Magic 5 - five pips only | Page 11 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

There is no Magic Moving Average - You need only one 1,116 replies

Demo contest only - 20 pips TP and 20 pips stop - Any TF 54 replies

I lose 40 pips and win 6 to 10 pips... 17 replies

Need Script/EA can only generate Magic number 5 replies

spread on GBP/JPY @ alpari is 12 pips intead of 7 pips they claimed to be 6 replies

Attachments: Magic 5 - five pips only
Exit Attachments

Magic 5 - five pips only

  • #201
  • Dec 4, 2014 9:28am Dec 4, 2014 9:28am
Just testing this stategy.Here is what I get today.

Something to explain:

1.some of the trades didn't TP at 5pips,maybe 6-8pips,I think that's ok,thought that's not what tk5's suggestion

2.still being careful,so I trade in 5k(0.05lot) in a time

3.about SL,I didn't set a SL,but I agree to set SL in your mind,for example,the former swing top / bottom in 15M

4.MOST IMPORTANT,a good entry is the key to win a trade with this stategy. You don't even need SL at all,if you entry at a good price(right position),because it will be so quick to close the trade.So this is the exactly right thing we should discuss here.I follow some rule what tk5 told,it works,but you must analyse before you get in.I mean rule 50%,feeling (analyse ) 50%.Maybe we should work harder to make the rules more clear,so that we can get higher rate to win.
Attached Image (click to enlarge)
Click to Enlarge Name: magic 5 testing.jpg Size: 578 KB
Alyle
  • #202
  • Dec 4, 2014 9:28am Dec 4, 2014 9:28am
Quoting REgroup
{quote} Perhaps you can also disable the EA during the NEWS period. Hopefully, it can improve the performance. well done.
Sure just click the Autotrading button on your top menu during periods you don't want it to trade (assuming you have no other EAs running).
  • #203
  • Dec 4, 2014 9:48am Dec 4, 2014 9:48am
Quoting Alyle
Just testing this stategy.Here is what I get today. Something to explain: 1.some of the trades didn't TP at 5pips,maybe 6-8pips,I think that's ok,thought that's not what tk5's suggestion 2.still being careful,so I trade in 5k(0.05lot) in a time 3.about SL,I didn't set a SL,but I agree to set SL in your mind,for example,the former swing top / bottom in 15M 4.MOST IMPORTANT,a good entry is the key to win a trade with this stategy. You don't even need SL at all,if you entry at a good price(right position),because it will be so quick to close the trade.So...
Great result Ayle! I certainly agree that if you can't get +5 pips in three candles then you are purely gambling thereafter and should get out and look for another trade. Losses are just too damaging to results with this plan so:

"better to be on the outside of a great trade wishing you were in, than inside a rubbish trade wishing you were out!"
  • #204
  • Dec 4, 2014 10:35am Dec 4, 2014 10:35am
Quoting shoot2scoot
{quote} Great result Ayle! I certainly agree that if you can't get +5 pips in three candles then you are purely gambling thereafter and should get out and look for another trade. Losses are just too damaging to results with this plan so: "better to be on the outside of a great trade wishing you were in, than inside a rubbish trade wishing you were out!"
Thanks,shoot2scoot.

There's sth I have to say about the entry.

The market is always moving up and down,we can find out more than 50% of the candles in 1H are wider than 5pips.that means if you are clever enough,you can win 12 trade with a pair in a day.That means we have so many chances to win,if we lose a trade,the only reason is we entry in a wrong position(you can also say wrong direction).Before we entry a trade,we should think about how many space left for the price to go back,maybe former swing top / bottem,maybe the edge of consolidated area ? And you can set the SL in mind at the end of the space.If the price go though your SL in mind,that means your trade is a gamble,otherwise,you just sit there and waiting for the TP.Because the market is moving anyway,not loss,means win.

Think about that,if you open a trade follow the rules, and the positon is close enough to your SL in mind,that means more chances to win,and less loss if we lose.
Alyle
  • #205
  • Dec 4, 2014 11:02am Dec 4, 2014 11:02am
Perfect example of importance of Pivot Points!

Today in such emotional rally..price stopped and reversed exactly on daily R3 level.

Use Pivot Points to monitor critical spots of closing/opening.

http://img.ie/images/t0968.jpg
always draw trendlines
  • #206
  • Dec 4, 2014 11:05am Dec 4, 2014 11:05am
Quoting REgroup
{quote} Perhaps you can also disable the EA during the NEWS period. Hopefully, it can improve the performance. well done.
No EA, all manual here
  • #207
  • Dec 4, 2014 11:14am Dec 4, 2014 11:14am
Quoting tk5
Perfect example of importance of Pivot Points! Today in such emotional rally..price stopped and reversed exactly on daily R3 level. Use Pivot Points to monitor critical spots of closing/opening. {image}
Tk5,

This morning you posted that the retrace shouldn't be traded so now I'm wondering if you plan to short EU if this red candle closes below 5MA. Thanks in advance for your reply
  • #208
  • Dec 4, 2014 11:16am Dec 4, 2014 11:16am
Quoting gigicualex
{quote} Tk5, This morning you posted that the retrace shouldn't be traded so now I'm wondering if you plan to short EU if this red candle closes below 5MA. Thanks in advance for your reply
no..just to show sth else.

but it's tradable if you are attentive since it's trend exhaustion point. its down 10 pips already.
always draw trendlines
  • #209
  • Dec 4, 2014 11:33am Dec 4, 2014 11:33am
Quoting Alyle
Just testing this stategy.Here is what I get today. Something to explain: 1.some of the trades didn't TP at 5pips,maybe 6-8pips,I think that's ok,thought that's not what tk5's suggestion 2.still being careful,so I trade in 5k(0.05lot) in a time 3.about SL,I didn't set a SL,but I agree to set SL in your mind,for example,the former swing top / bottom in 15M 4.MOST IMPORTANT,a good entry is the key to win a trade with this stategy. You don't even need SL at all,if you entry at a good price(right position),because it will be so quick to close the trade.So...
Alyle

great results, but would you mind posting a few charts to show your trades please, I can't quite figure out your timezone to enable me to find your trades on my platform.

Thanks
Getting there, slowly but surely...
  • #210
  • Dec 4, 2014 11:40am Dec 4, 2014 11:40am
Congrats tk5, nice job. I like this post very much.

Here is my first trade.

The only fact is that i was in the wrong side of ema200. But i wanted to try anyways because you can find little moves everytime, i know it is safer if you are on the right side of ema200.

+5

Thanks
Attached Image (click to enlarge)
Click to Enlarge Name: USDCHFM15 1.png Size: 27 KB
  • #211
  • Dec 4, 2014 2:28pm Dec 4, 2014 2:28pm
Second trade. Already closed with +5.6 could be more but i had to leave the pc in that moment.

Have a nice day
Attached Image (click to enlarge)
Click to Enlarge Name: USDCHFM15 2.png Size: 29 KB
  • #212
  • Dec 4, 2014 3:00pm Dec 4, 2014 3:00pm
the first ea made some trades. I uploaded undated ea and as I understand the rsi must cross the 30 /70..as well as the ema cross... is this correct.the updated version has not traded I am using usd/chf 15 min..... thanks for the help................
  • #213
  • Edited 4:11pm Dec 4, 2014 3:54pm | Edited 4:11pm
The EA placed another trade last night, here's the chart. This one was a winning trade, but what I found interesting was the place it chose to trade, and the EMA200 level and the RSI direction...

Circled is the trade area.

Attached Image (click to enlarge)
Click to Enlarge Name: ea 4.png Size: 84 KB
Life is like a snickers, its full of nuts!
  • #214
  • Dec 4, 2014 6:02pm Dec 4, 2014 6:02pm
Quoting Alyle
You don't even need SL at all,if you entry at a good price(right position),because it will be so quick to close the trade.
No SL is exactly what will kill the strategy. By doing so, you will have a too poor R:R and your losses will be far over your gains.
MT4/MT5 EAs/Indicators/Alerts coder
  • #215
  • Dec 4, 2014 6:18pm Dec 4, 2014 6:18pm
I agree with the 3 or 4 candle rule where if the trade is not moving in the right direction within 3 or 4 candles, close the trade if the SL has not been hit yet.

Always use a SL. I use the low of the most recent opposite candle as per the original rules but it has never been hit for me because 4 of 5 trades won and the 5th I closed myself after 3 candles for a loss of 5p.

Also I use a target of 20 but manage the trade using a manual trailing stop so I can milk a win as much as I can.

I also move my stop to +1p as soon as the +5p is reached so should it reverse I still pick up a profit but again out of my 5 trades, none of them hit this SL.
Winners add to winning trades!
  • #216
  • Dec 4, 2014 6:31pm Dec 4, 2014 6:31pm
Quoting marshalmax
I agree with the 3 or 4 candle rule where if the trade is not moving in the right direction within 3 or 4 candles, close the trade if the SL has not been hit yet. Always use a SL. I use the low of the most recent opposite candle as per the original rules but it has never been hit for me because 4 of 5 trades won and the 5th I closed myself after 3 candles for a loss of 5p. Also I use a target of 20 but manage the trade using a manual trailing stop so I can milk a win as much as I can. I also move my stop to +1p as soon as the +5p is reached so should...
That's exactly the way to achieve nice R:R
MT4/MT5 EAs/Indicators/Alerts coder
  • #217
  • Dec 4, 2014 6:44pm Dec 4, 2014 6:44pm
Here's an example.

I entered late but within minutes was up to +5p so I moved my SL to +1p and watched it with the intention of moving my SL to the top of each candle once a new candle began forming.

I then took a phonecall and price rapidly moved to my target of 20 and autoclosed. Happy days!
Attached Image (click to enlarge)
Click to Enlarge Name: GJ20141205m15.jpg Size: 118 KB
Winners add to winning trades!
  • #218
  • Dec 4, 2014 6:50pm Dec 4, 2014 6:50pm
Quoting marshalmax
Here's an example. I entered late but within minutes was up to +5p so I moved my SL to +1p and watched it with the intention of moving my SL to the top of each candle once a new candle began forming. I then took a phonecall and price rapidly moved to my target of 20 and autoclosed. Happy days! {image}
MT4/MT5 EAs/Indicators/Alerts coder
  • #219
  • Dec 4, 2014 6:53pm Dec 4, 2014 6:53pm
Quoting FerruFx
{quote} That's exactly the way to achieve nice R:R
Exactly. That trade I just posted was around 1:1.3 RR. I tend to set my target to same value as the initial SL but move that SL as soon as I can.
Winners add to winning trades!
  • #220
  • Dec 4, 2014 7:15pm Dec 4, 2014 7:15pm
I have updated the trading EA to reflect some of the very good ideas in this thread.

please refer to post #149

The significant changes are -

Trading Hours can be nominated
3 News avoid times can be specified
Min break of SMA can be specified ie. a good clean pass through the short moving average.
Max number of candles for result can be nominated and then trade will be closed

If any of these inputs are left at zero they will be ignored

With all the configurable parameters there are endless possibilities but be aware of "curve fitting" when optimising the parameters during back tests.

The EA is by no means a substitute for good judgement but does provide an emotionless set of rigid trading rules. The thread is progressing well and I acknowledge that tk5 has given us not only a very thought provoking trade idea, but plenty of brain food for evaluating our own trading styles so please read his posts very carefully.
Attached File(s)
File Type: mq4 5 Pips System.mq4   12 KB | 457 downloads
0 traders viewing now