My EU Scalps

This is the start of my journey into the world of scalping. Only be scalping the EU off of M5 and M1 charts.

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Set up is easy
Simple Moveing Average (3 set to close)
Smoothed Moving Average (8 set to close)
MT4-LevelStop-Reverse-vB0-4 (Refered too as SAR from here on out)

Trade style 1 for M5 (Basic Entries)
When candle is above SAR go long
When candle is below SAR go short

Trade Style 2 for M5 (Uncommon Entries, but still valid entries)
LONGS-
1)When candle is above SAR WAIT for 3ma crosses 8ma to the upside go long (conservative entry)
2)Enter when candle is above SAR and re enter when 3ma crosses 8ma to the upside (re-entry)

SHORTS-
1)When candle is below SAR WAIT for 3ma crosses 8ma to the downside go short (conservative entry)
2)Enter when candle is below SAR and re enter when 3ma crosses 8ma to the downside (re-entry)

Trade Styles 1 and 2 work hand in hand.

Trade Style 3 for M1
Check M5 chart and determine direction then switch to M1 chart and enter based on above criteria.

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Additional Entries (Risky)
Wait for trade set up on M5 chart and enter, switch to M1 chart and enter again when M1 chart meets criteria for a trade

Additional Intitial Entries (Very Risky)
When entering a trade place a Limit Order every 10 pips until the SAR. So if price retraces it will enter into the postion.

Example-
-Signal at 1.4430 to go long
-SAR stop loss is at 1.4390
Enter Long at 1.4430
Place a Buy at 1.4420
Place a Buy at 1.4410
Place a Buy at 1.4400
Place SL at SAR (1.4390)

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Initial Stop Loss
Set SL at the SAR point where the candle crosses the SAR line.

Take Profit
There is no set TP. Instead once the trade is in PROFIT trail the 8MA by what ever you like, this way you give it the room to breath while also protecting your gains.

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Important
This is pretty logical and is total common sense, but dont scalp around news announcments. Once again these are just scalp trades and the news will probally have you making bad trades.

First ever scalp trade. So I havent back tested or forward tested this strategy, its more less I think this should work. Anyways were live now....

Short @ 1.4520
SL Set @ 1.4550
Pending Sell @ 1.4530
Pending Sell @ 1.4540

1:15AM
Switching to M1 for a re-entry

Exited Trade @ 1.4497 profit of 20pips

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# OF TRADES: 1
# OF WINS: 1
# OF LOSSES: 0
Total Pips: 20
Success %: 100%

So my main thought for the night is this, When scalping a pair what is the desired outcome? Should it be 10 pips, 20, 30. Primarily asking becuase I am new to trading this TF. Normally I trade off of the 4HR and I know what to expect from that, but this...this is totally different. Any help or insight would be gratefully appreciated. Thanks in advance.

I am also a scalper. I do like the simplicity of your charts. The basic signal seems to appeal to me. You mentioned something about your profit objectivies. I like to keep it simple and overly realistic. I'm really torn with this decision myself. Right now I am satisfied with the quick profit in the 15-20pip range.

daytrade5

Thats exactly what I am struggling with, letting it ride or cutting it short and taking profits. I think this is more of a test to see if I can implement a longer term strategy into scalping. My thoughts on scalping are low risk to a high reward (with leverage) so why exit with 20 pips if you can bank 50?
Anyhow Good luck to you my friend....

Entered based off of M1 chart. M5 was already long, waited for signal from M1.

Entered @ 1.4657
Exited @ 1.4675
Profit: +18 pips



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# OF TRADES: 2
# OF WINS: 2
# OF LOSSES: 0
Total Pips: 38
Success %: 100%

Here is something that is amazing. We have clearly been in an uptrend all night. Your 3period and 8period MA cross appears to provide some early warning that something is about to happen both in your favor and against you. I noticed a number of opportunities to scalp on the 1min chart in the direction of the trend. A number of the entries went some distance which is something that I didn't anticipate seeing. I like using 4hour stochastic bars to determine the trend. Attached is a screenshot of what I am talking about. I've masked the entry arrows from the MT4-LevelStop-Reverse and highlighted the entries. Not trying to change what you are doing. Just wanted to provide an observation.

Entered based off of M1 chart. M5 was already long, waited for signal from M1.

Entered @ 1.4691
Exited @ 1.4731
Profit: +40 pips



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# OF TRADES: 3
# OF WINS: 3
# OF LOSSES: 0
Total Pips: 78
Success %: 100%

Hey guys,I am a scalper also I use a similar ma crossover 5,8,13 with the rsi@14 on the 5min/1min charts.5MIN CHART 9/22/08 EUR/USD 12 MID-58 PIPS.1:45AM-20 PIPS.2:00AM-35 PIPS.2:45AM-105 PIPS.5:50AM-55 PIPS=283 PIPS BEFORE NY EVEN OPENED! CHEERS AND MANY PIPS 2YA!!!!!!!!

Entered based off of M1 chart. M5 was already long, waited for signal from M1.

Entered @ 1.4779
Exited @ 1.4789
Profit: +10 pips



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# OF TRADES: 4
# OF WINS: 4
# OF LOSSES: 0
Total Pips: 88
Success %: 100%

Are you reentering on the 1min chart every time it resets? By reset I mean the long position finally closing out due to the atr stop or an opposing signal. If so and if I am looking at this correctly, I see a reenty around 1.4789 that happened not too long ago.

Yes I see that as well, unfortunately Im not sure if I would have taken that signal. The main reason is Im not quite comfortable with this yet. I have not demo'd or papertraded this at all, more less just went live with it.

But to answer your question I think I would have waited for the 1M to give a short signal then on the following long signal I would have re-enterd.
When I look at my charts on the 1M it shows 2 longs in a row,
one at 4776 then another long about 25 minutes later at 4789, without a short signal between them.

M5 turned short, kinda iffy on this trade. Been in uptrend for a while now.

Entered short @ 1.4827
Stop Loss @ 1.4871 (going to trail entry with SAR)
4:30PM SL moved to BE.
Exited @ 1.4800
Profit: +27 pips



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# OF TRADES: 5
# OF WINS: 5
# OF LOSSES: 0
Total Pips: 115
Success %: 100%

Market was over extended to the upside well in excess of the daily range. We hadn't seen enough of a pullback for a Sell signal. The moment it closed below the moving averages it was off to the races.

That was sorta my thoughts as well but wanted to put a tight stop on this I would rather be overly cautious then not.
Cant be mad at a day like today.


Good luck to you and your trades!!

For journal purposes here are 2 more valid trades, except I didnt take them becuase I wasnt around my computer. Since I wasnt around and not sure where or when I would of exited Im just going to go from signal to signal.

Trade #1
Long @ 1.4802
Exited @ 1.4796
Profit: -6



Trade #2
Short @ 1.4796
Exit @ 1.4788
Profit: +6


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# OF TRADES: 7
# OF WINS: 6
# OF LOSSES: 1
Total Pips: 115
Success %: 85%

9/23 no trades as of yet. There has been some valid setups but there was some important news out earlier. Going to wait for the market to absorb that information and calm down before I start again.

hey bam bam, i download your indi and temp and i get nothing in the ATR window...it's blank. what to do?

I sometimes use it, sometimes I dont, thats why its blank. You dont need it, its more of a prefrence for me.

Yea so scalping isnt as easy as it looks. The last 2 days if I followed this system I would have been killed, it got rocked for losses left and right. To be successful with scalping in general I think one must know how to read and identify price action, end of story.
If we follow a larger timeframe when doing this, it may help. Only trade in direction of the larger timeframe, but who knows. I think I may start to follow and track that.