0400-0700 GMT Breakout Strategy | Page 126 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

FXDD GMT+2 or GMT+3 10 replies

What does GMT shift and GMT shift Sun do in this indicator? 0 replies

MBO = Monday Break Out 8 utc gmt - 7 utc gmt 22 replies

What is the best server time for H4 trading? GMT+0, GMT+1 or GMT+2? 10 replies

web charting package with GMT +2 or GMT 2 replies

Attachments: 0400-0700 GMT Breakout Strategy
Exit Attachments

0400-0700 GMT Breakout Strategy

  • #2,501
  • Feb 1, 2010 8:31am Feb 1, 2010 8:31am
Quoting zaba1
Hello Grant

Have you tested same method that would work with the US markets opening so we could trade London opening and US ones later ?
Thanks
zaba1

look for the NY Big Dog thread Zaba, they have a breakout method for the NY session

cheers

Grant
  • #2,502
  • Feb 1, 2010 8:42am Feb 1, 2010 8:42am
Quoting grant18265
no worries Soon lol
I just found very good explanation which is perfectly describe MM.
Here it is http://www.forexfactory.com/showpost...7&postcount=50
The Road appears under the steps of walking men...
  • #2,503
  • Feb 1, 2010 11:54am Feb 1, 2010 11:54am
which brokers work well with this method, I assume since this seems to coincide with news, you need a broker that can handle news trading?

and ideally a 2 pip broker on gbpusd? any recommendations.

right now i'm using an ecn style broker, but is anyone else using a broker with variable spreads, from my test last night, that will mess up the buy stops we use for this system as the spread moves around.
  • #2,504
  • Feb 1, 2010 1:19pm Feb 1, 2010 1:19pm
grant,

looking over this chart, any reason I woudln't go with the 105TP, seems to make more money. I'm guessing you went with the 75 because that and the 25 be had the best profit level for your goals?



Quoting grant18265
rob,

with reagrd to a no BE move please find attached the comprehensive backtest i did for the TP's using 7 and 5 as buffers and 15 SL.

you will see that using no move to BE is indeed the most profitable way forward.

As i trade clients money with this system i felt that capital preservation and drawdown were key issues for them. Using the move at +25 it preserves their capital and they can still make decent returns which have been greater than a savings account from any bank in the UK that i know of.

please be aware that the backtest was...
  • #2,505
  • Feb 1, 2010 1:21pm Feb 1, 2010 1:21pm
by your example there, if stoploss is 1.6510 on the short side and tp is 1.6420, if you have 2 pip spread, its really 17 loss or 73tp right? shouldn't we adjust the the short side for the spread like we do for the long side? it seems uneven to me.

[quote=grant18265;3417456]Rob,


candle lowest point 1.6500
- buffer (5) 1.6495 (entry)
SL 1.6510
TP 1.6420
BE @ 1.6470
  • #2,506
  • Feb 1, 2010 1:33pm Feb 1, 2010 1:33pm
Quoting robl45
grant,

looking over this chart, any reason I woudln't go with the 105TP, seems to make more money. I'm guessing you went with the 75 because that and the 25 be had the best profit level for your goals?
Rob,

none whatsoever mate, you can set your SL and TP to whatever suits your style and risk appetite.

as i have said i trade for clients that like seeing minimal DD so went with the settings i have

cheers

Grant
  • #2,507
  • Feb 1, 2010 1:40pm Feb 1, 2010 1:40pm
[quote=robl45;3420341]by your example there, if stoploss is 1.6510 on the short side and tp is 1.6420, if you have 2 pip spread, its really 17 loss or 73tp right? shouldn't we adjust the the short side for the spread like we do for the long side? it seems uneven to me.

Quoting grant18265
Rob,


candle lowest point 1.6500
- buffer (5) 1.6495 (entry)
SL 1.6510
TP 1.6420
BE @ 1.6470
with regard to the example above

on MT4 the lower (bid) of the quoted prices will take us in at 1.6495

to get out the higher price (ask) has to hit 1.6420 to achieve 75 pips.

so the lower price (bid) which took us into the trade travels 77 pips assuming 2 pip spread..


SL wise we really only have 13 pips assuming 2 pip spread as its the lower price (bid) that triggers the trade and the higher price (ask) that takes us out...

so if our order is 1.6495 with initial SL @ 1.6510 then the price quotes at time of entry are 1.6495 - 1.6497 and the price quotes at the time of exit are 1.6418 - 1.6420....

i hope i explained that well enough, it makes sense in my head but hey a lot of people say i have a head full of cartoons.... lol

cheers

Grant
  • #2,508
  • Feb 1, 2010 2:35pm Feb 1, 2010 2:35pm
yes, makes sense, so basically 15 pips up top and 13 pips on the bottom end is basically what we are talking about. fine with me, I just want to do backtesting and make sure I do it accurately, takes a long time to do it by hand so want to make sure I do it right.

who do you use for a broker? I can't seem to find any that do 2 pip spreads that look like they would actually get the trades done without slippage or issues.

I have a great broker now, but either im crazy or having variable spreads like I have could cause issues when going long. because if I set say 2 pips above, which the spread is normally around 1.8 pips or so, then if the spread happens to end up at 3 pips, I'd get in 1 pip earlier than I should have and in my backtesting, that pip can be the difference between losing money or not taking the trade.

I wish there was a way to tell it to just get in based on the bid. would make things much easier.

[quote=grant18265;3420377]
Quoting robl45
by your example there, if stoploss is 1.6510 on the short side and tp is 1.6420, if you have 2 pip spread, its really 17 loss or 73tp right? shouldn't we adjust the the short side for the spread like we do for the long side? it seems uneven to me.



with regard to the example above

on MT4 the lower (bid) of the quoted prices will take us in at 1.6495

to get out the higher price (ask) has to hit 1.6420 to achieve 75 pips.

so the lower price (bid) which took us into the trade travels 77 pips assuming 2 pip spread.....
  • #2,509
  • Feb 1, 2010 2:35pm Feb 1, 2010 2:35pm
today with the classic method i made 25 pips but as the stop move at BE when tp1 was hit, tp2 and tp3 didn't win cause big pull back, it should made 50 pips each at my "closed all setting" at 13 pm, ratio stay poor since beginning of the year
  • #2,510
  • Feb 1, 2010 11:17pm Feb 1, 2010 11:17pm
A final word on January.

I believe the Dow had its worst month in 12 months.

So don't lose nope. It can only go better.

  • #2,511
  • Feb 2, 2010 12:49am Feb 2, 2010 12:49am
Quoting sebasound
Hi Jack, thanks for the tip! Unfortunately I got a Power PC Mac, so virtual box doesn't work for me (only runs on Intel processors). But I found this other one called Q that works on Power PC, it's not that easy to understand though, probably will spend another whole day looking for a solution... oh well.

Te eeexp torrent is not downloading well, I'm looking for other links now. Thanks also for that tip though, seems like the right thing!

Strange MT4 is not mac compatible...

Can I pm you with a few questions on how to run these PC platforms...
Seba

Microsoft produce a package called VirtualPC which used to run on PowerPC Macs, not sure if it still does, but this would give you full Windows XP environment on your PowerPC Mac and would run MT4 without any problems.
  • #2,512
  • Feb 2, 2010 1:18am Feb 2, 2010 1:18am
can anyone cnfirm that they have 5919 and 5972 as the range today
If you think you can or cannot do it you are correct
  • #2,513
  • Feb 2, 2010 1:39am Feb 2, 2010 1:39am
Quoting Olu
can anyone cnfirm that they have 5919 and 5972 as the range today

Olu,

I have 5918 and 5968

cheers

Grant
  • #2,514
  • Feb 2, 2010 2:58am Feb 2, 2010 2:58am
Unlucky on both methods today.

  • #2,515
  • Edited 1:18pm Feb 2, 2010 3:28am | Edited 1:18pm
Quoting grant18265
Olu,

I have 5918 and 5968

cheers

Grant
same numbers for me but no trade as 85 ema in the box. i had to go out so missed setting up sculls but looks like the long triggered then reversed immediately, if you took it short as well you would still be in now
  • #2,516
  • Feb 2, 2010 7:23am Feb 2, 2010 7:23am
Didnt take any trades today as I couldnt get confirmation of the box values as requested in an earlier post

I am a bit confused about the timings here and would need some clarification here. I use the alpari metatrader software in the uk. My time for the box would be 4.00 and 7.00 candle? ie no time adjustment needs to need made?
If you think you can or cannot do it you are correct
  • #2,517
  • Feb 2, 2010 8:44am Feb 2, 2010 8:44am
Hi Olu, luck was on your side this morning as Cable stopped us all out on either side. There are three methods being followed here if I recall correctly, the original post 'Tascily', Scullmeister and Grant's. Take your pick. Read post #1 of this thread which has links to the other methods.

Cheers Ezmai.
The things which hurt, instruct! - Benjamin Franklin
  • #2,518
  • Feb 2, 2010 9:01am Feb 2, 2010 9:01am
Quoting Olu
Didnt take any trades today as I couldnt get confirmation of the box values as requested in an earlier post
Grant confirmed 11 mins after you posted.

Quoting Olu
I am a bit confused about the timings here and would need some clarification here. I use the alpari metatrader software in the uk. My time for the box would be 4.00 and 7.00 candle? ie no time adjustment needs to need made?
No, Alpari's servers run on Central European Time. In essence, they are always an hour ahead of current British time:
http://forum.alpari.co.uk/archive/index.php/t-7380.html

I believe that means if you want a 4-6 box as described in this thread, you need 3-5 Alpari time.

olpip
  • #2,519
  • Feb 2, 2010 11:12am Feb 2, 2010 11:12am
Quoting olpip
Grant confirmed 11 mins after you posted.


No, Alpari's servers run on Central European Time. In essence, they are always an hour ahead of current British time:
http://forum.alpari.co.uk/archive/index.php/t-7380.html

I believe that means if you want a 4-6 box as described in this thread, you need 3-5 Alpari time.

olpip
Olpip,

for the method that bears my name (4-6 am UK) then you need 5-7 for alpari

cheers

grant
  • #2,520
  • Feb 2, 2010 12:23pm Feb 2, 2010 12:23pm
Quoting grant18265
Olpip,

for the method that bears my name (4-6 am UK) then you need 5-7 for alpari

cheers

grant
Oops, you're right of course. I accidentally subtracted an hour, because the usual reason I do this sort calculation is to determine what time I'd need to get up to match the indicated Alpari times I've been backtesting.

Incidentally, have you ever looked at shorter box periods? I've been doing some samples with 2-5 candles on the 15m chart at various times before London opening.

The average box size drops, of course, and is often in the range of 20-30 pips. Sure, you get stopped out a bit more often, but the smaller box makes this less painful, and can also mean you get into the trade sooner.

The smaller SL also potentially makes counter-trades more palatable, although I suppose that's not of interest to you given your clients' desires to minimise drawdown.

olpip
0 traders viewing now