Mika's Breakout strategy

THIS is a NON-COMMERCIAL Thread, 100% FREE & you can get all the indicators you need here
If you found this system to work for you, share it with your friends so we can share here!

This system is VERY EASY, just give some time to understand. Entry points are 100% NON SUBJECTIVE.
JUST wait for a signal...confirm the signal...push the button...Done.!

The setup is what matters since we are only grabbing reasonable PIPS per trade

Please don't ask about my personal accounts, live trading etc. Since i trade diff strategies
including this one. If you are interested with the strategy, please test it yourself. I wont be responsible for losses


I. TIMEFRAME & PAIR

This works on Any pair or Any timeframe (Best M15 & Above)!

I prefer to work on H1 during London Session (GMT 8 to GMT 16)
to avoid false INTRADAY breakouts and because of my personal trading time


II. ENTRY

System can work for trend and counter trend positions.
A basic trend filter uses 200EMA and 100EMA. (Bullish if PA above 200 and 100, Bearish if below)
You have the option not to trade counter trend setups.

Most of my trades are with the trend. But i counter trend on strong S/R or extreme overbought/oversold conditions

Buy Entry Rules
1. Buy Signal arrow on "BO Channel" (Arrow means first closing bar above channel)
2. Nihilist ADX (7),(21),(42) is Green or Blue
3. RSI Historgam(7) is Blue Only (Avoid Green because overbought)
4. CCI Histogram(14) is Blue Only (Avoid Green because overbought)

Sell Entry Rules
1. Sell Signal arrow on "BO Channel"(Arrow means first closing bar below channel)
2. Nihilist ADX (7),(21),(42) is Red or Orange
3. RSI Historgam(7) is Pink Only (Avoid Red because oversold)
4. CCI Histogram(14) is Pink Only (Avoid Red because oversold)

The entry point is strictly only on the bar close with signal arrow.
Late entries(2 or more bars after arrow is not valid). All rules should be met on the signal arrow.


III. StopLoss

For Long/Buy Trades
1. Below Lower Channel Line on the Entry Bar
2. Or recent Swing Low (Whichever you are comfortable)

For Short/Sell Trades
1. Above Upper Channel Line on the Entry Bar
2. Or recent Swing High (Whichever you are comfortable)

IIIB. Trailing StopLoss (OPTIONAL)
You can trail your SL (it’s up to you)
I seldom trail my stops; I do when if I caught a strong breakout

For Long/Buy Trades
1. You can use the Lower Channel Line to trail your Long trade

For Short/Sell Trades
1. You can use the Upper Channel Line to trail your Short trade


IV. TakeProfit
Bigger time-frame means bigger take-profit. Don't expect big profit on a small time-frame chart.

1. When decent profit achieved (up to you)
2. Equal to Stop loss (for 1:1 Risk Reward)
2. Value of the Channel Height on the Entry Bar (usually less than 1:1 RR)
3. (2X) Times the Value of the Channel Height on the Entry Bar (Suggested Max TP)


V. Exit (OPTIONAL)
You can close the trade manually to avoid uncertainty (it’s up to you)

For Long/Buy Trades
1. Any of the Nihilist ADX is Red or Orange
2. RSI Histogram is Pink or Red
3. CCI Histogram is Pink or Red

For Short/Sell Trades
1. Any of the Nihilist ADX is Green or Blue
2. RSI Histogram is Blue or Green
3. CCI Histogram is Blue or Green


VI. NOTES
1. The entry point is strictly only on the bar close with signal arrow.
Late entries(2 or more bars after arrow is not valid). All rules should be met on the signal arrow.

2. This system does NOT repaint after bar close
2. News Trading is your choice (BEST TO AVOID MAJOR IMPACT NEWS TRADES)
3. Only risk small and trade light
4. Please respect everyone's opinion

Example of Buy





Example of Sell



VII. EXAMPLE OF VALID SETUPS THAT I DON'T TAKE.
http://www.forexfactory.com/showthre...25#post8029425

Indicators & Templates




Session Indicator (Please Configure according to your brokers server time, a single broker can have different GMT offsets because of diff. servers)
Basic Guide in this post: http://www.forexfactory.com/showthre...99#post8009599

These examples re on H1 trading london session

This sell example, i used the upper channel line of the signal bar as SL.
i used the channel height as TP



This is same trade but i used TP 2times height of channel


This is sample of Buy signal i took

SL on lower channel line
TP height of channel

Short on AUDUSD

TP could be 16 pips or 32pips

hi mika, thx for sharing your system. i always wanted to know japanese trader, wonder what they are talking about there. is it only ichimoku stuff or others also. dozo yoroshiku onegai shimasu.

mika-san thanks for sharing. Looking forward for more examples. Yoroshiko!

subscribed

how was the end of your trades?

Here is another sample

EJ Sell setup

You are all welcome
japan is my hometown but i stayed there for a short time.

"how was the end of your trades?"
Mostly OK today, but it does not matter now, i posted some examples of entries

another short sample on EURAUD setup

When Adx's RSI or CCI turns opposite, trade can be closed to avoid SL (Its up to you)
Sometimes i close if i think BO i maxed out after hitting S/Rs.
Sometimes i let it run if the price is still far from my SL

I'll follow with interest

TP Hit on EJ Using 1X Channel Height

which specific pairs do you monitor each day?

Mika,

Have you tested any lower time frame than 1h, please?

i use in all major pairs.
mostly EU GU AU, EJ, GJ, AJ, UJ, UC, UCAD, also XAUUSD

She said any TF and pair. You can test yourself and share your result.

This works in all timeframes,
I prefer H1 since TP averages 15-25 pips. Just enough to cover spreads.

Lower TF's smaller TP

also, i only want to trade the London session breakouts.

Mika

Thanks for sharing your way and view of trading
Will definately check into it!

Two more questions...
Do you trade this system live?
And for how long do you trade this system?

Thanks again!

yes of course in live.

I just recently added some easy to use filters to confirm trades.
But i have been using the core concept of the system for several months (which is the BO Channel indi)

have your monthly gains always been green?

did you experience any major drawdowns?

great thread, subscribed and will be following closely to see how it turns out.