1hr Trading System

Trading Systems Free Forex Trading Systems
1

What do you need?

  • 1H candlesticks/bar charts
  • 18 EMA & 28 EMA (put them in red)
  • 5 EMA (in blue) & 12 EMA (in yellow)

The 18 EMA & 28 EMA are two red lines who form a tunnel, these will help you to determine the start
of a trend and the end of a trend. Long term
The 5 EMA & 12 EMA will show you when to enter a trend, they will also help you to see the strenght of the trends. Short term

Entry Signals

You should only open a position, when the red tunnel is extremly narrow or crossed !
LONG: 5 EMA & 12 EMA cross the red tunnel upwards.
If the 5 EMA also crosses the 12 EMA upwards, then the signal is extra strong.
SHORT: 5 EMA & 12 EMA cross the red tunnel downwards.
If the 5 EMA also crosses the 12 EMA downwards, then the signal is extra strong.

Exit Signals

Signals that show the end of the chosen trend:

Long: The price has reached a top and 5 EMA dives under 12 EMA Close position.

Short: The price has reached a bottom and 5 EMA jumps above 12 EMA Close position.

Always close your position when boundry�s of the red tunnel cross eachother or when they become so
narrow that they are one! This is a clear sign of a trend reversal.

After you see this, close your position and open a new postion in the other way (If you were long, close, open a short postion)

When in a trade and the 5 EMA & 12 EMA cross the red tunnel -> Pay attention! As long as the red
tunnel boundy�s doesn�t cross eachother there is no problem, but often this is a sign that they will!

Basic rule
!!!Enter a position were the red tunnel boundry�s cross and exit that position when they
cross again!!!

Always use a stoploss - I recommend a 10-15 pip stoploss

Remarks
Money management is THE holy grail of forex trading! Please think about this and implement it.
If you use this system it wil give you nice rewards, but use money management to give you larger returns!

This method was manually backtested in real time on EUR/GBP and EUR/USD.
I can only say it works for these pairs, as I didn�t test with others.

I invite you all to make comments or additions

JIM

2

I noticed that you do not use RSI, STO, or MACD. Your system stands out from the rest and thats good.

sounds like you use the red EMAs kinda like Bollinger Bands

3

Looks clean.

James, have you backtested this system?

sorry I see it:

This method was manually backtested in real time on EUR/GBP and EUR/USD.
I can only say it works for these pairs, as I didn’t test with others.

4

You do realize that there are huge numbers of trading systems which don’t use those indicators, right? Actually, there’s a whole school of thought that indicators shouldn’t be used at all.

5

I was using it for a while, it’s profitable in trending markets only, as the majority of systems. But remains positive and allow you to catch a big trend change.

6

what is EMA ? plz explain

7

Exponential Moving Average

8

This appears to be an exact copy of the “Sidus Method” featured in detail on “The Forex Factory” website!

9

bingo…
this tread started just rename it…
speaklesss…:eek:

10

James, you’re still my fx hero !!! Im only thankful you posted this system here whether its called another name elsewhere I care less.

You’re a great guy & keep up the good work… & everybody said Amen !
Bet there’s load of us appreciating your help James, ignore the rest :slight_smile:

regards,
Pret !

11

I was looking at the bagavino method today and then read this post again.

I found something interesting when I put the 18ema and 28ema on the 15 min chart of the bagavino method.

your one hour method seems to get you in a little late on some trades, but it also helps you stay out of bag trades that quickly turn against you.

look at the two long trades (blue arrows) and see if you can see what I mean.

this is a 15 min chart of gold.
the 18/28 are blue on this chart.
and the first bag cross blue arrow the 18/28 are clearly seperated which means stay out.
On the second blue arrow they are starting to come together, so its ok to take that one.

More backtesting required of course.

If some of you will put this together and do some backtesting on different pairs maybe we have something that helps.

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12

Gosh! I didn’t mean to offend anyone but this method is extensively discussed on the other website. I’ve haunted a number of FX sites and have observed that many systems are copied, renamed and recirculated.Some are sold as e-books for $77 or $117! I suppose all I’m trying to do is sort the wheat from the chaff. I’ve demo’ed this system for a while and it certainly works.

13

no worries mate. We’re all friends…lets get pippin together:-)
seriously no hard feelings…

14

Hi Mustang,

From your demo trading can you give us an approximate idea of the success rate of this strategy and single lot pips/week average?

15

Sorry I didn’t keep records of the trades they were on an old demo a/c that has since been closed.I looked at about 8 pairs and I recall that the system was profitable but required carefull attention and I realise I’m a set it and leave it sort of trader.To that end I’ve actually been looking at this technique applied to daily charts and it would appear to have promise.

16

Has anyone tested this on the USD/JPY, USD/CHF, or EUR/USD pairs?

17

James thank you so much for posting this system that you use.
It brings to mind the quote I wrote down two years ago that stated:
One day, a help that someone gives you will most exponentially transform your way of life.
I know enough to quickly realise this is real good stuff. Thanks again.Craigus
:wink:

18

Hi Indigo, I have tested this system for EUR/USD & EUR/JPY & also USD/JPY and I’m happy with it.

Great system…and with all systems, dont leave things too unattendanted always use ur SL…so that u dont close out ur account…

Once again thanks James !

regards,
Pret

19

It’s only a clone?!?

20

clone of what?