the key to the mint

Syedks,

The EURJPY daily indicated to only take long positions. The 1 hour chart gave the signal on a large range bar. Based on Harold's comments, i recall him or someone saying that when this occurs we need to be careful. This would have been the only indication to not take this long to avoid the loss.

The short was observed prior to the long entry per your pic. This could be a good thing for a long postion as it may have been a pullback. to buy after a period of buying is not as wise as buying after a period of selling. That is what the 1 hour chart with the stoch cycle creates for us. that is my interpretation. do others agree?

I will conitue to watch and see at what approximete range (in same direction as trade direction) of the closed bar that provides the signal to enter that would result in a loss. For example, if a bar is 50 or 65pip (open to close) range and majority of the time that trade produces a looser. Then i may add that as a criteria for entry. Anyone have any input or experience on how big of a range is too large when entering on the next bar. Sure it will very from pair to pair too.

All in all Syedks, your picture does have value showing how to read a trade set up for a long entry while being conservative. I'm always learning.....

Trader4life

Interactive Brokers has tight spreads. see their website.

http://individuals.interactivebroker...?ib_entity=llc

they flex and seem lower during high volitility times too.


Also, there is a $2.50 commision per transcation.

Harold,

Well, I just finished reading every post of your thread. Sounds like a great system. I will begin working with it next week. I have tried many systems over the past 3 years without much success. But this looks different. Simple, easy to understand and your track record speaks for itself. I have been sitting here looking back through the charts on the pairs you trade and looked at many trading opportunities that were successful. I have also pulled some of my losing trades from my log and realized that if I had been trading your system I would not have entered those trades (at least not in the direction I took them). I will keep you and all the great contributors up on my progress. It is nice to see so many dedicated to keeping the thread going, making use of the system, and answering the questions.

All my best for next year,

PipPrince

All I can say to Harold, is thanks mate. This system is awesome.....it's so evidently sensible that I count myself as bloody fortunate for having had the good luck to learn about it.

Thanks mate.

Traider

New Zealand

Try www.efxgroup.com, they are a good bunch of ppl around. very fair commission and spread gbpjpy is around 1-3 :-)

I agree with Harold.

GBP - JPY is headed south.
I got fooled on Wednesday & took a long for a loss.
I got back in short & got 140 pips
I expect this pair to continue down.
Harold's system confirms this, too.

When this pair decides to move, look out.
Needs a lot of SL for movement, though, but it's fairly indicator-friendly.
I use 100% ATR (daily) for SL on GBP-JPY.
Haven't been stung too many times.

Look at the daily chart & zoom out a bit & then look at the weekly.
Is that a classic head & shoulder or what?

Good Luckl

harold4x,

I have read many many threads on FF and much has been written about brokers stop hunting. Would you please share your insights, knowledge and experiences in your 7 years of trading for a living about this topic?

Wow Harold ! Thanks so much for sharing your system with us. Also everyone else who has contrubuted so far. I am very excited about this method. I am onboard as I can see that this system has many practical applications for my way of trading.

You look at daily and then trade off the hourly.

Same concept can be done for scalping for a few pips eg use the same indicators and determine the trend off 1h and then scalp off the 15 mins for example it should work as well. Eg wait for the hourly candle to close, determine the trend and look at 15 min candle that just closed for a possible trade. This way we can also get smaller amounts of pips eg 10 pips or so.

The system is really excellent. Something I have seen doing some back testing with your calls, is that it will be very beneficial to pay close attention to when the currency might reverse direction the very next day egg when its Over bought/O Sold already. Although it still gives a valid signal, we soon see that it will be a losing day. We always try and improve on a system. I know its bad to be like that and yet no one likes nasty surprises and it shakes our confidence in a very negative manner.

All I can think of to make the system better is to add indicators that shows on the daily that the trend is about to end. Egg although the system is giving a valid signal, we better be very cautious in entering.

We hardly these days see long daily trends it seems a trend off the daily last about 5 days if we are lucky and then it gets into Osold OBought conditons and reverse on us. I am long winded here I am trying to say that it will be nice to come up with filters ( early warning systems to stay out of a possible trade because the trend is about to reverse. Who said indicators are lagging :-) Some indeed tell us what is coming our way.

I hope I am not a big spanner in the works here I am simply trying to improve on an already fantastic system.

I would like to make a contribution too to this wonderful thread.

In determining the trend it is nice to look at other TF's that M4 charts does not offer eg a 2 day chart or a 8 H chart. With the "periodcon" indicator this is possible. It does what most people say you can't do to MT4 charts, and that's customise the TF's. This way you can get an idea what the trend is on 2day... it produces an offline chart that does not automatically update. Still I find it very valuable and my trading has improved a lot.

Thanks to FF member 'eyevoltage' for posting this originally in another thread. I will cut and paste how it works:

"1) Open whatever chart you want to convert....1m 5m 15m 30m etc. Say for this example you open GBPUSD 1H.

2) Open periodcon from your list of custom indicators.

3) Click "period multiplier" and change to (say) 8.

4) Click OK.

5) Click File/Open Offline.

6) Scroll down the list to the chart you wanted i.e. GBPUS, H 8 (8 X 1H).

7) Click "Open".

8) On chart that appears, load the required template. That's it!

You can now work on your offline GBPUSD 8H chart. This converter will convert any of the MT4 charts to virtually whatever you want. For instance, if you feel that 4H isn't quite what you want, but Daily is far too long, there's nothing in between to compromise, is there? So bring up a 4H chart, set the periodcon to 2 (it defaults to that, anyway), follow the instructions above, and you'll have a nice GBPUSD 8H chart to play with! "


NetDania charts offers 25 different currency charts to trade of while M4 only offers 12 pairs. Just click on chartstation and then scroll down a bit and click on Try demo now. These charts are great for this method if you dont want to go to all the trouble downloading tradestation charts. You can even save your settings for next time. I have used them with great success Their stoch setting is slow stoch which works well for this method. You can also overlay RSI over stoch to save on screen space. I will try and post a chart from Netdania.

Welcome Aboard Fxpip Whew A Long Post. The 3 Indicators Do Determine The Daily Trend To Add More Would Only Defeat The Purpose There Are A Load Of Ways To Determine The Daily Trend This Is Just One Of Them. I Have Tried All Forms Of Tinkering With This Thing And I Always Come Back To The Simplicity Of What I Am Doing No Need To Change Whats Working Thanks Anyway

What you are saying makes a lot of sense. Determining the daily trend can be done in many ways yes. I am just searching for indicators that will keep us out of bad trades the next day. FXcroeses a while ago had some good success with the Lsma indicator to show O bought/sold.
Good luck to everyone the last trading day of the year might be very tricky.

Harold-What are your thoughts about FxPips comments regarding using your system with the shorter timeframes, i.e. looking at the hourly indicators for trend and then trading the 15 minute?? Thanks.

the question is why not go down to 15 minute charts. the reason i dont is simple to much noise. every tf has trends within the larger time frame to trade off of 4 hr charts would put you in a position of large stops. the hour eliminates the noise pretty much. wow this sounds like goldy locks and the three bears. one bowl of soup is to cold the other to hot and the 1hour chart is just right lol looks like the gbp jpy has started without us hopefully we get a correction and then come back down

well nothing happened which is expected jpy closed for a holiday only news today is usd home sales so all there is to say ishappy new year

any questions before i sign off for this year

yes harold, just one.
are u a great guy or are u a great guy?
happy new year everyone. trade well and believe.

the answer is no only god is great there also might be a late signal on gbpjpy at end on this candle

Thanks Harold for sharing this with us this year.
and a HAPPY NEW YEAR to you and all fellow pippers.

HAPPY NEW YEAR TO ALL !!!!!!!!

i had one at post #987. Your comments would be appreciated.

as far as stop hunting i have heard the same stories since i have been with same broker for 6 yrs i have no expierience in the matter mine doesnt do that