Chris Huff's Way

Well if you are reading this, then you are reading because you want to see what idea's other people have to trade with. So, I'll tell you mine. I am trading GPY/JPY. What I do for my first trade of the week is place a limit order straddling 30 pips above and below the closing price on the Friday before. For example, as I write this it is 10 P.M. on Saturday Feb. 21, 2009, Phoenix Arizona time. So I look at the closing price this last Friday, it says on Oanda that the price is 134.73 so I am placing a buy limit order at 135.03 and a sell limit order at 134.43. I look for a take profit of 90 pips. So the buy's TP is 135.93 and the sell's is 133.53. The idea behind this is that I noticed that the markets tend to trend before the British open on Monday about 120 or more pips in a certain direction on Sunday when the Asian market opens. I use 1:25 leverage on this trade with no stop loss because Oanda has a margin call at 50% of my account so I just let it hit that if it goes there but that is around 300 pips from wherever I enter from, and it works around 90% of the time. My next trade is to try to get in on the weeks trend, so on the Monday British open I place another buy and sell straddle of 100 pips away from the open price. Whichever way it goes I put a 70 pip stoploss and let it go until Wednesday around the close of the New York session. I'll take a profit of 25% of my trade at 200 pips which normally happens on Monday 90% of the time and will add on to the direction I am going at support and resistance lines. So right now that would be a buy around 138.00 that I would sell it around 141.00. I'll also buy at 142.00 and sell it at 145.00. If it goes down I'll sell at 131.00 and buy it at 129.00. I might let my Monday trade go all week until the close of Friday depending on what direction the price went on Sunday. This is because my last trade of the week is on Friday. I look at which direction the price went on Sunday and where it ended on the British Monday open and go the opposite way on Friday. So if the price was mostly down on Sunday, I'll place a buy on Friday. If the the price was mostly up, I'll place a sell on Friday. Actually it isn't at the British open, it's one hour before the British open on Friday. It normally goes 250 or more pips, but I target 300. I also move my stop loss up to 50 pips over my entry price once it moves 200 pips. On my Monday trade, if it comes back and hits it, I'll put a trade in the other way for the week at that price it got stopped out on. On Wednesday if I know that price is going to reverse direction on Friday, I'll normally cash out from my Monday trade and place a trade the opposite direction and cash out 50% of it once it hits 200 pips. I do this around the close of the New York session on Wednesday. Then I add to it on Friday's trade. I never let a trade go for the weekend. If my trade has not hit my TP on Friday, I close it around the close of the Friday session.

I am in the short trade at 143.43 and looking for it to go to 133.53. I also cancelled the buy trade at 135.03 so that it doesnt activate and take me out of the trade.

interesting... thank you

It will be interesting to keep making money. I didn't reach the 90 pip TP before the open of the British open, so I am going to stay in the trade and add another sell trade 100 pips lower than the open price of 135.02. That's going to be at 134.02. I'll make the stop loss for both trades at 134.43 and I'll take 25% if it reaches 132.02 and I'll add another sell at 131.00 and hold it until mid-day Wednesday or if it hits 127.00.

I got a margin call at 138.50 so now I have $3.91 in my live account. I did not see that rise of 500 pips coming. I normally hit the the 90 pips before the Monday British open and would have caught the up trend. I didn't though. Way to go me. I would have had a buy at 136.02 and set my stop loss 136.52, which it just made its way back down to. So I am back in with a sell at 137.00 and I am going to hold it all week or until I get another margin call.

I got another margin call at 138.50, so I only had $1.84 left. I went short at 140.85 and got out at 140.00, so I am back up to $2.36. I have a limit order to buy at 138.00 and sell at 140.00.

I got my buy in at 138.00 and sold at 140.00, I also got an extra buy in at 139.50 and sold that at 140.00. So my account is at $4.01. I was going to put a limit order for a sell at 140.00 with a target price at 138.00 but I fell asleep and forgot to do it. When I woke up the price was at around 141.50 and I was like hell ya that looks like a double top to me, and knowing that I think the price is going to come down on Friday I was like it was unlikely to keep going up past 142.00 and more likely to come back down. So, I got in with a sell at 141.33 and I think I am going to add on in a little bit with another sell at whatever price it is at 1 hour before the British open.

I went short at 139.50 with half my money to 137.50, short and TP to 136.50 for the other half.

Alright, this is my analysis of trades for the week. I started the week with $16.41 and ended with $9.43 which was a loss of 43%. I had 2 losing trades for -563 pips and 6 winning trades for +726 so I was overall positive +163 pips and was profitable on 75% of the trades, but still lost money.

Things I could of done better on my trades:
1. On my first trade where I straddled the close of last Friday and it didn't hit my sell 90 pip target, I should have closed the trade at the open of the Monday British open and took the 5% loss on my account instead of letting it go and hoping it would come back down, which cost me 70% (-419 pips) of my account instead of the 5%.
2. I should have been in the trade on the Monday British open with the 100 pip straddle and should have been in on the buy at 136.02 and added onto it when it hit 138.00 like I had planned at the beginning of the week.
3. I should have correctly identified the trend being up in price which it has been for a few weeks and bought on the 50% (-147 pips) retracement instead of sold like I did.

Things I did well on my trades:
1. Correctly identified the 141.50 top from Jan. 7 and sold on the first one for +85, and sold on the second one for +185.
2. Correctly identified the 138.00 buy retracement to 140.00 for +250 when I added another buy at 139.50 and sold at 140.00.
3. Correctly identified the Friday sell at 139.50 to 137.50 1 hour before the British open, because the Sunday price action had been mostly up

I plan on taking the straddle trade from the Friday close for a buy at 139.98 with the TP 140.98 and a sell at 139.38 with the TP at 138.38. I don't know how much more I want to try this kind of trade it kind of isn't worth the risk, but we'll see. This is what it looks like.

I will be looking to buy all week unless one of straddle sells are triggered and buying on 50% retracements. Also buying at 142.00 and looking for it to go to 148.00 but if goes past 148.00 it will probably go to 158.00. I don't think I'll buy if the price goes down unless it goes to 128.00.

I got the sell from 139.40 to 138.40 for 100 pips, my account is at $12.81.

Now Iam waiting for the Monday British open straddle.

I've set up my British Straddle trade 100 pips away from the opening price. It looks like this:

I am looking for 200 pips for the buy limit at 139.70 to the 141.70. On the other hand the sell limit at 137.70 is for 300 pips to 134.70. I am thinking about putting a limit order for a buy at the 134.00 level if it reaches there. I am definately putting a buy limit order at the 142.00 level and holding until it reaches 148.00 because that is the only level I can see it going to looking at the daily chart. Since the price was mostly down I know already that I am going to be placing a buy order on Friday, and I am still thinking the trend is to buy so I'll be looking for 50% retracements to buy at. As far as I can tell there is no reason to think that price wont continue to go up this week.

I had put my stop loss at 50 pips above my entrance at 137.70 to 137.20 and it got triggered so I only made 50 pips instead of 300 I guess I should have been more conservative and aimed for 200 like I normally do. But I set up another buy at 138.00 like I wanted to last week. It seems like a pretty important level and since I am still in buy mode. I am in on the trade I also still have my straddle limit buy at 139.70 to add to the 138.00 position. The goal is to sell at 141.70. Still have the buy limit order at 142.00. I might short for a 100 pips at 141.50 to 140.50 because that has been a level that a retracement has been at, I'll probably put the stop at 141.90 just in case it wants to go straight to 142.00.