Rubber Band Trade

I actually tried the h1 tf and had a few loses and also tried the 4h and breaked even so left it nowI am only opening trades on the daily and weekly charts which are actually going well.

Currently entered the GBP/CAD trade on the weekly TF check it out guys.

Update on this trade. The trade went good won over a thousand pips the price still hadnt reached the 50sma but it had reached a psychological level so I closed the trade.

Excellent trade!:59:

Thanks :slight_smile: and any rbt trade youve got an eye on? And has anyone did a backtest for this strategy? And see how the results were?

Just bagged a little 25 pip snack on a RBT Cad/Chf short. Boo-yah!

That’s awesome !! Trading the weekly RB is rough. Glad you stuck with it. gbpcad is a good pair , moves pretty fast. gbpnzd and gbpaud are also good for big moves.

Great Job !!

I am thinking gbpaud and euraud will be next . Daily chart. Maybe next week.

Always good to hear from you :slight_smile: and I feel that weekly charts.are.more better.for the rbt as it has been for me what do you think ? And will look on these two as soon as I get.home :slight_smile:

I like against the AUD. It is very changable imho.

I tried weekly and I like it , but my draw down was big .
Just trusting the rb will go back to the 50 line is key. On the daily and weekly it always goes back to the line. But the weekly has larger swings up and down, especially on those volatile pairs like gbpcad gbpnzd. They move fast and move a lot.
What was your draw down on this trade ??

Yeah the drawdowns are big my biggest draw down on one of my trades was about 700pips but it was a while back and on this trade I had a stop loss of 1000 pips and the trade went like 600pips in negative as I entered a little early but it went good from there :smiley: and I had yo ask onething that what do you look when you enter.except for support/resistance. In my case I look for a stochastic crossover to confirm the entry what about you?

When I see a daily chart rb trade and it is at support or resistance , then I go to the 1 hour chart or 4 hour chart. Then I look for a candle signal like a large wick on the 4 hour. Or I try to spot a channel on the 1 hour. If I am selling and I find a channel I sell at the top of the channel , for example.
Another way is I draw a trend line on the 1 hour. If it breaks the trend line I enter.
Entry is tough.

This is a recent nzdcad rb trade . sell trade

Daily Chart


Here is the 1 hour channel entry and exit. Zero draw down . This takes a bit of guess work to assume the channel is being created at this spot. But if you have a daily chart rb trade and you trust it, then guessing a channel is being created is probably a good bet.


Of course you can just enter on the daily chart at what you believe is support or resistance . Or a good candle signal. Then just stay in to the 50 line. Put your limits 20 pips above if you are selling or 20 pips below the 50 line if you are buying.
Don’t push it , take your profit and go on to the next trade. “Make Pips , Keep Pips”
Rb Trades come and go in spurts. Sometimes no trade for a week or more, then we get 6 all at once.

These are what my daily charts look like while I wait for a rb trade. While I wait I trade my demo.

AUDCAD just a trend line and a 50 line


AUDNZD A support line and trend line


EURAUD support and resistance lines and a trend line. Also have a dotted line at where I think the 50 line may flatten out. The high resistance line is from a past high off the chart.


GBPAUD Same as the euraud support and resistance lines and a trend line. The high resistance line is from a past high off the chart.


I don’t know how I will enter these trades when I see the RB set up. But this is what a few of my charts look like while I wait.

Nice charts gives a good idea of entry as well as.use oftrend lines I wish you were online more :stuck_out_tongue: we could learn god stuff from you :smiley: anyway I try to stay away from the flat line and concentrate more on the trades where the line is in our direction. Whenever I had some losers the line was always flat but every time the line was in our favour the trade went positive. Any views on that? And I can´t post charts at the moment but my chart has got bollinger bands set at 50 with stochastic whenever the price reaches the upper or the lower bb and the line is in our direction than I wait for the stochasticc cross to enter …

I agree I only like the 50 line angled in the direction of the trade as well.

This is a 4 hour chart of the NZDUSD The horizontal line at the bottom is a support line. The white line is the 4 hour 50 line and the blue line is the daily chart 50 line.
As you can see the price is near support and the blue daily chart 50 line is flat.

Maybe this pair will get caught in the Rubber Band and begin to head up towards the daily chart 50 line.

.7780 may be a good target. About 100 pips from the current price .


I am thinking of ways to enter this nzdusd RB Trade.

Here is a 15 minute chart with a 50 line and a trend line that I had drawn.
Maybe enter long on a break and close of the trend line and the 15 minute 50 line.

Maybe target .7750 for around 50 or 60 pips after the break and close above the trend line.

After it hits 50 or 60 pips then close half of your position and let the rest go for the daily chart 50 line.


here is an RBT opportunity on the AUD/CHF chart



the sma is in our direction. Waiting for stochastic crossover at the moment to enter.