Pip Milking Strategy

http://www.urbanforex.com/images/pip...lking_main.jpg

Name : Pip Milking Strategy
Time Frame : 15Min Charts or Higher
Indicators : None - Have to go naked on this one
Ok guys here is a intermediate to advanced strategy. But once mastered. It can be very powerful. Its basically support and resistance but it helps to take the guess work out of picking the right support or resistance level that will hold in the future. Ok enough yapping, lets get to the strategy already.
Strategy : You must be familiar with swing highs and swing lows. So what we need to watch out for now is swings. Once the market is moving, we keep an eye out for 2 swings and then the retracement. Confused yet? Ok just try and read the rest of this out first then I'll put down examples slowly 1 by 1 to show what I'm saying.
In a uptrend :
- You look for a swing high, label it, swing #1.
- Next, you wait for another swing to occur HIGHER than swing #1.
- Label this new high, swing #2.
- Place your buy entry at the high of swing#1.
- Wait for fill.
NOTE : SWINGS MUST BE CLEAR. TRY USING A UPSIDE DOWN "U" SHAPE.
In a downtrend :
- You look for a swing low, label it, swing #1
- Next, you wait for another swing to occur LOWER than swing #1.
- Label this new low, swing #2.
- Place your sell entry at the low of swing #1.
- Wait for fill.
NOTE : SWINGS MUST BE CLEAR. TRY USING A "U" SHAPE.
phew! man, putting this strategy into words is harder than making pips

Ok here are the instructions with pictures :
1. Label your swings.

http://www.urbanforex.com/images/pip...ructions_1.jpg


2. Confirm the "U" Shapes (use U shapes for conservative entries).
http://www.urbanforex.com/images/pip...ructions_2.jpg


3. Place Entry on high of Swing 1 and wait for fill.
http://www.urbanforex.com/images/pip...ructions_3.jpg


The trades are usually to the pip, stops can be small compared to large profit potential.



Hope you like it !!!

- Navin
urbanforex

Here are some examples : ( I will post a video on the bottom too)

http://www.urbanforex.com/images/pip...p_example1.jpg


Example 2 (Aggressive Entry. No "U" Shape)



Example 3 :
http://www.urbanforex.com/images/pip...p_example3.jpg


- Navin
urbanforex

Today's Trade USDCHF 15min.

http://www.urbanforex.com/images/pip...ip_milking.jpg


- Navin
urbanforex

Bravo...good showing

Very nice looking system you have here. Price Action is where it's at (I'm starting to learn that more and more each day). I will follow this thread as Price Action and swings is something I'm starting to learn just today actually. Lucky me I guess!

@ UrbanForex;

Nice to see an intraday PA strategy, which can be traded along side longer-term PA strats. like, Clockwork, No Brain Trader, etc...

TimeFreedom

I have found that it makes things pretty easy when you use fractals to determine you s&r points.

That does seem to be the case...

http://i40.tinypic.com/xqalgj.gif

damonl,

Do you have a fractual indicator you could post here? Or a link
to it?

thanks,

HJJ

Hi Navin,

Nice Price Action Method You've shown here. I'm thinking after establishing the swing points as Support and Resistance, using Fib Extentions would work very well here to define target areas. How would you approach this in a choppy ranging market? I can see it would work great in a trending market. Thank you very much for your contribution sir, I can certainly appreciate price action.....T-Wolf

Thanks for sharing. Can you please describe your stoploss and take profit strategies for this trading method?

John,

All MT4 have Fractal indicator in standard indis.

Ancient history, it's basic theory !

hi john

in mt4 go to insert--> indicators--> bill williams--> fractal


hope this help

make sense
what the targets, exits?
using standard mt4fractals - is a good idea since it repaint only current swing (forming pick), but not previous where you enter;
even better - to avoid any misunderstanding or confusion - to use it as warning indicator and non-repainting fractals as confirmed signals (swing HH LL)

been very busy. I got contacted and will be posting articles on Active Trader's Magazine.

Just checking up how everyone's doing with the strategy.

Hope you guys like it.

Hi UF.

What are the pairs you trade with this strategy?

Thanks.

Hi man,

How do you determine what your exit is?

According to the original strategy didn't you sell at this point? If so where was your SL,

No it would not be a sell because you need to give it a few candles to find out if its a swing first. At that candle we would not know if swing #2 was formed or not. Just practice couple times on demo and you'll automatically get the feel for the strategy. I promise, I won't let you down

- Navin
urbanforex