DislikedNomo, just want to be sure I have this down before making live trades, and this one seems very simple. The first candle wasn't a breakout candle because it never went more than 3 pips past the box? The second one was the breakout candle, even though it did not close outside the box. The pair has retraced back up into the box, so I set a stop sell order of the low of the candle, less 3 pips. So I don't have to stay glues to the screen if I don't want to, I've set TP and SL of 20. Also of interest is that anyone that had taken the straight breakout without waiting fro a retrace would most likely have been stopped out.
One final question. On the "other" thread that discussed a similar strategy which doesn't wait for a retrace, a poster said there were huge drawdowns on a similar breakout strategy in early 2007. Do you know anything about that?Ignored
to me 1 pip passing the box is good enough for me for a breakout.
My entry, after the pullback gets on it's way will be 2 3 pips, not a hard and fast rule.
about early 2007, I really don't have a clue. To me Jan-2007 was great.
It all depends on their interpretation of the box. I really don't pay attention to other "systems" . I can tell you, when I started on the box, I was using straight breakouts and yes I got burned big time. Then I started to "tweak " the box with all kinds of stuff, until my eyes got open.
hope it helps
