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LON-NY Breakout

  • #1
  • First Post: Edited Jun 16, 2014 11:21pm Jun 14, 2014 1:58am | Edited Jun 16, 2014 11:21pm
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
Hi All,

First of all this is a system that has not been fully developed yet but visually as you see it looks like one that could be very profitable. Maybe it has been before but I personally have never see it.

Basically we are trading the breakout of BOTH the previous London AND NY trading sessions.

The white boxes on the chart represent BOTH the London and NY trading sessions for each day.

Attached Image (click to enlarge)
Click to Enlarge Name: eurjpyh1-lny-breakout.png Size: 74 KB


This system will trade the breakout of the levels set by the previous box (see red lines)

Attached Image (click to enlarge)
Click to Enlarge Name: eurjpyh1-lny-breakout-red-lines.png Size: 63 KB


As you can see the breakout can happen at anytime after the session has closed.
The breakout could also happen during the next London and NY session. We are free to trade the breakout as and when we see fit.

Below is a template so that you can quickly apply to your charts and quickly see for yourselves the opportunity that is presented.
NOTE - You will need to set the indicator to reflect the timezone of your own MT4 servers.

Attached File(s)
File Type: tpl lon-ny-breakout-black-v2.tpl   247 KB | 790 downloads | Uploaded Jun 16, 2014 11:20pm
Attached File(s)
File Type: ex4 BreakOut_BOX_4_NewYork_OpeningRange_indicator.ex4   7 KB | 1,114 downloads
An expert is a man who has made all the mistakes which can be made
  • #2
  • Jun 14, 2014 2:14am Jun 14, 2014 2:14am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
This can be traded as you see fit and looks like it could work on any pair.


My idea is to scalp the breakout by setting market orders.

Stop Loss would be small like 10 pips with a move to BE once the trade moves 5 pips in our favour. We want to try and let the trade run as much as possible so we can get the most out of the big moves.
An expert is a man who has made all the mistakes which can be made
  • #3
  • Jun 14, 2014 2:19am Jun 14, 2014 2:19am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
It works well on pairs that trend well like EUR/AUD and AUD/USD

EUR/AUD
Attached Image (click to enlarge)
Click to Enlarge Name: euraudh1-lny-breakout.png Size: 63 KB



AUD/USD
Attached Image (click to enlarge)
Click to Enlarge Name: audusdh1-lny-breakout.png Size: 59 KB
An expert is a man who has made all the mistakes which can be made
  • #4
  • Jun 14, 2014 3:32am Jun 14, 2014 3:32am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
gbp/usd
Attached Image (click to enlarge)
Click to Enlarge Name: gbpusdh1.png Size: 58 KB




gbp/jpy
Attached Image (click to enlarge)
Click to Enlarge Name: gbpjpyh1.png Size: 74 KB
An expert is a man who has made all the mistakes which can be made
  • #5
  • Jun 14, 2014 4:01am Jun 14, 2014 4:01am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
I am yet to trade this system even in demo.

This is something I came across while playing around with my charts and thought that the potential was very visible to me. I decided to post it now as I see very big potential in it and would like to share with others who also see the potential.

I have no coding skills so I don't have yet have a way to easily back-test this other than using my eyes. I would eventually hope that this develops and we can optimise the Stop Loss and Trailing Stop for each pair.

I aim to start up a demo account to trade this system manually next week using the following pairs:

EUR/USD, EUR/JPY, GBP/USD, GBP/JPY, EUR/AUD, AUD/USD
An expert is a man who has made all the mistakes which can be made
  • #6
  • Jun 14, 2014 4:07am Jun 14, 2014 4:07am
Ok - so move on and post your results starting from the next week ! I'm curious, bcz (as you surely know) a lot of attemtes exist here and elsewhere for trading the LON-NY BO's ! What are you doing different ?
  • #7
  • Jun 14, 2014 4:23am Jun 14, 2014 4:23am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
Quoting DerBerliner
Ok - so move on and post your results starting from the next week ! I'm curious, bcz (as you surely know) a lot of attemtes exist here and elsewhere for trading the LON-NY BO's ! What are you doing different ?
I personally have yet to come across a system that trades the breakout of BOTH the London AND NY Sessions. I would be interested to see if this has already been done.

I am yet to fully develop my strategy for trading this. But my idea is to attempt to scalp it with 5 pips (1% of account) but try to hold out for a bigger move (which appears to happen very often at those BO points.)

My overall goal is to make around 3% a day consistently.
An expert is a man who has made all the mistakes which can be made
  • #8
  • Jun 14, 2014 4:30am Jun 14, 2014 4:30am
Quoting Neio
Hi All, First of all this is a system that has not been fully developed yet but visually as you see it looks like one that could be very profitable. Maybe it has been before but I personally have never see it. Basically we are trading the breakout of BOTH the previous London AND NY trading sessions. The white boxes on the chart represent BOTH the London and NY trading sessions for each day. {image} This system will trade the breakout of the levels set by the previous box (see red lines) {image} As you can see the breakout can happen at anytime after...
I place the indicator file at the indicator folder so do the template at template folder.

When i load your template , no box is drawn, but I do see your grey white candle
Learn to Trade is Important. Keep your bias & ego aside.
  • #9
  • Jun 14, 2014 4:59am Jun 14, 2014 4:59am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
Quoting chaosbun
{quote} I place the indicator file at the indicator folder so do the template at template folder. When i load your template , no box is drawn, but I do see your grey white candle
I just tried this on a new install on a different PC and worked fine for me. Anyone else having this trouble?
An expert is a man who has made all the mistakes which can be made
  • #10
  • Jun 14, 2014 5:21am Jun 14, 2014 5:21am
Quoting Neio
{quote} I just tried this on a new install on a different PC and worked fine for me. Anyone else having this trouble?
Hi Neio, thanks a lot for that. are those files set up for MT4 or MT5, because I added the files to the respective folder and can't see them in my MT4 platform
  • #11
  • Jun 14, 2014 5:26am Jun 14, 2014 5:26am
Quoting beryl
{quote} Hi Neio, thanks a lot for that. are those files set up for MT4 or MT5, because I added the files to the respective folder and can't see them in my MT4 platform
Everything is fine, it's working I can see the boxes in blue.
Thanks
  • #12
  • Jun 14, 2014 5:30am Jun 14, 2014 5:30am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
Quoting beryl
{quote} Hi Neio, thanks a lot for that. are those files set up for MT4 or MT5, because I added the files to the respective folder and can't see them in my MT4 platform
Hi Beryl,

MT4

Neio
An expert is a man who has made all the mistakes which can be made
  • #13
  • Jun 14, 2014 5:31am Jun 14, 2014 5:31am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
Trade as you see fit. But here are my rules which I will do my best to follow next week.
I will trade using Market orders that I will aim to set shortly after 22:00 GMT (NY Close) each day

My Rules
1. Stop Loss = 10 pips (currently for all pairs)
2. Stop Loss will be moved to BE once in profit by 5 pips (manually)
3. I will not trade the same breakout after one loss. I can trade again if BE or profit taken.
4. Breakouts can be taken both ways on the same day.
5. Nominal TP will be set to 50 pips (but discretion is used to take profit at any time above 5 pips)

The above is the way I intend to trade this but I may not trade exactly like that as I will not be monitoring the platform 24hrs (need an EA on a VPS for that)
An expert is a man who has made all the mistakes which can be made
  • #14
  • Jun 14, 2014 5:47am Jun 14, 2014 5:47am
Quoting Neio
Trade as you see fit. But here are my rules which I will do my best to follow next week. I will trade using Market orders that I will aim to set shortly after 22:00 GMT (NY Close) each day My Rules 1. Stop Loss = 10 pips (currently for all pairs) 2. Stop Loss will be moved to BE once in profit by 5 pips (manually) 3. I will not trade the same breakout after one loss. I can trade again if BE or profit taken. 4. Breakouts can be taken both ways on the same day. 5. Nominal TP will be set to 50 pips (but discretion is used to take profit at any time...

and which is the preferred time frame?
  • #15
  • Jun 14, 2014 5:49am Jun 14, 2014 5:49am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
Quoting beryl
{quote} and which is the preferred time frame?
The breakout levels will be the same no matter what time frame you are looking at. I personally will monitor using the H1 time frame.
An expert is a man who has made all the mistakes which can be made
  • #16
  • Edited 6:49am Jun 14, 2014 6:28am | Edited 6:49am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
LON-NY Breakout Levels for Market open next week...

These are prices that the bid line must cross for the order to trigger. I will set the orders shortly after the market reopens again as long as price has not already crossed.

EURUSD
Buy @ 1.3579
Sell @ 1.3519

Attached Image (click to enlarge)
Click to Enlarge Name: eurusdh1-20140614-01.png Size: 30 KB



EURJPY
Buy @ 138.55
Sell @ 137.95
(Ignore the buy line on there at the moment...that is a different strategy)

Attached Image (click to enlarge)
Click to Enlarge Name: eurjpyh1-20140614-01.png Size: 28 KB



GBPUSD
Buy @ 1.6990
Sell @ 1.6940

Attached Image (click to enlarge)
Click to Enlarge Name: gbpusdh1-20140614-01.png Size: 26 KB


GBPJPY
Buy @ 173.35
Sell @ 172.77

Attached Image (click to enlarge)
Click to Enlarge Name: gbpjpyh1-20140614-01.png Size: 30 KB


EURAUD
Buy @ 144.61
Sell @ 143.86

Attached Image (click to enlarge)
Click to Enlarge Name: euraudh1-20140614-01.png Size: 28 KB


AUDUSD
Buy @ 0.9420
Sell @ 0.9373

Attached Image (click to enlarge)
Click to Enlarge Name: audusdh1-20140614-01.png Size: 32 KB
An expert is a man who has made all the mistakes which can be made
  • #17
  • Jun 14, 2014 8:13am Jun 14, 2014 8:13am
Interesting... will be watching,
similar thread you can see ant Babypips... http://forums.babypips.com/free-fore...ng-system.html
very promising
Good Luck
JacekPreserve Precious Capital
  • #18
  • Jun 14, 2014 8:21am Jun 14, 2014 8:21am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
Quoting Jackub
Interesting... will be watching, similar thread you can see ant Babypips... http://forums.babypips.com/free-fore...ng-system.html very promising Good Luck
Thanks Jackub. Appreciate your interest and will check out the link you posted.

It is a shame I don't have any stats to backup what I believe I can see in the charts. Hopefully I can do the demo for long enough to show that this is a profitable system. It seems to show quite clean powerful breakouts a lot of the time. I hope to catch the majority of these moves while limiting the affect of false breakouts.
An expert is a man who has made all the mistakes which can be made
  • #19
  • Jun 14, 2014 9:37am Jun 14, 2014 9:37am
Quoting Neio
{quote} Thanks Jackub. Appreciate your interest and will check out the link you posted. It is a shame I don't have any stats to backup what I believe I can see in the charts. Hopefully I can do the demo for long enough to show that this is a profitable system. It seems to show quite clean powerful breakouts a lot of the time. I hope to catch the majority of these moves while limiting the affect of false breakouts.
NAH... NOT SHAME AT ALL..
its forum for thinking people not a free store for ready made stuff...
concerning your boxes, have a little problem take look at my screen shot...
Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot_31.png Size: 30 KB


this is a special case when last candle close is a day high and box is not showing this corectly....
JacekPreserve Precious Capital
  • #20
  • Jun 14, 2014 9:56am Jun 14, 2014 9:56am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
Quoting Jackub
{quote} NAH... NOT SHAME AT ALL.. its forum for thinking people not a free store for ready made stuff... concerning your boxes, have a little problem take look at my screen shot... {image} this is a special case when last candle close is a day high and box is not showing this corectly....
Yeah I noticed that. Not sure if that is a problem with the indicator but we just need to adjust slightly for such situations. The fact is that I will be setting my market orders after 22:00 GMT so would only set the orders after NY close candle. I will not be setting orders where price has already passed the breakout point.
An expert is a man who has made all the mistakes which can be made
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