Quote:
Originally Posted by michaeldunbar
Waciko,
Remember these numbers always depend on how selective the trader is, how many pairs are monitored and random market conditions.
I monitor 10-15 pairs but don't always enter a trade if two pairs are strongly correlated. I generally make 10-20 trades per week but average length of trade completely depends on if I use a t/p and of course the strength of a trend.
Just demo trade the method, find out your own numbers, get confidence in YOUR style of trading and then go live. Keep us updated on how you're doing.
All the best
Michael
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Michael,
I have been backtesting your system here for the past few days only on the USD/JPY pair. I did modify it a little, Still using a 8 period RSI data, then applying a 8 period MA and also a 2 period MA to that, so whereas you use the RSI indicator for entering trades I have found less fakeouts on a 4h chart using the 2 period MA instead (obviously sometimes at the expense of a better entry, but still with positive results so far).
After I am done doing the pencil work for that I'll post the results I obtained, as well as what i found from the data analysis (an additional benefit of having an actuary for a wife
) which hopefully will help to show good points to change SL's to breakeven, or +1, and also good TP points with confidence.
*EDIT* One more thing, if you wouldnt mind posting what currency pairs you watch i would be interested in looking at the charts for each as well...I noticed in your post you stated that you sometimes dont trade pairs that are strongly correlated, why is that?? I would just think that if you had a profitable system that you would still have a better chance of making a profit than not, what is your reasoning behind that??
Thanks again for your insight, it is greatly appreciated
