A Basic Breakout System

Spot on

Price is about to breach the low of 1.5882 on the 1h chart. If it retraces up and makes a lower high then goes to make a lower low, I'll be looking to short.

Edit: I probably should have mentioned I was referring to the eurusd. =)

there is a break on the upper band on GU daily chart...will watch for P2 over some of couple of days afterwards and see how it goes

Does anyone has a .mq4 for sending a text message/email alert about new LL or new HH?

Some of you seem to be having problems figuring the system out so I made a very short video for it.
http://screencast.com/t/T6DRoaDs

Thanx Robert,

Appreciate you helping.

Regards.
e. Lang

Effi,
On the ES chart below (and this is the same for YM) there's no resistance lines, do you know why this is?

No Idea NowAndLater,

Maybe someone else here has experience with that.

Sorry.

it has worked on a little bit for me.

Daily pivots:

EUR/USD...........1.5803
GBP/USD............1.9961
AUD/USD...........0.9667
NZD/USD............0.7573
USD/CAD............1.0055
USD/JPY.............107.27
USD/CHF............1.0255

In a few words, pivot point is a level in which the sentiment of traders and investors changes from bull to bear or vice versa.

These are similar to supply/demand breakouts. Adding the bat indi is a nice touch to identify them. I've seen a video of supply/demand breakouts -- I'll try and locate it and will post.

Edit: Here's a video that might help some here with supply/demand.
http://transcripts.fxstreet.com/2007...-and-dema.html

I've been trading an almost identical system for 2 years now.

EURJPY
Settings: 6, 4.5
TF: 5 min

I only trade the EURJPY with these settings.

For best results, take the first signal after 6:00 AM CET. I usually watch my trades. If I will be away from my desk, I set my TP at 50 pips. It almost always hits.

If anyone has any questions, PM me as I rarely check the threads anymore.

Hello Effi, nice to see you here again

this strategy is very similar to mine or almost the same (I like to trade easily) and I am only using fractals but with this indicator that it´s like a fractal but drawing the important support-resistances with blue-red lines:

http://noponzi.com/SupportandResistance.mq4

If you check the charts with your strategy and with this indicator or fractal you will see that it´s very similar and you enter when the price break 2 times (sometimes more than 2) the support-resistance (as you say: after the retracement) and always following the daily trend. Most of the times it is in the second breakout but not always, so I use what I post below.

I am using this breakout system since many time ago with success in 1h-4h and only when I see the daily candle going in the same direction as 4h (trading with 4h), or the daily and 4h candles going in the same direction as 1h (trading in 1h). If so I wait the price to break the support-resistance (in the same direction) in some pips to enter my trade.

In 1h I open my position (if the daily-4h candles are going in the same direction without a retracement) when it breaks the line (the indicator posted above) in 20 pips and only if I see a good risk/reward until the next line (support-resistance or fractal). And of course it´s a great help drawing trend lines to trade this way.

thx for sharing your view, i like breakout systems.

Hi Effi,

Thx for another clear, understandable presentation of a kick @$$ system.

As I post, UJ is calling for shorts on the 1Hr BAT and longs on the 4hr BAT. Any thoughts about possible increased probabilities when multiple time frames agree in their direction?

Also, you mentioned a trading room earlier. I'd like to stop by if it's open. Where can I find it?

Cheers,

VBro

Hello Effi, could you tell me if these are valid entries :

http://perso.numericable.fr/pillow/usdjpyh4.gif

http://perso.numericable.fr/pillow/eurusdh4.gif

http://perso.numericable.fr/pillow/audusdh4.gif

I entered shortly after the break of the blue line (limit order represented by the green dotted line). I'm not very successful since I started this system 3 days ago, the price always breaks my entry point then goes back in the opposite direction. So I'd hope you could tell me if I'm doing anything wrong.

Today looks like a better day as I already have two winning trades, it seems like I'm doing better with H1 TF.

I was wondering if you could tell us more about exits with this system.
Thanks for sharing your method.

Thanx for posting this Effi, I will give this system a shot. I am still very green to forex. and this system seems quite plain and simple.

Hello,

Would the downward break of the blue line be a valid entry?
Considering the level / how high the retracement has gone.

Yes that would be a valid short entry.

Have a nice weekend.
E. Lang