A "new" simple system based on MA

EUR/USD H4 Chart

Placed a pending sell stop at 1.33851

Hi all,

I just started into trading like 1,5 mounths ago and learnead allot during this time. In fact so much that even when i sleep i dream of trading lol.

I thank hmaoui for sharing with us this great system and all the contribuitors, the best of what i found so far on FF, simple ruls, good for small TF and small capital like mine, very good R/R asswell. Now my only problem is finding a good MM plan.

I just finished reading it all, took some time for me (im dislexic), but it was defenently worth it. Now ill just have to read a bit about hmaoui suggestion for james16 tread on PA, but...1600+ pages , but ill manage somehow. Gonna start demo trading to, and ill try to come with some charts.

Again thank you for sharing this great system.

PS: Sorry for my bad english.

Hello All, i'm back

I just wrote a helper for this great system. It isn't a signal indi because of MACD divergence, trading times, etc. (!!!) These things not implemented in the indi. It looks just 3 TF EMA-s, and the MACD signals. If all is together, it print an arrow on the screen. It shows arrows just on the trading timeframe (M5 default), on higher TFs it isn't.

You can set the timeframes (in minutes), defaults are:

tradingTFChartMins = 5;
midChartMins = 15;
hiChartMins = 60;




M1:1
M5:5
M15:15
M30:30
H1:60
H4:240
D:1440
don't use weekly or mountly settings in this version, i'm not tested it.






... and the MACD and EMAs values.

Here work fine the indi:


and here totaly failed:


so do not trade this signals, before not mastered the system manually! I wrote this just for practice the system rulez, not for trading automatically.

The indicator:


Green pips for all!

Today morning i buy EU, it closed at BE:


After this i buy AU after pullback; it's bullis on higher TFs, but i lost this trade:


Wat was here wrong? False timing? Or the entry was ok?
Thx

@bowforex

i will give you my side of thoughts:

eurusd: you are are in front of a barrier - at the top was R1(1,3540) and the high from yesterday(1,3541), why not taking the pips at that part(hmaoui always said, take the pips at a barrier or start from there)...you would have 20 pips. If not, then your stop should be under the second green candle, the red rversalcandle and then out or at least under this red candle.

aususd: Learn with the 5 minute and then, go with the speedy M1 one. Drive a normal car well, and then go with the ferrari
1. At that time, the aussi range even had had 112% from the daily atr(5) range. If you are at the range of 5 or 10 day ADR(average daily range), expect a pullback or sideway - only if there are important news, then it is going on.
2. Just topped R2 and then back, expect at R2 or more a barrier or the top - good for pullback.
3. It went up since 4 hours, one direction without a big pullback and at the final a typical finalbubble - read about the guppy bubble - expect no more running/big move.
4. i think the signs are not correct in the chart, at that time was a green M5 candle, stoch under 50, stop should be under this green candle. Going in at close M5 9427, stop under the candle 9418 or swinglow 9415(stop10 or 13 pips)....1%...well stopped out, that happened , nothing is perfect.
Technically correct in, but the area and circumstances were not very good to expect a further big move in that direction. Take better setups, like hmaoui said"focus on A++" setups
5. If you would go in with the M1, you have had to go earlier in and earlier out/stopped out


Look at hmaouis old trades, look from top to bottom for A++
okay, just my thought about the trades - perhaps it helped you.

Thank You very mach, really very instructive!

@all

hi, bowforex wrote me an interesting question - i ask him to public and discuss it with all. Perhaps we can put everything together and hmaoui write it at the first page.

from bowforex

Hello,

i would like to ask, how can You (or Hmaoui) these rulez and characteristics see together? I mean, what You wrote to my aussi trade.

I'm trying to get A++ setups, but i not find the key for it. What You watch, if You think, a trade is A++? Maybe use a checklist? Or it's come from experience?
I read trough the thread, and i can't see something what other can, whos trade success this system.

Thank You very much for the previously answer, and if You have time, please write me! (and sorry for my english


Will write later - tonight my thoughts

@bowforex, don't worry about your english, my one is bad too, i am not a native speaker too

@opips thank You for publication!

Some more thoughts:

When i sitting to my computer, how i begin?
When i like to trade M5-M15-H1 trio, then i look first the H1 charts? What am i looking for?

Looking for perfect trend like this:

, and then switch down to M15-M5 and wait for a pullback?

or i looking for pullback on H1, and try to find the reversal of the pullback on lower TF?

..or maybe i watch the lower TF for pullback, and when i find one, check the higher TF, and if on M15-H1 are fine trends, i jump in with the system rulez?

NU sell, bearish trend ok on M15-H1, 16 pips
I scalped because of my low account size, but the price goes lower.

@bowforex, good NU trade, your lines the diagonal and horizontal a perfect
If you look to the higher timeframe, your pullback or setup has more power and value - how many times you have a rsi/stoch pullback in the H4 or H1 and in M1 and hwho has more power? The pullback in H4/H1 and in this a pullback M1? Or only the pullback somewhere and sometime in M1?
Your first timeframe should give you the main direction or what happend - the autobahn - the next one your setup(mainstreet) and the last timeframe is the triggertimeframe(little sandstreet or villagestreet). From the power it is like a big river, a little and a stream.
If and when there are including some S/R of the higher timeframes and perhaps 00/50 and pivotlines, much better then just in nowhere. You can scalp it for some pips, but it is like swimmiing aginst a strong river...you can swim against direction, but for how long?
You can go bottom up or top down, just have to know, were you are - were is your autobahn, strong river - and when a new autobahn/street starts(breaking the LT, ST crossing LT, seperated).
Look at this picture from a wonderful trader, explained everything
http://www.forexfactory.com/showthre...43#post6913443
And now look, where you are, which timeframe and possible turningpoints into the higher timeframe direction or pullbackpoints (S/R), then you have hmaouis A++ setups.
But like i said with the driving - first learn to drive or walk, then run. To learn just the hmaoui setup with the trend.

I like, when the LT(longterm group guppy) M15 is in the same direction with LT M5 and ST M5 seperated, RSI/stoch >50, then pullback 3-5 M5 candles, the last ones gets smaller and then a reversalcandle or a new lowcandle.

Read the lecture about daryl guppy - bubble, seperation, what it means short with longterm together or crossing, what can you expect and what not to do at that moment?!!!
Like you go into the supermarket, you eat everything or buy everything, every crap - NO. You wait, till you get the best price or buy only,what you want and is good. Same here - you wait with your bow and at the best moment you shot, but not for an ant, wait for a cow or deer or elefant

@bowforex

checklist(a lot i do is just trained after many times of viewing, starting etc. - so you do it, even without thinking about....running, or bicycle, because once learned)

first, top down, looking for:

Which news for today, calendar
H4/H1 guppy, SR points and lines
yesterday big/little, narrow range, outside range, inside candle, new highs or lows - where we are in total to high/low/open/50% of week and month(how much from range used), last swing high/low, how much from todays range used
last H4/H1 high/low/open etc
todays high/low/open/50%, pivot(above or under PP) where are the next, next 00/50 , how much from todays range used
question for myself: where are my trends - big, middle and short trend - is there a trend, where is the pipsrate depending the ranges, have we stil gas or out of fuel(remember your aussi trade) , am i in a pullback of the higher timeframes (against them, short trend) or with the power trend?

trend example: best long ((ST>LTM5)>LTM15)>H1, waiting for SR, pullback etc.


that is more or less my internal list,have to think again about that....

perhpas it helps you - i like to use HA , heiken ashi, charts in the higher timeframe H1;H4,D etc. you can see better the pullbacks, swings, trendlines, 1-2-3, HH-HL etc. In metatrader, you can have everything in on chart, just evaluate the indicator with another/specific timeframe (so if you go to M5, you have other indicator in then H1, another picture, but the same chart...top down - bottom up)
orange = open day thin, thicker week, thickest month
blue = 50% preday, week ,month dito green = high preday,etc. red = lowpreday, ...

Wow, thank You for Your great descriptions, give me some time to understand it before i response (or ask somethings) !

and now the same aussi situation for you - just use your eyes and get a feeling, interpretation...it is the same time,same chart,same possibilities for your bow!!!, but the trigger
orange is the LT guppy(thin 30EMA, thick 60EMA) of H1, limegreen same H4.....look how easy you can find pullbacks with the trend, but you have to know in which trend you are big river, with against, middle..little...great picture from emmanuel(all M15 charts, last with normal candles)
Like hmaoui used in his last trade, perhaps this pictures help you to see, why hmaoui is always saying "look to the bigger timeframes"...you will know, where the big river is or just a little bit of water...guppyyyyyy

Hi ! Welcome in our thread ! I know that James16 thread is little bit long. You can also learn on Wikipedia, or babypips as well.

That's exactly like that you have to trade ! FOCUS on A++ trades. Also using the same indicator for all TF is not enough. Because if you trade on 5 min with the same trend on all TF it is a directional market and you will get your pips. But how will you trade when you have a market that have falled down on the Daily TF and that you see a possible Up divergence on 15min TF still validated on the 5 min TF ? Also the MACD indicator is a trend indicator which you can use to confirm PA relatively to EMAs. But what is your timing indicator ?

So I think that your "helper" can help us of course to identify the markets which are the best to trade : and this an important part of the job. But you cant trade only with this indicator. what I advise you is to use your helper to identify the markets which are trending, and then trade on these markets on 5min TF for example, looking at PB in EMAs confirmed by an oscillator (RSI, Stochastics, CCI, the one you master !).

Anyway I really thank you to come back, and I'd want you to try trading this way with your indicator to tell us the results you have. On my own I dont use MT4 that's why I cant test it but I think it could be a very good idea because lots of traders lost money because they dont trade on the right markets.

I think that it is a really really valuable advice for all traders trading my system ! It is exactly how I trade. I look at the main trend (Daily/H4/H1 even Weekly sometimes!). I put my S/R on the charts. If the main trend is clear, then I do not trade against it. I look at 15min and 5min to get a pullback. Sometimes I look at 1min to enter the market with a very tight SL and get a very high R/R. Then, when I see that there is a nice pullback, with nice PA (for example : Strong Bearish candles and little candles such as doji, or hammer on EMAs), and a confirmation given by an oscillator, then I jump in !!! And I can take a "big size" lot because I know that the odds are in my favor. Of course I dont know what the market will do and it is not the most important. I know that in 80% of cases it will go on the right way, and that I will get lots of pips because of a big size (not a big risk) and a high R/R ! These are A++ setups.

Right now you have good opportunities in GBP/JPY ! We broke a very important level on daily TF. Trend is safe on the H1 too ! Then go on the 15 min TF and tell me that you dont have A++ setups ??? 4 of them are underlined on the 15Min chart uploaded. I will make another post with my trades of the day on the GBP/JPY...

Hi ! If you read my last posts you know that GBP/JPY is in a strong uptrend. Looking at Weekly chart, we have a resitance at 163 (last high from 2009). In H1, we broke out an important level at 161,70. Then I went on a 5min chart to get accurate levels. I entered at 162,04 with a stop placed just under the RN level of 162 at 161,90. It means 14 pips (very tight on GBP/JPY) ! I entered again three times at 162,34 / 162,65 / 162,82. My average price of entry : 162,4625. My initial risk : 3% of my capital My profits : 53 pips....that you have to multiplied by 12% of the capital :-) (because you have entered four times).

Do the maths : with 10.000€ you get about 29 mini lots risking 3% of your capital. So at the end you get about 6200 pips = 4600€ ! You win more than 45% in a day ! You did the year :-)

How is it possible ? Do you seriously ask me ? Believe in you, be focused on A++ trades, do it like a robot and at the end of the day calm down and have a drink to appreciate life ! Nothing magic, no cheat, no complicated system with "special" indicators : Price action, Moving averages, a trend indicator, an oscillator, and a lot of discipline !!! Right now I am tired but very happy of my work. I know that money is just a consequence of doing my job correctly.

You can do it ! No need to be a mathematic genius, an MIT graduate etc... You will find lots of "gurus" who will try to sell you magic indicators that they invented, especially in forums even in FF. But believe me when I tell you that the key is in your mind and that technique is really simple !

Good night.

Hi ! Today no trade for me ! The market is flat after a good movement yesterday.