Hello everybody,
I’m new here, so first of all I would like to introduce my self.
I’m a financial professional working in the banking sector and I started trading the FX market in 2008.
I’ve read some books and I’ve fried a few times my live account, but at the moment I managed to take back all losses and currently I’m profitable 
and of course I want to stay like this
I don’t realy have the guts to let an EA manage a live account (after my experience with fried accounts in forex), but I’m constantly backtesting my ideas and that’s what I would like to share with you today.
So, let’s start:
The idea is very simple and it does not rely on any indicator, just prices.
While looking at the Daily Chart of GBP/USD, I observed the following:
When prices appreciate for two consecutive days, in most cases they continue to appriciate and when prices depreciate for two consecutive days, it is most likely that they will continue to depreciate for some time.
So, the strategy is simple:
Buy at open price, when the two previous closes are higher than the respective open prices and close the position when the close prices of the last two days are lower than the respective open prices.
We can do the opposite for short selling. I backtested both and realised that short selling is less profitable and of course going long the GBP/USD is better considering the interest rate differential (although now is not significant).
I’ve coded this strategy into MT4 and backtested for the period 27.06.1989-08.07.2012 (this is the max period provided by my broker) and the results are impressive!
I’m attaching the reports for you consideration.
As an optimization of the strategy I’m thinking to add a Stop Loss part, which will be equal to the close price of the day before the last one. But, I’m not very good with coding, so I not able to test it yet. If someone here can help with this I’d be ver happy
That’s for now… I have a lot of ideas to share, so … see you soon!