A Proven Simple Strategy (2MAs, 1 RSI) | Page 6 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Renko trading using proven strategy 696 replies

Help Needed to Debug Existing EA with proven strategy 760 replies

Daytrading/scalping with high leverage - my proven strategy 8,734 replies

Looking for proven scalping strategy to program 1 reply

where is the "simple proven system" thread gone? 3 replies

Attachments: A Proven Simple Strategy (2MAs, 1 RSI)
Exit Attachments

A Proven Simple Strategy (2MAs, 1 RSI)

  • #101
  • Jan 20, 2016 11:08am Jan 20, 2016 11:08am
though I'm no expert coder or tester, I think we need first to prove that the system works over different pairs and periods before tweaking the settings like lotsize or ema high-low.
MA settings, Rsi settings, SL/TP/TS are the things we should look at.
But first we need to make sure our test results are reliable (modelling quality, mismatches, journal errors....).
All easier said than done...
  • #102
  • Jan 20, 2016 12:32pm Jan 20, 2016 12:32pm
Quoting Xman43
though I'm no expert coder or tester, I think we need first to prove that the system works over different pairs and periods before tweaking the settings like lotsize or ema high-low. MA settings, Rsi settings, SL/TP/TS are the things we should look at. But first we need to make sure our test results are reliable (modelling quality, mismatches, journal errors....). All easier said than done...
Very good point.

As I mentioned in the first post. What makes this system work well is when it is traded very diversely(on a bunch of different pairs or a basket) because it will perform better on certain pairs at different times. But if you trade a bunch of them at once they should average each other out and create a very smooth equity curve.

As said by fti in another thread, "studies(or systems) can work in some market conditions all the time, all market conditions some of the time, but not all market conditions all of the time."

This system or any system will not work on every pair all of the time. Thankfully with a properly designed system it doesn't have to and the pairs that work during certain times will pick up the slack of the pairs that are not working as well.
  • #103
  • Jan 20, 2016 1:43pm Jan 20, 2016 1:43pm
http://www.easyexpertforex.com/backt...imization.html
bumped onto this site. Interesting (to me at least, maybe basic knowledge for others)
They discuss how to correctly optimize, then backtest in MT4 and how to forward test.
Just fyi.
I will have a look as soon as I can give myself some spare time. I don't want to dismiss this strategy (nor use it for real) without solid proof.
  • #104
  • Jan 20, 2016 1:51pm Jan 20, 2016 1:51pm
Quoting Xman43
http://www.easyexpertforex.com/backt...imization.html bumped onto this site. Interesting (to me at least, maybe basic knowledge for others) They discuss how to correctly optimize, then backtest in MT4 and how to forward test. Just fyi. I will have a look as soon as I can give myself some spare time. I don't want to dismiss this strategy (nor use it for real) without solid proof.

Outstanding link!!!! Thank you!
When trading: "Empty your mind, be formless. Shapeless, like water."
  • #105
  • Jan 20, 2016 6:45pm Jan 20, 2016 6:45pm
Quoting Xman43
http://www.easyexpertforex.com/backt...imization.html bumped onto this site. Interesting (to me at least, maybe basic knowledge for others) They discuss how to correctly optimize, then backtest in MT4 and how to forward test. Just fyi. I will have a look as soon as I can give myself some spare time. I don't want to dismiss this strategy (nor use it for real) without solid proof.
I am glad that you are interested in BT but what do you think we are doing here all the time? Beach voleyball? I spend a lot of hours/days with proven bactest of this strategy. Try it. Only EURUSD will take you few days of your live. It's not necessary to write here how we can make a quality backtest. It's for another thread. If you haven't any good reason to show us some improvement then just look, download and use it. I don't know how long have you been on forex market but there isn't any solid proof. Just history and prediction or hope of similar move. Do you have courage use it under this conditions?
  • #106
  • Jan 22, 2016 1:17am Jan 22, 2016 1:17am
I have been testing&optimizing AUDUSD and GBPJPY . Seems to be good pairs for this strategy in long term as well.
  • #107
  • Jan 22, 2016 4:07pm Jan 22, 2016 4:07pm
I finally let the system run on auto today and got outstanding results. Will continue to front test for a week or two, then maybe go live.

Enjoy:
Attached Image (click to enlarge)
Click to Enlarge Name: 22.01.PNG Size: 56 KB
When trading: "Empty your mind, be formless. Shapeless, like water."
  • #108
  • Jan 22, 2016 4:30pm Jan 22, 2016 4:30pm
[quote = Shemski; 8707256] finalmente dejar que el sistema de ejecucin en auto hoy y consigui excelentes resultados. Continuar la prueba delante de una semana o dos, entonces tal vez ir a vivir. Disfrute: {image} [/ quote]


Hi Shemski,
Really good results!
with that configuration EA ? all pairs with the same configuration ?
Great find !, now see the evolution forward !!
Greetings!
  • #109
  • Jan 23, 2016 1:36am Jan 23, 2016 1:36am
Quoting AntonioLegaz
[quote = Shemski; 8707256] finalmente dejar que el sistema de ejecucin en auto hoy y consigui excelentes resultados. Continuar la prueba delante de una semana o dos, entonces tal vez ir a vivir. Disfrute: {image} [/ quote] Hi Shemski, Really good results! with that configuration EA ? all pairs with the same configuration ? Great find !, now see the evolution forward !! Greetings!

Yes:

Attached Image
When trading: "Empty your mind, be formless. Shapeless, like water."
  • #110
  • Jan 23, 2016 2:39am Jan 23, 2016 2:39am
This simple system looks good in the past, well done.

Quoting Sants
That red cable is the main thing why Big boys e.g big banks are earning money time to time and increasing in growth. We need to have a rigid setting to make sure it will survive in any financial issues (global crisis, WW3, doomsday are out of factors of course). Some of my thought, would be glad to hear from yours
No- the reason why the banks, institutions and hedge funds are the smart money and making money is they do not use technical analysis to generate trading ideas, but instead use it as a timing tool and filter... They have a systematic approach in gaining a trading bias. For the Forex markets it's understanding every detail about the countries - all the boring economic stuff that 99% of people won't look at, with out this fundamental knowledge you won't know where the economy is going or what factors are going to influence policy makers to change and intervene. If you understand this, then using technical analysis for timing and understanding where the smart money, excluding commercial hedging, is on certain currencies (net long or net short) you will be in the trade with the right bias, in the right direction, with the smart money and earlier before the dumb money reacts to the news; that's when the dumb money provides liquidity to get out. E.g) If you are reading the NFP and making a trading decision, or are even "surprised" vs. last months NFP, and believe what the retail brokers and news media tells you, you are already 3-4 weeks behind the banks and institutions on that figure and around 9-12 months behind on a trading bias.
  • #111
  • Jan 23, 2016 3:43am Jan 23, 2016 3:43am
Quoting ASTrader
This simple system looks good in the past, well done. {quote} No- the reason why the banks, institutions and hedge funds are the smart money and making money is they do not use technical analysis to generate trading ideas, but instead use it as a timing tool and filter... They have a systematic approach in gaining a trading bias. For the Forex markets it's understanding every detail about the countries - all the boring economic stuff that 99% of people won't look at, with out this fundamental knowledge you won't know where the economy is going or...

That was random...
When trading: "Empty your mind, be formless. Shapeless, like water."
  • #112
  • Jan 23, 2016 5:38am Jan 23, 2016 5:38am
Hi Shemski,
I have some questions comparing your trades and the settings.

- The lot size is set to 3 but I see trades taken for 1,5 or other sizes.
- The Trailing stop (and shift) is set to 10 but you have a 5-digit broker. Shouldn't it be set to 100?

BR.
  • #113
  • Jan 23, 2016 7:23am Jan 23, 2016 7:23am
Quoting Xman43
Hi Shemski, I have some questions comparing your trades and the settings. - The lot size is set to 3 but I see trades taken for 1,5 or other sizes. - The Trailing stop (and shift) is set to 10 but you have a 5-digit broker. Shouldn't it be set to 100? BR.

Hi X

Great eye!

-I was initially trading 1.5 lots but my largest losses were only about 1%/portfolio so i decided to double the size.
-Yes it should, but for some strange reason, 10 gave me the best results. Don't ask me why.

Have you been back/front testing the strat? If so, let me know what your thoughts are!

I am currently trying to find the optimal variables for index trading. I'd love to set this system loose on the S&P, Dow, Nasdax, etc...
When trading: "Empty your mind, be formless. Shapeless, like water."
  • #114
  • Jan 23, 2016 9:50am Jan 23, 2016 9:50am
Shemski, I forgot to ask, on what TF did you put the EA and how many pairs?
I will try to set it up next Monday.
One more question: do you have different Magic Number for each pair?
  • #115
  • Jan 23, 2016 9:56am Jan 23, 2016 9:56am
Quoting Shemski
I finally let the system run on auto today and got outstanding results. Will continue to front test for a week or two, then maybe go live. Enjoy: {image}
Outstanding results. H1 TF?
  • #116
  • Jan 23, 2016 10:01am Jan 23, 2016 10:01am
Quoting Xman43
Shemski, I forgot to ask, on what TF did you put the EA and how many pairs? I will try to set it up next Monday. One more question: do you have different Magic Number for each pair?
Magic Number should be unique per PAIR instance.

So for example, if you're using the EA on EU, EJ, GU, UC, AU, GJ you don't have to change the Magic Number, as these are different pairs.

While if you're using the EA on EU M5, EU M30, EU H4 , then you'll need 3 different Magic Numbers.
No guts, no glory
  • #117
  • Jan 23, 2016 10:08am Jan 23, 2016 10:08am
Quoting abokwaik
{quote} Magic Number should be unique per PAIR instance. So for example, if you're using the EA on EU, EJ, GU, UC, AU, GJ you don't have to change the Magic Number, as these are different pairs. While if you're using the EA on EU M5, EU M30, EU H4 , then you'll need 3 different Magic Numbers.
Thanks Abo.
  • #118
  • Jan 23, 2016 10:17am Jan 23, 2016 10:17am
Quoting ChicagoRob
{quote} Outstanding results. H1 TF?

All trades were placed on H1. I honestly have not been able to find decent variables for other TFs? I'll play around with it this weekend.

BTW, thank you sys.yphus for the intro and to all of those who have been helping evolve this system!
When trading: "Empty your mind, be formless. Shapeless, like water."
  • #119
  • Jan 23, 2016 1:32pm Jan 23, 2016 1:32pm
The name of this thread says it's a proven system please explain to me where you get the fact that it's proven
  • #120
  • Jan 23, 2016 1:43pm Jan 23, 2016 1:43pm
Quoting Shemski
{quote} All trades were placed on H1. I honestly have not been able to find decent variables for other TFs? I'll play around with it this weekend. BTW, thank you sys.yphus for the intro and to all of those who have been helping evolve this system!
Good to see sis back here.

System is trading the exhaustion of the pullback/retracement against the longer term trend. The RSI settings of 95,5 are extreme over bought/sold levels. Statistically price can't travel much further...... unless it is a true reversal. Also, RSI has a tendency to get stuck at the top/bottom of its range, that's why Blau modified it to create the TSI.

Agree with the TF issue as on a D1 chart you are basically trading when price is above the weekly (MA5) level vs roughly the yearly (MA200) trend. On lower TFs the system is going to be a lot more sensitive to individual market sessions and the intraday volatility of individual currency pairs. May be harder to calibrate the same MA settings to hold across a basket of currencies on lower TFs. Dunno, just speculating here. Have not tested anything. Nothing wrong with the logic of the system as people's testing have shown. I only trade the T1/M1 and measuring exhaustion points for either impulse moves or retrenchments are key me.
Audentes Fortuna Juvat
0 traders viewing now