Is there someone who can shed some light on DONCHAIN CHANNEL
It's a BREAKOUT strategy and used by some seniors like those at DailyFX
I particularly don't know too much about breakouts and as such there are many fake breaks
but this strategy has the following
1. It is said like majority of Trading Indicators, this is better if used for higher time frames like 1HR and above even better
2. Its a trend following tool, following current trend is very vital
3. must check that that both the Market and that pair must be in a volatile situation like 40%+
this can be checked at the DailyFX site
4. Any Pair can be traded
5. the bad thing is and Iam not sure if this is the case, it is said that the STOP LOSS must be placed on one of the channel lines and sometimes they are very apart like 300 pips!!!
If there is anyone that trades this indicator, please share your knowledge on this and most importantly
1. What is your Entry
2. And your Exit
3. When not to follow it
Below is the MT4 indicator which i have
http://help.geckosoftware.com/40manu...n/pict_don.gif http://support.motivewave.com/wp-con...an-Channel.png
It's a BREAKOUT strategy and used by some seniors like those at DailyFX
I particularly don't know too much about breakouts and as such there are many fake breaks
but this strategy has the following
1. It is said like majority of Trading Indicators, this is better if used for higher time frames like 1HR and above even better
2. Its a trend following tool, following current trend is very vital
3. must check that that both the Market and that pair must be in a volatile situation like 40%+
this can be checked at the DailyFX site
4. Any Pair can be traded
5. the bad thing is and Iam not sure if this is the case, it is said that the STOP LOSS must be placed on one of the channel lines and sometimes they are very apart like 300 pips!!!
If there is anyone that trades this indicator, please share your knowledge on this and most importantly
1. What is your Entry
2. And your Exit
3. When not to follow it
Below is the MT4 indicator which i have
http://help.geckosoftware.com/40manu...n/pict_don.gif http://support.motivewave.com/wp-con...an-Channel.png
Attached File(s)
donchian_channel.mq4
2 KB
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1,025 downloads