Hello all! For the past few months I have been using the following system which is very easy but since I'm not a pro at using MT4 I need some help from you guys on back testing my model. I was just curious how successful it's been over the long haul so if any of you guys could fill me in I'd greatly appreciate it.
Ok, now as far as my system goes it's very easy as stated above. Basically, I set up a 14 exponential moving average (PUT IN A -2 SHIFT) and a 50 exponential moving average (0 SHIFT) and just follow the crossovers on the 1 hour time frame. I've noticed some other systems similar to mine but it seemed like they're settings were too sensitive and you'd end up closing the position too early. I played around a little bit and I found that this setup allows you to hold a trade longer especially during a nice long one. Currently, I'm up over 200 pips (only 4 trading days) on an open trade where I sold the GBP/USD at 1.9790 and as of now it's at 1.9577. I won't close this position until the next crossover. Prior this trade I went long from 1.9370 to 1.9790 for a total of 420 pips (only 9 trading days)! I used to play the 15 minute time frames but I just don't have the time to sit and babysit the trade. When I see a potential crossover I set up my trade, take my position (after confirmation or just prior if it's looking good), set a stop loss of 50, and let it ride! In addition, I set up a RSI of 35 and I put a horizontal line in at the 50 mark. I find that this helps me see spot the upcoming opportunities and as long as the index is above the 50 line you can stay long and close out when it drops below (and vice versa when shorting). Anyways, have fun and like I said I'd greatly appreciate your thoughts on perfecting this setup as well as what the back testing has to say about it.
Ok, now as far as my system goes it's very easy as stated above. Basically, I set up a 14 exponential moving average (PUT IN A -2 SHIFT) and a 50 exponential moving average (0 SHIFT) and just follow the crossovers on the 1 hour time frame. I've noticed some other systems similar to mine but it seemed like they're settings were too sensitive and you'd end up closing the position too early. I played around a little bit and I found that this setup allows you to hold a trade longer especially during a nice long one. Currently, I'm up over 200 pips (only 4 trading days) on an open trade where I sold the GBP/USD at 1.9790 and as of now it's at 1.9577. I won't close this position until the next crossover. Prior this trade I went long from 1.9370 to 1.9790 for a total of 420 pips (only 9 trading days)! I used to play the 15 minute time frames but I just don't have the time to sit and babysit the trade. When I see a potential crossover I set up my trade, take my position (after confirmation or just prior if it's looking good), set a stop loss of 50, and let it ride! In addition, I set up a RSI of 35 and I put a horizontal line in at the 50 mark. I find that this helps me see spot the upcoming opportunities and as long as the index is above the 50 line you can stay long and close out when it drops below (and vice versa when shorting). Anyways, have fun and like I said I'd greatly appreciate your thoughts on perfecting this setup as well as what the back testing has to say about it.
If you can't produce some results and make some serious PIPS, YOU'RE FIRED!