The Pipsology "So Easy It's Ridiculous" System

Hi there fellow traders,

After finishing the ‘School of Pipsology’ course here at BabyPips.com, I have decided to give the “So Easy It’s Ridiculous” system as described in the course a little try out on a demo account.

I haven’t really seen anything here in the forums discussing the system, and as most of you have been (or are going through) the course, I thought it would be good to have a thread going that follows the system.

For those of you who haven’t read the system rules, here they are:

The “So Easy It’s Ridiculous” System

Trading Setup
[ul]
[li]Trade on daily chart (swing trading)
[/li][li]5 EMA applied to the close
[/li][li]10 EMA applied to the close
[/li][li]Stochastic (10,3,3)
[/li][li]RSI (14)
[/li][/ul]

Trading Rules

Stop Loss = 30 pips

Entry Rules
Enter long if:
[ol]
[li]The 5 EMA crosses above the 10 EMA and both Stochastic lines are heading up (do not enter if the stochastic lines are already in the overbought territory)
[/li][li]RSI is greater than 50
[/li][/ol]

Enter short if:
[ol]
[li]The 5 EMA crosses below the 10 EMA and both stochastic line are heading down AND (do not enter if the stochastic lines are already in oversold territory)
[/li][li]RSI is less than 50
[/li][/ol]

Exit Rules
Exit when the 5 EMA crosses the 10 EMA in the opposite direction of your trade OR if RSI crosses back to 50.


To see the original page on BabyPips.com that describes the system, go here.

Now, I am a complete beginner to FOREX and trading… so as I post trades and other information, please feel free to correct me or to offer advice that myself and other readers of the thread may find valuable.

I have basically decided to delve into FOREX trading as I am currently finishing off a Finance degree at University and I figure that all the practical knowledge and experience I gain from doing this will be extremely valuable to me in the future.

Alright, happy trading everyone!

Cowabunga is the live version of this traded since Jan 06 and with a couple of small modifications

Hi

this system has been modified a bit and runs under the name ‘Cowabunga System’ - have a look at the thread and you will see the feedback on multiple pages.

Andreas

Oh right… my bad!

Sorry guys, please disregard then.

Cheers.

The difference is “the so easy its ridiculous” system uses the daily chart, and makes no menton of the 4 hourly or 15 min chart.
The cowabunga system uses the three charts.

What is the benefit of using the smaller chart time frames?
more trading opportunities?

I would like to know , it too me a while to see that the two systems were very similar.
I would prefer to use just the daily chart as its less time consuming

Yeah more opportunities.

I’m using a system with 4H charts. Find it very relaxing to trade that time frame. Daily can be relaxing as well but you need deep stops.
I started using 15M but didn’t get any nice results. Constantly watching the market and not making money. With 4H I’m making money and I can have the liberty of leaving the position alone.

I must admit the problem with the longer timeframe is having the patience.
But I really want to try and stick to the longer timeframes
It takes ages to see results though