profit

-------------------

As you see we have 9 position opened, 7 was closed in profit, 1 closed at zero and 1 closed with loss.

BTW if to wait a little EURusd can close in profit too. But as I said before it is better to me close everything in profit but not wait for miracle and pray. Today it can finish in profit, and then you can easily run into huge loss.



Upd: USDcad also is in profit already

sorry on what time frame are we talking about I am at GMT +2

I'm using ICmarkers broker, so London open is 10:00am, NY open is 15:00pm. I think it is GMT+3.

Anyway Day open +3 hours = start point
Day open +10 hours = end point to draw the channel
then +10 - +16/17 = trading time

Check the screenshot.

First you need to wait for London open.

Then step 2-3 hours from daily open and draw the 2 lines: higher price and lower price of the period 3am-10am. But lines must be not from 3am to 10am, but from 3am to 17pm. Because we need NY session too.
Then you have to wait.

Here is 2 methods. First you can just check on 1H tf if candle closed lower or higher the lines. Or as described here I'm using 1m tf and moving averages. If red cross the line I check the 1H tf, check swap direction, check global direction, higher TF sup/res and enter the trade. In most cases you can wait for price to pull back to fastest MA (in this case they are 100/150/200 LWMA) and then enter the trade.