Name: East Coast Cable Sleepover Strategy
Why: It works while we sleep on the East coast of the US
Okay – I have played with this strategy in the past but have started to look at some modifications. I’m hoping the community can take hold of this one and help out with some testing and improvements. As with everything I have no guarantees this will work, but it should be fun trying. I would like to stay with GBPUSD but other pairs could work but I’m not sure about how many pips to make the orders. In addition, we can make this so complex it’s crazy but for simplicity let’s focus on basic and simple practices.
Concept:
I notice the market is pretty calm during the 21:00-24:00 EST – It usually stays in a small range. My idea is to take advantage of this range and place orders above and below this range. My old system wanted the market to break out, which it generally doesn’t do. In fact it seemed just to test me and grab my order and fall back to its starting level, which caused me to losses. It always seems to make false moves.
Examples are the best way for most of us to understand. Let’s use last night as an example.
GBPUSD was trending around 1.9900 during the last few hours of the day 23-24:00. We make this are base price.
Order 1: Sell 940 | Stop 980 | TP 900 (our base price)
Order 2: Buy 860 | Stop 820 | TP 900 (our base price)
Last night – the market went up and would have grabbed the 940 order to sell – it went higher but did fell back to our base making a profit of +40 pips.
In detail:
Order 1: find base level | add 40 for SELL price and another 40 for stop with base as target
Order 2: find base level | subtract 40 for BUY price and another 40 for stop with base as target
In the morning between 9:00-10:00 EST cancel the other order that wasn’t filled. In addition if trade is positive maybe move the stop to BE or +1 pips.
Results: last week
4/26 Thur 1.9910 B870 ST830 TP910 +40
4/29 Sun 1.9950 B910 ST870 TP950 +40
4/30 Mon 2.0000 S040 ST 080 TP000 +40
5/1 Tue 1.9975 B935 ST895 TP975 -40
5/2 Wed 1.9000 S940 ST980 TP900 +40
Now – we can start working on a couple things.
1- back testing and EA development
2 – work on a way to identify (improve the signals for the base price). For example, on Tuesday night this was a loser – maybe because the trend during those hours was going down. Maybe we can find a way to say if the last 2-3 hours is between x pips we are okay, if it is too volatile we don’t trade it.
3 – use this as a base trade – but ad similar trades or ranges as extra trades. For example, instead of 40 maybe 60 pips
Let us begin our journey…
Why: It works while we sleep on the East coast of the US
Okay – I have played with this strategy in the past but have started to look at some modifications. I’m hoping the community can take hold of this one and help out with some testing and improvements. As with everything I have no guarantees this will work, but it should be fun trying. I would like to stay with GBPUSD but other pairs could work but I’m not sure about how many pips to make the orders. In addition, we can make this so complex it’s crazy but for simplicity let’s focus on basic and simple practices.
Concept:
I notice the market is pretty calm during the 21:00-24:00 EST – It usually stays in a small range. My idea is to take advantage of this range and place orders above and below this range. My old system wanted the market to break out, which it generally doesn’t do. In fact it seemed just to test me and grab my order and fall back to its starting level, which caused me to losses. It always seems to make false moves.
Examples are the best way for most of us to understand. Let’s use last night as an example.
GBPUSD was trending around 1.9900 during the last few hours of the day 23-24:00. We make this are base price.
Order 1: Sell 940 | Stop 980 | TP 900 (our base price)
Order 2: Buy 860 | Stop 820 | TP 900 (our base price)
Last night – the market went up and would have grabbed the 940 order to sell – it went higher but did fell back to our base making a profit of +40 pips.
In detail:
Order 1: find base level | add 40 for SELL price and another 40 for stop with base as target
Order 2: find base level | subtract 40 for BUY price and another 40 for stop with base as target
In the morning between 9:00-10:00 EST cancel the other order that wasn’t filled. In addition if trade is positive maybe move the stop to BE or +1 pips.
Results: last week
4/26 Thur 1.9910 B870 ST830 TP910 +40
4/29 Sun 1.9950 B910 ST870 TP950 +40
4/30 Mon 2.0000 S040 ST 080 TP000 +40
5/1 Tue 1.9975 B935 ST895 TP975 -40
5/2 Wed 1.9000 S940 ST980 TP900 +40
Now – we can start working on a couple things.
1- back testing and EA development
2 – work on a way to identify (improve the signals for the base price). For example, on Tuesday night this was a loser – maybe because the trend during those hours was going down. Maybe we can find a way to say if the last 2-3 hours is between x pips we are okay, if it is too volatile we don’t trade it.
3 – use this as a base trade – but ad similar trades or ranges as extra trades. For example, instead of 40 maybe 60 pips
Let us begin our journey…
Simple mkt goes up from the base say 1.9800, it hits 1.9840 and triggers the sell now it goes down to hit the other trade (thats great because we have our take profit at 1.9800 so we make +40, if it hits the other trade and keeps dropping we lose -40. Okay - truly worst case base 1.9800, mkt goes up and fills sell at 1.9840 - continues on to 1.9880 -40, then mkt reverses to 1.9760 buy gets triggered and mkt falls further to 1.9720 -40. Worst case -80 in one huge whipsaw. I'm not saying it's not possible or it's never happened but it probably is pretty rare from 00:00 EST to 8:00 EST. If anyone wants to research an 80 pip move followed by a 160 pip move that would be GREAT.