GU just bounced off the upper trend line. Waiting for it to break
Muthu.
I think as per the system rules, the candles you have selected are correct⌠But still we have missed on the early breakoutâŚ
Hi,
Thank you for the feedback. Just getting the hang of the system. Early breakouts are something which i have to look at. Lets see how it goes.
Regards,
Muthu.
Looks like it finally broke the trend line. However, is it ok to wait for such a long time (6 candles) for this to happen ? Am i missing something here ?
Muthu.
I feel the whole concept of this strategy is to utilize the opening hours of London market
I strongly agree 
Thatâs what the strategy in this thread is about.
So was it a fake out? Or the trade is still considered valid even though itâs in negative right now? Sorry for the questions itâs my first day observing this strategy.
Regards. 
EDIT: Please Ignore the lines I drew :p.
If the system does not trigger a trade within a few hours, then we should not consider taking further trade for the day. This is because the system relies on the pips generated during initial hours.
Try to compare EU and GU charts and go with the pair which gives you a better signal.Today EU gave much better signal than GU.
Anyways tomorrow is another dayâŚ
Thanks for the answer!
Itâs just that by looking at Muthuâs chart I see (I think I see) that an entry was triggered. Am I wrong?
Hi,
Yes it got triggered and i got slaughtered :mad: No worries i am on a demo account. I just followed the rules and used the low of the candle that triggered the entry as stop. It looked more like âNew York Break out tradeâ when it happened 
Lessons learnt. My first trade using this technique anyways, tomorrow i am going to see if i can get an early break out.
Regards,
Muthu.
Thanks Muthu, first day observing this method, by looking at the charts things get clearer
Hello,
So we both joined the class the same day. Lets be regular to school from tomorrow
Regards,
Muthu.
Be careful about following the rules âtoo strictlyâ, the breakout does not happen in an exact time range. Somedays it happens early, somedays late or not at allâŚ
But when it does happen it can be one of the best and most profitable move GBP & EUR will make during the trading day.
So itâs worth aiming for$$$
Hi,
Thanks for the tip. Appreciated. Going by your experience in this system, can you say how âearlyâ is early ? Example two hours before London open ?
Regards,
Muthu.
You didnât enter according to rulesâŚ
[B][I]Our working range includes 5 candles: from midnight to 04:00 EST (including the 04:00 candle).[/I][/B]
[I][B]Usually the whole trade will unfold within the [U]next three candles (count in the candle that broke the trend line)[/U].[/B][/I]
[B][I]So, after the [U]actual breakout we have 3 hours or 3 candles to trade[/U], after that we will exit the trade with whatever profits are made.[/I][/B]
You entered your trade on the 11th 1h candle.
Range to enter a trade is up to the [B]8th candle[/B] according to rules.
Also refer to rules how to set profit target and to take profit.
Please , donât start discussion about correct time again. Just get yourself a free world time clock untility on the internet, install it and all your time confusions will disapppear in an instant.
Cas :
Thank you for clearing things out. That makes sense to me.
Regards,
Muthu.
Please excuse my ignorance but what is the logical line to separate London opening hours 7AM GMT from European opening hours 6AM GMT?
With regard to todayâs opening (12 Oct) I can only say that from GBP/USD 1 hour chart (all UK time) there was a drop an hour before and during European opening hours followed by modest rise after London opening settleing into a range soon therafter (as predicted due to thin market from US). The arrached graph show this with fibonnaci retracement lines at 1.5788, 1.5801 and 1.5813 at 61.8%. It tried to break through 61.8% with litle success. The ranging is pretty clear as the Ichimoku KS line (the blue line) remains flat for most of the time.
Cheers
GBPUSD_20091012.pdf (35.8 KB)
Yes, Iâd say 1 to 2 hours before 08:00 local London time. Muthu flip back on the charts and try looking through previous days and you can start to get a feel for it.
For months I followed the methods used in the babypips win/ratio thread, using âfixedâ high/low S/R lines. I didnât have much success with the win/ratio method, but I started to get a little better feel for how the market moves that time of day. How the price will test and tease the S/R lines, how the price moves just pass the S/R lines hitting the stop orders and then quickly reversing etcâŚ
So I would highly recommend rolling back through previous days charts and studying the European & London open. Dropping down to the 15m sometimes gives a better view of the price movements than the 1h.
And pay attention to Casâ advice, itâs usally spot on!
good luck and thanks!
Today was an interesting example for this strategy,
Regarding GU if you drew your trendlines off the close of the 7am candle you would of got a nice short with an easy 50 pip profit (short at around 15800 on the 8 am candle) if you drew your trendlines off the 8 am candle as the rules suggest you would have missed the trade
This strategy produced 2 longs and 2 shorts today.
Every triangle in a candle on attached chart was a valid entry according to rules.
The total profit was[B] 210 pips[/B] from this strategy. TodayâŚ!
If you traded the EU as well with this strategy you made another [B]100 pips[/B]. TodayâŚ!
How can a simple strategy as the one in this thread who is obviously a pip machine can be made so âdifficultâ because of interpretationâŚ?