Hi there,
Your picture is great! Please tell us all about your support/resistance lines and how you arrived at them. I believe the system is good without such an add-on, but it could be excellent with the right one.
PS - Your English is great.
-ForexPhantom-
LOL! 
Take care,
-ForexPhantom-
Hello.
This lines is just ordinary support /resistance lines. I use them to set my profit/loss target .Of course this is just a target, price could break out of resistance/support level or never get close to them. We have to look at chart and react- sometimes take some profits out of trade or exit trade. In other word we put hard SL and expect TP (thanks to sup/res level). But let�s take a closer look ( for example take back a few month earlier) to see what I�m up to.
Cheers.
I know this above quote goes back awhile and has been already commented on, but yes I agree that the two MA’s put on the MACD gives a different set of crosses than putting the 2 MA’s right on the price chart.
I had posted a link awhile back to automate this system using a Universal Cross EA(no one commented on it) - but it doesn’t work because you have to put the two MA onto the MACD! (not the price chart)
Now, I realize this system appears to take very little time spent in front of the computer (which is why I am interested in it!) - but I really wonder if someone could modify this Universal Cross EA, as it has lots of settings:
So, if someone could make this EA put it’s MA’s onto a MACD window…then this system would be semi-automated - may take the beauty out of the system (sorry, ForexPhantom!).
PM/email me and I’ll send you the mq4 file for modification as I can’t post mq4 files here.
Hope you keep hauling in the pips! 
Hi Phantom,
thanks for your reply,
the system is very, very good!
I dont go in all crosses,
I like to go in on the trend,
and I come out on sup/res lines.
I also stay away from to much strong news,
but hey thats just me.
Good results today up 260 pips up.
Thanks again, Gary:)
If I may summarize, this system is a moving average of the MACD histogram - MA=4 takes the average of the previous 4 histogram bars. MA=1 follows the histogram exactly, of course, as it only takes the average of that bar.
So, really its a cross of the moving averages of the histogram � and the histogram is a measure of the difference between two other moving averages. Kind of reminds me of my old Calculus courses in university. I’m sure there is a purpose for derivatives, integrals, maximums, minimums, logarithms, etc somewhere in forex!
Simply put, the system tells us to enter when the histogram of the MACD has peaked and is changing direction. So, instead of the classic MA cross (where we enter when MACD=0), we are entering right after the MACD is at a maximum (maximum divergence of the MA’s) and is now converging. This appears to be the heart of the system.
What would be interesting is if the MACD settings could be tweaked to even make this system of ForexPhantom’s even better!
Cheers!
Wow! I couldn’t have said it better myself. Very good explanation. You help me understand my own system better haha.
Yes, the MACD as well as the moving averages could indeed be tweaked. There is always room to tweak! I think such tweaks would only be worth discovering if they could help us avoid fakeouts. That is really the only “problem” with the system. If you’ll notice, looking into the past confirms that during each and every cross, the trade is valid. The problem is that sometimes the two MA’s will hold hands for a bit and then part ways (sounds like a love song). It would be very nice to know when the two MA’s are serious about taking their relationship to the next level and not just looking for a one-night stand.
^^ LOL ^^
Anyways, the MACD of 4,9,5 is used to give us the earliest possible signal, at the risk of more fakeouts. We could try playing around with this ratio or increase the various periods ad-hoc.
Same goes for the MA’s, although I would think it foolish to increase the fast MA. I think you need a very low number in order to reflect the changing MACD. Since we are using the Daily charts, we should aim to find the most reliable MA’s with the smallest periods possible because catching the trend early can grant us many more pips compared to smaller charts.
I think risk/reward is really important with this system. When this system works, it works very well with a larger trailing stop. I think it might be a good idea to use tight S/L, such as 50-75 pips. We all ready know that we can win over 200 pips per trade, so if we can simply catch 1/4 winners (give or take) we can come out ahead. The system definitely has a 25%+ win ratio. Backtesting would be very useful here…but I’m not sure how to do that! Through my own experience though, it seems that once the MA’s uncross, it’s highly unlikely that the trade will reverse again anytime soon. You could either scrap that trade or enter the opposite way. It would be interesting to see what happens if we enter the opposite way when the MA’s uncross.
Anyways, keep up the good work.
-ForexPhantom-
Good points for sure. I still need to figure out sup/res lines as that seems very useful for this system. News and holidays can definitely cause things to go haywire (just look at this past Easter…oh my lord!).
Glad to see you are coming out ahead!!
Keep it up,
-ForexPhantom-
hey fp very good system you have here. just discovered this thread today and i can say it looks good. will be trading it today and see. how about using murrey math lines as s/r. seems to give good indication as where it will bouce. here’s an example. took a long on this one. live. also u/y crossed upwards and i took a long on that one too.
Hey FP,
If you’re looking for a good support and resistance indicator, have you considered adding the SHI Channel indicator in MT4 (attached)?
Your T/P points will be very clearly laid out for you (channel top, bottom, and midpoint).
Also, it’s a decent forecaster of where the price is headed to.
Hi there
I m new to this form.
Friend of mine refered me here to have this strategy.
AFter seeing many posts and can someone give me the exact downlable link for this cross over strategy and place to drop it in mt4
Also if i need to change any settings any where. please help
Where this indicator work, Daily, Hrly, weekly, min
i will appreciate any help.
If you need to email me the link here is the email address below
harry at zero2vm dot com
thanks
harry Singh
read the first page it will tell you everything you need to know including the templet that you need.
don’t you hate it when people are too lazy to even read the first page of the post? 
…seems great!
I checked it out and it seems to be almost a system within itself, but definitely good for a second opinion.
Do y’all use 240 bars?
Has anyone ever traded solely based on this indicator? I’m a big fan of the trailing stop with this system, but someone mentioned earlier that you can aim for the mid-line or outer line (top for a buy, bottom for a sell) to guide your T/P. What do you guys think? Maybe a trailing stop in conjunction with a T/P of the aforementioned lines?
Interesting stuff. I really think this will be useful in keeping us out of bad trades.
Cheers,
-ForexPhantom-
Glad you like it.
All credit goes to Mike Parker for showing me the SHI Channel.
There are probably lots of systems that utilize the SHI Channel (which is a Linear Regression Channel), and there are probably some traders that only use the SHI Channel to trade.
I attached a modified SHI Channel (courtesy of Husky) which you can configure more than the previous one. If you add several of this modified SHI Channel on a chart, you can see multiple channels from different time frames all at once on one chart. I’m not suggesting that for you because I like the simplicity of your system and one channel should be enough for trading on the Daily chart.
[QUOTE=ForexPhantom;104086]…seems great!
I checked it out and it seems to be almost a system within itself, but definitely good for a second opinion.
Do y’all use 240 bars?
Has anyone ever traded solely based on this indicator? I’m a big fan of the trailing stop with this system, but someone mentioned earlier that you can aim for the mid-line or outer line (top for a buy, bottom for a sell) to guide your T/P. What do you guys think? Maybe a trailing stop in conjunction with a T/P of the aforementioned lines?
Interesting stuff. I really think this will be useful in keeping us out of bad trades.
Cheers,
-ForexPhantom-[/QUOTE]
Hi all,
I’m in the process of setting up a small live account with Alpari US. I registered on their website and now I have to mail in 4 different forms, including a tax form, drivers license, and two forms of consent. So many hoops to jump through! I was hoping that I could just register right on the website and that would be it. Apparently not.
Anyways, I’m just curious as to which broker you use and why.
How is everybody doing with the system right now?
-ForexPhantom-
Same position as you…i’m considering ACM as well as forex.com both have mt4 and allow hedging as you can open up accounts overseas. Haven’t decided between the 2 though.
I use GFT’s dealbook system, its not MT4 but I run an MT$ demo with Alrari for indicators, signals, etc.
I was relatively simple to set up an account with GFT, the dealbook system does take a bit of getting use to after using MT4 but I find it excellent now. GFT support is also very good and I have had no problems with them as yet.
I will also be setting up an account with Alpari soon.
whoa there nelly!
Haven’t you read: http://forums.babypips.com/99611-post389.html ?
I’d think twice about considering ACM
