Forex My Passion - Ashi Strategy (Intraday & Scalping)

Trading Systems Free Forex Trading Systems
23

You got me wrong,

  1. I did not mention that I have 10K account, I gave an example for a 10K account I PREFER to trade a 0.2 lot size 5 trades.
  2. The trades which wipe out my profits, well they were some old trades yes as you said, I though they will turn back (they may). Then It did not make any sense to hold those trades any longer so I closed them because I know I can recover them this week.
  3. I have experience of 5 years but no I was not trading on real account from 5 years. I started trading on real account from past 1 and half year (only when I felt I am ready take LOSSES). I lost some money (actually I wiped out my first account). Then I again started fresh.
  4. Like you said, you can double your account every year, you can wipe out several accounts also in just few days.
  5. What if I tell you, I doubled my account in one month and in the next month I lost everything? Yes exactly that is what happened with me. Now that is the reason I prefer to go with smaller lot size and I am ready to lose few trades.
    If you observe the template, I use line & candle charts. If I see a candle closing in opposite direction of the trade above envelop, I will close my trade with loss.
    Thanks for asking this. I proudly admit I wiped out my account once. I tried different methods. I spent considerable amount of money on stupid courses (I learn a lot from them too). Then I developed this system after testing and trying different indicators.

Please note I am not here to sell anything. I am not going to get anything by giving away my system. I am trying to help.

24

[B][I][U]I had an interesting question from one of the readers of my blog,[/U][/I][/B]
“How did you come across it, or did you come up with it on your own? Also, what hours do you trade? and what time zone are you in? One other question, when you put on a trade, and it goes against you, you said to set your s.l. 5 pips above/below the swing high/low, are you getting out most of the time when the price move back in to the envalope, or stopped out by your s.l.? Do you wait for the candle to close in the envalope before getting out or right when it enters?”

[B][I][U]My answer is,[/U][/I][/B]

"Yes it is my own system, I found it. Let me tell you one thing, I am trading forex for over 5 years now.
I started to trade only on demo years. In that course of time I came across with several indicators. I liked Heiken Ashi very much because of it’s simplicity. I understood most of the traders trade on moving averages and trust me Moving Averages are one of the best indicators to trade. But I knew that is not enough (by experience) I wanted to have something solid. I knew volume plays an important roll.

To have a perfect system, you need at least 3 good indicators to show you a solid trend and you need one indicator to show the real volume. And some times you realize you are too late to enter the trade. You need to chose a time frame where you can be not too late and not too early.

You need a good pair which has got lowest spread and not too volatile.

I chose line chart again for it’s simplicity. On one glance you can understand the direction but you also need candlestick to get proper entry and exit.

Now let me tell you one more thing, you almost realized what are necessary for the good strategy. You check yourself and try different indicators on demo you may come up with something better than what I have. Then share with everybody.

I live in Middle east. Thank God! This is the best time frame as most of the traders trade at this time (There is volume)
I don’t stare at charts all the time. I come to check whenever I have time. My trading hours will be between 10 am to 7 pm (GMT+3). As I said earlier I will not watch the charts all the time.

SL I keep the SL because I will not stay in from my computer all the time. So some times if my trade goes against me I will not end up with huge loss.

I will usually close the trade (losing one) if it goes against me in the opposite direction (it will enter envelop and goes in the opposite direction - line chart)

When the price is moving inside envelop, I will not place any NEW trades."

25

Try sticking them all in a zip file and just uploading the zip file :slight_smile:

26

Ashi - Strategy.zip (4.51 KB)

Here it is.

I was trying rar all these days. I think only zip files work.

Good luck.

27

Very interesting today after US elections. Have a look at the charts!!!

e-u.jpg700×455 50.8 KB


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a-u.jpg700×455 46.8 KB


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gold.jpg700×408 42.1 KB

28

i take it now of these are valid entries?

P.S trying out your system today. Havent had a vlaid entry as ADX has been below 22 all day. Will wait for friday.
Do you do your trading mostly on 1hr or daily?

29

They were valid entries yesterday!
Today ADX was south! No trades. As expected this week was not that good to trade (Because of US Election).
I trade mostly on H1. Sometimes I will check daily (for the trades I would like to keep open for days).
Good luck.

30

Only the down move? Not the up as macd and ao where in opposite direction?

31

I was talking about ADX not about Trend. When ADX is down (south) I don’t trade. ADX below 22 says no VOLUME. When there is not enough volume, the trend will be weak so better not trade.
I hope you get my point.

32

Hi Gloriar,

Thanks for sharing the strategy!! Tried using it on my demo account and took a nice 37pip trade(a good start! :D)

Hope i’m following correctly the rules of the trade, correct me if i’m wrong:
-ADX >22
-MACD and AO both downtrend
-price close below envelope

eurotrade.jpg700×290 33.4 KB

This strategy looks promising indeed, will continue to test out more!! :smiley:

J

33

You are correct, at one glance you got the idea, it is a sell setup.
About ADX I think you got confused.
ADX is all about volume. We trade only when there is volume. That is above 22 level,it means there is volume to support the trend. It says strong trend.
Good luck.

34

Thx for the clarification gloriar. Just a quick question here. Is it wise to jump into a trade late in the trend? Say for e.g a clear sell setup that occured sometime ago but you only enter it late into the trend. Or do you simply back off and wait for a new clear entry?

35

If Scalping it is ok to re-enter (5-10 pips).
Or else wait for a clear re-entry.(May be in the same direction - wait for the price to close above or below envelope).

36

Thx for the quick reply gloriar! I get it now…will continue to test out this strategy on demo before going live! :smiley:

37

Please try it on demo as long as you are comfortable.
Good luck.

38

And use proper money management system to be successful.

39

HI Gloriar, have been testing the system a little now, but i got a small question.
I know from rules that we trade when ADX is above 22. What if ADX is above 22, but the line is trending down back to below 22? Do we trade then or does that mean the trend has already took place and buying/selling activity is dying out. ? If you not quiet sure what i mean i can post a pic.:slight_smile:
Many thanks

40

Thanks for your interest. I understand what you mean. If you see ADX has changed it’s direction, and if you have an open position better close with what ever profit you have in hand and [B][U]WAIT[/U][/B] for ADX to turn again upwards. If you want to open a new position [B]WAIT[/B] for ADX to turn upward again above 22 level.

I hope this answers your question.

41

I thought that would be the case. Thanks for clarifying :slight_smile:

42

You are welcome.
You must test it on demo for a while. Once you master it, at one glance you will realize if there is trading opportunity. If you get even a small dought that the trend is not strong enough or not a good setup, just don’t trade. Trade [B][U][I]only[/I][/U][/B] when you see a good setup.

I have not updated my blog for a while now as I am studying for my exams.
I will update it in the coming week. I am also testing the strategy on GOLD & SILVER. So far so good.
Good luck.