Forex Trading Method (FTM)

The beauty of this system is that it does not care for market direction and those high sounding words like consolidation , breakout and all that imaginative stuff. it just tell you when to ride and when to dismount irrespective where it is going and how long or short it is going. This system will be having losses difinitly every system does but control them through money management both in lot size and stop loss but surely do give some breathing space to market keeping in view currency pair and time frame.
I always take three trade in arow for a particular currency pair may be any
[B][I][U]1st trade signal[/U][/I][/B]
when trend and MC cross in the same direction. This is the trade where i always look for double the stop loss profit and exit if adverse signal has come before the target is meet
[B][I][U]2nd and third trade signal[/U][/I][/B]
when RSI crosses 50 level 2nd and 3rd trades are taken. 2nd trade profit almost 1.5 of the stop loss and third trade to be exited when exit system signal is provided by the system it self
i have made these rules in order to get maximum out of the trades versus price action before it gets worse and goes against you .More over three trades concept has been incoroporated in order to overcome the indicators inherent weekness. 4 H timeframe absobes maximum shocks of fundamental news except few and provides an opportunity to stay in the trades in case of sudden shocks and save you from indecisiveness. Rules have flexibility depending upon price action and can be used discretionarily as i dont beleive in strict use of rules as price action always supremes high in making trading decisions.
Please keep providing your in put for everyones benefits and this will help us and others too in geting along in this world of chaos and confusion of trading.
Looking for constructive criticism from all
please be sure what one gives is what what one gets so please try to give so you become eligible to get by the firm divine rules

Please select one or maximum two currency pairs as this system is sort of stop and reverse for those whose brokers allow hedging the positions and good trending system for those whose brokers does allow hedging the position. i trade only eurgbp and eurusd and to the maximum gbpusd also as all of them are closely related to each other
I see very slow response of traders to this system as maximum seems intersted in day trading. If i have more capital to trade i would love to trade weekly charts because real and sure money is made in long term trading and not the day trading. Please every one reading must give your in put so that we can make it more better for everyone use.
as the discussion develops we can even discuss the signals for these three pairs for 4 H timeframes with this system
thanks lowiq for your interest

Who said that most are daytraders? :slight_smile:
I really love how the market moves in 1m chart after news but that I sure love swing trade setups where hundreds of pips are made.

Which timeframe you suggest? I am afraid to say I still have difficulties understanding the system concept, maybe if you continue to post chart signals I can fully understand. especially this part 1st trade signal
when trend and MC cross in the same direction. This is the trade where i always look for double the stop loss profit and exit if adverse signal has come before the target is meet
2nd and third trade signal
and Initial capital + (& x Lots)= amount where you can go to next lot

I am very interested in using your method, cause I only have daytrading method, and I would like to run micro trades that run for days and weeks.

I begin to understand this after reading again. but I have a small problem here. since my entry and exit is based on RSI, what to do when RSI turns below 50 I enter short, then it bounces again…or keep bouncing off 50 line.

I mean, can I avoid such signal?


sorry for giving generalized statement that maximum seems to be day traders

you can clearly see first sell signal on your chart and you can wait or RSI 2nd and 3rd signal
you must exit when RSI crosses 50 line what so ever it may be because when RSI crosses 50 line mostly it is the trend change
if RSI jumps up and down the 50 line than closely and clarly watch MACD slope signal which will not follow RSI to the Max and wait for its reversal only than exit but consider divegence from MACD as well
It would be much more better that you follow all three trade signal with this system and select one or two currency pair and control your losses through money management and that is very important. Future can not be predicted by anyone and we have to fish all that is possible. in the process we may loose or we may even miss the more than what we desired. there will be moments when pairs will be trending more than what you planned. in this situatuin you have two options.
[B][U]one[/U][/B] re enter through signal of MACD and trend or RSI bouncing 50
[B][U]2nd[/U][/B] let it go as the cake is too large you will get your share next time

Could not agree more on your last post hello1234. This system is very straight forward, personally i think if anyone doesn’t understand it they need to go back and learn some of the basics first and then approach this.Keeping your systems simple goes along way which this is. As hello says MONEY MANAGEMENT IS PARAMOUNT along with the right mental approach.If you miss the trade walk away, the market will be there tomorrow.I will be trading alot of different pairs with this system mainly AUD/USD AND USD/JPY Just my opinion…

i am unable to attach chart i will explain your question later

i will present you another indicator settings which will be added to existing system and will make it near perfect system but wait patiently till the time every one interested understands these existing indicators and rules attached to them in stages. i have worked for two years on this sytem and now confident of its profitability. please dont try to code it as there are many things under discretionary use of trades depending upon price action and exact mathmatical rules may not give you the results thus creating lake of confidence in system which is destructive for any system.
i trust this system and live by its rules regardless of profits and losses. the parameters are set on 4 H chart only and i never tried on other time frames as this time frame seems giving good points of entry and exit and saving you from lot of likely missing profits and whipsaws as well. other time frames above and below if you want to trade with this system please work your own rules as i have never tried

The hall mark of this system is that you get in the trade on signal provided by the system and think of what you wish you get and if in the process your decision proves wrong as will be indicated by indicators, just dont wait and get out and wait for next signal. please dont secong guess your system as this will disturb your psychological trading make up. these indicators dont tell where the market will go as they follow the market but we are just trying to make odds in our favour by skillfull and experienced use of indicators. This kind of strong mental approach is required to succeed and train yourself according. Learn psychologically how to get in and how to get out.
sorry for my out sequence posts as and when it comes to my mind i just like to through it away on this forum for benefit of all and expect same from all. thanks

Please discuss the live signal generated by this system including a chart for every one comrehension with complete trade recommendations for better understanding of this system on any currency pair.
thanks-soon we will add one more indicator to every one astonishment with very different settings and that will be final nail. wait and give your comments

the chart is attched as under
sorry due to some problem i am unable to attach charts to thread replies

Trade opened at .6699 long, nice break of trend and cross of MCD.

you can consider going short in USDCAD at 1.1539 as first trade signal is given by the trend cross and MACD cross.
watch your trade in eurgbo carefully in case of any adverse move indicated by indicators do exit and dont wait than if not than consider going long after the RSI cross of 50 for secong and 3rd trade otherwise wait for the next trade signal


i think traders have less interest in trading this method and so many people viewed this thread and few replies

One thing I can think of is how often do you see RSI crossing 50 level? However when it does it could be the begining of a trend.

we will mainly discuss signals generated by EURGBP, EURUSD and GBPUSD only because of there corelation and inter dependency of move factors i only trade these three pairs. however sysetem is applicabble to any pair and signals can be dicussed

please see the chart below you will get answer to you question and we can further discuss many details


i could not understand your question, can you explain it little more so that we can make some good logical answer to it

It’s not a question but mainly an observation. If entry is based on RSI crossing the 50 level then we will miss other good potential trades. On a good trend, RSI will remain hovering either above or below the 50 level. Sometimes RSI will not cross the 50 level for days.

If RSI bounced back and forth the 50 level, here’s what I would do:
After RSI crosses 50 long or short, I would check MACD fast line for momentum before entry. This will avoid potential head fakes. It usually take alot of energy to change a trend.

Long Entry = MACD >= +0.0001
Short Entry = MACD <= -0.0001

Hope this helps.

thnaks ramrocket for your observation. i beleive this sytem automatically considers all such small observations. it is basically enter on the signal and if it is right ride with it and if wrong exit and control your loss with good money management.
that is what the simplicity of this system is so that if someone is interested to trade two or three currency pairs he can have good concentration level to go on.