How do we manage these trades during news events ? As this strategy requires us to leave trades over a few days do we even care to look at news or is this purely a mechanical strategy ? I know big events like NFP we try to avoid or put a tighter SL but what about other medium to low impact news ?
Hi everyone , i new on this forum and been trading for some time tried live account without gain so now back to demo. I Think your original and the 4-8 system are fantastic because it give you live response to the changes on the market , i tried it in 2 ways in the demo , first one i put 10 orders with 30 ST and 20 TP according to the crossings or the trend (better the beginning of the trend)and because i took small profit even if eventually it moved against me i still managed to get the small profit before it turned around ,on the 1-4 MA and won 80-90 %. small gain but many positions on daily basis .
But eventually i think your system are great for entering the trend so you get in in green and stay there for couple of days , so enter only in direction i found the Fibonacci is a great tool to identify where the market is going , it also good for the TP points if you go for couple of days . So at least for me i enter when your system show me in the direction of the Fibonacci i get green right away and even that i put a SL around 60 probably you won’t need it . unless something serious happened in the markets. I also found the ichimoku is a great trend indicator, when fibo is neutral i open the ichimoku if also cloudy there i just seat and wait for better weather.
FP or anyone who sees this message,
I’m a newbie who has been experimenting with all kinds of strategies. I like price action and I want to complement it with something else, such as this daily crossover.
I know this has been around from 2009/2010 so yes, I’m coming in a little late in the game. Stumbled on this thread last night and I’ve been reading it like hell to understand how the system has been working for everybody.
Based on the reviews, I’ve decided to give it a go but there’s a little problem that I have. After setting up the MACD indicator, I’ve been trying to apply the MAs but I’m not getting the option of ‘apply to first indicators data’. In the ‘apply to’ drop down box. I’m only seeing ‘close, open, high, low, median price’, etc.
Can someone give me some advice as to how I can apply it to the MACD data?
Would really appreciate it.
Thanks.
David
FP, Gents,
I was able to install the template. Will report my trading results here.
Thanks.
Hi guys,
Just out of interest, has anyone tried the crossover system with either indices or equities?
Hello everyone,
can anyone say if they have tried this system successfully on a 4hr chart? Using the 2, 8 MA?
Thanks
David.
I have done a little tweaking with this system.
I am using the RSI(14). When rsi is greater than 50, I am watching for a crossover to the down side looking only for short trades. When rsi is less than 50, I am watching for a cross over to the up side looking only for long trades. The filter seems to work really well. And once rsi crosses above or below 50, the ma tends to occur soon after(1-2 days).
Anyone got an opinion on this? Thanks.
Hi,
I really can’t comment unless I try it. Have you taken any trades based on this, or are you just backtesting?
David.
Hello, so after taking a trade (based on the system) on the USDGBP, I’m up 60+ pips (not surprising since it has been in an uptrend for a while). I intend to move my SL to where I entered the trade. I do see some possibilities on other pairs coming for next week
I really wish I could trade a simple and reliable crossover system such as this on the 4hr chart to catch some intra-day movements.
Any suggestions?
David
Hello all,
FP here. I opened a real account recently. I made 3 trades based on this system on the Daily Chart since opening my account. The first trade showed a profit, but I eventually lost it (should have closed it while I had the chance). The next two trades both made me a profit.
I’m still tinkering with the optimum S/L and T/P. Those are all that are left to figure out. The system is solid as ever. When you get a crossover on a daily chart, the signal is very strong and reliable. My last trade closed out prematurely with a 50 pip trailing profit. My next trade I’ll try 75 trailing stop.
Cheers,
FP
Hi
Are you still using 4sma-8sma? I been using SL 5 pips below last candle.
Regards
Nope, I’m using 1 and 4 Linear Weighted Moving Average (which are the original parameters). You could tinker with these values if you want a stronger signal, but a stronger signal means that you risk getting in too late to the trade.
SL 5 pips below seems interesting. How has that worked out for you?
Welcome back FP! :59:
Coincidentally, I have recently been trading your older Amazing Crossover method. Now that you are active once again on this thread, I will concentrate my efforts here. Let’s grab some pips!
Great trading!
Bobkat
Thank you!
How has the “Amazing Crossover” been going for you? The two systems are both good, in my opinion, but this Daily crossover system is a bit more conservative. Meaning, you enter less trades but they are a bit stronger in terms of signal strength. I think it’s whatever suits your trading style more.
Cheers and happy trading!
FP
Okay after reading everything I can on this daily crossover, decided Id give it a whirl with 10 and 5 sma, with the SHI indicator to assist. In last 2 days took:
buy usdchf = stopped out -100 pips
buy usdaud = stopped out -100 pips
Sell usdcad = stopped out -100pips
sell eurusd = break even
So… so far not going too well - but determined to persevere! gonna look back at some example pics of other peoples trades see if ive taken too early. Looking at increasing my stop a little to see if its needs a bit more breathing space. 100pip stop at the moment.
Thanks to everyone for all the advice and setups etc posted. Thanks to FP especially for all his efforts.
thanks
OK, we have a little bit of a problem here. The values you are using are not the ones used in the original method. The original values are 1 and 4 Linear Weighted Moving Averages applied to the MACD indicator. I recommend using the template and trying the original values first.
The 5 and 10 SMAs you are talking about come from the other crossover system I talked about. I think with the Daily Time Frame, they won’t work as well. You need to lower them. If you were trading on the hourly chart, then those values might work very well. But for now, my recommendation would be to stick with the template on the original page, and see how it goes.
I can, for instance, say that taking that many trades in 2 days is way too many for this system. This system is conservative. You will be taking far fewer trades, but they will be strong trades. I recommend re-reading the original post just to make sure you have your head around it.
General note to self: I need to increase my T/P! For instance, I traded the USD/JPY @ 101.400 on Monday (7.21). I tried to use a 50 pips trailing profit - and it got stopped out just a few hours later (I made around 54 pips profit).
Just today, the price of the USD/JPY is up to 101.803. Had I stayed in the trade a few more days, I’d be up approximately 400 pips right now.
Lesson to take away from this? If this represents an average amount of movement once we get a signal, then we need to aim for more profits. I’m thinking of trying a 150 pip Trailing Profit on my next trade. It seems like a good average to aim for is 200-400 pips per trade (at least). If you could ride out a “trend” fully, it seems that even 1000+ pips is not at all out of the question.
Aaah okay after that change I can see the difference in entry signals thank you FP. Ill calmly enter the trades from now on… somewhat… mostly… kindof… sortof… ishh…
Yes, it should be the case that with the template (the 1 and 4 LWMAs), on the daily chart, you can see how the signal entry points line up very nicely with the big movements on the charts.
Cheers!
how do you know that the crossover is not a fakeout is there any way to see that?