Hi everyone,
This is the first time I post a system, first of all, sorry about my english.
I am a partial time trader, I have not enough time to trade in 15m/1h tf's, so I tried to find a system to work on 4h-day tf. And what I was looking for was a system with conservative signals, I want to have a few trades with a lot of potential and a lot of possibility of success.
I have been the last month watching videos and seminars from different pro's and I found very interesting David Elliot ones about technical, and also Steve Nison and Al brooks about price action, and I said, why don't mix all 3?
I have been doing that mix on the last month and it has been working really good.
What do we need for that system:
- 1st More important: S&R + trend analysis. My first step is always open the chart, go 1day tf, zoom out, identify main S&R & identify if we are on a range or trend.
- 2nd From David Elliot I add to the chart the SOAP system that would be on the same graph Stoch (8,5,5) Stoch (17,3,3) and RSI(2). That gives me the fast signal, and I will explain it later.
- As a 3rd tool I am using a TDI indicator, and that gives me the security on my entrance
What else do I use? I use a SMA 200 , From David Elliot I took also the MOBO system with a BB (10, 0.8) and sometimes I take also support on Fiboncci ratio's, as for taking possible TP's. As last indicator and final confirmation I do use a CCI.
How do I proceed?
First step I analyze charts on daily time frame and I watch which ones I want to trade, and I chose the ones near supports or resistances, or the ones on ranges If i want to scalp. Then I draw my supports etc... that would be my first step, then I get an idea of what would I trad in each of those.
Then I add my indicators, Stochs with RSI and TDI.
My first signal and the most wrong one should be ur RSI (2) on the stochs graph. This is the fastest signal, but some of them are right, so how to identify the good ones? I check Stochs crosses. For example for a buy: If Stoch 8,5,5 crosses over stoch 17,3,3 then and RSI 2 is crosing over 50 line, then I have my first buy potential signal ( Remember always in a good "price action" situation) In that case in a support, or on the bottom of a range. Would be the opposite for a short.
Then I watch TDI, in the same example: TDI should be crossing red over green and near the lower BB, and as I said I want secure trades, so I don't get a buy trade if the cross is not close to the lower BB ( the opposite for a short position)
Then we have a triple confirmation. We are on a support, our stochs are giving us a signal, TDI confirmates it, same our fast RSI(2). Sometimes I use CCI as 3rd confirmation. Then we have our buy trade.
For S/L and TP I use Some PA strategies like the tail of a candle for a S/L or the last wave for TP... its more personal about R:R . But U can also use Fibo for TP or targets. I normally use the 50% retracemennt as first Target, and 61,8 or second, but always if the progression is confirmed by good candlestick progression ( no doji's, no evening starts... etc..)
As S/L I recommend u to use tails of candles or the resistance or support.
Normally TP will be around 60-100 Pips, and S/L should be around 20-25.
I will post pics of my trades.
I am here for all your doubts!!
This is the first time I post a system, first of all, sorry about my english.
I am a partial time trader, I have not enough time to trade in 15m/1h tf's, so I tried to find a system to work on 4h-day tf. And what I was looking for was a system with conservative signals, I want to have a few trades with a lot of potential and a lot of possibility of success.
I have been the last month watching videos and seminars from different pro's and I found very interesting David Elliot ones about technical, and also Steve Nison and Al brooks about price action, and I said, why don't mix all 3?
I have been doing that mix on the last month and it has been working really good.
What do we need for that system:
- 1st More important: S&R + trend analysis. My first step is always open the chart, go 1day tf, zoom out, identify main S&R & identify if we are on a range or trend.
- 2nd From David Elliot I add to the chart the SOAP system that would be on the same graph Stoch (8,5,5) Stoch (17,3,3) and RSI(2). That gives me the fast signal, and I will explain it later.
- As a 3rd tool I am using a TDI indicator, and that gives me the security on my entrance
What else do I use? I use a SMA 200 , From David Elliot I took also the MOBO system with a BB (10, 0.8) and sometimes I take also support on Fiboncci ratio's, as for taking possible TP's. As last indicator and final confirmation I do use a CCI.
How do I proceed?
First step I analyze charts on daily time frame and I watch which ones I want to trade, and I chose the ones near supports or resistances, or the ones on ranges If i want to scalp. Then I draw my supports etc... that would be my first step, then I get an idea of what would I trad in each of those.
Then I add my indicators, Stochs with RSI and TDI.
My first signal and the most wrong one should be ur RSI (2) on the stochs graph. This is the fastest signal, but some of them are right, so how to identify the good ones? I check Stochs crosses. For example for a buy: If Stoch 8,5,5 crosses over stoch 17,3,3 then and RSI 2 is crosing over 50 line, then I have my first buy potential signal ( Remember always in a good "price action" situation) In that case in a support, or on the bottom of a range. Would be the opposite for a short.
Then I watch TDI, in the same example: TDI should be crossing red over green and near the lower BB, and as I said I want secure trades, so I don't get a buy trade if the cross is not close to the lower BB ( the opposite for a short position)
Then we have a triple confirmation. We are on a support, our stochs are giving us a signal, TDI confirmates it, same our fast RSI(2). Sometimes I use CCI as 3rd confirmation. Then we have our buy trade.
For S/L and TP I use Some PA strategies like the tail of a candle for a S/L or the last wave for TP... its more personal about R:R . But U can also use Fibo for TP or targets. I normally use the 50% retracemennt as first Target, and 61,8 or second, but always if the progression is confirmed by good candlestick progression ( no doji's, no evening starts... etc..)
As S/L I recommend u to use tails of candles or the resistance or support.
Normally TP will be around 60-100 Pips, and S/L should be around 20-25.
I will post pics of my trades.
I am here for all your doubts!!
