Hy, I love the simplicity of this strategy. however, on the RSI. I do not understand the ‘one level at 50’ part.
RSI (10 - Apply to Median Price: HL/2) – One
level at 50.
Under RSI properties, click on the Levels tab, delete 30 & 70, and just have 50. it just marks half way on your RSI chart…
here’s a nice little trick…
set your RSI to 5 periods. only put a 50 level. put a 200, 21, and 55 EMA’s on the chart. only trade the direction of the trend, take trades above or below the cross and close of the 50 line.
look for 21/55 ema crosses above or below the 200. this will put you into a nice position in a trending market
Have you traded this way allison? how does it do?
Someone already tried or backtesed the original strategy is higher (4H or 1D) timeframe and other pairs?
I wonder where we could get our hands on that Amazing CS EA that robopip is currently posting about?
Does anyone know and would you by chance be kind enough to share?
I haven’t personally tested it on higher time frames, but I do believe it would work just as well. Crossing averages have a long history and can be an effective technical indicator. Of course, with higher time frames, just change your other factors such as S/L and T/P etc.
I’m always interested in the idea of using an EA to make trades, but I would almost always recommend against it. Unless of course it’s a demo account or whatever. Even then, it’s very different when you have real money on the line.
I know with simple things like moving averages, it almost seems like an EA would be preferred to a human. But every single thread I’ve ever seen about an EA based on moving averages has basically said that it eventually makes you go broke and doesn’t work. Every single one of them. I don’t know if they just have bad money management or what, but it seems like an EA not working is the rule rather than the exception.
So just be careful is all I suggest. For instance, I’d recommend looking at the code of any EA first before trading with it.
Thank you for your reply, I must agree with you. It’s just that robopip is making some good trades based on this.
I’m guessing someone has yet to make an EA for this?
Again thanks for your insight, much appreciated.
There is one, but i cant give links, as this is my first post. Please do google it - amazing crossover system ea. It should be the first result.
Cheers mate 
Hi ForexPhantom,
First, thanks for this system (and thanks to your source as well, whoever s/he may be). I tested it on 3 pairs and am waiting for the results after the weekend (maybe I shouldn’t have tried it on a Friday =P
Anyhow, adding the MACD seems like a good addition of a good indicator. Let us know which settings on MACD work best, thanks =)
I just learned a trading strategy called Alignment. Maybe you’d want to add it to this system for better results. Basically, you could use the Weekly, Daily and Hourly charts as your “Long term, Medium term, and Short term” periods. Then add a 60 SMA. Then, if the price is above the 60 SMA on all 3 time frames AND the conditions for your system are met, go long. And if the price is below the 60 SMA on all 3 time frames AND your conditions are met, go short.
I don’t know how to backtest, but if someone here would be kind enough to do so, I believe your system would be even stronger if you incorporated the Alignment strategy in your system =)
Cheers!
So having spent a couple of days reading through the thread and looking at the set up, I think I’m gonna test this on my demo for the while as I try to rebuild my account after some disasterous trades killed my balance. I may have identified 2 potential trades, although am hesitant to jump straight in due to the markets closing for the weekend, so am thinking of putting in orders at +10 pips either side of the price to hedge any swing in price as the 5 and 10 EMA’s are pretty much on top of each other.
The system itself looks pretty straight forward and simple, but I have made a couple of minor adjustments. These being the initial S/L being set at 75 pips, the T/P set at 150 pips - but with the chance to extend if it looks like a run is forming, As Etoro don’t offer the ability to set an auto trailing S/L, that will be done manually, and instead of setting it at 20 pips, I have extended it to 35 to add a bit of a buffer for any adjustments
I will read these thread sooner. Are you trading at/via which brokers? i started real at ironfx from feb 2015 get 50%. but i do not have any good strategy i just use bolinger bands only
Hi,
Looks like a great system! Thanks ForexPhantom! I am really excited to test this out, and I just began, but I feel like my first three trade opportunities that I spotted would have been losers! Please note I am not using the MACD as a confirmation… I probably will now after seeing this, but I was hoping for some feedback based on the ForexPhantoms original rules, since these were the rules tested by RoboPip with great results… any advice?
In all three cases below (from today), I got the signal to enter (indicated at the red line), but in all three cases i’ve now gotten the opposite signal, and i’ wouldn’t have been up 20 pips yet to bring me to break even (-- and now i’m getting a signal to go in the OPPOSITE direction!!). Any advice would be much appreciated.
Thank you.
Hi,
The problem: They have to both be crossing at the same time. The moving averages AND the RSI. If you look at your graphs, you’ll see that the RSI was either above or below the 50 line marker, but not crossing when you made your trades. For instance, your last one with the USD/CHF illustrates this. If you back the red vertical line up a bit, you can see that BOTH the moving averages crossed AND the RSI went below the 50 line. That’s the moment to start a trade (in this case, sell).
Just a general note:
I think people may be confusing the two systems I wrote about.
This one is a 1 HOUR trading system based primarily on moving averages and the RSI indicator.
The “Daily Crossover” is a 24 HOUR trading system based primarily on moving averages APPLIED to the MACD.
I trade the Daily Crossover system on a LIVE account. I do not currently trade the system mentioned here. In my opinion, both can be good systems. But, the signals seem stronger in the DAILY CROSSOVER system. You don’t get nearly as many trades, though. So there’s always a drawback I guess. But you can go for more pips with each trade.
Anyways, I just don’t want people I’m trading this system, because I’m not at the moment. I’m trading the DAILY CROSSOVER system which is located in a separate thread.
Cheers!!
FP
Thank you very much for your quick reply ForexPhantom, i’m just trying to get the hang of this and appreciate your feedback! I will revise these three opportunities and keep testing! Thanks again.
You’re very welcome. I’m here to help anyone I can, and hopefully my advice is helpful.
Check out what I just wrote about the two systems I authored, too. You may have more luck with my other system (which is the one I’m trading live).
I will definitely check out your other system (Daily Crossover), but just wondering out of curiosity why you stopped trading this system if it was so good?! Especially after robopips recent coverage confirming how great it is!