Eagle Method MA Crossover System

Hi Guys.

I've been trading for quite a while mainly news. But i have been working on an extremely simple but powerful trading system, based on Crossovers here it goes...

Pairs
Any.. but i use the GBP/JPY

Time frame
30min-1hr

Indicators
9 SMA on close
100 SMA on close
RVI = 100 (relative vigor index) same as Sidus' indicator. (THIS INDICATOR IS NOT NECESSARY I USE IT FOR MOMENTUM MAINLY)

Method
LONG - When the 9 crosses above the 100 SMA Buy and it helps if the RVI is above 0
SHORT - When the 9 crosses below the 100 SMA Sell and it helps if the RVI is below 0

(EXIT)
Close your position and reverse it when the 9 crosses back or Close the position when the price crosses back over the 9 SMA by 20 pips.

Money Management.
I found an awesome Excel file that calculates your MM for you. I'll post it up today or tomorrow with a chart for the system.

Additions
You may generally have periods when the price may whipsaw 1 or 2 times in a row, but 80-90% of the time when the 9 crosses the 100 you will catch an awesome move.. I trade only the GBP/JPY on the 1 hour (1 to 2 trades a week)

Let's get together and run this system to see how it goes. I have noticed on occasion you may miss pips waiting for it to cross back. So maybe we can implement a trailing stop. And let's look at an EA maybe.

Also , NO fibs or pivots.. Not necessary for this method.

Even though it is essentially a crossover system.. The 9 - 100 is a large enough deviation to avoid Ranging and Whipsaws.. Just look at the 1 HOUR CHART on the GBP/JPY it will surprise you.

I've put your system into my mix, will see how it goes forward.

How did you handle the March 13-15th sell signal?

Here is an image of the system in play. I prefer the 1 HOUR CHART. You don't even need the RVI, but i use it to confirm the momentum

Hey there.. Let me know how it goes.. Well i do have another exit i sometimes use. It can be discretionary.

But as you can see I exited when the price retraced back ABOVE the 9 SMA.

It is another way to exit. Or set 100 to 200 pip TP.

I think if we work together we can develop maybe 3 types of exits.. But let's keep it extremely simple.

I think the only indicators that work are MA's and The price. And MA's only work well on 30min to weekly time frames. (in my opinion )

You also need to consider and Manage your profts over a month and also expect a few losing trades. Because with this method. The large trades are MASSIVE and the loses aren't usually more than 50 pips. You most often will always end up in front by the end of the month.

Thanks for sharing...

I love this pair and will try to give it a test drive.

Do you mean the entire candle closes above the 9SMA? In the chart the candle highs moved above the SMA 9 on the way down a few times....

Yes it needs to close above..

This method of exit is discretionary..

You could exit if the candle closes above the 9 SMA and has a 20-40 pip gap between the open and close of that candle.

Does that make sense

I'll revise the exit options for you tonight in more detail.

But this is the basic rundown i use.

1. Either exit on MA's crossing back
2. TP of 200
3. Exit when price retraces and closes above or below the 9 SMA.. and has at least 20 pips distance between the open and close.

it looks great for previous result , good job dude ! will look forward and test it,i will post the result every week .

Is the RVI, not the default one ? is Sidus RVI different ?

So am I right that you are in a long trade on todays cross, I notice that the 9 crossing the 100 didnt happen until todays move was over. Even on the 30 you would have missed all of todays move.

Hi,

Great simple system...i dont even think u need the 9sma hehe...

Anyway you might need a faster exit....21close and 34open tunnel should do the job.

Thanks mate...

I still think we should work together to refine the exit. The entry is almost perfect..

I think if you just let it reverse the position on the cross, you will still end up in profit at the end of the month, cause the big moves are massive.. And the MA's filter out the small whipsaws by default.

The goal is to try and get it to a Mechanical Level so we can implement and EA.

weel one things for sure...there i no perfect system...this one will fail on choppy days. But for whats worth, we want to make it a winning one. like you said there are a few ways to make the exit better. I have a few ideas.

- 1 use 21sma Open and Close tunnel. This was once used by twoblink on 55ema open close tunnel i think it works well. TP on tunnel cross.

- Incremental tp, 50, 70, 100 followed by trail. This will be discretional.

I would not tweak too much from there on. You already have something good going here.

Yeah you do miss some moves on the 1 hour.. But that will always happen.

If you want to catch all of them you can use the 30 min chart.

As you can see it had a false SELL then a nice buy

Yeah it's the same

You need the 9sma to filter out most false signals