Dislikedthe only thing we need to add to this incredibly simple system is more forward testing with real money...........does it perform well over an extended period of time???
when the market goes bonkers/ gets volatile, which it does at times, this system will be cut to pieces with small stops
but yes a 950% increase from £2.000 over a 10 or 12 week period is excellent (my bank offers me 5% p.a.)
...........lets see if it can be sustained over time and under varying market conditionsIgnored
After a few months away from trading I've been looking at this on my return and intend to run it alongside my normal MO. I normally trade from 1min charts so this had some immediate appeal, I have done a fairly strict backtest for the 4 week period to last Friday and the results were in common with what has been quoted, my own sample showed a profit of exactly 100% for the period. Now I know 4 weeks is nothing but I can't ignore what I have seen with my own eyes so most days I'll be trading this.
Peter you are right about trading this with real money, the only way to check it out properly and I've never been one for demo trading (and by the way I have never blown any trading account) so I intend using one of my near redundant SB accounts with a nominal few hundred £'s on balance and will trade this as close to the rules as poss. However rules are for breaking as we all know, so I'll be using a bit of discretion here and there, especially on the SL.
Giraia: I did the trade yesterday and this may help you. I used the previous high to calculate the SL however I never put my actual SL into a trade, I do my SL manually every time and on that occasion price on the charts I actually use for trading showed the SL being topped by 0.6 pip, I was watching very closely but didn't abandon the trade at that point. I would suggest others may have done likewise or they may have used the previous Hi.
All the best to all with Paulus's method. strada.
i think its a better filter even in my backtests and 8 days of forward test
