I know of a basketcase system that works very well. I have some notes of how the system works from its creator, but the creator wont tell others what the exact entry signals of the system are. I was hoping to send the notes I have on the system to people with more knowledge about fx than I do and help me decipher them. If people are interested, then I will PM the notes to you. It appears the system is similar to this daisychain system.
The creator is also 22 years old and has achieved some amazing returns off it, he has made a million dollars (starting from less than 100k) by taking low risk trades, only taking one trade per day targetting around 50 pips.
Great trade - I like it how you showed the screenshots of the 6 pairs. Also, how did you get the MACD indicator up on cobrafx, I only have the trix indicator. And are the MACD and trix the same thing?
Yes I did, I demoed in June but using the original pairs (EUR/USD, GBP/USD, AUD/USD, GBP/JPY, EUR/JPY) and I had great success, I moved into live trading and I had really good success, so far though Iām doing a lot better with the yen pairs.
How the short bodies are smaller (the bottom of the red body is closing HIGHER than the previous body) This is not a valid trade.
This pic:
Each candle body is closing LOWER than the previous one, this is valid, hope itās more clear
If you look at my screen shot of my trade youāll notice that I entered at the first pair at 9:14am so a quarter of the way through the second candle. When I first heard of the system you were supposed to enter a trade right after the close of the 3rd candle. I find that I have less successful trades using this rule and Iām constantly adjusting. Personally I prefer to enter in the middle or at the close of the second candle, I also prefer stronger candles (look at the second link in this post, that is a strong trend down and I wouldāve entered on the second candle)
Yes I only look at the HA candles on both 1h and 1m charts. Iām still playing around with 5m, so far Iām not having the same results with the 5m chart but I believe I havenāt spent enough time with it.
No problem, the system isnāt a holy grail but itās been working well so far. Iāll be posting more trades as I take them and see where it takes us, although looking at the chart and there isnāt a trade this morning so no trade for today. So hopefully Iāll have something new Monday.
Reaper, I see on the charts you posted that you have the braintrend indicator (blue/yellow dots) as well as the trend reversal green/red arrows. I had them on my old laptop but they didnāt come with the version you sent me. If you could send them individually to me Iād appreciate it. I had some success in demo trading the brain trend indicator on the one-minute charts if it popped up on the same candles on at least 4 pairs after a pullback.
MR1 MR2, MS2, MS1, basically those are mid points to the support/resistance so for example MR1 is the midpoint between the FPV of and the first resistance line (R1) same thing for support. I interpret them as a weaker support/resistance line than the regular support/resistance lines.
FPV is a pivot point at a daily level.
The reason I choose MACD over the trix is that itās easier for me to visualize.
No, I donāt really pay much attention to the coral indicator.
I look at the HA for a trend, go to 1m for a reversal, I use the support and resistance lines a lot. Also if the trend has been established for a while Iāll use an RSI indicator to see if the trend is in the oversold/overbought territory.
Thank you !! What is your leading pair ? Now the time here at USA PST:5.46 PM. It looks down trend is going on all JPY pairs. What is your reading on this ?
Well itās 9:07pm here in the EDT zone, yes there is a downtrend but, if you look at the RSI indicator on the 1hour charts youāll notice that all the yen pairs are shown in the oversold territory which is voids the trade, so I wonāt trade the basket.
With the yen basket I donāt have a leading pair, as I stated earlier I look for an individual entry on each pair (that is assuming the 1h chart is confirming a trend and itās not in oversold/overbought territory).
I just want to reiterate what I understood about this strategyā¦
2 or 3 HA consecutive candles of IH either in green or red
If green (Long), the successive candles should close higher than the previous candles
if Red (Short), the successive candles should close below the previous candles
The RSI indicator on 1H chart should be between 35 & 65.
On meeting above criteria - move on to 1M HA candles chart, look for MACD/Trix lines cross overā¦
For long, If the Fast Trix (MACD) line crosses up the other line - enter long
For sher, If the Fast Trix (MACD) line crosses down the other line - enter short
Please correct me if I am wrong hereā¦
on the other hand,
How do you determine the quality of the HA candles to avoid false brekouts ? Like, even though successive canldes are closing higher than the previous candles (for long), how about if they have long wicks at the bottom ? Do you consider them strong ? Please share your views on this one.
The original way I learned to trade this system is with 3 consecutive HA candles, the 2 candle modification is something I personally did and itās been working for me.
Yes, but the RSI is a little tight, those are more of ālookout areasā I tend to weary of trades if the RSI is below 30 and above 70 personally.
If there are long wick I really look at the strength of the HA candle (the size of it if you will), the more body there is the stronger the candle, the more of a wick then Iāll be a little more careful. Tomorrow Iāll dedicate some time and post some examples of candles that I like for a trade and then Iāll post some that I will be more careful around.
I just personally closed a trade for 170 pips on the yen basket just now, Iāll post screenshots and info tomorrow as Iām not really up for it tonight, Iām going to be heading to bed soon.
Again I want to reiterate, Iām not a pro, Iāve only been live trading for less than a year, this is meant to be a learning experience for myself as well as others. It has proven to be profitable to me so far, anything can change.
I also just closed a trade here. I only traded 3 of the yen pairs, since this was the first time I traded this method live, I took 20pips on each pair for 60 pips, in less then 30 minutes. I have not downloaded the program. I used the HA candles and RSI on 1 hr chart, moved to the 1m chart used MACD crossover and entered. I also have the Parobolic SAR indicator on. It looks like it is almost the samething as the ābrain dotā Any feedback on that?
Thanks
I havenāt tried trading with the Parabolic SAR but as for the brain trend dots they are good for showing a mini trend in the 1m chart but they can trap you as well if you donāt look at the MACD, there are instances where brain trend dots will appear numerous times over small amount of time, say 10 minutes.
