London Breakout 1

[SanMiguel]

I see but I thought that per rules of this system we had to wait for those 5 candles to close and then draw the trendlines and then wait for the move. It doesn’t really make sense since the 5th candle is 10AM London time. I am still confused since everyone seems to be doing something different. Logically, I would think that we would wait for the move right when London opens or maybe even before when Frankfurt opens like it happened today - the 40 pip move was due to Frankfurt if I am not mistaken.

The 5th candle should be the candle that closes at 07:59:59 local since London opens at 0800 local.
Currently 0800 local is 07GMT.
You can if you want gtrade the Frankfurt open 1hr earlier but that is up to you.

[Clint]

Textbooks never fitted what I experienced in practice…

[B]In theory, there is no difference between theory and practice — In practice, there is.[/B]

Yogi Berra

[antonioforex]

Now it makes perfect sense! Thanks.

The 5th candle should be the candle that closes at 07:59:59 local since London opens at 0800 local.
Currently 0800 local is 07GMT.
You can if you want gtrade the Frankfurt open 1hr earlier but that is up to you.

[d-pip]

And the medium-term downtrend is [B]within a longer-term uptrend[/B], indicated by the blue curvilinear regression line.

Clint,

Back on Friday you posted a chart on the London Breakout 1 threat. Your chart had a curvilinear regression line.

Looked similar to something I tried on MT4 called CoG “center of gravity”. It was described as a polynomial regression - whatever that means?

I was trying it on 5m charts and wasn’t thrilled with it, repainted too much. But Fri morning when I saw it on your daily chart I wondered if it was something you’ve found useful? Sort of a mix between moving average and a regression channel? If you get a chance would you let me know?

thanks!

[JohnnyFOREX]

Unless you’ve got the results to show otherwise … I’d be inclined to make the 5th candle the 0900 (London local time) and wait til it closes at 0959, as you’re trying to shake out the false breakouts which you’ll get if you try taking a break before or during the open.

[cooldude]

Hi

Did you get this strategy from Edwards site?

It is a very good strategy, you going to get many deep slope trendlines though, try adding a 30min or even a 15min chart, with the same trendlines drawn on the hourly chart, easier to read price breaks.

Hope that helps

Cheers Cooldude

[JohnnyFOREX]

Yep good point.

By the way, I had Friday as a short trade … and a loser :(. Anyone else show this also?

[SanMiguel]

Unless you’ve got the results to show otherwise … I’d be inclined to make the 5th candle the 0900 (London local time) and wait til it closes at 0959, as you’re trying to shake out the false breakouts which you’ll get if you try taking a break before or during the open.

There isn’t always a false breakout but that is definitely the more conservative way to trade it.

[d-pip]

Unless you’ve got the results to show otherwise … I’d be inclined to make the 5th candle the 0900 (London local time) and wait til it closes at 0959, as you’re trying to shake out the false breakouts which you’ll get if you try taking a break before or during the open.

You know if you look back through GBP charts you will see lots of days when she broke early…

One of the posters, fayizal seems to play the early breaks picking 20 – 40 pips GPB/USD or EUR/USD on many morning. maybe that’s more of the Frankfurt open, right?

But using the 09:00 to 09:59 london candle is certainly a valid way to play it.

Plus, if the big London breakout has already occurred before 09:00, using the 09:00 09:59 London candle sets you up to play the next big move into the NY session too.

it’s all good!

thanks!

[d-pip]

Hi

Did you get this strategy from Edwards site?

It is a very good strategy, you going to get many deep slope trendlines though, try adding a 30min or even a 15min chart, with the same trendlines drawn on the hourly chart, easier to read price breaks.

Hope that helps

Cheers Cooldude

Yeah, pick pocketed from Ed - but with proper credit.
But there is one little confusing typo, with / within !!!
I agree about dropping down to 30m & 15m, I even find the 5m useful
thanks!

[JohnnyFOREX]

You know if you look back through GBP charts you will see lots of days when she broke early…

One of the posters, fayizal seems to play the early breaks picking 20 – 40 pips GPB/USD or EUR/USD on many morning. maybe that’s more of the Frankfurt open, right?

But using the 09:00 to 09:59 london candle is certainly a valid way to play it.

Plus, if the big London breakout has already occurred before 09:00, using the 09:00 09:59 London candle sets you up to play the next big move into the NY session too.

it’s all good!

thanks!

Ah, good point to raise. If it does break early and is already quit a bit through by the end of the 0900 candle, do you discard that trade and forget about it, or enter immediately on the close at 0959 (with it maybe 20 to 40 pips already through the trendline break)?

[d-pip]

Ah, good point to raise. If it does break early and is already quit a bit through by the end of the 0900 candle, do you discard that trade and forget about it, or enter immediately on the close at 0959 (with it maybe 20 to 40 pips already through the trendline break)?

I guess I was thinking more about a retracement/counter trade into the NY session

Take a look at sept 30th and oct 1th, you’d get a second chance as it breaks the london morning trend line but now going in the other direction!

that make sense?

thanks!

[muthusai2000]

This is how my chart looks for EU today. Not sure if it is a good idea to avoid the Sunday candle. Welcome your suggestions.

[d-pip]

This is how my chart looks for EU today. Not sure if it is a good idea to avoid the Sunday candle. Welcome your suggestions.

Yeah the Sunday candle looks like a stop hunt, I think your lines are fine!
Also EUR/USD broke over the 20ma of the 1h bolls too! Wonder if EUR/USD will stay in an up trend?

[muthusai2000]

Yeah the Sunday candle looks like a stop hunt, I think your lines are fine!
Also EUR/USD broke over the 20ma of the 1h bolls too! Wonder if EUR/USD will stay in an up trend?

Thanks for the inputs, very much appreciated.
Regards,
Muthu.

[muthusai2000]

This is how my chart looks for the Early London. Lets see how it goes. Welcome any suggestions/corrections.

[muthusai2000]

Cable shows a downward break of the trendline. Could it be stop hunting before London opens ? Lets wait and see. Still 20 pips to grab during this move.

[muthusai2000]

Closed EU with 23 pips. Holding on Cable short.

[muthusai2000]

Closed GU short with 40 pips.

[matlobien]

Yes. Very good start to the week.