This thread has been started from my traffic light thread after emails from people asking if I have a system that uses 1 time frame not 2 as re traffic lights.
the people concerned wish to use a system over several swaps and want only 1 chart open per swap...
I will only increase my activity on this thread and answer questions if after a week it looks promising what works on Index Futures does necessarily work on Forex
If I’m happy with the results templates indicators will be posted here on this thread
TP -
Longs = Take the high of bar and the swing low ( marked on chart) x 2 thats is out TP reverse for shorts.
SL - Longs = 1 pip below Last swing low reverse for shorts
Chart shows 10 signals
8 wins
2 losers
Must use money management calculated from initial stop size
Ie
Stop 20 x $10 a pip = $200
If account is $5,000 and risk 5% per trade = $250
You can trade 1 contract if you lose you lose $200
Stop 10 x $10 a pip = $100
If account is $5,000 and risk 5% per trade = $250
You can trade 2 contract if you lose you lose $200
The above is an example and shows that stop size should not mean more risk.
You profits are increased by the bank building bigger
IE 6 month the account is at $20,000 x 5% = $1000 stop
On the 1st example above if stop is 20 pips you could lose $200 you can trade 5 contracts.
The tp will be twice the size as your stop so you stand to win 5 x 40 pips = $2000
RR of 2:1
the people concerned wish to use a system over several swaps and want only 1 chart open per swap...
I will only increase my activity on this thread and answer questions if after a week it looks promising what works on Index Futures does necessarily work on Forex
If I’m happy with the results templates indicators will be posted here on this thread
TP -
Longs = Take the high of bar and the swing low ( marked on chart) x 2 thats is out TP reverse for shorts.
SL - Longs = 1 pip below Last swing low reverse for shorts
Chart shows 10 signals
8 wins
2 losers
Must use money management calculated from initial stop size
Ie
Stop 20 x $10 a pip = $200
If account is $5,000 and risk 5% per trade = $250
You can trade 1 contract if you lose you lose $200
Stop 10 x $10 a pip = $100
If account is $5,000 and risk 5% per trade = $250
You can trade 2 contract if you lose you lose $200
The above is an example and shows that stop size should not mean more risk.
You profits are increased by the bank building bigger
IE 6 month the account is at $20,000 x 5% = $1000 stop
On the 1st example above if stop is 20 pips you could lose $200 you can trade 5 contracts.
The tp will be twice the size as your stop so you stand to win 5 x 40 pips = $2000
RR of 2:1
Attached Image (click to enlarge)
