4H 5EMA System

pls stershur
don't deny us the pleasure of witnessing another great system and to partake of this challenge, at least as the 2 of you post ur daily charts for us to both learn and be the referees.

Make it open so that as we have all seen you took us thru the mechanics of 5EMA let us see someone else take us thru another system as he trades it

that will greatly improve all of us and the same time bring many members and visitors to this your thread

kos

There will be no hiding. If you read post #125 they have to make a thread and outline the rules to the system the way I have. In essence they have to teach everyone like I have. I made the challenge to help people and made the rules so that everyone can learn the other persons system. Nothing will be hidden at all. The rules just state it has to be a mechanical system that anyone could learn and replicate every trade the way this system is. Is someone would take the time to learn this system they would be able to exactly replicate my results and I want someone who takes the challenge to do the same for everyone here. I just want them to PM me so there request dosent get lost in the thread. I will post the PM's.

-Sterling

Hey Kos,

Sterling is the only person to chime in on your TS idea so far so I thought I would also. If my understanding of the mechanics of trading is true, then the 5EMA system would be a trend following system. According to all the books I've read those few trades that greatly surpass all others are the key to the system. If you cap them then you leash the system and it will not work.

That being said, I did put a trail on the current trade and the reverse just before the BOE rate announcement and it helped. One could consider trailing stops when there is a big news item, though this is a subjective thing and can not be made mechanical to fit the rules so it must be left up to the trader - IMHO.

Shawn

Sorry I didnt get a chart out yesterday guys, heres the chart for yesterday and today. We are currently up +331 for the month for all the current closed trades.

Trade #5 took +76 pips

Trade #6 lost -52 pips

Trade #7 got screwed by the interest rate decisions and lost -177 pips. Trade #7 was entered at the red line. The reversal bar for trade #6 was also the setup bar for the trade #7 short

-Sterling

I forgot to also put that we are long right now. The lowest low is the setup bar and the following bar (current bar) triggered are buy stop.

-Sterling

Hi Sterling,
How has the new EA you are testing been performing the last few days? Working to your rules correctly so far??

it would be wonderful if the EA's working well...
i can't access MT4 on my office.

Its not working so well right now, he is a very capable programmer I just think he is a little of on his understand of the rules. I shouldnt say not well it just has a few flaws. Ive had plans all along to pay ferrufx to do this EA so im going to do that to, but I have no doubt the guy doing this one will get it perfect in time.

-Sterling

Well I Pm'd the guy that wanted to do the challenge cuz I havent heard from him. I will keep everyone updated if he PM's me back.

-Sterling

sterling,
Maybe you can post the cost estimate and maybe we can share the cost. Looking back at charts, I believe your system can be profitable, not only in forex but also in index futures market with an daily or H1 chart. My only problem is that I am not willing to check my charts in the middle of the night, so an EA can solve this for me. However, it must be done by an excellent programmer so we don't lose weeks or even months debugging the EA. I think the rules are very clear.

If I may make an suggestion: maybe add a trailing SL of 100 pips when profit hits 100 pips. I think it is ridiculous to let a 100 pip profit turn into a loser.

Not to sound like a snob or anything but price really isnt an issue so ill take care of that for you guys. I wanted to help people and if I can give you guys an EA thats awesome I will be more than happy to do so.

-Sterling

No doubt someone will be able to program this into an EA, but they can't be expected to get it right straight off first go from just instructions, they have to have learned the system themselves and be able efficiently trade it manually to completely interpret into an EA quickly I'd say. I don't know, it's simple enough but for some reason it is hard to grasp straight away just from reading the rules. It's taken me about a one week of reading almost 50 pages of the thread twice, going over others questions and many questions of my own with picture examples as well as following live trades to match up with mine- and finally I have got it down! Thanks to Sterling and his patience!

Paul

[/quote]
If I may make an suggestion: maybe add a trailing SL of 100 pips when profit hits 100 pips. I think it is ridiculous to let a 100 pip profit turn into a loser.[/quote]


Or at least a move to break even so we don't actually lose pips?

Steve.

Quite reasonable.. sometimes I break the rule (quit on premature profit) when the price hit some physiological levels / resistance / support. Does it sound that I don't trust the system or "let the profit stop"?

What do you think?

Hi Sterling and fellow traders

Hey Beaker 1970. I have been following this system and thread for awhile now.

I think you are right. Why let a winner turn into a loser? The thing is that Sterling has developed this system so any newbie can follow it. As soon as you start bringing in other aspects of the support and resitance then a person has to be at the computer alot more and make some decesions.

I applaud you because I have been doing the same thing and have not had to give up pips before I make the next trade. Im doing great.

Good trading to all

why should I watch a winner turned loosers when there is a solution to that.

set TP of course.
That now depends on the individual whether 100 or 150 or even 2000!, it is a matter of choice and the greed level of us.

I think you are only been wise to do this, though the rules might have been infringed but anything for pips


kos

setting a TP may not be a good idea, every time i've tested a system it always performs better with no TP,
but either a large trailing stop or a move to break even, might be a good idea, I will have a look at that later.

I've just done a very rough quick test from the start of November, using a move to breakeven at 100 pips & it seems that the losses would be about halved & the wins weren't affected

anyone want to confirm this?

Hi Sterling

I only found this thread last weekend and have been slowly working my way through it. The system looks truly impressive, thanks for sharing it.

I would also be very happy to contribute to the cost of developing an EA as the wonderful thing about this system is.....it's totally non-discretionary. Perfect EA territory.

Plse let me know if the offer is of interest.

Cheers

Gavin

Help me to understand pls
Once we are in the trade, we check every 4 hours for a new setup bar.If it's there, do we move our original Stop Losses to the new bars high( in a short trade),-low(in a long trade). Besides do we adjust our Stop Buy/Sell orders with the new Setup Bar??
I went through the whole thread but couldnt see it, sorry if i missed it