Promising 1 hour strategy

Hello

Here is 2 charts from today:

Forgot: On the chart you also see a 20ema close. This can be a 6 ema open or a 8 ema open or even a 10 ema close. You can use a crossing of the 5 and this ema to reenter or to close a trade or just don't use it and go for 50 to 100 pips profit.

Thanks SXMTrader for posting your strategy. I wanted to know whats the success ratio with this?

Thanks

could you please post marking some trades?

and yes success ratio and how long have you used this method?
Brian

Now that the first two questions are out of the way let me go ahead and add the others just to make it official....

1. Can you post your template?
2. Do you trade this live?
3. Is there an EA for this method?


And somewhere in the next 10-15 posts there will be someone who has this super duper mega indicator that should be added to help "filter out" some of the bad trades.

ok, sorry for the sarcasm but it seems as though every new thread in the trading systems section heads down the same road.

The 1 hour system you have outlined definitely has some good points. My only concern is the stop size is equal to the take profit size. So lets say you have 2 losing trades, it will take you 2 winning trades just to get back to break even. Just as a suggestion, I would take half of your trade off at 50-100 pips then let the rest run with a trailing stop or some other method that will allow you to continue to ride with the trend. In other words, let the markets decide how far the trend is going to run.

Good luck and I hope you find all the pips you are looking for.

As the 5 ma breaks out of the tunnel do we trade then or do we wait for the candle to close. thanks SXM.

Hello,

Thank you for all your questions. I am very busy and will answer this weekend. I think the settings for the 2 35 simple moving average are wrong on your chart. Please check:

35 simple moving average high
35 simple moving average low

Look for the trade on the 18th.

Thank you for all your questions. I am very busy and will answer this weekend. I think the settings for the 2 35 simple moving average are wrong on your chart. Please check:

Well spotted, had them in as smothed.. thanks for that, look forward to more info this weekend..

Rebel

Genuis... hahaha

The system seems very interesting. Can you explain or direct me to some more information on the Top_Trend indicator?

Thanks in advance

Jeremy

Hi Jeremy, dont think there is much info out there about it, I only know it was developed by another forex factory member, never saw the indicator before this thread.. SXMtrader has posted the top trend indicator file in his first post in case you did'nt see it..

Rebel

All the best from Ireland

Well I really like the bones of this system... I am using a modified version based upon my experience but I really like it. I am using trix with different levels for confirmation as well as power, among a couple other things on the chart. I am demo trading now and will post some trades, as long as its ok with SXM.

I disagree about the macd o cross being the exact same system.. the top trend and mt4 reverse maybe considered overkill, I would pick the top trend myself if choosing, but I am only using it as another possible trade entry signal, I made only the first big bullet appear and made the rest no color so its not visible on my charts... the channel is perfect and making sure the 5 is fully above
or below it, as I understand the first post...that is how I am using it. Good for new traders for sure, but good for me too.. makes it easy to avoid much I wouldn't want to trade.

Brian

Hello,

Now we had some responds and we can start to make the system better! After this week and a tight range on some pairs I decided to change the following:

First check the main trend on the 4 hour chart. The top trend indicator can show you the main trend direction and you also can draw a trend line. Now you switch to 1 hour or 30 min and take only trades in the main trend direction. This will help to avoid some less profitable trades. This is a good advice for beginners. Otherwise, if you know what you do you can trade against the trend. But in general not recommended!
I have now 5 ema close and 6 ema open on the chart. This will also gives you a signal to reenter if the market is already moving in a direction with a short reverse and than continues the direction. Set up your chart and look back 2-3 weeks to get an idea.

The main system is the crossing of the macd, the top trend indicator and the 5 ema must be crossing the 35 ema high or low depending of the direction of the trade. The MT4 stop level indicator is just a second confirmation and you can use this one or the top trend indicator. Just take of the one you don't like.

If somebody has any modification or anything else to mention to get it better, please let us know! But I think this system with trades only in the main trend on the 4 hour chart gives good signals and with the two 35 emas we have a good filter to avoid some false signals or to avoid to take an order to early.

Now I want you all to check the following: change the setting of the deviatin of the top trend indicator to 1 and have a look at the chart. Now we get more signal from the top trend indicator, but also a lot of false signals. But this signals are mostly filtered by the 35 emas and the 5 ema. The advantage: the top trend indicator gives an alert when the signal comes up. This means that there is a sound signal for any false signal, but after a signal to reenter or with other words to open another order following the trend on the 30 min. Hope this is not to complicated. It is my german english. I like the top tren indicator with the setting of 2, but it is an idea for all of us to have a short look and to talk about it.

For now we have to set up the chart:

35 ema high
35 ema low
5 ema close
6 ema open
top trend indicator standart settings ( please have a look for deviation1 )
Macd 12/26/1

SL 25 to 75 depending on the pair
TP 50 to 100 depending on the pair
I like to use trailing stop

Check first main trend on 4 hour, draw a trend line, swith to 1 hour or 30 min.

For me there is nothing else to change at the set up for now, only to have a look over the weekend for the deviation 1 of the top trend.

But please, any comments, critics, modifications and ideas will help.

Brian, can you also show a chart to see your set up?

Thank you,

Holger

Hello SXM Trader,

I´ve been use 35 EMA´s in my chart. So, Did you change de 35 SMA´s for EMA´s? (Just checking - ok??)
And Top Trend indicator - deviation 1 !

Please, take a look in my template. It´s ok??

P.S.: Great Job! I´m testing your system and I have good profit! (Sorry about the English...I´m brazilian).

Thank you.

Can you please pot the indicators for the system.
Thanks

Peace

AS YOU WISH....

I have been so busy I was not able to follow up.

I will post my setup before the weekend is over


Brian

I am using trix for confirmation, its the best out there really and
maxMAhilo as my alert. I have it set to 1/35 so it will tell me
when price is crossing the 35 high or 35 low ema, ie channel
crossing.

The small arrows are the maxma highlo

the big arrows are the trix cross I like on my charts
for real trend confrmation and possibly entries as well.

MOM is very important to my setup, it eliminates many
whipsaw trades. The mom has to be crossing on
my signal candle or the next candle. IE I get an maxma highlo
alert and the same candle the MOM crossed and everything
else matches, great. If the mom crossed one or two bars
before...I ignore the trade. Its even better if MOM crosses
my filter level the next bar, right after the maxma highlo and
that is when I actually enter the trade.

Brian

Two more trades for example...

The green ema is the 62 ema..very powerful
S/R on the 1 hr and I also use on 5 min. IF price
is right below or above it, it must break that level
as well before I enter. Eliminates a ton of whipsaw
trades on its own just that. Brian

Hello,

I used the 35 ema's to see the how this works and had also the sma's on the chart. I feel more comfortable using 35 sma's. Top trend settings 20/1.

Holger