RSS (Ridiculously Simple System)

This is a system I have developed and used since 2010 with consistent success.

The system is based on the Trading Made Simple (TMS) system, adding my own indicators and trading style.

Most of this method is thanks to Eelfranz whose Trading Made Simple (TMS) thread allowed me to be successful at this game of trading. His and Phx62s posts have helped me realise and develop this way of trading.

As requested I have started a new thread so as not to pollute the TMS thread with this variant. I cant always update it but if the interest is there will do so when i can.

Indicators:-











Template:-



Chart setup is pretty much a TMS setup with the addition of MACD and 4 x Semaphore indicator.



Rules:-

Trade between London Open and New York close.
Take profit is half ADR (Average Daily Range)
Works on any pair and any timeframe I personally don't trade below 1HR.
Wait for candle to close before making entry or exit decision.
Don't enter trade when red news imminent.

Entry:-

When dot on 4 x Semaphore appears (an alarm can be set) together with a change of APB (Average Price Bar) colour, enter trade in that direction.

Confirmation:-

After entry check TDI and look for Green crossing Red. If it does, remain in trade and you will likely be in profit. If it does not cross or green bounces off red then its likely trade wont be profitable and exit as soon as you can, in profit if possible or stomach a small loss.

Exit:-

I exit a)If half ADR (Average Daily Range) is hit, and/or b) if new semaphore dot has formed c) and/or red news is due and/or MACD has changed direction or is level at close of candle level.

A++ Trades:-

Trade away from yellow semafor sun 3. Enter if candle retraces 50%, TDI crosses or bounces, APB changes colour. Hold until new peak is formed on MACD through 0.

That's pretty much it.

The more you practice and watch when these dots form the more you will understand price action, support and resistance, trend and other Forex fundamentals.

Nobody knows what price will do next but 9 times out of 10 when a new dot forms and price goes the other way it will continue until a new dot is formed.

If there is further interest will post some trades when I can and answer any questions.

The indicators are all available here or elsewhere on the internet and if you want more on TDI go and check the TMS Trading Made Simple threads here.

Thanks for putting up a new strategy, good luck with it all. I shall tune in when LO, it would be great if you could hook up to Trade Explorer, it may deter people from demanding evidence of your success rate etc....!!
Cheers S

Drewas
It sure would help if you posted the Semaphore Indicator. I'm not lazy - I've spent almost an hour looking for it. Found one finally but it looks nothing like yours.

Not sure how to use Trade Explorer exactly, but will look into it.

There you go. I use the default inputs but I think have modified the colours and thicknesses as per image.

.

To illustrate a little more on EURGBP.

I took trade 1 yesterday. I saw new yellow dot with sun around it, saw a change of direction and candle colours change. Entered a sell trade.

Notice how the dot formed and then TDI crossed. Experience with this told me to stay in the trade and I did until a new yellow dot formed AND price changed direction with a change of candle colour for 45 pips.

Trade 2 (I wouldn't trade at that time)but see dot enter buy trade, TDI cross confirms I made the right decision hold for a potential 15 pips. Would have thought about exiting when red dot appeared and definitely would have exited when bar colour changed and/or TDI crossed other way.

Put the indicators up and you will see that on most pairs you get between 1-4 semaphore dots / TDI crosses per day.

Well done on that last trade...If I can use Trade Explorer, anyone can..!!!

Thought i would post a chart for all to see, please tell me what you think..AUD/JPY H4 Thinking of going LONG



Cheers S

Simply look at your profile page, you will see an invitation at the bottom, just follow the prompts etc...love your charts, cheers S

Cheers Soccer

I personally would take that trade.

Why? Because you have a yellow dot with a sun. We are in London session. and there appears to have been a double bottom see previous yellow dot with sun!

Experience has taught me that when you get a yellow dot and a sun 9 times out of 10 price will continue up across the MACD 0 line and create a new peak. See previous examples on the same chart.

But hey thats just my reading of it theres no certainties in Forex.

Hello Drewas, nice system from you. So easy to the eyes to understand and apply. Hope thats the way the pips will come too. Could you post your template?

This is how my chart looks on that trade Soccer, I would have entered after the yellow dot and sun. Currently appears to be stalling.

We still have no cross on the TDI so maybe I would exit but I would now wait for either a new dot to appear in which case ive called it right or if it continues down and the yellow dot with a star repaints then I called it wrong and would get out sharpish.

Hi Drewas,

looks pretty cool, did you removed the template and indicators from this thread?

regards,
Peter

Hi thanks I wont post a template because some of the indicators I use are paid for. You can recreate the chart from indicators templates from the TMS web site. PHX's templates are particularly good for this. A big Thanks to him.

Where can one get the indicators for your system? What is the URL for the TMS website? What/Where is PHX's templates?....>Thanks

Hi Drewas,

in what period could the semifor repaint? Could it still repaint after candle close, or next candle close?

regards,
Peter

hi drewas, thanks for posting this system.looks good. i use TMS on day charts with some success.

would it be possible that can you name the indicators in the template, both free and paid, so we can attempt to recreate the system? from TMS thread i know we need TDI, we all have MACD, you kindly posted the semafor. what other indicators are required?

many thanks mate

Ok bear in mind I work full-time and cant always respond to questions promptly.

Indicators and a template will be uploaded to the first post over the weekend.

TMS is the Trading Made Simple thread here in Forex Factory started by eelfranz who unfortunately is no longer with us.

Phx62 is a trader who posts in that thread and is quite simply inspirational in his clear thinking and consistency. Anyone interested is this system or trading in general should read the whole TMS thread and pay special attention to Phx's trades in particular.

Thanks very much for your advice DREWAS.... I shall try to post a few charts, if you haven't got time to reply, don't worry too much,

Whenever a new thread starts, the creator can get swamped with questions and requests, it can get demanding(and annoying for the creator),

... we appreciate your info here and sharing it is brilliant...

That thread has over 21,000 posts.
I'll read them all- see you in 2015.

There must be something of value there then for there to be so many posts, no?