The Force 5min system

Indeed my man... indeed. I believe that the only way im going to become a self sufficient cash cow millionaire playboy is by learning to trade a simple system manually on a consistently profitable basis.

BAMMMM

Hi, I'm new to this thread. Looks interesting, I'm a big fan of moving averages myself, and am developing my own system (still back testing).

I wanted to ask, why you use a 5ma?...has this system also been tested with an 8, 15, 20 ma?, and have you had equal or better success trading this system on the 4hr charts as well?

thanks.

Here is a trade i have just taken. Bouncing off of rising trendline, and daily pivot.

I wait for a price bar to close through the 5sma (open) and then wait for its high to be breached. After that has happened i will enter on the first pullback to the 5sma. I will wait for a touch to pull the trigger, or if the is plenty of momentum i may enter 1-2 pips away from the 5sma and just let it go.

Half off at +10 pips is the most stressfree way to intraday trade, at least for me. I will then manage the remaining position on a discretionary basis, looking for support/resistance levels, and reversal patterns (pin bars breaking against the trend etc). I have had some success waiting for a price bar close back through the 5sma, and then exiting if that bars high/low breaks against me.

See pic below. Im sure many of you guys were on this one as well.

Cheers.

US afternoon session for Wednesday was flat or whipsawing except for last hour of NYSE when price followed Wall Street up in a quick rally breaking the long term upper TL.

Skywalker somehow (I thought he was ) managed to catch the 45 pip "wall street" move which was anticipated by a force buy signal. Good job sky!

http://xs234.xs.to/xs234/08493/eurus...heforce779.gif

Lesson I learned...

When range is narrowing into the middle between two long term TLs, yes there are a few pips to be made (or lost), but best plan for me is to wait for a test of one of the TLs.

This one is coming off nicely as well. Half off at +15 (hapened very quickly) and the rest I will trail down.

as FJ mentioned in the chat, this is a very risky short signal cause not much room to the lower trendline.
i took a very small position with sl above the upper TL.

Yeah, i agree.

Im going to play the long side here in anticipation of a corrective C wave (i dont like elliot wave, this is just how i look at corrective moves) and then look for a good short trade to break down over the next session.

Setting up nicely.

Hello
Hope you were patient and got the big pips, great TL pierce trade
Roy

Hey mate,

Yeah took about 40 pips outta the second lot, 15 outta the first... so it was a 27.5 pip net profit on that one. I risk 2% per position, so those bad-boys add up quickly!

Cheers.

Bears are on a rampage! I like to be humble but sometimes you out do yourself. Over 100 pips in 1 hour and counting.

Hi fj,
I am a little confused here. The stocs(the black line) just have to cross above the 20 line from below or cross 80 line from above, is that right? You are not referring to both the stocs line crossing each other, is that correct? thanks

After the bulls had their fun (300 pip rally why?) there was a good chance of a retrace down after London closed. That is exactly what happened.

As is typical the first signal after 17:00 gmt (London Close) was good, and then after two retraces to a short term TL there were two more good sell signals. The last one occuring right on the NY close.

This session a very good example of 'the force' signals in action. The 20p minimum stop adequate in all cases.

http://xs434.xs.to/xs434/08494/eurus...heforce837.gif

Lesson I learned...

No need to wait for the ideal 'double top', when volume comes off on the LC just grab those entries with a 20p (1%) stop and don't mess around.

Thanks, Robdee, for your factual updates. They are helping me more and more. I'm on the chat as much as possible and your updates with detailed charts are the best at catching me up.

Tom

I totaly agree ! Thanks Robdee for your time to analyse and report your trading result, it s very usefull !

Luk

Its crazy Friday today. We will see what the market brings us. At the moment the price is between the weekly and monthly pivot. You really could not ask for a more volatile setup then that. I will wait till London open for enough volume to push through those levels.

kicked out,

ingrid, get us a room!

Hi FJ,


Am i plotting the trend lines correct on the attached chart?

Thanks

Low lots today cuz of NFP nuttiness, but a solid Force trade in the chat room

Nice post vbro!

Following the 'big NFP fight night' I expected that price action would be exhausted and the afternoon session would be flat. And yes, the first 2 hours after London Close price was 'just wandering around' out in the middle of the TLs.

However at 2pm ET it was wakeup time! (2pm ET is a common turning point)

Support was confirmed with three candle lows at 1.2639 right on an already formed lower TL coming from the day low.

A full force signal candle closed 2:15 ET giving an immediate entry of 1.2656. The minimum 20p stop was well placed 3p below the support TL. The initial wave went up quickly through the upper TL to +60 followed by a retrace. The second wave was likely targeting the Monthly Pivot and finally went thru it to +80 at NY Close.

http://i33.tinypic.com/15xpts6.gif

Lessons I learned...

1. The subtle transformation from 'wandering' to 'meaningful' price action can occur very quickly. 2pm ET is typically a good time to be on full alert.

2. Don't play around with 'subtle' TLs, go for the big obvious swing points that everyone 'out there' can see. This gives me a clear 'wandering zone' which I can ignore and also clear lines of support/resistance where I need to pay attention.

3. Believe that money can be made on a Friday afternoon after NFPs and hold on for the big targets like Monthly Pivot which has been so important during the week.