Try using the template that was posted. It makes it a bunch easier.
Yes, I noticed you dont have the swing_ZZ DOTS on you pic, the SL should be placed at the dot. I would add them or just use the template provided, it should help things a bit.I also noticed your entry candle did not close below the opening price of the previous candle, I would only enter on a sell trade only if the “red” bearish candle closes below the the opening price of the previous bullish “green” candle.
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Another perfect setup Mojo, great job, how many pips did you mange to take or are you still in?
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Here are some nice 1 hour setups that yielded some nice pips, i didnt trade these but I wish I did.
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Yea, im currently in that trade, its up 20 pips, I think ill exit now.
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I like the method as It is very close to what I am doing right now but using the indie takes my focus off the candles (the ZZi) Ill keep it up for moral support but Im sticking with my price action set ups til I get them nailed.
to each his own good luck with your method.
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Found a flaw. What are some signs that the mega trend is going to reverse? I have had two trades in a row where I got a signal and then the trend reversed and I got stopped out.
I haven’t seen any system yet that has been free of flaws. If you try to iron out one flaw another will pop up. Two in a row isn’t so bad, just remember it’s all about statisics.
For TP I would suggest using Fibo levels. I’m still trying to figure out the optimal entry points of the system but it seems Fibo levels for targets are the way to go. What I’d suggest is openning two trades, one aimed for Fibo 1, and the second aimed for Fibo 2. Once the first trade gets hit, move the SL of the 2nd trade to break even. You’ll get about 1/2 your trades hitting breakeven and the other 1/2 hitting the 2nd fib level.
Give it a shot, may yield more pips in the long run!
Check out the attached files. Look at gbp5min.jpg first, then gbp5min2.jpg.
Sure, the trades can drag on, this one in particular lasted almost 20 hours, but check out the yield! You can set it and leave it, no need to monitor the trade, and with such a small stop loss it’s worth looking into. In this case, this trade was almost at 4:1 reward/risk ratio which is golden. (two trades at 18 SL each)
Level 1 = + 52 pips
Level 2 = + 93 pips
Total = +145 pips on one trade!
Unfortunately I’m at work and my history only goes to Jan 29th so I’m not sure how it would perform at this point in time.
Here’s another example on the 1M GBPUSD chart on April 20th. I only trade during asian session so that’s what I’ll be posting up. I’ll post up a live SS once I get going with this system.
The first trade (gbpusd1m.jpg) during the session resulted in a fail. The Stop loss was hit (-7 pips x 2)
The next available trade (gbpusd1m2.jpg) resulted in a win (gbpusd1m3.jpg)
Fibo Target 1 = +15 pips
Fibo Target 2 = + 26 pips
Total = +41 pips
Stop loss on both trades was -7 pips/trade.
2.9 reward/risk ratio on this trade.
Total for this trade day is +27 pips. Thank goodness for the magic of compounding!
Luckily my history is up to date for the 1M charts. Looking back and applying the Fibo levels so far 9 times out of ten the 1st fibo level is hit and 7 out of 10 times fibo 2 has been hit on the 1M time frame. Resulting in an average +30 per trade. Sometimes higher, sometimes lower, and sometimes two or three of those type of trades are valid from 8:00pm EST to 10:00pm EST. I think it was May 2, 2011 that hit 2 trades, in opposite directions for +45 pips each, +90 total for the day. Not too shabby with a small 7 to 8 stop loss on average.
Also, for those of you who want to be able to relax once in the trade, I suggest using an EA to move the stop loss on the 2nd trade to breakeven. I’ll try posting the one I use when I get home from work today. Makes life so much easier once you get the trade signal, you don’t have to sit at your computer and wait until the fibo 1 level is reached before moving the SL.
Just finished back testing March, April and up to friday of May on the 1M time frame for USDJPY. Using Fibo levels generated +146 pips in march (I’m missing 1/2 the month’s history though!) and it generated +427 pips in april, compared to roughly +140 pips if I went for +5 for each trade. That’s quite a significant difference. One trade alone hit both targets for a +78 gain and had a s/l of 12. That’s a huge risk/reward ratio!
So far in May using fibos I’m up +90, while if I aimed for 5 pips each trade I’d be up +45 pips.
Will post live screen shots once the market resumes tonight!
Just remember : Past performance doesn’t guarantee future outlook.
Thanks for this system, I think it’s what I’ve been looking for all this time.
Made 8 pips last night effortlessly using this system.
T1 hit but T2 ended up hitting breakeven. Still, using compounding and a proper money management skill, 8 pips resulted in over $80 in about 20 minutes of trading. I should have kept trading but was happy with the win so I stopped for the day.
Wondering if the OP, blizard, has had any new success or updates to his system.
I personally haven’t had much success yet. I’m still breaking even, but I’ve noticed my losses are due to me not correctly applying the system. For example, I realized I wasn’t even taking the daily pivot into consideration as was recommended in the first post. I added a Pivot Point indicator to the template to assist me with that.
I’m still experimenting with applying windsorftw’s contributions, but for whatever reason I’m having trouble. Probably because I don’t know how to draw the retracement correctly. Question with an example. Say I’m buying. Do I draw the retracement line from the lowest swing point to the highest swing point before it? It LOOKS correct to me, but I’m still pretty new to Metatrader.
UPDATE: Just had a +10 pips trade. I attached the picture below, but since I’m using Linux and I don’t know how to use Metatrader fluently yet, it may not be so clear where I started and stopped the trade.
There’s a red circle toward the right edge of the screen at 1.42570. That’s where I shorted. It could’ve hit my TP at +12 but I wanted the sure thing.
