4H Box Breakout

Please include me with the pm.

Why not post here so every one can see

Yes pls post publicly - we are all very interested in your achievements.
Thanks

Anthony what's your success rate been using the Ace method each new day?

Thanks,
Sandy
Sandy,

I have been trading similar to this on and off, so I really don't have records, however, over the last few weeks of live and backtesting from the beginning of the year, the success rate is about 70%. In saying that, I have not traded this method enough to say that will be the result over the long term. I am confident it will be successful as is Aces, because I really do not think it is much different. On occasions these trades can go for a number of days, it really depends on the trend. The major difference is that I will only enter a trade in the direction of the trend and I will take SL to BE once PT1 is hit. I suggest you demo trade and see which suits your trading style. The important part is that the 4h timeframe box breakout principle as introduced by ace, I believe, is a great concept.


Iansr1, I am in the west as well, where are you.

Regards,

Anthony

Garfield,

Do you use any tool to place the pending trades (buy/sell)? It can be tedious placing all pending trades manually for all 5 pairs. It would be helpful if we have some tool to help us.

Please advise. Thanks.

I am really lost. Sorry for the silly questions again which someone asked before.

I read some of the posts, some used candle high/low but Ace used box high/low.

(1) Is candle high/low same as box high/low??
(2) How do you define box high/low from a candle?


Thank you so much

Candle high/low is not the same as the box high/low.

The box is defined by the size of the candle along with a 20 pip buffer on each side.

Ex.
Candle high - 150.00
Candle Low - 149.00

Then...
Box high - 150.20
Box low - 148.80

I see. Thanks for the clarification.

I too am interested in how you did this, especially 720 pips for GBP/JPY.
According to my charts the only way you could have made that much would be if you exited at the VERY top of bottom of every move. Seems like hindsight to me.

I wondered about the totals as well. My only guess is that Garfield may be adding the cumulative results of the 3 positions he puts on each trade. If so, it's still a very nice profit for a couple of weeks of trading.

Ace, on another subject, thanks for your continued support to this thread. It must be a drag at times answering the same questions over and over, but you handle it with grace.

Hmmm, you might be right about the positions. The main reason why I am curious is because by adding all the extreme highs and lows, you get 720 pips as Garfield stated.

Thank you for the kind words as well.

think it might take NFP to push price past 162.60, which just so happens to be the yearly high for gbpjpy. I am expecting to range until them.

I'm done for the week with a profit of 286 pips. I tweaked the system somewhat this week. At this point, I'm testing the system with a demo account, and it became apparent to me that in live trading I would probably not have the psychological makeup to watch hundreds of pips in profits disappear as happened a few times in July.

Right now, I'm experimenting with 2 positions each on EUR/JPY & GBP/JPY. What I did this week was to close 1 position at TP1 and moved the SL on the other to BE. At that point, I trailed the remaining position by 1TP. In other words, when price reached TP2, I moved the SL to TP1 and so on.

End result for the week: I lost 2 trades on the EUR/JPY Short, and won 4 Long Trades (2 each on EUR/JPY & GBP/JPY).

Next week, I will probably be adding a third position. That one will also move to BE at TP1. I won't use a trailing stop on the third position, and will set a goal of reaching TP3 for EUR/JPY & TP4 for GPB/JPY as Ace suggests.

Hi Ian,

I am based on Sydney. I have stated my exit strategy of this method in this post http://www.forexfactory.com/showpost...postcount=1435 Please read that and let me know if you have any specific question and I will answer it.

cheers
Garfield

All done manually. It takes about 30 mins to collect all prices and put the orders in. it coincides with my lunch hours so not a bit hassle.

But I agree a nice tool to specify all order in once screen and then just click a button to place the trade would be great.

Cheers
Garfield

I do use cumulative pips of all three postion to record my Profit and Loss. I ignore all break even traders.

Hope that clarify all doubts in everyones mind. I don't really need to post my results on this forum, I am doing it so other can understand how good this system is with minimal time invested. 30 mins a week investment and 1000+ pips is the result and it is FREE. What else can anyone ask for.

cheers
Garfield

Sandy,

I have been trading similar to this on and off, so I really don't have records, however, over the last few weeks of live and backtesting from the beginning of the year, the success rate is about 70%. In saying that, I have not traded this method enough to say that will be the result over the long term. I am confident it will be successful as is Aces, because I really do not think it is much different. On occasions these trades can go for a number of days, it really depends on the trend. The major difference is that I will only enter a trade in the direction of the trend and I will take SL to BE once PT1 is hit. I suggest you demo trade and see which suits your trading style. The important part is that the 4h timeframe box breakout principle as introduced by ace, I believe, is a great concept.


Iansr1, I am in the west as well, where are you.

Regards,

Anthony[/quote]


Thanks Anthony. I may try this on demo. It sounds as if you let the trade run until you hit your profit or get stopped out. Then at the next daily candle you enter new trades.

Sandy

Hi Anthony,

I am south of the river near Rockingham, what about you?


QUOTE=aajduk;2928776]Anthony what's your success rate been using the Ace method each new day?

Thanks,
Sandy

Sandy,

I have been trading similar to this on and off, so I really don't have records, however, over the last few weeks of live and backtesting from the beginning of the year, the success rate is about 70%. In saying that, I have not traded this method enough to say that will be the result over the long term. I am confident it will be successful as is Aces, because I really do not think it is much different. On occasions these trades can go for a number of days, it really depends on the trend. The major difference is that I will only enter a trade in the direction of the trend and I will take SL to BE once PT1 is hit. I suggest you demo trade and see which suits your trading style. The important part is that the 4h timeframe box breakout principle as introduced by ace, I believe, is a great concept.


Iansr1, I am in the west as well, where are you.

Regards,

Anthony[/quote]

Yeah, I figured Garfields pip count was total of split positions which is quite a bit misleading. Still a nice haul.

Hi Ace,

Thanks again for this wonderful system. I can foresee my account growing weekly. In order to pay it forward so that you may cut down time to answer repeated questions. I have sum up the FAQs after reading most of the posts.Pls correct me if I am wrong. Thanks

(1) Which candle? GMT20 or GMT00?

Ace: The week starts at the open of the Australian session. On your MT4 platform(Ace use FXDD). Press Ctrl+y on a 4hr chart. Lines will magically pop up and at the start of every week the first 4hr candle should form on the line. This is the candle you use for the High and Low.

Fxann: Sunday candle is the main candle confused most of the newbies. I have ctrl+y to get the auto line and it appeared on GMT20. So, what I do is I use the candle GMT00 after GMT20.

(2) Is candle high/low same as box high/low??How do you define box high/low from a candle[/font]?

Ace: Candle high/low is not the same as the box high/low.
The box is defined by the size of the candle along with a 20 pip buffer on each side.

Ex.
Candle high = 150.00
Candle Low =149.00

Then...
Box high =150.20 (plus buffer)
Box low = 148.80 (minus buffer)

Long Entry - Candle range +20+spread
Short Entry - Candle rangle +20 * no spread on short entry
The buffer is also added to the TP.

Fxannls refer to the attachment ( I have modified a little from Ace's file) for calculation on TP1 to TP4. You may sees some figures are diff from Ace's sometimes, I guess is related to diff spread and buffer each uses.

(3) Fibs Level

Ace: draw the Fibs from the buffer not from High and Lows of the candle.

Details: Refer post 533

(4) I noticed you did not have USD/JPY as a pair..... Does it not work well?

Ace: USD/JPY does not work that well.
GBP/JPY works the best which is why I prefer it. Second best would be EUR/JPY followed by AUD/JPY

GBP/JPY and EUR/JPY are 70-78% correlated.
GBP/JPY, AUD/JPY and CAD/JPY are 85-97% correlated
EUR/JPY & CHF/JPY are 90-97% correlated.

(5) Is this a one trade a week system? if not how do you get back in after a TP or SL?

Ace:One long pending order
One Short pending order
Leave both there along with TPs on both sides until the end of the week. Keep them both there even if TP or SL on one side is hit.

(6)From your experience, would it be better financially to concentrate on GBP/JPY with a risk of 3% or would the drawdown be considerably lower by spreading the risk over 3 pairs and be prepared to take a lower profit overall?

Ace: GBY/JPY does perform the best.
However, I generally risk 4% a week on either side.
GBP/JPY - 2%
EUR/JPY - 1%
AUD/JPY - 1%

(7)How to open trade a trade with 2x, 3x, and 4x of the box at the onset of setting the first trade. i.e how do i set multiple take profit at 2x, 3x n 4x when placing the pending order?

Ace: The target should only be one of the levels. Either 2x, 3x or 4x. I prefer to go with either 3x or 4x. This is because i've tested and those two targets produce the best outcomes.

(8)You must be very confident in your strategy; the SL on both sides hit means 8% of your equity gone in 1 week.

how often in your experience since December where GBP/JPY was stopped out, but not the other 1 or 2 pairs?
in my view if that never happened I might as well concentrate on GBP/JPY exclusively.

have you tested a trailing stop of say 150 pips to see if that works as well so that you dont have to watch the charts?

Ace: You are correct, worst case scenario, I would lose 8% of my account in a week.
Keep in mind that best case scenario is 14% using my TP's;
GBP/JPY - 4x
EUR/JPY - 3x
AUD/JPY - 2x
Probability is on our side.

Well actually the absolute best case would be 28% if both sides were broken and went to their respective TP's. This does not happen as much.

When GBP/JPY gets stopped out, generally the other two gets stopped out as well. So yeah mainly focusing on GBP/JPY would be best.

I have not tried trailing stops right after the break because it skews with money management, a lot. I know that some people have some interesting ideas about trailing stops, but unless they are tested, i wouldn't recommend them.

In any case, you don't have to watch the charts. Just place long and short pending orders as well as their TP (choose 1,TP 3x or TP 4x is best) and SL.

(9) Do you stop trading for the week after two stop-outs?

Ace: Yes

(10)Risk, drawdowns, and profit expectations.

Refer to post 726

(11)Do you use BE? BE= breakeven

Refer to post 741

(12)ATR 16

Refer to post 899

Well, that's all for time being. Hope this helps all newbies.

Happy Trading!