Aggressive Swing Trading

[DRFXTRADING]

Hey all, back with you, sorry about the Long Break.

Update…total results for the 2016 period…

My Live Account at Dukascopy (that I´ve had since 2011) cant be tracked and independently verified, so this is why the Demo Account at FXCM was opened-to mirror the same trades I make on my Live Account. So I kinda have an idea about Demo vs Live.

However to provide more transparency, I´ve now opened a Live Account at FXPro that can be tracked.

So the expectation is that my strategies will continue to show why its a great way to make money Long-Term on this market.

RESULTS AND PROJECTIONS

Now as far as patient Swing Trading strategies go, results were good especially when you apply it over the long-run. However, it was a little below what I´ve come to expect from Strategy.

Middle of the year was a little difficult, but assuming better conditions, Im targeting 60% to 90% conservatively and 300% aggressively for this year. With just one trade so far giving me a 9%, great start.

Demo Vs Live

Ahh the popular debate. No real difference. It will feel different if you trade without a good, proven strategy on a Live Account and youre suddenly faced with the stress of dealing with real money without a solid strategy. It´ll feel like its moving 100 mph and brokers are stop-hunting you and all kinds of conspiracies…

After all, when the EURO USD drops by 100 Pips, it does so on both a Demo and Live. So once your strategy is able to capture 100 Pips on the Demo - once you continue to follow the rules- should be able to capture the same 100 Pips on a Live…right?

EURO AUD TRADE POSSIBILITY

This is another trade that Im looking at…

I get my signals from FXCM because it uses the best version of the New York Close Candle - crucial to Price Action Strategies like mine. But my Live trades are done at FxPro. (Better Platform, alerts etc.)

If I see a good setup and signal on the 4H Chart, will trade it short to Support.

Let me know if you gonna/would trade this

[B]Duane

DRFXSWINGTRADING
[/B]

[DRFXTRADING]

I’ve been on and off demo trading for a while and trying to follow the school of pipsology. This week i came to conclusion i enjoy and I am better at following a similar method you show here. I will be following with great interest whilst starting my own journal in the forum.

Hey Shane,

Yeah, no offense to Baby Pips, but most of the knowledge is directed at Day Trading…so cant get much for Swing Trading.

Swing Trading, best option.

Hope you continue to follow despite my absence.

[B]Duane
[/B]

[pip2hunt]

myfxbook link is missing, why?

[DRFXTRADING]

Hey man,

I think babypips has a rule against postin the actual myfxbook link.

But you can just search for it when go there using the name of the system[B].

Duane[/B]

[ecvecvecv]

Yep this is my style of trading, sometimes im even inclined to a short 30 minute trade. Using the 15 minute and 1 hour graph for confirmation

[DRFXTRADING]

Hey Traders, how goes it?

CHANGE OF STRATEGY

My Strategies involved targeting Weekly Range targets of 100-200 Pips using the Daily and 4 H Charts over the last several years, earning 40% on average each year. All Based on Candlesticks. No Indicators or Economic News.

While this was good, I discovered in recent months that a more aggressive way is possible to earn money from the market that did not require holding trades for several days at a time or being committed to one currency pair.

This new approach involves smaller targets and smaller stop losses, with trades held for no more than 24 Hours. However, it will still be supported by the stability of the Daily and 4 Hour Charts using Candlestick Patterns and Signals.

[B]1. TARGETS - 60-70 PIPS PER TRADE

2. STOP LOSS - 40 PIPS (90-120 Pips with Previous Strategy)

3. HOLDING PERIOD - 24 HOURS (5-7 Days Previous Strategy)

4. TIME FRAMES - DAILY AND 4 HOUR

5. AVERAGE NO. OF TRADES - 2 PER WEEK/6-8 PER MONTH (2-3 Per Month PRevious Strategy)
   [/B]

Depending on your Risk Per Trade, this can provide between 21% to 46% Per Month.

I am using 4% for my Live Trading Account.

Compared to previous approach, its a lot more aggressive, with more short-term trading opportunities that take a much shorter time to hit their targets.

It continues to take advantage of the stability and accuracy of the Daily and 4 Hour Charts, but using a much smaller Stop Loss and a Trading Target that offers a Larger Risk Reward Ratio.

IMPORTANT RULES TO FOLLOW

1. DONT WATCH TRADES

As with my previous strategy, however, the challenge is to hve the discipline to never monitor the trade until it is closed.

This prevents us from interfering with the natural dynamic of the market based on our emotions.

2. DONT WATCH FOREX NEWS

Once a trade has been made, it is CRUCIAL to not watch news related to the pair being traded. This can unnecessarily influence you to second-guess a decision that was right from the start, based on news that are often insignificant to the trade. The news may reflect what will take place in 3, 5 days, but not the next 24 Hours when your target will be hit.

3. CORRELATED PAIRS

Related to No.2, since correlated currency pairs move in sync with each other, you may be tempted to get confirmation from them. However, none are perfectly correlated. They may eventually move together in the next 4, 7 days, but in the short-term, there can be a difference in direction.

So this approach does not require a long-term commitment which can lead us to force a trade that only offers a short-term benefit. The stress of holding a trade for just 24 Hours is much lower compared to 5-7 Days, plus the Larger Risk-Reward offers a better Profit Cushion against losses.

4. OBEY THE HOLDING PERIOD

This recent trade today highlighted the need to stay disciplined in obeying the holding period rule. Even though the market may not give us what we want within the time period we set, we have to simply close the trade and move on - despite the loss or small gain that we get.

For example, this was the most recent trade done this week, targeting 65 Pips on the EURO CAD 4H Chart…
As you know, I use FXCM New York Close Candle for my signals, but I use FXPRO for my Live Account Trading (user friendly, price alerts, and you can see exactly what % you are risking per trade - my preferences. Not endorsement)

…at the end of the 24 hr period, market missed the target by 0,7 Pips before U-turning…

…so unfortunately I had to close my trade for a small gain on my Live Account…

Small 23 Pips, better than a loss

KEY ASPECTS (TRADE SECRETS)

[B]

1. KNOWING THE SIGNALS TO TRADE AND THOSE TO AVOID

2. KNOWING KEY PULLBACK AREAS TO EXIT THE TRADE/AVOID TRADING

3. KNOWING HOW TO ANALYZE MARKET DIRECTION

4. UNDERSTANDING THE RELATIONSHIP BETWEEN THE DAILY AND 4HOUR

5. THE SAFEST, STRONGEST AREAS TO PLACE STOP LOSSES ON THE 4H (SOMETIMES THE 1 HOUR)
   [/B]

Sounds good?

Duane

[mihk]

Your myfxbook account is totally private.
I cannot see anything, besides some ups and downs.
Do you think people will copy your trades? If you trade with mini lots and balance < $10k forget about it.

[DRFXTRADING]

Not sure the problem…it should be accessible to all…what arent you seeing?

[DRFXTRADING]

Another trade here…NZD USD.

OVERALL SETUP - PROJECTED PENNANT ON 4H CHART

To take advantage of it, this was the Entry Setup…

[B]
LIMIT - 50 PIPS

STOP LOSS - 30 PIPS[/B]

NZD USD has a smaller range over a 24H period (50-60 Pips) compared to the other pairs (60-70 Pips)

After 24 H holding Period, had to close for 41 Pips as target of 50 Pips had not yet been hit- but a good result nevertheless

As you can see, decision to exit was the right one, as the market pulled back where I expected it would…

After a few more days, you can see that the projected Pennant was eventually formed…

So this confirms the accuracy of my Strategy in using Candlestick Patterns and the 24 Hour Holding Period.

So why is this not on the Live Account at Myfxbook like the the previous trade?

This was one of the last trades (EURO GBP below is the last one) on my Demo to fine-tune certain things before going back to Live. With all new strategies, Demo first before going Live.

Next Trades will be Live again.

Questions? Shoot…

Regards

[B]Duane

DRFXSWINGTRADING
[/B]

[DRFXTRADING]

EURO GBP trade took place at the end of the trade week on Thursday-Friday.

Overall Setup…

PROJECTED PENNANT SETUP AND RALLY TO RESISTANCE- 4 HOUR CHART

this was based on the theory of Consolidations and how they are formed…

Target was set to the area just below the Resistance Boundary. Stop Loss placed below the Candlestick Formation.

[B]
LIMIT - 50 PIPS

STOP - 30 PIPS[/B]

Again, EURO GBP one of those pairs with a smaller range than most, so this trade, along with a smaller stop loss was justified.

Here is where it can get tricky.

As a rule, at the end of the 24H Holding Period, trades will be closed regardless. However, in this case, an exception was made.

At the end of HP, trade had not yet hit target (up 30 Pips), but since a Bull Candle Signal had been given to indicate that the market was going to continue higher. So what I did was to move the Stop Loss at little above Break Even until the target was eventually hit…

I would say this will be one of the few exceptions to my 24 H holding period rule.

So another good trade confirming the accuracy of the strategy and the power of Candlestick Patterns.

Once you have a strategy with a clear, accurate set of Rules/Checklist that you always follow…

CHART ANALYSIS SHEET

(This is Part 1 of 2)

TRADE ENTRY SHEET

…you´re good to go.

Questions comments welcome…

[B]
Duane

DRFXSWINGTRADING[/B]