Macfibo system

[sufiansaid]

Moving Average Crossover FIBOnacci
MacFibo

MACFibo stands for Moving Averages Crossover Fibonacci. It is almost like any Moving Averages (MA) crossover system you could find. You google MA crossover, you’d find tons of MA based systems. What makes this system a little bit unique is its ability to objectively picking high probable price levels as profit targets upon a trading signal (which is the MA crossover ofcourse) has been triggered.

Download the PDF guide to understand the system. Happy reading.

MACFIBO SYSTEM GUIDE EDITION 1.2 HAS BEEN RELEASED. PLEASE FIND ATTACHED FOR THE PDF FILE

[B]** For activating candle that is ‘against’ the signal for eg Bull activation candle for Bearish signal, explained here at post #224 : http://forums.babypips.com/free-forex-trading-systems/43378-macfibo-system-23.html#post333807

[/B]

*** ATTACHED MACFIBO VERSION 1.2 TRADE RECORD FOR :
EURUSD 2012 (Updated 19/05/2012)

MACFIBO SYSTEM edition 1.2.pdf (1.72 MB)

MACFIBO_RECORD_19_5_2012.pdf (164 KB)

[sufiansaid]

Trade Examples

Short Trades
<see attached>

Long Trades
<see attached>

[sufiansaid]

A. Price hit potential exhaustion point at 261.8
B. Looking for the price to test 20sma see if there is a bearish 20sma breakout
C. I will be wary with this level. If there is a bearish signal, if 1.618 is below support, then I will TP it at Support instead of 1.618

[sufiansaid]

I am not ruling out another bullish but let’s take a look at H4 EURUSD Macfibo recent Bullish run. Right now price have tested 261.8 Macfibo again, forming a clear visual of a double top pattern. H1 Bearish activation could be a high probable one… but we shall see

[kazemi]

Hello,
This is one of the best systems that I have ever seen.
Thank you. keep your way and try to improve it.

kazemi

[dudest]

Hi Said,

So far, backtests on EUR/USD are good
The only tricky part is the stop-loss; not every time prior to a red/black crossover will there be a red/gold crossover to guide on where the stop-loss should be. So far, very roughly, stop-loss seems to be holding at 23.6 Fib level (though sometimes it results in a huge risk).
But overall, is nice & simple :), will definitely be testing with other pairs also

Thanks!

[dudest]

Hi!

Attached: GBPJPY H1
As you can see, it came so close to TP before RED crossed under GOLD…Though if someone had set stop loss and wasn’t around to manually watch the trade, it later resumed up and crossed 161.8 and even went up to 188.6 [ Noticed for GBPJPY it also severally touches 188.6 level ]

Cheers!

[dudest]

Hi!
More feedback on the EUR/USD H1

-> 161.8: hit
-> 188.6: almost hit! (188.6 is my own addition, is not it the original MacFibo definition! ). I noticed the 188.6 level also features many times.

[sufiansaid]

@sufiansaid

I am not ruling out another bullish but let’s take a look at H4 EURUSD Macfibo recent Bullish run. Right now price have tested 261.8 Macfibo again, forming a clear visual of a double top pattern. H1 Bearish activation could be a high probable one… but we shall see

The double top was confirmed as Macfibo Sell was activated. It hit 161.8, yummy pips. Thank you guys for reading and testing the system. Very interesting on 188% fibo level though.

I do put SL, it is usually between 78.8% and 61.8%, usually gives 1.25:1 Risk Reward ratio. I didn’t put it in the article because I am yet to finish testing it over 500 trades. So stay tune on that…

More Macfibo trades hopefully this week…

[sufiansaid]

I usually use Macfibo as a long term trend determiner in D1. Currently, EURUSD is in the ‘wrong side’ of the ‘Bullish Macfibo’. Price hit 200.0 after a continuation signal (I did not cover this in the PDF, sorry for that, i will post Macfibo ver 2.0 with details on re-entries that we could tp at 200.0, 261.8 and even up to 423.6, Macfibo Retracements, several rules that lead me to tp at 127.2 not 161.8, rules that stop me from entering Macfibo activations at all etc etc Only if there’s a lot of interest in the system).

I am waiting if price will bounce of the 20sma in D1 and make another push upwards. We shall see… at the moment my focus is on H1 and see what happens there today (looking forward to London session) post LTRO…!

[sufiansaid]

Hi Said,

So far, backtests on EUR/USD are good
The only tricky part is the stop-loss; not every time prior to a red/black crossover will there be a red/gold crossover to guide on where the stop-loss should be. So far, very roughly, stop-loss seems to be holding at 23.6 Fib level (though sometimes it results in a huge risk).
But overall, is nice & simple :), will definitely be testing with other pairs also

Thanks!

You could try 78.6 or 61.8 or 70.0.

[sufiansaid]

@dudest

Hi!

Attached: GBPJPY H1
As you can see, it came so close to TP before RED crossed under GOLD…Though if someone had set stop loss and wasn’t around to manually watch the trade, it later resumed up and crossed 161.8 and even went up to 188.6 [ Noticed for GBPJPY it also severally touches 188.6 level ]

Cheers!

I traded Macfibo on GBPJPY back in 2009. Back then I did not use 5x8 as exit strategy but opposite 5x21 instead… on H4. I got a lot of criticism for that. I tested with SL and 5x8 exit mechanism on GBPJPY over 200 trades and I got LOTS of losses… we all know GBPJPY is very volatile (not so much nowadays as the range shrunk almost equal to EURUSD… so it could be different now?) and lots of ugly whipsaws and unwanted ‘wicks’ that could hit our SL but continued to our pre-targeted prices. I am very interested to see how GBPJPY fare for you ttesting Macfibo. As far as I am concerned, GBPYJPY is Macfibo’s Kyptonite… but as i said, market is changing, GBPJPY has changed… i could be wrong!

[sufiansaid]

The EURUSD chart is H1 but the fibonacci is based on H4’s Macfibo

I look at H1 and I am preparing for two scenarios. One, price moves up and test 20sma (and perhaps a fake Macfibo buy signal before moving back down) to correct itself before continuing towards 261.8 macfibo. If there is a buy signal later today, I will take it (if it becomes a failed macfibo, what to do… part of trading… sometimes you get losses) and will TP it at 161.8 (it will be awesome if 161.8 will be equal to friday’s high more or less at 127.2 fibonacci H4).

[sufiansaid]

Macfibo activations during London session usually profitable, but not this one. Though price yet to hit Macfibo SL (@70% fibonacci market ‘SL’) but i exited when 5ema crossed below 8sma. Losing less than 10 pips. There is a buy re-entry opportunity though but I tend to be more careful during Asian sessions. Let’s see…

[Billionz]

I usually use Macfibo as a long term trend determiner in D1. Currently, EURUSD is in the ‘wrong side’ of the ‘Bullish Macfibo’. Price hit 200.0 after a continuation signal (I did not cover this in the PDF, sorry for that, i will post Macfibo ver 2.0 with details on re-entries that we could tp at 200.0, 261.8 and even up to 423.6, Macfibo Retracements, several rules that lead me to tp at 127.2 not 161.8, rules that stop me from entering Macfibo activations at all etc etc Only if there’s a lot of interest in the system).

I am waiting if price will bounce of the 20sma in D1 and make another push upwards. We shall see… at the moment my focus is on H1 and see what happens there today (looking forward to London session) post LTRO…!

I am very interested in your system. I started using your system a week ago and I have done better using it than anything else so I hope and pray you continue to post.

[sufiansaid]

If there is continued interest, I am more than happy to keep posting

[littlemay]

If there is continued interest, I am more than happy to keep posting

i found this sys does not work pretty well on the pairs with JPY…

[dudest]

…I did not cover this in the PDF, sorry for that, i will post Macfibo ver 2.0 with details on re-entries that we could tp at 200.0, 261.8 and even up to 423.6, Macfibo Retracements, several rules that lead me to tp at 127.2 not 161.8, rules that stop me from entering Macfibo activations at all etc etc Only if there’s a lot of interest in the system)…

I am very interested! Eagerly awaiting MacFibo pdf ver 2.0

Thanks

[dudest]

Hi!

Still testing MacFibo on different pairs.
Below is a chart for EUR/CAD H1.
This was a re-entry (since RED came within touching range of BLACK and continued upwards)
Notice once again how close the price gets to 188.6! This time I had set the TP just below this level, and it hit

[sufiansaid]

i found this sys does not work pretty well on the pairs with JPY…

I traded it with GBPJPY back back in 2008-2009, it worked but I did not use the 5x8 exit mechanism… I got lucky then? But yeah, i do agree it doesn’t do pretty well with crosses. Perhaps some modificiations?