Ema Step System

Trading Systems
101

Interesting opinion Hideyoshi, when i don’t see any cross on the daily i often use the 15min…and have success with it, if i didn’t i simply wouldnt reccomend it to others.

This system WAS designed for the longer timeframes, but i found that once i knew the system i could take the system to lower timeframes and still walk away with pips, all be it nowhere near as many as on the daily.

Also 500 pips!..where was your stoploss my friend?
When i trade the 15min i am looking for 10 maybe 20 pips, trailing the stop every 5 pips.

I don’t understand how you could lose 500 pips in 6 trades…thats a stop loss of 83 pips on average…for a potential 10-20 pips profit. That kind of ratio is mental! lol

Still many thanks for your opinion, i asked for all feedback and i have to be prepared to take the rough with the smooth :slight_smile:

102

nice to know you do use 15 mins, when there is no cross on daily im going to try looking at 4 hour and then going down to 15 min to get in on the direction of the 4 hour unless you have any other tips for 15 mins?

103

Hey people, Maurizio is right, you can use shorter timeframes really well. I use the 1h and 30m if nothing appears on the daily, but you can’t be chasing any more than 10-20 pips per trade.

As a side note, if anyone was wondering, I’ve stopped my commentary for a couple of reasons. Firstly, my experiment with the different pairs hasn’t worked too well. This system is far more profitable on JPY pairs than most others. Secondly, I think that the pressure (to be right) of posting my thoughts on a publix forum was making me over-analyse each pair. I’m back in the black now… does this make any sense to anyone, or maybe just a coincidence?

Now, I’m no programmer, but if someone will through up an EA for this system, I’ll gladly put some time into testing various parameters to try to increase the mechanical nature if it. I tend to find using EAs to make trades, then managing them manually works really well as a trading style for me… kinda like cyborg trading or something! :cool:

-Benjimang

104

hey, found this ea in my vault, you just need to change the values of the moving averages in the properties.

I will try some shorter timeframes too, will try out eur/jpy and usd/jpy, can’t afford the spread on gbp/jpy lol

Should probably add I did not code this ea, credit should go to Coders Guru from TSD.

EMA_CROSS.zip (1.31 KB)

105

Hi Cryten,

You asked if i had any tips for trading lower timeframes, well i have just done this, its a bit rushed as i am on my lunchbreak.

But it should help in trading lower TF’s.

This particular pic is of the 15min chart that i have just been on.

If you want a hand sifting through all the noise of the lower timeframes, use a tool that tells you when we are at a top, and when are at a bottom.

You should already have a CCI up, this will tell you when the mover is just beginning or about to burn out by the “Peaks” we have spoken about previously…now for lower TF’s simply try a Bollinger Band, standard settings. (14, 2)

You seem a pretty switched-on bloke Cryten so i will not bore you with the ins & outs of the “Bollinger-Bounce”.

The technique is simple, wait until price hits the upper/lower line or obvious resistance, and when it bounces back, wait for the first EMA cross candle, the enter on the step (just like day trading).

To exit, keep a close look on your CCI and the price approaching the opposite BB, when you think the move is over get out…and possibly enter in the opposite direction when you see another cross…apart from at news times you can pretty much do this all day.!!!

I have included a pic.

The Blue circles represent the “Hit” of the Bollinger band or resistance.
The Yellow circles represent your “Cross candle”.
The Yellow oblong thing represents the trade outcome (with pip totals)

As for a stop loss, as you know mine are all mental, but if you wanna know what i do, i put a 10 pip SL above/below the CROSS CANDLE…NOT YOUR ENTRY CANDLE.

I hope this helps mate :slight_smile:

RIGHT!!!..off for some fooooood !

Trading the 15 mins.jpg700×525 78.2 KB

106

Thank you maurizio :smiley:

Quick scalp on usd/jpy and eur/jpy for 10 pips each

only rule I have at the mo is to keep in with the daily trend, i have daily, 4 hour a 15 min charts up for the pairs im trading.

$10 a pip so not too shabby! I love double cross candles, free money almost, just need to be aware the wicks can sometimes be more extreme so i’m still working out the stop loss for these.

107

On the charts GBP/CHF looks like GBP/JPY when you first started this thread, maybe one to add to the arsenal? :wink:

108

Hey Cryten, you’re spot on with the GBP/CHF idea. I’ve actually setup 6 charts that I watch now, and I have been outrageously profitable with them. They’re JPY and CHF pairs backed by EUR, GBP, and USD. I actually prefer USD backed pairs the least.

If anyone is interested, I tend to drop straight down to 30m if nothing appears on the daily. This has been working well for me, but I suppose everyone is different.

-Benjimang

109

Oh man, what a sweet night on this system. All six CHF and JPY pairs are going crazy on the 30 min charts. Is anyone else catching this?

-Benjimang

110

maurizio,

Im just wondering what you do when your in the situation where you hav a cross candle but the CCI and stochs are in the middle (Between 100 and -100) or even going agaist the direction of the cross.Do you go with the cross? or do you just wait untill the CCI and stochs indicators are agreeing with the direction of the cross candle?

Thanks,
James

111

hey guys i’m was just wondering what is a double cross candle…by the way i’m kenny nice to meet ya’ll

112

Hi James,

Good question…To be honest it depends on the timeframe.

The higher it is the more i will go with just the cross, for instance on the daily i will invariably trust the cross (so long as the candle has officially ended still crossed) on a 5, 15 or a choppy 30min chart i will look for the confirmation signals to bolster my chances of a decent trade.

If you are just starting out using this sytem, i would wait for all the indicators to be where they are supposed to be, you may have fewer trades but the ones you do have are more likely to be successful…and thats the name of the game isnt it? :stuck_out_tongue:

Made a killing on this system last week and have been having alot of fun with it this week too.

If this sort of movement happened once each month with regularity, i would give up my job tomorrow…seriously :slight_smile:

Good luck James :slight_smile:

113

Man, I know what you mean Maurizio. The past couple of weeks have been a gold mine with this system. I hope this isn’t just because the market is behaving the way we need it to. This week I have only placed one set of ‘daily’ trades. That was yesterday on a couple of JPY pairs that ‘double crossed’. Other than that, I’ve been trading the 30 min with a TP of only 10 pips. Like I said, I use it on 6 pairs though. So I can usually make around 40-80 pips from only two major movements, and I only need the price to move a small way. Sure, I’ve seem many pips float past me because I’m not really managing my trades (I’m just taking a quick and very easy 10 pip profit), but the setups appear often enough to get well over my daily target of 20 pips.

Just a note for anyone out there… I’ve found my record has been nearly bullet proof since changing the application of the indicators from ‘close’ to ‘open’. It basically forces you to wait for the ‘step’ to the next candle, and doesn’t allow the RSI of CCI to start to look bad from a simple whipsaw. Couple that with really a small TP and you may find your win % shoot up, like mine has.

-Benjimang

114

Maurizio,

I’m totally diggin’ this thread! Having reviewed this system on the 15min for the last week alone, there was a killing to be made! Leave it to me to come out on the negative end of my trades though haha! Hope to turn that around soon.

I did have a question about your stochs though. You use both fast and slow but what are the settings? I’ve seen you mention 14,3,3 for the slow and 14,3 for fast but some of your jpegs show both the slow and fast stochs as 14,3 (how you manage only 2 parameters for slow stochs I’m still trying to figure out :P). So the question is what exactly are your stochs set at?

Also, I think in post 34(ish?) you mentioned using MACD. Are you still using that or are you just using the stochs and CCI (and maybe bollinger in the appropriate TF). Thanks!!

-Shaun

ps I hear this gbp/jpy really moves in August. I’m looking forward to making some pips!

115

Thanks for your response maurizio, in answer to the question below, i think slow stochs have the parameters 8,3,3 and the fast stochs 8,3,1? i hope im right or i have been following this system incorrectly lol
regards to everyone,
Jamesd

116

So what other pairs are working well for this system?

117

I like the major JPY crosses, and also the CHF crosses. CHF/JPY is too wild though. I’ll trade the GBP / JPY or CHF on the daily, but tend to stick to EUR/JPY (CHF) or USD/JPY (CHF) on smaller timefrimes because my TP’s are lower, so it helps to have a smaller spread.

There seems to be some sweet setups about to form on the daily if anyone is watching.

-Benjimang

118

Thanks,

Il keep an eye on the daily…

Zak

119

Yup, do keep an eye on the daily, but for best results, time your entry on the 4h or 1h charts. When you get a few timeframes all lining up the same way, you have a pretty powerful signal.

120

Hows everyone doing with this system?

I am looking forward to trading on it, due to its very mechanical nature.

Does anyone take in account any big news reports, or on the larger time frames do they not affect this system?

Thanks

Zak