• Home
  • Forums
  • Trades
  • News
  • Calendar
  • Market
  • Brokers
  • Login
  • Join
  • User/Email: Password:
  • 4:57am
Menu
  • Forums
  • Trades
  • News
  • Calendar
  • Market
  • Brokers
  • Login
  • Join
  • 4:57am
Sister Sites
  • Metals Mine
  • Energy EXCH
  • Crypto Craft

Options

Bookmark Thread

First Page First Unread Last Page Last Post

Print Thread

Similar Threads

Basket Knights - A Basket Trading Round Table 1,310 replies

BASKET TRADE Management: Using multiple trade management EA's on basket trades 8 replies

SMA 200+SMA 55+SMA 5 is very profitable 49 replies

Trading using Simple Moving Average (SMA)14 and 200 7 replies

TMS basket: Dashboard for a basket of MA-Filtered RSI Signals 135 replies

  • Trading Systems
  • /
  • Reply to Thread
  • Subscribe
  • 9
Attachments: AUDUSD/AUDCHF/NZDJPY basket trading using 50 sma and 200 sma
Exit Attachments

AUDUSD/AUDCHF/NZDJPY basket trading using 50 sma and 200 sma

  • Post #1
  • Quote
  • First Post: Oct 29, 2018 4:48pm Oct 29, 2018 4:48pm
  •  hibra68
  • Joined Apr 2015 | Status: Member | 1,101 Posts
Hi, I did a manual backtest on this system, it looks to be very successful although I only went back about 10 days. This is because my charts only went back 10 days on the 5 min chart.

I had an oppurtunity this morning and I took the trades so far so good.

There could be many versions of this It is not fully developed. I am open to ideas.

ok lets get started.

Time frame : 5min only (for the moment do not go higher or lower timframes this usuallly leads to confusion only)

Pairs: AUDUSD, AUDCHF, NZDJPY

Why these pairs you might ask. Simply these pairs are positively correlated from year all the way to 1hr.
We should check every week for correlation to see if any of the pairs are way out of correlation(this might be a way to trade that pair as a mean reversion)


Indicators: 50 sma , 200 sma

Lots: we enter 3 different lots per pair(it is up to the person to risk whatever they want, I divide my full buying power into 9. eg. $1000 x 50(leverage) =50000/9=5555 per entry.)

Entry:long(reverse for shorts): If any 2 of the 3 pairs have their 50 sma cross over 200 sma from bottom to up we enter a buy trade for all 3 pairs.
we should have 3 different entries long per pair. So total entries would be 9.

SL: Our hard stop loss for all entries will be 15 pips +spread.

TP: Our tp for 1 entry will be 20 pips;(at this point we will bring the remaining 2 entries to breakeven + spread)
One of the remaining 2 entries will have a Tp of 50 pips. But the other one we wil trail.
The one entry we wil trail by following the bottom of higher lows.(reverse is for shorts)
If at any time price touches the 200 sma or 50 sma crosses back over 200 sma the reamining 2 entries will be closed.

Here are the trades I took this morning:

Some of them still open some closed with profit already.

P.S. I'm thinking of 4 entries per pair, the fourth entry we will bring to breakeven after 20 pips like the rest and only exit when 50 sma crosses back 200 sma. Sometimes this leads to about 90 pips but more often the highest price goes before smas cross is around 50 pips.
Attached Images (click to enlarge)
Click to Enlarge

Name: AUDCHFM5.png
Size: 73 KB Click to Enlarge

Name: AUDUSDM5.png
Size: 61 KB Click to Enlarge

Name: NZDJPYM5.png
Size: 64 KB
  • Post #2
  • Quote
  • Oct 29, 2018 10:39pm Oct 29, 2018 10:39pm
  •  hibra68
  • Joined Apr 2015 | Status: Member | 1,101 Posts
Just took these trades 5 min ago.

The morning trades netted me 6%

I opened the trades 4 bars late.

I dont have a proper alert , I use oanda's price alert.

So if anyone can create an indicator that sends push notification when at least 2 pairs sma's cross over it would be very helpful.

tnx.
Attached Images (click to enlarge)
Click to Enlarge

Name: AUDCHFM5.png
Size: 60 KB Click to Enlarge

Name: AUDUSDM5.png
Size: 56 KB Click to Enlarge

Name: NZDJPYM5.png
Size: 63 KB
 
 
  • Post #3
  • Quote
  • Oct 30, 2018 5:16am Oct 30, 2018 5:16am
  •  hibra68
  • Joined Apr 2015 | Status: Member | 1,101 Posts
Ok for some weird reason the entry from mt4 happened much later than on Oanda's app. So im using Oanda's app entry from now on.

So I moved my stop losses based on Oanda's entries.

Thus far I already exited 3 trades with breakeven and 1 trade with 20 pip profit 2 trades with 14 pips

I know the rule is 20 pip exit but I used oandas calcualtion to exit. If I had entered with oanda's entry I would be out with 20 pips already on all 3 pairs.

The remaining 3 trades are all at breakeven + free trades.
 
 
  • Post #4
  • Quote
  • Oct 30, 2018 6:29am Oct 30, 2018 6:29am
  •  hibra68
  • Joined Apr 2015 | Status: Member | 1,101 Posts
im out of all trades, total gain from my secon set of trades is 2.96%
this is based on my style of entry i described in the beginning. I use my full potential buying power and divide in 9.
I would have gained more than 6% if I hadnt missed the early entry.
 
 
  • Post #5
  • Quote
  • Oct 30, 2018 6:58am Oct 30, 2018 6:58am
  •  Erebus
  • Joined Jul 2011 | Status: Bearish AUD | 6,691 Posts
Where did you read the correlations?

Why the 5 minutes?

Too much hard work
Don't trade your heart, trade your chart!
4 Daily Signals All Time Return: 6.8%
 
 
  • Post #6
  • Quote
  • Oct 30, 2018 10:37am Oct 30, 2018 10:37am
  •  hibra68
  • Joined Apr 2015 | Status: Member | 1,101 Posts
Quoting Erebus
Disliked
Where did you read the correlations? Why the 5 minutes? Too much hard work
Ignored
the correlations are from oanda heatmap.
5 min gives out from 15 pips to 50 pips regularly after sma cross. this is good enough for me.
its only 2 to 3 trades a day. so all i need is a good alert system.

Since i cant use mt4 during the day I will use 1 trade per pair from now on and close 1 third at 20 pips and close the remaining as per my rules.

this thing is still in development so i will change as i please.
also im looking at an alternative way to trade this. if you look at my first trade audchf and audjpy both smas crossed down before nzdjpy' 50 sma was still above 200 sma. so im thinking just to trade nzdjpy for example. since it still has to cross down. this might be like mean reversion.
 
 
  • Post #7
  • Quote
  • Oct 30, 2018 9:09pm Oct 30, 2018 9:09pm
  •  hibra68
  • Joined Apr 2015 | Status: Member | 1,101 Posts
Getting ready to sell.

Audusd crossed, Audchf almost crossing
Attached Images (click to enlarge)
Click to Enlarge

Name: AUDCHFM5.png
Size: 64 KB Click to Enlarge

Name: AUDUSDM5.png
Size: 67 KB Click to Enlarge

Name: NZDJPYM5.png
Size: 61 KB
 
 
  • Post #8
  • Quote
  • Dec 23, 2018 1:55pm Dec 23, 2018 1:55pm
  •  Topgun
  • | Joined Sep 2007 | Status: Member | 123 Posts
Why did you suddenly stop ?
 
 
  • Post #9
  • Quote
  • Dec 23, 2018 4:27pm Dec 23, 2018 4:27pm
  •  hibra68
  • Joined Apr 2015 | Status: Member | 1,101 Posts
I found signals to follow.
1
 
  • Post #10
  • Quote
  • Dec 26, 2018 10:20am Dec 26, 2018 10:20am
  •  Topgun
  • | Joined Sep 2007 | Status: Member | 123 Posts
Please see private message
 
 
  • Post #11
  • Quote
  • Dec 26, 2018 11:43pm Dec 26, 2018 11:43pm
  •  RickM
  • Joined Sep 2015 | Status: Member | 1,794 Posts | Invisible
Why does almost every trader focus on the entry when the Exit is more important ?
Trading thin liquidity at the boundary of the charts
 
1
  • Post #12
  • Quote
  • Dec 26, 2018 11:53pm Dec 26, 2018 11:53pm
  •  goodways100
  • Joined Dec 2013 | Status: Member | 614 Posts
Will try on 4h tf. Thanks and
Regards
 
 
  • Post #13
  • Quote
  • Dec 26, 2018 11:57pm Dec 26, 2018 11:57pm
  •  hibra68
  • Joined Apr 2015 | Status: Member | 1,101 Posts
Quoting RickM
Disliked
Why does almost every trader focus on the entry when the Exit is more important ?
Ignored
stop loss and take profit are exits
 
 
  • Post #14
  • Quote
  • Dec 27, 2018 6:28am Dec 27, 2018 6:28am
  •  moaaz.mirza
  • | Joined Jul 2014 | Status: Member | 29 Posts
[quote=hibra68;11637091]Entry:long(reverse for shorts): If any 2 of the 3 pairs have their 50 sma cross over 200 sma from bottom to up we enter a buy trade for all 3 pairs.
we should have 3 different entries long per pair. So total entries would be 9. tnx

Hello Dear....i want ask how would you enter 9 trades if you chose 3 paire i cannot understand about 9 entries
 
 
  • Post #15
  • Quote
  • Dec 27, 2018 6:33am Dec 27, 2018 6:33am
  •  moaaz.mirza
  • | Joined Jul 2014 | Status: Member | 29 Posts
Quoting hibra68
Disliked
TP: Our tp for 1 entry will be 20 pips;(at this point we will bring the remaining 2 entries to breakeven + spread) One of the remaining 2 entries will have a Tp of 50 pips. But the other one we wil trail. The one entry we wil trail by following the bottom of higher lows.(reverse is for shorts) If at any time price touches the 200 sma or 50 sma crosses back over 200 sma the reamining 2 entries will be closed. Here are the trades I took this morning: Some of them still open some closed with profit already. P.S. I'm thinking of 4 entries per pair,...
Ignored
Hello again can you please elaborate this as will maybe there is some difficulty for me to understand this thanks in advance...
 
 
  • Post #16
  • Quote
  • Dec 27, 2018 8:25am Dec 27, 2018 8:25am
  •  RickM
  • Joined Sep 2015 | Status: Member | 1,794 Posts | Invisible
Quoting hibra68
Disliked
{quote} stop loss and take profit are exits
Ignored
That is a too simple response to my question. I could think of 6 exit strategy's that could improve this strategy other than a simple exit at a cross back or a stop loss set to say 100 pips.
I start my strategy development backwards my looking for profitable exits on pairs first then try and match in with a nice entry system. For example an improvement to a cross over system is a double entry and multiple exit set to set small target profits based on ATR of the pair.
I spend 90% of my time backtesting exit plans on any strategy first.
Trading thin liquidity at the boundary of the charts
 
 
  • Post #17
  • Quote
  • Last Post: Dec 27, 2018 10:26am Dec 27, 2018 10:26am
  •  hibra68
  • Joined Apr 2015 | Status: Member | 1,101 Posts
Quoting RickM
Disliked
{quote} That is a too simple response to my question. I could think of 6 exit strategy's that could improve this strategy other than a simple exit at a cross back or a stop loss set to say 100 pips. I start my strategy development backwards my looking for profitable exits on pairs first then try and match in with a nice entry system. For example an improvement to a cross over system is a double entry and multiple exit set to set small target profits based on ATR of the pair. I spend 90% of my time backtesting exit plans on any strategy first.
Ignored
What do you mean by double entry? Martingale?
If you mean martingale that is not just an exit strategy but a strategy all by itself. So you are in a different world with martingale.
Anyway Im trying double entry with round numbers now, just experimenting.
When it comes to exits in general you can use your imagination, but I personally think my correlation strategy is still good as long as the higher tf are still positively correlated.
 
 
  • Trading Systems
  • /
  • AUDUSD/AUDCHF/NZDJPY basket trading using 50 sma and 200 sma
  • Reply to Thread
0 traders viewing now
Top of Page
Forex Factory Blog Updated: Alerting All Members
  • Facebook
  • Twitter
About FF
  • Mission
  • Products
  • User Guide
  • Media Kit
  • Blog
  • Contact
FF Products
  • Forums
  • Trades
  • Calendar
  • News
  • Market
  • Brokers
  • Trade Explorer
FF Website
  • Homepage
  • Search
  • Members
  • Report a Bug
Follow FF
  • Facebook
  • Twitter

FF Sister Sites:

  • Metals Mine
  • Energy EXCH
  • Crypto Craft

Forex Factory® is a brand of Fair Economy, Inc.

Terms of Service / ©2022