4H Box Breakout | Page 218 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Box Breakout indicator 197 replies

Breakout EA based on New York Box 3 replies

4H Weekly Box Breakout [TD] 4 replies

EURUSD Box Breakout 6 replies

Breakout Box 5 replies

Attachments: 4H Box Breakout
Exit Attachments

4H Box Breakout

  • #4,341
  • Sep 30, 2009 1:39am Sep 30, 2009 1:39am
I've posted previously about the candles I use for the box, and this week on the GY my high was much lower than under Ace's original rules, but this has meant my Long Order was filled on Monday morning UK time and it hit the 200 pip target quite comfortably yesterday.

Just luck, I guess, but we all have to trade what we're comfortable with, and this suits me. And I'm certainly happier with it since some of the excellent minds on this thread confirmed that there is no direct correlation between box size and pips gained. I suppose I'm just an average kind of guy.

Bal
The dream will never die
  • #4,342
  • Sep 30, 2009 1:46am Sep 30, 2009 1:46am
Quoting Brotyboy
And I'm certainly happier with it since some of the excellent minds on this thread confirmed that there is no direct correlation between box size and pips gained. I suppose I'm just an average kind of guy.

Bal
It's not that we have confirmed, it's that we have to consider that maybe the first bar is a news bar, a holiday bar, or something that causes it to act un-naturally and puts it in an overbought, or oversold state, Therefor, the average week range could actually bottom out mid way through that huge 1st 4H bar instead of the entire size of the first 4H bar.

This by no means confirms they have no direct correlation with with each other, I made the statement of altering your take profit points to a more realistic amount, such as TP1/2 when the box is 300+ pips big. I believe this is the only thing you should consider when the box is this large, but then again, this is just an observation, and I encourage extensive testing to ensure it fits your own personal comfort needs.
  • #4,343
  • Sep 30, 2009 2:15am Sep 30, 2009 2:15am
Quoting yen44x
And, BTW, the Four Tops weren't animals . . . they were a great soul group. The Animals, on the other hand, weren't animals either . . . they were a great rock group.

Now, is that clear?
I dint meant you r animal, I mean the topic is out of this system..

great rock group,
  • #4,344
  • Sep 30, 2009 2:22am Sep 30, 2009 2:22am
Pharoah, I'm sorry, I must have completely misunderstood posts #4281, #4282 and #4283.

I have a limited understanding of maths, but I thought a mathematical correlation either existed or did not and if it existed it could be proved and shown. I know you're streets ahead of me as a scientist/mathematician, but to what degree is there a correlation between box size and SL/TP either on an absolute basis or as a function of the box size? If you're not saying there is no direct correlation, how can we identify those boxes/weeks when there is a direct correlation?

Sorry for my bad brain.

Bal
The dream will never die
  • #4,345
  • Sep 30, 2009 2:32am Sep 30, 2009 2:32am
Quoting Brotyboy
Pharoah, I'm sorry, I must have completely misunderstood posts #4281, #4282 and #4283....
No, there is no direct correlation in some cases, in some cases, there is, I personally have no real way to determine if it's a week that the 1st 4H bar is correlated or not. During large box weeks, I adjust my money management to suit a stoploss according to my rules, I make my lot size ALOT smaller to compensate the massive box size.
  • #4,346
  • Sep 30, 2009 8:04am Sep 30, 2009 8:04am
Quoting Brotyboy
A good point, Yen, but I'm not sure about that Eric Burdon chap. Have you seen his face? It looks like he's been thoroughly badgered. Bal
. . . And then there's Keith Richards . . . that man did not age well. Come to think of it, after enduring this losing streak, I'm starting to resemble him. :nerd:
Greetings from Guanajuato, Mexico
  • #4,347
  • Edited 8:23am Sep 30, 2009 8:09am | Edited 8:23am
Quoting pips info
I dint meant you r animal, I mean the topic is out of this system.. great rock group,
No offense taken, pips info, because I am an animal . . . my master said anyone could trade this system so he taught me to type.
Greetings from Guanajuato, Mexico
  • #4,348
  • Sep 30, 2009 8:16am Sep 30, 2009 8:16am
Quoting Brotyboy
Just luck, I guess, but we all have to trade what we're comfortable with, and this suits me. And I'm certainly happier with it since some of the excellent minds on this thread confirmed that there is no direct correlation between box size and pips gained. I suppose I'm just an average kind of guy. Bal
Quoting Pharoah
It's not that we have confirmed
Hey Pharoah . . . I'm not sure when Brotyboy spoke of the "excellent minds on this thread" that he had you in mind, but it was good of you to include yourself.

I know he didn't have me in mind . . . when he's directing a post to me, he sticks to subjects like animals and old rock groups.
Greetings from Guanajuato, Mexico
  • #4,349
  • Sep 30, 2009 8:17am Sep 30, 2009 8:17am
Quoting Brotyboy
I've posted previously about the candles I use for the box, and this week on the GY my high was much lower than under Ace's original rules, but this has meant my Long Order was filled on Monday morning UK time and it hit the 200 pip target quite comfortably yesterday.
Bal
Very nice, Bal, very nice!
Greetings from Guanajuato, Mexico
  • #4,350
  • Sep 30, 2009 8:46am Sep 30, 2009 8:46am
Quoting yen44x
Hey Pharoah . . . I'm not sure when Brotyboy spoke of the "excellent minds on this thread" that he had you in mind, but it was good of you to include yourself.

Yen, you know Pharoah is a legend.....in his own mind!
  • #4,351
  • Sep 30, 2009 9:27am Sep 30, 2009 9:27am
You know dudes, i have dreamed and seen Ace's spirit...
it was after Yen's burro accompanied by 5-6 shots of Tequila...
and it looks like Ace mentioned that instead of weekly first 4H candle he started using each week last candle to set the box...
those who know what to do with EA and how to code it might back test this
  • #4,352
  • Sep 30, 2009 12:58pm Sep 30, 2009 12:58pm
Quoting shiko
You know dudes, i have dreamed and seen Ace's spirit...
it was after Yen's burro accompanied by 5-6 shots of Tequila...
and it looks like Ace mentioned that instead of weekly first 4H candle he started using each week last candle to set the box...
those who know what to do with EA and how to code it might back test this


That sounds like another system. Hint instead of using the first 4 hour of the week use the last 8 hour hi lo. Use the range of the hi lo for the last 8 hour. This is still a good system. Patience and money management is the key to all strats.


By the way did anyone try #1541 Post. It lost this week.
  • #4,353
  • Sep 30, 2009 1:04pm Sep 30, 2009 1:04pm
Quoting smurf
That sounds like another system. Hint instead of using the first 4 hour of the week use the last 8 hour hi lo. Use the range of the hi lo for the last 8 hour. This is still a good system. Patience and money management is the key to all strats.


By the way did anyone try #1541 Post. It lost this week.
it is same thing. but ace told he found something with much better risk:reward ratio.
now, first 4 hours of the week usually candle. re very volatile. while 4 last hours of the week are usually much less volatile. hence 4h last candle is smaller than the first 4h can.
i wonder who can put it into EA...
  • #4,354
  • Sep 30, 2009 1:08pm Sep 30, 2009 1:08pm
Quoting smurf
That sounds like another system. Hint instead of using the first 4 hour of the week use the last 8 hour hi lo. Use the range of the hi lo for the last 8 hour. This is still a good system. Patience and money management is the key to all strats.


By the way did anyone try #1541 Post. It lost this week.
The only thing I can see wrong with this, is if the price is dropping for example, the week closes, box is set, the next week open, the price is already BELOW the entry price.

Just because the markets not open on the weekend, doesn't mean nothing happens to the value of currencies over the weekend. This could potentially miss out on a large number of trades.

My suggestion is this for these 300 pip box ranges is this, best idea yet for entry.

When the box is 200+ pips, divide the box size by 3, If the box forming bar closes in the middle of the box, subtract this value from the high, and add this value to the low. This is your new box.

If the box forming bar closes near the high/low (candle body HUGE), subtract this value from the price, and add this value to the price, This is your new bar. This in conjunction with my smartstop system should EASELY rake in huge cash (because of the close partial at TP1) on nearly any trade made throughout the "massive box" weeks.

I say this because if the 1st 4H bar closes near the high/low of the week (depending on candle body size, needs to be large) this signifies that no news, or holiday has played a role in this movement, if the price closes near the middle, this generally signifies news or holiday has played a role in this movement.
  • #4,355
  • Sep 30, 2009 1:13pm Sep 30, 2009 1:13pm
Quoting Pharoah
The only thing I can see wrong with this, is if the price is dropping for example, the week closes, box is set, the next week open, the price is already BELOW the entry price.

Just because the markets not open on the weekend, doesn't mean nothing happens to the value of currencies over the weekend. This could potentially miss out on a large number of trades.

My suggestion is this for these 300 pip box ranges is this, best idea yet for entry.

When the box is 200+ pips, divide the box size by 3, subtract this value from the high, and add this value...

Pharoah, the point here to use last candle to set the box. orders then placed when market opens on Sunday. Ace was talking about bettter R:R ratio. this box is much smaller. and very often price continues after open . generally, it would be nice to have it back tested...
  • #4,356
  • Sep 30, 2009 1:14pm Sep 30, 2009 1:14pm
it can make TP1-3 sooner cause box is smaller....
  • #4,357
  • Sep 30, 2009 1:21pm Sep 30, 2009 1:21pm
Quoting shiko
it can make TP1-3 sooner cause box is smaller....
Exactly, now ur thinking like me, it's all about making the trade profitable by realistic figures, not unrealistic figures.

Because I have no belief that box size has to do with market action (large box sizes can produce large profits) I also believe that box size has nothing to do with setting a take profit point, TP1 on 300+ box is a little much, when you're aiming for TP2 on every trade...

I think this will help filter out any massive loosing trade, reduce box size, and adjust it according to box forming candle close.
  • #4,358
  • Sep 30, 2009 1:22pm Sep 30, 2009 1:22pm
Quoting shiko
Pharoah, the point here to use last candle to set the box. orders then placed when market opens on Sunday. Ace was talking about bettter R:R ratio. this box is much smaller. and very often price continues after open . generally, it would be nice to have it back tested...
I've revised the condition, to include if the bar closes outside of the newly calculate reduced box.
  • #4,359
  • Sep 30, 2009 1:24pm Sep 30, 2009 1:24pm
Quoting Pharoah
Exactly, now ur thinking like me, it's all about making the trade profitable by realistic figures, not unrealistic figures.

Because I have no belief that box size has to do with market action (large box sizes can produce large profits) I also believe that box size has nothing to do with setting a take profit point, TP1 on 300+ box is a little much, when you're aiming for TP2 on every trade...

I think this will help filter out any massive loosing trade, reduce box size, and adjust it according to box forming candle close.

yeah, Pharoah, you get it quick. put it also volatility differences and traders; mind set before close...
now, who can put it into EA and back test
  • #4,360
  • Sep 30, 2009 1:26pm Sep 30, 2009 1:26pm
Quoting Pharoah
The only thing I can see wrong with this, is if the price is dropping for example, the week closes, box is set, the next week open, the price is already BELOW the entry price.

Just because the markets not open on the weekend, doesn't mean nothing happens to the value of currencies over the weekend. This could potentially miss out on a large number of trades.

My suggestion is this for these 300 pip box ranges is this, best idea yet for entry.

When the box is 200+ pips, divide the box size by 3, If the box forming bar closes in the middle of the...
It's sounds awesome Pharoah.... but I have no Idea what you just said.

I probably didn't get enough sleep last night, which has severely impaired the Einstein living between my ears

I don't know if there's another way of explaining it differently, but could you try..... maybe some pictures....... ya I like pictures....
Addicted and proud of it!
2 traders viewing now