A Basic Breakout System

I started yesterday to backtest many settings, mainly I am intrested in gbp-usd 5 min charts, coz I like scalping I use 5 4 now, but you are more experienced with this strategy .

Thank you

I entered first position after small retrace to 61.8, second after broke of first high.
SL under 50 fibo. Second was closed with small profit. First was holding to reach main TP.




TP was hit at 1.6730.

Is this good setup or I should improve something, using BAT 6 4.5



161.8 was hit

Hello Bergax,

I have no real experience trading GBPUSD with the BAT indicator. The best thing to do is mess around a little with the indicator trying to find the most suitable setting for each pair/timeframe or just chose one and put all your focus on that. The thing I like about the BAT is that there is no re-painting, it is what it is and can give you very good signals. You just have to find a way of using those signals in a profitable way.

I had an idea of using thrust bars as entry on a 30 minute chart which used very low risk (avg 30 pips) risking 2% and when you got a winner it was huge. However, the drawdown is big as you could go a few months/10-15 trades before you got a winner so it is just a case of whether you can handle that many losers on the trot.

Like I say there are many ways of using the BAT and once you find a suitable setting for a pair/timeframe just stick with it even when things are not going as well as it will come good in the end.

Personally, this indicator along with Demark are my favourites for one main reason, there is no repainting and they are 100% technical requiring no discretion. Just be careful on the daily timeframes for Sunday bars, they can skew the BAT levels.
As you are interest, give me your email address and I will send you on some of my BAt stuff.

Cheers
Foggytrader

one applies this method in daily TF?

For sure, it can be applied to any timeframe, although the higher the timeframe the larger the risk.

Cheers

Foggytrader

hi there,
sorry new here. Can i know the entry method is it like this:-

The pink line is my entry point .
The pink circle is my TP ?
sorry not so understand . Hope you can help me. thanks

The pink line is the entry point but I think Effi just used a set TP like 20 - 50 pips. It tells you in the first page of the thread, but for sure the pink line is your entry point. The circles are to illustrate the breach of the BAT indicator.

Cheers
Foggytrader

hi thanks
thanks for the explanation. so is it trade like this?
like at the chart:-

the 2nd pink line - sell
TP at the 1st pink circle ?

and

the 3rd pink line - buy
TP at the 2nd circle pink?

trading at the line then tp at the behind circle?

Hi . i have a problem with bat indicator. when i save it save with unknown file in my computer. please attacht it with zip or other better . thank you alot.

can anyone show me the chart. where to buy and sell at the pink line. TP and SL where? i really blur a bit sorry...

nice trade on gbp-jpy so far so good, like your strategy

Good stuff Bergax, although I noticed you had five 0.50 lots then 1.00 lots on the final trade. Is this money management based on a certain percentage of your account based on you stoploss size? This is the most important part of trading, you need to have something to work all that out for you. I have a neat excel trade management file I use, I would be happy to pass it on to you. You will have to give me your email address though as it is the wrong format for the FF site.

Cheers
Foggytrader

Just found all these examples 38 in all from dec 07' through 08'. Shows how good my strategy worked during 2008.

Cheers
Foggytrader

sure, [email protected]

first position I have made today was 2* 0.5 lots, second as well, third with 1 lot coz I did not wanted to add another after broke of high, just keep one and fast move to BE. Just studying your strategy and try to optimalize gbp-usd, seems gbp-jpy works perfectly with your explanation. I have exam on Wednesday, so I will make manual backtest after that for about year with my settings on gbp-usd. Do u have any past performance of your great strategy?

Regards
bergax

heh, when I was writing u put performance can I ask you if u can attach your lovely fibo indicator?

Well, it is not possible to upload the fibo as far as I know. Just change the settings in your fibo.

0 Swing
0.5 Stoploss
0.75 Place Entry Order Line
1 Trend Breakout Point
1.3 Breakeven
1.618 First Target
2.618 Second Target

Just delete any other level on it and your ready to go.

Cheers

Foggytrader

Forgot to mention, I only trade this system from 07:00am - 10:00am GMT. I take no other signals. You will see the yelow box in the 38 picture examples I uploaded.

Cheers
Foggytrader

Downloaded winzip so I can attach my trade management file. I use this for all my trading unless it is automatical calculated by a script or EA.

Use 0.0000 one for GBPUSD and the likes and the 0.00 for GBPJPY and the likes...

Cheers
Foggytrader

Thanks for MM stuff looks useful, I will try it tomorrow

Sorry, both those files are for 0.0000. I will change one for 0.00 and upload it sometime today.

Cheers