Scalping The Asian High And Asian Low

This is what I have found on a forum I spend my time mostly, its very simple a.k.a. a "KISS" system(many review KISS as Keep It Simple Strategy, I like to refer to it as Keep It Simple, Stupid !:) lol) I discoverd it on monday(yesterday) and made 15 and 27 pips on yesterdays and todays tradeing useing it!
DA SYSTEM!
This is my trade for today on the common sense trading logic using High and Low. If you have been trading, or at least immersed yourself with Forex trading for a while, you should notice that the least volatile period for the majors excluding Yen belongs to the Asian session. During this period, the price action for the Euro and Cable moves like snail and operates within a narrow range. The volatility will come back when it is near the European open and that is where I get ready to aim for a good scalp. Here’s how I did it today:

At 0600H GMT, we can determine the Asian High and Asian Low of the Day by then. Today, in case of Cable was at the High of 1.9324 and Low of 1.9268. With the price action moving at a slower pace waiting for the big players to come in, set a buy order at the Asian High and a sell order at the Asian Low of the Day. Setting orders using this method will usually yield at least 10 pips for you without much sweat. As you can see from the chart on GBP/USD, my sell order was hit at the Asian Low and then rallied all the way down to 1.9220. Regarding the take-profit, depending on your lot size, you can opt to take-profit at TP1 or wait later for the hourly candle bar to materialize to take profit at TP2. This depends on your risk/money management. The key point here is to take note of your entry.

Hi blackcotton,

Right it’s KISS. So far this system has yielded 935 pips since the start of the new year 2007. To keep things simple, the entry point is GMT 0500H.

Regards,
FX Operator

HAy, hope you don`t mind me posting your system!:slight_smile:
I have a few questions!
Example #1 you placed the highs and lows, one triggered, took profit, closed, what to do with the other one?
Example #2 you place the high and lows, one triggered and reached stop loss, closed, what to do with the other one?
Example #3 you place the high and lows, one triggered and (in a range market) reached the other trigger without TP or SL…what to do with both of the positions?
Thanks!

Hi bc, ok here are my answers to your questions:

Example #1 you placed the highs and lows, one triggered, took profit, closed, what to do with the other one?
[I]
I will cancel the other order if the first triggered is profitable.[/I]

Example #2 you place the high and lows, one triggered and reached stop loss, closed, what to do with the other one?
[I]
If the initial order is triggered and stopped out, stick with the second order and let it triggers if it should.[/I]

Example #3 you place the high and lows, one triggered and (in a range market) reached the other trigger without TP or SL…what to do with both of the positions?

[I]Alright, this is a bit complicated, if the SL is wider than the range to the other pending order, set your SL to the High or the Low on the opposite, when the SL is hit, the second order will be triggered as well.[/I]

Please note that all this can be adjusted to your own money management. This key is the entry point of this method.

My apologies. I didn’t see any violations link here. Let’s get back to the main subject.

I was going to say this method seems a little like the SRDC simple method I saw on another forum. Basically check the previous days high and low, if the new day breaks one way or the other enter a trade in that direction.

I also was able to finally find the second half of SRDC Episode II on your site, which has been holding me up from exploring that system and level III more thoroughly. Glad to have found that. :smiley:

Glad you found what you want. :slight_smile:

Seriously, I didn’t notice any similarity until some of you told me about it and the hans system as well.

I realized one thing from this, until a method is “created” by oneself, else, it is hard to follow religiously. Just like a woman, you can’t force me to like her if I don’t love her at all. Well, I don’t mind a fling, but it won’t do me no good in the long run if I don’t have the faith and trust in her. :smiley:

Made another 10 pips yesterday. Let’s see how it progress on Wednesday. Seems to have a good feeling about it. :stuck_out_tongue:

Here is a graph of my P/L in terms of pips for 2007 so far:

Made another 15 pips today. TP1 hit, SL hit at BE on second lot.

Another day, another pipping session. +15 pips in the pocket on the first initial TP.

15 pips in another pocket on Friday 13th. :slight_smile:

Another 39 pips at my back denim pocket. Good start for the week.

Do you use this sitem only on gbp/usd or have u tried it on other currencies too?

I only use it on the Cable. Today made another 15 pips. If you have success with other pairs, do let me know. :slight_smile:

fx operator,

i like your system it is close to some of the things i have been doing in terms of price action rather than TA. i have one problem. it concerns the time. baby pips indicates the london market opens at 0800 gmt, you indicated 0600 and somebody else indicated 0500. living in pennsylvania, usa, we are presenlty on daylight savings time. thus, 3:00 am dst is actually, 0700. the entry for 4-16-2007 would have been 1.9937 and on a 15 minute chart gmt would have been at 0845 to 0900, if i am reading all of this correctly?

anyway this trade coincided nicely with (james’) buying or selling 15 points prior to the big numbers, 00, 50 etc.

gojijuice1

Hi gojijuice1,

London opens at 0800H GMT, I enter at 0500H GMT because usually 1-2 hours before the European session, there will be breakout from the Asian High Asian Low. Trading on the price action is the simplest method, enter your orders at GMT 0500H everyday will do fine. Regarding NY DST, there is only slight difference in the movement.

Just took this system for a test run with a small trade.

Thanks guys, fastest 15 pips Ive ever made!

Congratulation orangutan, this week 5 winners out of a possible 5. 100% hit.

When you say 0500 GMT, do you actually mean 0500 British Summer Time? UK is currently on BST which is 1 hour ahead of GMT. Therefore, current time in UK is 1 hour ahead of GMT. Remember that GMT is absolute and never changes, but the time that UK keeps does change. A lot of people seem to think that GMT is simply the time in UK. That is only true for half the year.

Apologies if you are based in UK and know all this already. Just want to be sure on times. Might be helpful if you post a chart with your actual entry and exit bars indicated. Then I can check this against my charts to confirm times.

One quick question: how do you define your stop losses?

Pipless, a quick way to work out local time relative to England is to put “London current time” into google.