A Basic Trading System (BTS)

Don't forget to take profit on trade #7 when you hit 1:1, that should be around USD/CHF 1.0821

http://img185.imageshack.us/img185/4720/rej2ff5.jpg

The bearish divergence on H1, shows that the new highs were rejected.

As far as i'm concerned it gives me good reason to setup for a short.

Now we just have to wait and see if it works out.

Regards,
E. Lang

Rate my thread and vote on the polls if you like the information being posted!!

I'll consider it a token of your appreciation.

Thanx
E. Lang

Effilang - I really like the stuff you are posting here. Keep up the great work!

The pair seems to be aiming for a break out.

Although it is tempting, we can't take any long positions around a high + channel top.

Our best bet is to wait for a break, then let a base form over the channel so we have somewhere safe to place our SL below. This way we will also ensure that we are trading with the trend.

If the price retraces to the channel (because it needn't oblige) and consolidates slightly, whether on H4 or lower, it will give the chance for the market to get comfortable with the new price level. The longer it lingers there, the more the overbought condition will diminish, inviting even more buyers for the same long we'll be looking for.

Lets just hope the break isn't very strong at first so we don't have to move to H1 to pick of the signal.

The dollar is currently being sold across the board so there should be enough pressure to break through this channel.

Regards,
E. Lang

http://img206.imageshack.us/img206/3570/gbpuu9.jpg

This is what i mean in detail.

We want the price to consolidate over the channel in order to relieve the overbought pressure so we can get in with the new buyers and have a smaller chance of getting stopped out.

Near the point where the indicators are refreshed we should have a BTS setup candle around the vicinity of the over channel range, should it occur of course.

http://img153.imageshack.us/img153/5238/efsr2.jpg

http://img244.imageshack.us/img244/156/upthebumzs9.jpg

This trade has gone up the bum.

It's important to note than the current H4 candle has retraced to the green EMA (low) - which means that on the next H4 candle we could have a trade to the upside.

The same candle could put the trade back in our favor as we're short, we shall see. (1:1 is still 1.0821)

GBP/JPY (trade #6) seems fine and dandy for now.

Regards,
E. Lang

Aye Effi,

Was this the supposed tip I was asking for? Awesome setup and information dude!!!

Um... Do I need to vote now or only when I have reaped the rewards? LOL... Nevertheless, still a very good information. I rate it as excellent still.

Thanks, aye!



________________

Don't let your greens turn red!!! ...

Well, yeah, wha can i say, i thought i'd throw you a bone haha LOL

I just hope you can put it to good use. It works! Just be consistent

You can vote whenever you want

* Go GJ, Go GJ, Go GJ (does little dance)

effi,im sure that this system is one of ur best trading systems...and many many thanx for sharing it with the us in the forum.
covjece...ti si genija.
best regards.

haha I can't believe i actualy understood that, and the heading too! Our languages are pretty close - one world >>

Thanx!
Lang

Hi Effi

I'm sorry for my stupid question, but I just can't figure out why you take some trades and other not. In all of the examples there are other bars that also penetrate the EMA's and then you don't short or go long. I know that it is a requirement that the lows or highs of the "setup bar" if I can call it that. This is stated by you in post 10, but accorsing to me some of those lows and highs were violated (the bar after the setup bar's low is lower), or do you require the bar after the setup bar to CLOSE at LEAST 1 pip above or below the high or low of the setup bar?

I hope that I make sense.

Thanx for the help.

farimir

Not all setups are perfect. You seem to have the rules down ok.

Reasons for not taking a trade can be, being near significant technical levels, already being in a trade and so on and so forth.

Don't try and seek perfection, it's not a 100% system.

Just make sure your money management is in check and you're set to go.

As you can see, we're taking live trades and its ok

Regards,
E. Lang

PS: We skipped a GBP/USD long today because we were near the channel top

Great Works.
Best Regards

Hello Effi,

Let me start by thanking you for the beautiful work you have done on this system.

I sincerely appreciate the efforts you have put in to get the system together, but more importantly, for the time you put in all the time to educate newbies like me.

I'm still a fresher at FOREX trading, but with a post like yours, I reckon I won't have to roam the woods for too long.

I remain a fan of yours,

Niyi

Hi Effi,

Quick question on buy entries...

Price shown on charts is usually the bid price. Selling is easy as you are selling on the indicated price. Buying is a bit confusing coz you buy on the ASK price which is not normally shown. So, for bull trades, when you say buy 1 pip above the high, assuming that price is within range that you can no longer enter a buy stop, would you enter as soon as ASK price is 1 pip above or wait for the BID price to hit 1 pip above?

Please helpt to clarify or give your profound inputs on such 'idio-cracies' in the system.

Thanks a lot...

Shoot... i don't know
I just set and order and let it blow

Whether its high or low, i'm there from the get go
Maybe you should check with your broker though
I'm not sure bout your platform flow

Could be different from what i know
Sorry i couldn't help you bro

I'm not the the best with that technical show
Though, maybe someone else will read your row
And let you know how you can fix this dough

Keep them losses low
I gotta go - I'm out of here
Think i'm running out of beer
Gotta keep my brain in gear!

Amazing thread Effi! Thank you so much for all the great information and your system. Keep it coming baby!

Hoooooooah!! Will do

Finally got round to biggin you up a bit Effi!

Solid, simple stuff this. Folk can learn a lot, I commend you for your effort.
Hope people can stick to the methodology and follow the rules, then they'll surely be able to vote Goldmine up there.

Certainly one to blend into my arsenal. Even if only the analysis.
Thanks.