Keep it Simple Stupid (KISS) Method

Just like to say a big thanks to everyone here.

This thread has now broken into the top 10 of trading systems of most views on Forex factory!!

Not bad for just under a week!!

Hope it is helping everyone!!

6466 views as of 0720 7-5-09

Loads of trades on EJ over the night, some 40+ pip moves called aswell, not seeing any losers but eyes barely working going back to sleep.

EU working well to, GU not as well.


Will post chart with enty and exits highlighted later.

130pip EJ move on the table and still going, caught by these simple rules, abit take you outty on the 20sma being lightly broken so you'd of needed some faith in the direction to hold all the way.


abit choppy before, but expected at that time reckon -20 if you tried to play the chop as 1 winner, 2 losers but not by alot.

This is the kinda move I want to get regular, a few of these 140pip moves of EJ per week and account growth will go through the roof, get the account upto $10 per pip and thats a £1500 morning

COME ON BABY!!!!

* off to shout at FXCM for losing no.2 cheque LOL *

What time did this move start?

Trying to spot exactly the signals

an 80 pip drop in 2 mins on the Eur/USD!!!

Nerves of steel required to trade during news!!!

Interestingly, this system indeed would have been in for the sell!!!

psgm or turveyd.. so many changes to the MA.. can some one give us all the current moving averages plus the rules for the system,
thanks guys for all your hard work, keep the explation simple if you can..

Danny

Rebel,

The ema/sma system I am using is merely a variation of TD's technique.

I use 3ema, 6 sma, and 13 sma as my trigger signals. TDs system uses envelope 20,0.2%, so I can use it on MT4, but my broker is FXCM, so not sure if I have it available - so I use default Bollinger Bands.

For me, the signals where the Bollinger band has been breached and retraced, and the 3,6 has crossed. Crossing through the 13 is an even stronger signal.

TD as I understand it uses the bounce off the 20 sma as his signal.

Not sure which is more effective - perhaps you could let us know what you get.

I'm looking forward if TD gets chance to break down a trade (if possible step by step (i.e screenshot of entry point, screen shot of exit point, and any relevant settings)

Big ask perhaps, but certainly it would help me, as I am not 100% in my head when I would pull the trigger (I'm sure it is very simple, but a picture of the exact entry chart, would help immensely - after all a picture tells a 1000 words!)

PSGM, I have ZERO intention of trading news, my SL / risk aversion simply isn't enough.

Danny.

To keep my new baby REAL simple ( Like me ) :-

20SMA
60SMA ( with a 55sma and 65sma to filter chop )

is all you really need.

If the market is above the 20SMA and the 50SMA look to hold Longs pick your own entry based on this, ie best you can get near the 20sma if possible.

So, if the market is going down, moves above the 20sma then above the 60sma range go LONG.

If your holding a short when it moves up over the 20sma and the 50sma is near, it's your call weather to hold or not depending on the Price action. Breaks the 50sma OUT no questions.

But do not enter any trades when price is between the 20sma and 50sma thats no mans land.

Common sense and knowing when to trade is required to minimalise losses from chop as per always, although it doesn't fair to bady on EJ which best suites this setup due to it's higher average pip move!!

Enjoy, will scrible stuff on a chart shortly.

I found no benefit to a BB or the Envelope trade wise, makes you into too much of a bottom fisher for my likings and generally that'll wipe your account.

I like the fixed Envelope ( it's under oscillators on MT4 ), cause it's always a fixed value apart ( well pretty much ), Envelope is close together then it alerts me to the scale of the chart, thats all!!

As I said a pic says a 100 words, fair point I should include one of my own.

Please forgive the lack of clarity of the lines (FXCM platform is terrible for this kind of thing - cannot even get thick lines!!!)

I have manually drawn in yellow arrows to highlight the 3/6 crossover points.

Note there are other crossovers, I have only picked those that have touched the Bollinger band and changed direction.

Not 100% sure, but I think on each occasion recognised reversal patterns had formed (But I am sure if I am wrong someone will let me know!)

OKay here is 1 chart, let me know if you understand or how I can explain better please.

Dude, download a MT4 platform :-

http://www.alpari.co.uk/

Just use it in Demo for EVER

Shelve your system for abit please, I think my new 1 is easier, more mechanical and out performs but a 2nd eye on it is always appreciated.

Thanks lads...that explains alot.. keep the screen shots coming..

all the best from Ireland..
Danny

The wise man knows, what he doesn't know..

That is exactly what I wanted!!

It clearly shows when you entered, and when you exited.

I can see it uses the crosses just after a hit of the Bollinger (ish)

One question (sorry if already answered) What do the 55,60,65 provide?

If you are relying on the 3/6 cross, and the 20sma as trend what are they used for? What does the envelope provide?

I set up the 3/6 cross with bollinger bands on FXCM, and looked at price action of EJ EU during the news, and pretty much all of the moves would have been hit!!

That was around 300 pips (if you took buys and sells)

To me your system is proved, now lets see if I can use it properly.

I am going to try it out live for the next couple of weeks, by then it will be thoroughly field tested (as far as I am concerned)

Once testing has been completed, I am considering live "FOREX RACES"

basically a currency will be picked, then there will be a sprint (25 pips) middle distance (50 pips) and long distance (100 pips)

AS it would be just for fun, demo only (unless you are 100% confident then go for it live!!)

so for example we could have to 50m ej hurdles!! (trading can be fun!!!)

Again this is just a thought, and until I have tested this live, I won't be started, but if anyone would be interested in this, or improving just use this thread!!

Is this the set up you provided in the template a few posts back?

Finally TD I have downloaded Alpari's MT4 but broker is FXCM, so need 2 screens open

(But hey not impossible)

TD just took 93 points out of the FTSE futures using the system on a 5 min live account..

Live the dream

Danny

Just dawned on me as I was looking at the charts. The position is long when the candle has closed above the 55,60,65!!

And the exit is on the cross of either the 3/6 or 3/13 (depending on the candle!)

I suspect as well as the exit for the sell will then act as the entry for a buy!

I dread to think how many pips this system can catch!!!

Just a thought - is it essential to have 55,60,65? Would 55,65 be as good?

Very nice work TD - you ought to trade the forex!!!

Just makes you think all these people charging a fortune for convoluted system - starting to sound like snake oil salesmen!!!

1 lot x30 pips 5 days a week is $1500/wk!!

I don't think 30 pips/day is impossible with this system!!!

OK guys bit of a cheeky ask, but anyone fancy rating this thread so far?

If you think I have something then let me know, if not then please let me know!!

Hopefully it is a useful platform!!!

I presume the strong mechanical method TD has put on here, is there anyone out there who could produce a simple buy arrow sell arrow type indicator?

The entry methods are clear and simple as are the exit rules, so I am sure it would be possible.

It would be easy enough to test how effective it is by superimposing it on the template.

Now that is a template I would REALLY like to see in action!!!

Anyone up to the challenge???

If I don't ask I don't get!!!


93 pips!!!!

Who said trading had to be complicated (K.I.S.S.)

Great job psgm. I appreciate you starting this thread with this method. I have been following it much as i can.

Also thanks to Turveyd for your special knowledge and adding to this strategy!

I will plan on using this technique/method and test it on the 1 min and 5min. I have just an idea regarding trading the 1 min. It could help or not and have'nt tested yet. Maybe another filter.

1. This applies to Short or Longs.
If you trade the 1min.---First check the 5min. chart to see if it's in a uptrend or downtrend according to the rules.
3 & 6 have crossed already and close of candles are above or below all 55,60,65. This should help keep you on the short or long side of the trend direction. NOW YOU CAN DETERMINE IF YOUR TRADES INITIALLY WILL BE ONLY SHORT OR LONG FOR THE MOMENT on the 1 min timeframe.

This is just an idea,not sure how effective it would be, best to test or maybe someone can redefine it as i said. Just my 2 cents.

Is there a current template that is being used as of right now?

Thanks

That is the why I started this thread FX CASH!!

I discussed this thread with a friend of mine who has NEVER traded before!

He is going to try it out next week on a demo account - I will keep you all informed as to his progress!