5Min Intraday System

Thanks Golfer. One thing that struck me is that this strategy in one way is a simple 1-2-3 price pattern irrespective of the "zone"/EMAs. Not 100%, nothing is in forex, but a price pattern that is right a lot more than wrong. I will stick with the original for the coming week and look for zone trades but I also intend to look for 1-2-3 outside the indies and paper trade those setups. Real money on Phillip's original however.

Thanks again, p.

Even though it seems fairly basic. Any rules been posted for Phillip Nels indicator (the blobs)used with this trading system?

Hi Df

I am sure you'll find an explanation on the indicator somewhere in the thread.

Just another issue - forex trading is all about HARD WORK. There is no quick fix / holy grail in forex trading. You need to work hard and try to understand what you are doing in forex trading as well as understand yourself within the forex market.


Final piece of advice to all members:

Work hard, be patience and have the necessary discipline and you'll make it in forex trading. Try and be a copy cat and you'll be part of the 95% who don't make it in forex trading.

Enjoy the trading

Hi P

Right, now we are talking. That is what price actions is all about. Yes, it is a type of 1-2-3 pattern and I am looking for the action to be around my significant levels and above (long) and below (short) my small intraday trendline. I want to try and catch the first or second pullback before the price turns around. After that it becomes very risky.

Also:

Be very careful in range bound markets.

Be careful with lower highs (when consider long trades) and higher lows
(when consider short trades). This is where my small intra-day trendlines assist me.

Enjoy the trading

Actually an 8 year old could be taught to push a sell button for a red blob and a buy for a green one. These forums are all alike. The person introducing the new product initially have a good idea. Simple. Then along come the wannabe's introducing new goodies. Soon after with all 18 indicators the investor has to cautiously meander through all the mass. Before long the opportunity is gone before a decision is made. Indecision and paranoia set in. Mistakes are made. It seems more important to keep the thread going than simply letting the product work it's success. Before long it's brain surgery. Give the 8 year old the buttons and set up a default sl and tp and the kid would beat most of us. Forums new motto: don't ask questions, read the thread. Ever notice the questions are mostly not about the original idea but of the ad on's.

A few charts explainning yesterday's movement - see comments on chart

How I would have approached yesterday's move - see comments on th chart.

See how interesting my significant level works

A pm I received and my answer in blue - I think it is better to answer an pm on the thread itself so that everybody can see the response. Don't worry - I won't put your name on the pm; I'll keep it confidential

Hey Golfer,

I was wondering if you could let me know how successful you have been with taking advantage of the opportunity of the 5 minute system Phil Nel created.

I am relatively successful but this 5min system is not my main trading system. Turn a few pages back and you'll see a graph of my Trial Account on which I trade Phillip's two 5min system as well as another 5min system from a fellow ff member.

I have back tested several hundred trades and have found the system and my ability to take advantage of signals during back testing gives me great profitability.

I do agree but there are a lot of false signals because of the 5min time frame. But if you do understand price action and don't just rely on indicators, you can be successful with this system. Also you need to put in some hard work and chart time to get a grip on this system. I feel sorry for those you just want to make a quick profit with this system.

My one problem with this particular system would be that the R:R ratio is too small, but like I said percentage profit is very good.


Yes, I do agree - something that you need to address with your own personal style of trading. Once again, don't be a copy cat - try something different to see if it is working for you/what is working for you.

My main with actually trading this system is that I cannot watch the markets 24 hours a day, and so I cannot take advantage of every signal.

I do have the same problem - nowadays I do trade between 15h00-19h00GMT because I am also finishing writing my PhD. No time to trade during the nice hours. Hopefully I'll have more time next year for trading.

I worry that I am going to miss out on some important winners in any given month and that will obviously hurt.

It will hurt but there will also be other setups. Some days I don't have any trades. That is why I looked at another 5min system do some CT trades (turn around trades) as mentioned earlier. I like that system because most of the time the market tend to turn around during my trading hours.

So how do you manage to take enough of the trades that the system provides? Would you advise adding another system?

Yes, that is why I do have 3 x 5min systems that I currently using during my trading hours. All three focus on different market conditions. Yes, you need to have a few systems that your understand and feel comfortable with. For example (and Phillip knows it) I just cannot get a grip on his 4h MACD system (here on FF) and I struggle to trade using it but I do understand it. I do use it to determine the market rhythm for my 5min systems.

Any advice you would like to give would be much appreciated.

I would advice you to contact Phillip directly more more advice

I really appreciate all the work you have done for all of the traders here at FXfactory.

Only a pleasure - I just don't want to create a false sense of security with this system. I want to show people the pros and cons of this system and how I adapted the system to suit my style. Please feel free to do the same but I won't recommend adding more indicators. Rather start your own thread

Enjoy the trading

A trade of mine - I just started my platform when I saw the pullback and the two nice tails (pink circle) testing the previous swing high (yellow X) within the war zone. Also the second candle is a bullish engulfing candle moving away form the significant level - signal of a possible bounce off the significant level.

Perfect setup - remember, buy on dips finding support within a upmove. Perfect example of it.

My aim was the next BRN @ 1.3750 (the 50 is the BRN) and not the previous swing high. I was worried about the BRN - too strong resistance and it is already the third pullback in this upmove. Could run out of steam (and it did later on).

Remember - ideally you want to take the second or third pullback in a move

Chart 1: I like to show people what a setup looks like just after the entry - make it more realistic and what I am looking for on live chart and looking back afterwards.

My Small Intra-day trendline (solid yellow line connecting several lows of candles)

Significant level - pink solid line

TP - solid green line

Initial SL (before the EA moved it with the price) - dotted red line.

The chart just after my TP was triggered.

Now there is another pullback - will you take it if there is a nice signal within the war zone?

Not for me, thanks. Look at my reasons on the chart - making it a high risk trade for me.

I know newbies are always interested in the outcome of systems like this. Like I mentioned before, I started a Trial Account (standard account with FxPro.com) of $511 on August 01, 2010.

On Sept 22, 2010 this was the outcome of my account trading my 3 x 5min systems mainly between 15H00 and 19H00GMT (today's trade was with my IBFX account). The reason why I posted the outcome until Sept 22 because I almost had a disaster on Sept 23 by not using a SL. I'll show you on the next post.

I hope this will answer as lot of questions

The disaster - I didn't want to post it but I do believe in honesty.

So, that is how I am trading at this moment and what can be achieved in two months with the necesary hard work, patience and dicipline.

This is my plan with my Trial Account (this 5min system is used in this $511 Trial Account) and how I did in the first two months.

I also had a 15min Trial Account trading another system but it went the other way.

Just to show the outcome of the rest of the day after my trade - posted earlier today.

Another trade of mine using this system with some price action signals I am using. This what a chart looks like just before I decided to enter. See the comments on the chart.

And this is what I saw - the chart saved just after my entry to show people what it looks like. See the comments on the chart

And the outcome of the trade - maybe just to close the news release. That is why I let the EA moved my SL to +3pips profit and it was triggered just after the news release.

A pm I received - see my answer in blue:

Hi Golfer, on the philipnel 5m, does the sma angle going over .4 indicate that the trend is exhausting?

If I do remember correctly, when the SMA angle goes above or below 0.4 or 0.5, it means that one needs to careful entering a trade. I just cannot remember if it was the 21MA or the bars on the SMAangle indicator. I do remember that if the 21MA is between +0.1 and -0.1 it is a no-go (non-trade zone.

Like I said, I don't use the indicator anymore. I don't even have the indicator on my trading platform anymore.

or is there another meaning to it

No, I don't think it meant anything else. Just warn you to be careful. I do use significant levels nowadays to determine when one should be careful. I try not to buy against a resistance level or sell near a support levels

Enjoy the trading

Dear Golfer,

I have been reading this thread from beginning after I had a very bad month last month. I started to learn Forex trading this year. Thank you so much for keeping this thread alive.

I am only up to page 157 so far (out of 478). It does take time to go through all of them even thought I have learnt a lot from my reading so far. It seems to me that your current way of trading this system is somewhat different from your rules posted in 2007. You have no any indicators now, but back then you had quite a number of them. Should I still go through all pages of this thread to understand why or take a short cut? Your advice is most welcome!!

Like you, I only have limited time for trading (between GMT 0800 to 1200). I found that 5min system suits me better as I don’t like to leave my trade open while I am away from my computer.

I would like to learn other 5 min system as well. If you don’t mind, can you let me know where are the threads of other 5 min systems that you are trading. Thank you.

Best regards
Fafa