The Cowabunga System

[Pecs200]

Originally Posted by dantom

Hello Fxray,

I use MT4 and I notice that the 5 and 10 ma's are called sma's (slow moving average?) instead of ema's (exponential moving average?). Does this matter? and if so how do I get 5 and 10 ema's on MT4. I also notice that you mentioned 50 sma above instead of ema. Is that what you meant?

Thanks.

Hi Dantom

Using MT4 to make a moving average into an exponential moving average is done as follows:
Double click "Moving Averages" in the "Custom Indicators" list.
Click the "Inputs" tab
Change the "MA_Method" value to 1
Click OK

James

[StefanIlarda]

Hi,

If used properly (Cowabunga System), can somebody pls. tell me how many PIPS (monthly/weekly avg.) is expected from the system ?!

I've read that the system works well & that there's been NO losses since Jan.

Stef.

[ChowClown]

Originally Posted by StefanIlarda

Hi,

If used properly (Cowabunga System), can somebody pls. tell me how many PIPS (monthly/weekly avg.) is expected from the system ?!

I've read that the system works well & that there's been NO losses since Jan.

Stef.

As with all systems/methods, there will be losses. The performance track record for 2007 so far, can be found in the blog section of the site (can't post the link here for some reason).

A healthy 180 pip/month average. If you chart the pip performance for the year, the equity curve looks quite smooth and statistically the method has a positive expectancy - essential starting points in building confidence with a method you might decide to trade day-in, day-out.

[ChowClown]

...current trade.

[ChowClown]

...and target hit. A straight forward start to the day.

[tonymand]

Originally Posted by ChowClown

...and target hit. A straight forward start to the day.

This is a very useful real time addition to this thread and I would certainly appreciate it if you are able to keep it up for awhile. Also by the look of it you use Netdania and this makes the charts, especially MACD much more akin to what I have got - thx

[ChowClown]

Originally Posted by tonymand

This is a very useful real time addition to this thread and I would certainly appreciate it if you are able to keep it up for awhile. Also by the look of it you use Netdania and this makes the charts, especially MACD much more akin to what I have got - thx

I won't be able to post every signal realtime, but I should be able to cover the UK session reasonably well most days.

There was a 1 pip difference in the Oanda/FXCM feed yesterday which resulted in a 30 odd pip loss on the first Cowa signal, but a win through FXCM; swings and roundabouts in the long term probably.

Both Cowabunga and the EMA Step method described on the other thread are two excellent methods. Using either (or both) with discipline and sensible money management offers a great route to success.

[szbu]

Trade Result: +22 +17 -37= +2 pips; R-Multiple: 1.46, 0.67, -1.00

What's R-Multiple?

[tonymand]

Originally Posted by szbu

Trade Result: +22 +17 -37= +2 pips; R-Multiple: 1.46, 0.67, -1.00

What's R-Multiple?

R is a way of measuring return. If you have a 20 pip stop then a 1R return is a profit of 20 pips. Obviously a 1R trading system needs more than 50% winning trades to be profitable. I dont understand some of the R calculations for the system because they are clearly way out. Essentially if you have a trading system that gives you more than 50% winners and has an R above 1 then you are onto something worth pursuing

[tonymand]

Originally Posted by ChowClown

Both Cowabunga and the EMA Step method described on the other thread are two excellent methods. Using either (or both) with discipline and sensible money management offers a great route to success.

I dont have experience with the step model yet but am working may way through it but certainly agree with Cowabunga and would recommend anyone starting out to begin with this