pabloski System

I have been studying the fascinating world of FOREX for more than two years and ForexFactory was one of the first places were I found valuable help and information. I usually spend all of my time in this forum reading and learning, so I think now is the time to share.
I have created and tested many many systems during all this months and finally there is one it seems to generate regular profits for me. I have only tested it on GBP/JPY. I have fund that H4 is the best timeframe to spot firm trends and reasonably early. We know that trends in GBP/JPY are strong and prolonged, but it's not that easy to recognize its beginnings and the right time to exit. I'm sure this system should work with other pairs with the right adjustments if needed, as each pair has its own personality.
TPs and SLs for this system are “dynamic”, as I called them, because they change according to the indicators used. You will understand what I mean once you read the logics. At first it may look a bit complex, but soon you will realize it's easy to follow and understand. Of course, charts with examples will finally give you the full picture.

Ok, let's start.

This system uses two visible indicators: ATR Channels and StepChoppyBars v1.1, which needs to work properly StepMA v7 and StepRSI v5.2 indicators.
StepChoppyBars is a great indicator created by Igorad from Forex-TSD.com forum. Legend for StepChoppyBars indicator is the following:
Blue: Strong UpTrend.
DodgerBlue: Retrace UpTrend
LightBlue: Choppy UpTrend
Aqua: Be ready to change UpTrend
Red: Strong DownTrend
Tomato: Retrace DownTrend
Orange: Choppy DownTrend
Yellow: Be ready to change DownTrend

Buy & Close-Buy Logics
Buy three equal positions when a candle closes between Lime ATR Centre Line and Aqua ATR Line, Step Choppy Bars candle is blue and previous Step Choppy Bar candle is Blue or Yellow. SL for the three opened positions is a candle closing below Yellow ATR line.
TP for the first position is a candle closing above Aqua ATR line. Once this TP is reached, the SL of the two remaining open positions will be moved to breakeven. TP for the second position is a candle closing above DodgerBlue ATR line. Once this TP is reached, the SL of the remaining open position will be a candle close below Aqua ATR line. If trend continues and price “touches” Blue ATR line, SL of this last position will be now a candle closing below DodgerBlue ATR line. This last position will remain opened till SL is triggered or a candle is painted Aqua.
Note: In the case a candle is painted Red, Tomato, Orange or Yellow during any time of the process, all positions should be closed.

Sell & Close-Sell Logics
Sell three equal positions when a candle closes between ATR Lime centre line and ATR Yellow line, Step Choppy Bars candle is red and previous Step Choppy Bar candle is Red or Aqua. Initial SL for the three opened positions is a candle closing above Aqua ATR line.
TP for the first position is a candle closing below Yellow ATR line. Once this TP is reached, the SL of the two remaining open positions will be moved to breakeven. TP for the second position is when a candle closing below Orange ATR line. Once this TP is reached, the SL of the remaining open position will be a candle closing above Yellow ATR line. If trend continues and price “touches” Red ATR line, SL of the last opened position will be now a candle closing above Orange ATR line. This last position will remain opened till SL is triggered or a candle is painted Yellow.
Note: In the case a candle is painted Blue, DodgerBlue, LightBlue or Aqua during any time of the process, all positions should be closed.

Note: If we see a sell opportunity but the candle is closing between Yellow and Orange lines (instead between Lime and Yellow lines), very close to yellow line, you may:
- Open three positions, apply the TPs and SLs for the 2nd and 3rd positions as usual and use the same TPs and SLs than the 2nd position for the 1st position.
- Open two positions, ignoring the 1st one and applying TPs and SLs for the 2nd and 3rd positions as usual.
The same logic applies to a buy opportunity, but doesn't happen frequently.

When taking a position, always wait for the candle to close. A possible variation would be opening only one position and moving the SLs accordingly.

What I like about this system is that it generally gives accurate signals and if not, will tell you to exit early avoiding big losses. Also, it's very likely that for not so prolonged trends at least the first TP will be reached, so you will generally exit happy with profits. The system requires attention but not so much, it's enough to take a look at the chart every 4 hours to see how the candle is closing.

Of course, always test every system before risking real money. This is open to modifications and improvements, fell free to comment!

pabloski

Find indicators attached.

your system looks very promising , i'm using something like your sytem too, but its called braintrading system in the same timefraims, i got a question for you regarding your system, how would you avoid this sell order that accordingly to your system had to be made on the chart ?

I would be interested writing an expert on this system. But don't hold your breath, it might take a while, as I am doing some other projects as well.

btw, vitaliy did you know you can increase your chart workspace by reducing number of buttons on toolbars and moving them all into one line on top.

yeah, i was just too lazy to do it =) mmmm this system looks pretty good the only problem that I see with it that it has quite few cases that I pointed out, if to assume that you get 3 orders loses are going to be huge .... I tried to combine this system with braintrading and some more indicators. I found that braintrading indicators show trend earlier that in Pabloski System, so eventhough if the trend changes direction you will have at least few pips in + .... Also i tried to make EA for BT, but unforunatly I did practice for a long time and I forgot everything and my EA was full of bugs which I couldn't even find.

Thanks for sharing your system. You said you were using two visible indicators, then what about the other two indicators you attached, Step RSI and Step MA? Are you using them in any way, for filtering/confirmation etc.?

"which needs to work properly StepMA v7 and StepRSI v5.2 indicators."

They are there so the other indicator can work.

I believe that is the recent dip on H4 GBPJPY

According to his rules, that sell would of reached the 1st take profit, and the other 2 positions would of been moved to break even

so it still would of been a profitable trade.

I must say, that I am impressed by the indicator you use, namely the StepChoppyBars. It is fascinating how precisly it can find trend. However it slightly repaints but nothing to worry about if used for identifying trend. I would use this indicator for spoting trend on higher timeframes and tradint on lower.

Thanks for sharing your method and indicators.

first: thank you very much for posting your strategy, you won't regret it! Normally a great discussion is formed whenever someone posts a method like this .

And Vitaliy: You can also disable your open trades and results by clicking on the corresponding button in the topmost symbol toolbar or double-click on "terminal" so the thing gets very little - only one line so you just have to paint one line black

aha you would take profit on the first order but the other two would be negative orders because the price at which you would make the order is far below the green line, so on the other two orders you would lose around 80 pips on each one because your SL price is at the green line right ? so profit from the first order wouldn't cover your loses from other two, or I missunderstood the rules ?

P.S. also at 02.09 at 12:00 check this candle out ... the SL would be hit without even closing the first order and than it drops down again ... any ideas how to avoid it ?

Make your picture bigger, because I think you are missing an entry...

You would actually enter the trade sooner than you are thinking...on my chart, i have a red candle entry the one before that long candle... soo all three trades would of been profitable

and understand...once you close your first position...you are suppose to move the other two stops to BREAK EVEN so you wouldn't be at a loss when the trade closed.

Here this should make it clearer


And actually when the yellow bar appears you are suppose to close all trades....you would of actually been in 14 pips profit on that trade....that is if the indicator doesnt repaint itself

ohh I got this one, what about scenarion that I attached to this msg ...

Thank you for sharing your method, it looks great and would love to try it. For some reason I am not getting the Red, blue, etc bars on my candles, please see attached snap shot. I attached all 4 indicaters to my chart, is there something missing that I need to load for this to work? Thanks for the help and support.

That would end up being a loss, because later on down the road it eventually closes above the aqua line before going below the orange line...but think of it like this


If your trade went over a 100 pips in profit before hitting your stop...would you let it go into a loss?

" This system uses two visible indicators: ATR Channels and StepChoppyBars v1.1,"


You only need to have the ATR Channels and the StepChoppyBars on your chart, the other two indicators only need to be in your indicator folder for the StepChoppyBars to work...

Short 1.31 08:00 according to rules entry must between lime and yellow lines. This one is below yellow line, so no entry.
Short 2.5 04:00 237.31t/p 2.5 08:00 236.27 (below yellow line) profit +104-9spread +95 on one pos the rest break even
long 2.7 08:00 237.46 t/p 2.8 8:00 238.46 profit 100-9=91
short 2.9 08:00 236.59 s/l 2.11 20:00 238.36 (hit aqua line) loss (-177-9)*3=-558 hey that's a lot
short 2.12 12:00 237.41 t/p 2.13 12:00 235.67 profit 174-9=165 the rest b/e
short 2.15 04:00 235.81 t/p 2.15 12:00 profit-1 235.05 74-9=85
profit-2 2.15 16:00 233.45 240-9=231
looks like last pos is the same profit 231, since it touched red atr line

So total is 349 in this bad period

how do you get the step choppy bars to work .....

You need to load other step... indicators in the first post choppybars uses them internally.