Hi all, i will like to introduce a system, but i cant say it is new since all the indicators used are common place. i have been working on this system for the past 4 months, so it is still a work in progress and your inputs ( constructive) would be highly appreciated.
MEHTOD
PAIR : EUR/JPY
TIME FRAME: 4 hrs
INDICATORS : 1) super trend signal(STS) indicator 8 AND 18 on two different 4hr charts ( note that we will
make use of two 4hrs chart)
2) Exponential moving average (10)
3) Relative strength index(RSI) 12 ( with a level at 50)
BUY CRITERIA: buy when STS ind. 8 or 18 on any one of the 4hr charts changes from red to green and RSI is equal to or greater than 50. note that a signal is only confirmed at the end of a candle . set your stoploss at 5 pips from the low of the signal candle. in some cases STS may have change to green but RSI is still below 50 , so you have to wait untill RSI crosses 50 b/f you enter and set your stoploss at 5 pips below the low of that candle
SELL CRITERIA: sell when STS on any of the chart changes from green to red and RSI is equal to or below 49.9. set your stoplosss at 8pips above the high of the signal candle. please if your signal candle is to small it is advisable to give a bigger distance b/f putting your stoploss.
TRADE MANAGEMENT:
i use the two 4hr charts because at times u may get a signal earlier with one so your have a chance of entering multiple positions when the second chart gives u another signal( note that by now your first position is already in ‘GREEN’) while at the same time reducing the risk of the first trade by bringing you stoploss down to the second trade’s stoploss ( are u confuse???)
I close a trade when price close below or above MA(10). i use a maximum stoploss of 50 because i go for 3:1 and i tink 150pip target is easier to hit tha 200pip or more.
once you get upto 1.5 profit, move yourr stoploss to break even
i guess thts all, so lets look at the charts and pls i am not really familiar with posting charts , so bear if i mix-up something
NOTE: once RSI is above 50 we can depend only on STS to enter subsequent long trades untill STS changes direction
PLS: CHECK FURTHER UP FOR THE INDICATOR, I HAVE BEEN TRYING TO ADD IT HERE BUT I KEEP GETTING ERROR MESSAGE. TANKS
Hello gerrylint,
Thank you for sharing your trading system.
Does this system work on your experience also on other fx pairs?
Can you tell us something about the profit potential on your taken trades?
I like the look of this system and prefer trading 1h,4h or more time frames and using EMA’s and RSI as indicators so this is perfect.
Just one newbie question ( I am very new to all this): What is super trend signal(STS) indicator? Where do I find it? I don’t see it anywhere on the indicators list to insert on Metatrader 4. Probably a dumb question, but I have to ask.
Also: what do you mean you will be trading 2x 4h charts?
There is an indicator of this name posted by a Jason Robinson in 2008 on the MQL4 Codebase website (sorry, I don’t have permission to include the link in my post). He posts a mql file there for download. From looking at the code it seems to be based on the CCI (although I am virtually MQL-code-illiterate: maybe someone who isn’t could confirm?).
There is also another indicator with a similar name on the website, FXCodeBase.com, but confusingly, this indie’s code looks to be based on an ATR-based break-out, not the CCI.
Do you know which indicator your indie is based on?
hi, sorry i traveled, so i was not around. what i am going to do now is that i will post the whole cache(file) of indicators and you can then select the “supertrend signal indicator” yourself. please NOTE THAT THERE ARE TWO INDICATORS WITH THAT NAME.
THE FIRST ONE IS JUST “SUPER TREND” WHILE THE INDICATOR I’M TALKING ABOUT IS THE SECOND i.e " SUPERTREND-SIGNAL" .so select it and add to your MT4. also if your can extract it for me then, do that and post it
means i use two different 4 hr chart ( the first chart has STS 8 while the second one has STS 18). this helps me to enter multiple trades and also limit my risk. i.e the 2 charts give signals at different price level . hope you are clear? if not i just posted the indicator check it and see how it works . takia
got out of yersterdays trade at break-even after getting upto 1:1 ( if you remember i said the sysytem was still under development so my latest strategy is to move to break even as soon as you get 1X. you can re-enter in your previous direction using the 1hr STS(12). THIS MORNING I ENTERED ANOTHER TRADE AS SHOWN BELOW;
Hi gerrylint, ur system looks great n interesting. but can it work on 1h time frame? if yes, any changes on the “Super Trend Signal” setting? n im not sure about ur stoploss, can u show it?:)…anyways, thanks ya.
I like the look of this system and prefer trading 1h,4h or more time frames and using EMA’s and RSI as indicators so this is perfect.
Just one newbie question ( I am very new to all this): What is super trend signal(STS) indicator?
Where do I find it? I don’t see it anywhere on the indicators list to insert on Metatrader 4. Probably a dumb question, but I have to ask.
Also: what do you mean you will be trading 2x 4h charts?
