A move below the 240m low would really get me interested in looking for selling ops on Usd.Cad. Bears would be back in control and price would be moving in the direction of the longer term down trend once again.
Andy
There is an overwhelming amount of information on many stocks that it can overload even the best investors in the world. But there are ways to streamline the approach and to practice to figure what works and what you can ignore.
how long have you been trading stocks? 
I’m curious :o
A nice intraday trade.
3 Ducks set-up:
240min - Price below sma
60min - Price below sma
5min - Looking to SELL when price gets below the sma and last low (see chart)
A 38 pip stop-loss for a 50 pip reward.
Andy.
PS: The 3 Duck’s Trading System ebook is available from The Captain Currency blog, it might make for some interesting reading over the xmas period
Hi,
This strategy is simple & good as it work.
However, from the ebook, I might not be able to fully understand
some internal knowledge, giving inconsistence result.
Those who are using it and doiing well, please share some
tricks or explained that we might have miss out.
For example, I observed when the 4hr & 1hr chart
are all in sync and MA are sloping instead of flat,
the probability are high.
Improve Your Trading By Looking For Clues In The Market
I’m always looking for clues in the market like, which currency pairs are bullish or which currency pairs are bearish and of course which currency pairs are neither bullish nor bearish.
If you like to trade the Eur.Usd and Gbp.Usd using the 3 ducks method we can gets clues as to which pair might currently be the best to trade.
If we have a closer look at the 240m charts for Eur.Usd, Gbp.Usd and Eur.Gbp we can figure out what they are doing.
Let’s look at the attached Eur.Usd 240m chart. We can see that the current price is below the 240m sma therefore we may be looking for selling opportunities when our ducks line up.
Let’s look at the attached Gbp.Usd 240m chart. We can see that the current price is below the 240m sma therefore we may be looking for selling opportunities when our ducks line up.
So now we are potentially looking for selling opportunities on both Eur.Usd and Gbp.Usd. As some traders may know the Eur.Usd and Gbp.Usd are highly correlated most of the time (they normally move in the same direction against the Usd). Therefore there is not much point selling the Eur.Usd and Gbp.Usd at the same time because all we are really doing is buying the Usd twice.
So which pair should we sell?
We can figure this out by looking at the attached Eur.Gbp 240m chart. We can see that the current price is above the 240m sma and the current price is bullish. What can this tell us? It can tell us the Euro is stronger than the Gbp (or that the Gbp is weaker than the Euro).
OK so let’s recap and see what each of the 3 different currency pairs are telling us.
Eur.Usd 240m chart – price has been moving lower and is below the sma which can indicate Eur weakness/Usd strength.
Gbp.Usd 240m chart - price has been moving lower and is below the sma which can indicate Gbp weakness/Usd strength.
Eur.Gbp 240m chart - price has been moving higher and is above the sma which can indicate Eur strength/Gbp weakness.
We know the Usd is strong and we should be looking to trade Usd against the weaker of Eur.Gbp. In this case it would be the Gbp, therefore we should be looking to sell Gbp.Usd (which is basically buying Usd/selling Gbp).
Hope that helps you,
Andy.
Thank you for the continuing education. Along the same line, there is a currency strengh meter that could be used to help in decision making.
Using the meter we could look to buy USD and sell CHF, AUD or NZD for example. - Richard
Greetings Duck Hunters,
Some really nice trading oppertunities out there using the 3 ducks method.
Usd.Chf a 300 pip reward for a 50 pip risk
Hi
I’m slightly confused with r v r issue. How do you know when to keep your take profit at let’s say for instance 1:1.5. Or to set a fixed stop loss of say 20 pips but let your winners run? I don’t see how you can let you winners run if you have a fixed r to r ratio. Or is that all instinct and experience of the Market again?
I have been playing with Fibonacci levels to find t/p levels. Would this be recommended?
I’m finding with small stop losses they are been taken out early. Even if the grand scheme of the move is still in the direction I am trading, small pull backs seem to keep hitting my stop loss.
Any advice from anyone would be useful
Hello,
has anybody ever tried to write a EA with 3 ducks strategy?
that would allow backtesting and optimization of SL/TP parameters.
Thank you! awesome indicator 
You can let profits run until the price reaches your SL
No problem.
For example, set a 50 PIP TP with a 30 PIPs TS
what can I do if i set more than 50 bip??
If you are talking about the TP level, if you set it more than 50 Pips away I would suggest you to consider taking a vacation as it will take some time to reach that point
Potential Trade Set-Up In The Coming Sessions
Just had a quick glance at the market earlier and one currency pair that I wouldn’t mind getting involved with when/if my ducks line up would be Eur.Aud
Currently on Eur.Aud
240min chart; current price is below sma
60min chart; current price is below sma
5min; current price is above the sma
I will be looking for selling oppertunities using the 3 ducks If we do get back below the 5min sma and start getting some momentum in a downward direction. I would love to see a break of 1.4300 as this could open up the way for the 1.4000/1.3900 area.
Best wishes,
Andy.
Trade Safely, This is not a trade recommendation. Use a stop loss and profit target that you think works best for you.
Hey Captain,
Just found this thread and really like your 3 ducks method. I’m a FX newbie and looking forward to playing around with it in demo.
Great thread, blog and congratz on the new addition
-Tim
Hi Capt C,
I’m a beginner with your system and would like to know what you mean by the “last high” of your 3 ducks system. Does it mean the high of the day? Please share your interpretation of the “last high” so I may better understand your system. Thank you much kindly!
He explained it in post #5
Regards
Greetings all,
It’s always good to remind traders
[B]When Not To Trade The 3 Ducks[/B]
The 3 Duck’s Method is purely technical and I don’t take too much notice of fundamental news releases. Bernard Baruch once said “Show me the charts, and I’ll tell you the news” I would agree with Bernard.
However some major news announcements can cause gaps in the market and your broker can not guarantee your price at which your stop loss is set. For this reason alone I do not trade any currency pair on the day when The Non Farm Payroll announcement is due out. The only other time I do not trade a particular currency pair is when an interest rate decision is due out of that country. Example, lets say there is an interest rate announcement from the bank of England on Wednesday. That means I’m not going to trade any currency pair with the GBP in it on Wednesday.
Details of all the upcoming interest rate decisions release dates can be found on any good forex site
The Non Farm Payroll announcement is due out the first Friday of every month at 1:30 pm GMT.
Best wishes,
Andy
