Though it makes a lot of sense…
I Know. Im not from expert4x.com but that article is definitively from them. Still gives nice hints. Im just another hard worker trying to succed in the Forex.
Have a nice day
Thanks a lot dachelm for your comments… its true, the way you trade is similar but not equal, I like the grid because it needs less maintenance, less time infront of the PC. I would love to hear about your results though.
Well, resuming what has been happening with my life in the last few weeks, I’ve been very busy thats why I dont have so much time to update this post. Another reason is that this method is kinda slow, I wish I could make more money faster… but I’m a little reserved. I also was developing another method (doesnt have anything to do with the grid), but still is in pampers stage but very promising.
So, here is some updates from my Live Grid GBP/USD:
Initial Balance: 300
Balance: 604.43
Equity: 504.6
Margin used: 40
Floating P/L: -100
Account growth: 68%
Edit:
I forgot to mention that I increased the lot size from 0.1 to 0.3 a few days ago.
Im glad you respond to this threat. I’ve been busy too so don’t worry if you take your time. Well so far I’ve been using this method for 2 weeks now and had nice results. The past week I catch aroubd 400 pips only with GBP/JPY. I wish I could post my report here but my demo account expired las week LOL, That’s why I opened another one sunday night of this week. At the end of the week I will Upload the report. So far catch a clean 146 pips (Actually was more but im just posting here my actual earning and not a net gain) Im still inside an operation with the eur/usd so Im expecting to be 200+ when Im done. I know this could be a little slow but is soooooo effective. Maybe I start managing others peoples money in order to speed up my earnings.
Think about it…if you get 200 monthly and increase une lot for every 10000 you add to your account you will be very rich in less than 6 -7 years (not bad at all) Im 23 so in my 30 I can retire rich. MMMmmmm.
Sounds good huh? Do the math
Best Of Luck
Hello Traders,
I just found out about grid trading this weekend. I have watched some videos online, took a look at this forum, and played around a bit with this…I think this is finally the trading systems I have been looking for…no indicators, no fibs, just…math. LOL
I would like to throw out a couple ideas on this system that I have been looking at. I know some of this has been said, but I would like to share where my mind is at with the information I have look at thus far.
–Use larger legs, min of 150, I like 200…but up to 300 is fine for larger trending markets.
–100% retracement = Win, 50% retracement = Win, 33% retracement = Break Even…if your trade trends and triggers 4 legs in the same direction = Loss
If anybody has a suggestion about what to do if 4 legs are hit in the same direction…and still look to either break even, or turn a profit, please share 
Happy Hunting…and honestly, I am just about to spend the money on the Expert4x site and get their how to :)…but it would be nicer if I could run this system to make the money…that way I take the training for free LOL.
Well Well Well. The suggestion about what to do if 4 legs are hit in the same direction…Since I don’t use a fixed leg size I can’t tell you exactly what to do but as I choose the leg size by myself because I want to catch the retracement…then I use stochastics, fibonacci, S&R to have a clue for get the profit and then buy and sell again and let the loss run. If the market keep moving against you…just wait for another retracement signal and again get the profit and buy and sell. Make sure you leg size is more than 100 for normal volatile pairs such as USD/CHF USD/JPY GBP/USD EUR/USD. the amount of pips for each pair change due to volatility and signals but with this method you will be more profitable than choosing a fixed size grid.
I close the last week with 204 pips in profit (clean of spreads and rollover, ovenight fees, etc) so It was more before the deduction
I trade the gbp with this system and use 100pip take profits The secret is to keep the value of each leg small with is made up by the large number of banked profits
Hi nzpenny, I started by looking at 100 point moves, but I found a few places where the 4th leg was hit before a retracement, and I didnt see how to turn that around.
When you hit the 4th leg do you wait it out and hope for a 200 point retracement ? Or do you close the 1st leg as a loss leaving 3 legs open and hope for the single leg retracement ? I was also playing with the Idea of increasing the lot size (in the direction of the trend) if the 3rd leg were hit.
I would appericate any guidance for this situation.
Thank you.
You know I don’t recommend a fixed leg size but since you do…I can recommend you to exit in Breakeven after the 4th leg is hit. But never close in loss.
Good luck
Dachelm,
I am not recommending fixed legs, I just felt it would be easier to learn the system. I am very open to suggestion, I believe that the Hedge Grid and perhaps Correlation Trading are going to end up being my “go-to” in Forex, they just seem to work in my mind which makes it easier to trade.
I am working on using more Fibs in my trading because I am rather weak at them. But if I may try to lay out what you are saying so it “clicks” to me…
For Example, use…ohhhhh, RSI and Stoch to assit w/ the grid system, when RSI and Stoch give a buy signal, I would open the buy and sell…then when they both give a good reversal signal, I would open the 2nd set (2nd Leg). At this point I win if I get either 100% or 50% retracement, while a 33% will allow me to break even…once profits are taken, wait for another signal to open a 1st Leg…
HEY !!! This just hit me…using this idea in a trending market…say EUR/USD which usually has a stronger uptrend (shows its history), a person would want to open the 1st Leg w/ a sell signal…considering history shows us there is a better chance of getting an upward retracement…hmmmm
(I know this isnt how you do it, its just a basic example of using indicators to help w/ the grid system)
Am I even getting close here ??
And thank you for the guidance.
Yes you are getting close to the way I trade. I think and I’ve proven myself that this method is wayyyyyyyyyyyyy more effective than blindly follow the grid, ignoring very nice chances to catch a retracement, in fact…using a grid will limit you not only from learning but also to profit consistently. I will give you an example of how I trade with a real set up. I went long and short at 1.5759 Why? It doesn’t matter too much because what really matters is when to choose you first leg. But anyway I will tell you why I enter here.
I used Bollinger Bands 20,2 and Stochastics 14,3,3 to identify a possible entry. The price was hitting the upper band, the stochastics was upper the 80%, Fibonacci shows a posible bounce in 38, 4h chart actual trend line was pointing down, dayli charts is consolidated and the price is playing with support and resistance so the price is heading to the support.
Well as you can see this is how I analize the maket to make a desition.
Now I am +178 and +178 at the same time. I am still waiting for a retracement signal to take the profiting position and let the other run while I open two more position at the same time (buy and sell). If the price still going against you…just be very patiently and wait for a signal.
I hope this helps. I will get you updated with this trade just to let you know.
Have a nice Day
Now Im getting a signal from EUR/USD again, telling me to go long in this one, so I will take the profiting trade (short +173pips) and let the lossing one run (long -173) If you follow me up you will see what I mean. My target will be 50% of the movement (86.5pips) But…If I get a Sell signal before mi TP is hit and I am in Profit I will close the trade with profit. Around 30 or 40 pips will be nice (but just in case).
Thanks
I think that this works well on Gbp because of the big bounces. I dont worry about how many legs against me it goes as it always bouces back at least 50% and if it goes more you get a profit that way as well
Am I correct that this system will or tend to accumulate open positions?
(when price does not retrace) SCARY!!
Or does the rules for this system mandates you close positions when
it reaches a certain point or loss? or on the contrary should you let
it just roll?
How many open positions left open is acceptable?
Thanks.
The Way I trade is not the same but very similar. It could sound very scary at the begining but trust me that I haven’t loose money with this method. The worst case I have seen Is 9 levels and this happen just 1 time a year, and I was drawdown by 1500pips in the GBP/JPY but as long as you know how to manage your mony there is no room to be scared, Had a 5000 deposit when this drawdon shows up and I just was losing temprary the 25% of the account. After that I could profit 332pips when I finish. It usually reach the 2-3 legs but after that shoud get all the position cashed. Try it in demo and you will see what I mean.
This is veryyy efective. Try it
Wow dachelm, this sounds too complicated for me… Im not good with fibos, thats why I started to look for a method like the grid, that it doent needed to many indicators or third party tools. Dont get me wrong, if this is working for you, well, congratulations. Im just saying that it doesnt fit my style ( if I have any… lol).
I only use 1 indicator, RSI (50). I just watch daily charts for the currency Im trading, and keep an eye to the RSI level. If RSI is between 45 and 55 its ok, but if RSI is below 45 or above 55 I will start to watch more closely in case I need to exit.
I don’t use fib too much as the others indicators (I was saying that you can use all tose tools to spot a reversal signal) but is still another tool in your arsenal in case you need it to reinforce your analysis. I promise to update my trade in order to show you the way I trade so this is the results updated.
.My first entry was long and short at 1.5759 .
.Then I took the profitable position at 1.5586 and let the negative run while I went short and long again.
.My target (50% retracement) was hit later. I had a profit of a Net 86 pips.
I hope this could be useful to anybody
Hi Fellow traders.
What currencies do you use with this system?
GBP/USD… EUR/USD… …?
Thanks
You could use any but I personally recommend the GBP/USD, GBP/JPY, EUR/JPY due to the many swings they made.
Sorry guys. Today I woke up with a loss, I was expecting that the GBP/USD would retract from its fall, but it fall even more. Now I all have gained its lost, in fact I lost 40% of my initial balance.
So, i got panic and closed all open orders, so I need to re-think the grid. Need to re-consider new methods or alternatives.
I know I was risking too much after the drop starting mid July, but didnt take care, and now this is what happens when you dont have control of your system, I was expecting a retract, but it never happened.
So, I hope this teach you a lesson before you lose real money, like I learned today. 