Scalping Done Right? Cubbybgood's Take On Quick Market Trades | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Yet another 100 to 1000 (done) to 10000 (WIP) journal! (Scalping) 16 replies

What EA do you use when scalping to enter the market quick? 0 replies

Right Wrong Right Wrong Right Wrong 13 replies

looking for a UK broker i do a lot of very quick scalping but also hold longer trades 9 replies

Hedging Question - Quick Question Looking for A Quick Answer 1 reply

Attachments: Scalping Done Right? Cubbybgood's Take On Quick Market Trades
Exit Attachments

Scalping Done Right? Cubbybgood's Take On Quick Market Trades

  • Poll

  • Can Scalping Be Profitable Long-Term?
  •  
  •  
  •  
  • #1
  • First Post: Edited Jun 6, 2019 9:13am Jun 5, 2019 8:25am | Edited Jun 6, 2019 9:13am
I'm using an indicator called TMA to scalp the market on the 30 minute chart using 5 of the major currency pairs.

I've been working with the TMA indicator since 2015 in some way or another. Over the past 4 years, I struggled to be consistent with my scalping till I figured...Why not try scalping on a higher time-frame. Scalping doesn't necessarily need to be done on the m1 or m5 timeframes! This is when scalping started to change for me. The idea of scalping on a higher timeframe is a fairly new idea for me so there is no guarantees for long-term profit here but, I do have some mm safety net features to hopefully give the strategy longevity.

Starting this journal DOES NOT mean I'm going to leave my RMI EA behind. This is just a personal diary of what I'm doing on my personal accounts.


Strategy core basics....

-$2000 account minimum
-TP is 5 pips in most cases
-SL -10% of account
-Uses m30 timeframe
-10-30 trades per day
-Trades the EU, GU, UCAD, EG and EJ
-Martingale MM. The martingale is not a double up. The martingale is a bit more flexible as I want there to be more of an offset in lot size between the trading pairs.
-10-15% profit potential each month.
-All trading pairs work together as a hedge in my MM and profit taking.


Check the forward test stats on myfxbook here.
https://www.myfxbook.com/members/lil...g-test/3321881

Track my new LIVE performance here!
https://www.myfxbook.com/members/lil...ng-mam/3352628
  • #2
  • Edited 8:51am Jun 5, 2019 8:31am | Edited 8:51am
Here's a picture of what the EA and strategy looks like on chart.

The green TMA band is where my EA BUYS and the RED band is where my EA Sells the market.

Note, this TMA indicator is repainting but honestly, that's what I want when scalping the market like this!
Attached Image (click to enlarge)
Click to Enlarge Name: Screen Shot 2019-06-05 at 9.31.34 AM.png Size: 332 KB
  • #3
  • Jun 5, 2019 9:25am Jun 5, 2019 9:25am
Hi Cubby, nice work you did here.

What can we do to get hands on the EA?

Thank you!
  • #4
  • Edited 10:22am Jun 5, 2019 10:01am | Edited 10:22am
Quoting joao10
Hi Cubby, nice work you did here. What can we do to get hands on the EA? Thank you!

I'm not giving the TMA EA out in physical form as I don't trust it will be used correctly. This is why I'm letting anybody and everybody have access to it (in it's controlled form) on my free 0 performance fee MAM account at fxchoice.

Note, I GET $0 COMMISSION WHEN SOMEONE SIGNS UP FOR A NEW ACCOUNT AT FXCHOICE. THESE ARE THE TERMS OF THE MAM AT FXHOICE! THIS ISN'T SOME REFERRAL FUNNEL! NOW, IF I WAS SIGNING PEOPLE UP TO TRADE MY EA ON THEIR OWN PERSONAL ACCOUNT AT FXCHOICE, I WOULD GET A NEW ACCOUNT COMMISSION BUT SINCE THIS IS A 0 PERFORMANCE FEE MAM ACCOUNT, THIS IS NOT THE THE CASE!

I'll be talking about the my TMA and it's trades here in this journal.
  • #5
  • Jun 5, 2019 10:20am Jun 5, 2019 10:20am
Ryan,
dont want to be a naysayer, but someone should point this out anyway;
are you sure that if all 5 pairs has USD exposure, it will give the hedging effect you think it will?
(the EA test in part have suffered because the 3 out of 3 pairs CAD exposure. this isnt look much more promising capped with soft martingale.)
there is always, always another trade!!
  • #6
  • Jun 5, 2019 10:28am Jun 5, 2019 10:28am
Quoting profitfarmer
Ryan, dont want to be a naysayer, but someone should point this out anyway; are you sure that if all 5 pairs has USD exposure, it will give the hedging effect you think it will? (the EA test in part have suffered because the 3 out of 3 pairs CAD exposure. this isnt look much more promising capped with soft martingale.)

This is the big questions isn't it!

I'm trying to decide how important the lowest spread pairs are here compared to branching out to a more well rounded hedge set of pairs.

The ideal hedge is to have minimum exposer on each currency by using a wider set of trading pairs. Something I'm experimenting with actually. still, I think spread is important when we're only taking just 5 pips profit. I do think a better hedging system can be worked out here. It's just about finding a good balance with spread and exposure. As of right now, I think I'm relying a bit too much on my martingale to help with my hedge.

Any advice you can give on low spread low exposure on 5 or so trading pairs?
  • #7
  • Jun 5, 2019 10:43am Jun 5, 2019 10:43am
Quoting profitfarmer
Ryan, dont want to be a naysayer, but someone should point this out anyway; are you sure that if all 5 pairs has USD exposure, it will give the hedging effect you think it will? (the EA test in part have suffered because the 3 out of 3 pairs CAD exposure. this isnt look much more promising capped with soft martingale.)

By the way Profitfarmer,

Your advice is always appreciated!
  • #8
  • Jun 5, 2019 10:53am Jun 5, 2019 10:53am
Quoting Cubbybgood
{quote} By the way Profitfarmer, Your advice is always appreciated!
thx.
i am not really into effectively cross hedging usually just focus less pairs to limit that exposure.
to replace UJ to EJ (or perhaps AJ, but less preferred) should likely not raise the spread too much, but lower the USD exposure some.
and UJ notorious to have shallow pullbacks anyway, and i dropped it long from my scalping list for that reason.
there is always, always another trade!!
  • #9
  • Jun 5, 2019 11:40am Jun 5, 2019 11:40am
Quoting Cubbybgood
{quote} By the way Profitfarmer, Your advice is always appreciated!
And if where me i would mayby change UCHF with EG even EG have moved a lot upward in trend lately,but i think that run is done with and will range ore drop a bit going forward....I dont have a crystall ball,but i think EG is a better choice because sometimes CHF can weekend ore gain a lot of strenght fast and also you will escape another U:S pair so down to 3 out of 5...
Insanityoing same ting over expecting different results..Einstein
  • #10
  • Jun 5, 2019 11:40am Jun 5, 2019 11:40am
Quoting profitfarmer
{quote} thx. i am not really into effectively cross hedging usually just focus less pairs to limit that exposure. to replace UJ to EJ (or perhaps AJ, but less preferred) should likely not raise the spread too much, but lower the USD exposure some. and UJ notorious to have shallow pullbacks anyway, and i dropped it long from my scalping list for that reason.

Interestingly enough! The EJ is strong with my system. At least in backtesting which isn't saying much. Still, promising though. It did perform better than the UJ. Is a matter of fact, it actually is one of the better performers in my testing when all 5 pairs are considered.
  • #11
  • Jun 5, 2019 12:03pm Jun 5, 2019 12:03pm
Quoting FXsniper111
{quote} And if where me i would mayby change UCHF with EG even EG have moved a lot upward in trend lately,but i think that run is done with and will range ore drop a bit going forward....I dont have a crystall ball,but i think EG is a better choice because sometimes CHF can weekend ore gain a lot of strenght fast and also you will escape another U:S pair so down to 3 out of 5...
It's a good suggestion. Something I've been wondering about my self. The USDCHF is pretty heavily correlated with the EU. I set out initially for the EA to only trade on low spread pairs as higher spread just didn't do well for it when TP was considered. I just went with the majors not really knowing how the EA would perform on all together. My pairs for hedging did need some tweaking but it's a pretty good sign considering how well it's been doing using some heavily correlated pairs.

I will be looking into the EG. It was one of my heavily traded pairs on the RMI EA till it started trending heavily in 2016.
  • #12
  • Jun 5, 2019 12:09pm Jun 5, 2019 12:09pm
i'll say this your relentless to find something that works but maybe learn to read the market might help you get where you want to be
  • #13
  • Edited 12:51pm Jun 5, 2019 12:36pm | Edited 12:51pm
Quoting Divergence
i'll say this your relentless to find something that works but maybe learn to read the market might help you get where you want to be
Hmmm...

I've been trading for 14 years now and I'll say it's been full of a lot of hardship.

I learn to read the market through tools which manifest themselves through my EA's

What I understand about the market is it's not easy to find a system or EA that can trade at all times. Even during the news. This is NOT and easy task and I RARELY find it with ANY tool, system or EA. Learning to read the market is total garbage because it's constantly changing. We're ALWAYS behind what the market is doing. This is why the majority of us lose. What I've done with my RMI EA is built a system that has a solid methodology and can be traded at all market times. I set out to build and EA that could trade through the worst of news. The idea was...If I could build an EA that could withstand the worst of market news, then maybe I could find a market edge. I believe my RMI EA achieves that market edge. Yes, Yes, I used too much risk in my trading with it but that EA still has tons of potential in trading as it can be used successfully in MANY different ways.

Learn to open your mind when it comes to trading Divergence!
  • #14
  • Jun 5, 2019 1:01pm Jun 5, 2019 1:01pm
Quoting Cubbybgood
{quote} Hmmm... I've been trading for 14 years now and I'll say it's been full of a lot of hardship. I learn to read the market through tools which manifest themselves through my EA's What I understand about the market is it's not easy to find a system or EA that can trade at all times. Even during the news. This is NOT and easy task and I RARELY find it with ANY tool, system or EA. Learning to read the market is total garbage because it's constantly changing. We're ALWAYS behind what the market is doing. This is why the majority of us lose. What...
well cubby ive been trading for a lot longer than you and am making a living at it. 1 thing that never changes and is constant is the 123 pattern its been paying my bills. I also left the rat race of forex a long time ago an strictly trading emini nasdaq and dow you may want to research it or not
  • #15
  • Jun 5, 2019 1:12pm Jun 5, 2019 1:12pm
Quoting Divergence
{quote} well cubby ive been trading for a lot longer than you and am making a living at it. 1 thing that never changes and is constant is the 123 pattern its been paying my bills. I also left the rat race of forex a long time ago an strictly trading emini nasdaq and dow you may want to research it or not

I could also make trading work full time if I just had $30-50k to work with. I just don't have that kind of money yet. $50k would be better as I would only need to make 5% a month to pull a passable monthly income. I have tools that can do that but 5% on a little $2-5k account just ant going to pay the bills. One of my biggest problems is patience. If I would have just sat back and made 5% a month for the past 5 years I would be in a much better place. My problem was shooting for WAY too much to reach my $50k goal.

This is why I'm starting a new coding career path so I can affectively push my income higher to eventually fund a $50k trading account. In the meantime, I need to work on my patience so I can be more conservative once I'm ready. Right now...I'm still too aggressive.
  • #16
  • Jun 5, 2019 1:59pm Jun 5, 2019 1:59pm
i keep 10000 in acct and draw out profits every month but thats me my advice leave forex the brokers are bogus or not and continue this cycle your on good luck
  • #17
  • Jun 5, 2019 3:41pm Jun 5, 2019 3:41pm
Quoting Cubbybgood
{quote} It's a good suggestion. Something I've been wondering about my self. The USDCHF is pretty heavily correlated with the EU. I set out initially for the EA to only trade on low spread pairs as higher spread just didn't do well for it when TP was considered. I just went with the majors not really knowing how the EA would perform on all together. My pairs for hedging did need some tweaking but it's a pretty good sign considering how well it's been doing using some heavily correlated pairs. I will be looking into the EG. It was one of my heavily...
well i am looking at your myfxbook at the liveaccount and you run pretty high risk martingale for a 10% cutoff i think....Its opened 0.02-0.03 and then 0.1 and then 0.15 on EU buys that is if it doesnt open more and i guess it will 100 pips against you will be 300 dollars and abaut 7% on this pair alone...I know a fast close is to prefer but what to say EU wont drop 100 more and UCAD rise 50 and your out...On your cutoff....What i am trying to say is i would go softer on the martingale...But hey just me and my humble opinion...Atleast when running on 5 pairs if had been 1 pair would be totally different...But i do hope you succed after 14 years you surely deserve it...

Edit: i am not to say i am perfect i opened to big on a EU push the other day and bye 5 possision i was in way to big and luckily i closed with a 6% loss"By mistake" If hadnt closed would be out on cutoff a lot more because it pushed a lot higher than i expected,but always expect the unexpected that way will go a lot further
Insanityoing same ting over expecting different results..Einstein
  • #18
  • Jun 5, 2019 3:55pm Jun 5, 2019 3:55pm
Quoting FXsniper111
{quote} well i am looking at your myfxbook at the liveaccount and you run pretty high risk martingale for a 10% cutoff i think....Its opened 0.02-0.03 and then 0.1 and then 0.15 on EU buys that is if it doesnt open more and i guess it will 100 pips against you will be 300 dollars and abaut 7% on this pair alone...I know a fast close is to prefer but what to say EU wont drop 100 more and UCAD rise 50 and your out...On your cutoff....What i am trying to say is i would go softer on the martingale...But hey just me and my humble opinion...Atleast when...
Again, good advice here.

You are right on the 100 pips though....

I do only need around a 10 pip pullback in price at around 40-100 pips against me. The likelihood of that happening is good even during volatile news events. Still it's very possible for price to push up 100 pips on a pair with under 10 pips pullback. I'm expecting to get hit with some -10% losses here and there though. I am considering cutting my risk down by half so I can withstand more price. it seems like the happy medium would be 0.01, 0.02 0.05 etc lots for every $4k. Right now I'm using 0.02 0.03, 0.10 etc on a $4k account.

This current EU basket was actually kind of a mistake. I was having some issues with my account not taking orders. To check if I got it working I starting a EU entry about 20 pips early. The EA trades should be like the ones you see on my demo account.
  • #19
  • Jun 5, 2019 4:00pm Jun 5, 2019 4:00pm
Quoting Cubbybgood
{quote} Again, good advice here. You are right on the 100 pips though.... I do only need around a 10 pip pullback in price at around 40-100 pips against me. The likelihood of that happening is good even during volatile news events. Still it's very possible for price to push up 100 pips on a pair with under 10 pips pullback. I'm expecting to get hit with some -10% losses here and there though. I am considering cutting my risk down by half so I can withstand more price. it seems like the happy medium would be 0.01, 0.02 0.05 etc lots for every $4k....
You said it cut the risk in half and you will go further i belive....
Insanityoing same ting over expecting different results..Einstein
  • #20
  • Jun 5, 2019 5:37pm Jun 5, 2019 5:37pm
Quoting Cubbybgood
{quote} This is the big questions isn't it! I'm trying to decide how important the lowest spread pairs are here compared to branching out to a more well rounded hedge set of pairs. The ideal hedge is to have minimum exposer on each currency by using a wider set of trading pairs. Something I'm experimenting with actually. still, I think spread is important when we're only taking just 5 pips profit. I do think a better hedging system can be worked out here. It's just about finding a good balance with spread and exposure. As of right now, I think I'm...
Screenshot of one of my EA's which shows a spread filter, if the spread is too wide the trade is skipped
Attached Image
Some people say I'm lucky, but the more I practice the luckier I get
0 traders viewing now