You can enter on any time frame but all my signals come from daily. mostly pin bars at support or resistance
Great post. Yes, Iām guilty of the same. I closed my USD/JPY trade early because I didnāt trust it. In hindsight I could have just left it alone and my TP would have been hit. Same with the GBP/NZD; I put in a trailing stop too tight and I was taken out. Only to miss the move to the line. Great job on that by the way, judging by the chart your TP has already been hit or will be hit very soon.
Iām doing well by most standards. Up 7% in 3 weeks. Over double the Sharpe ratio of the S&P 500. But I could be doing better. If I just trusted the rubber band like you said, I would be up over 15% right now. My account is tiny but Iām using the same risk I will be using when I put $5k in there so the results are scaleable.
Iāll be sitting down with my trading plan and re-writing it today. No more trailing stops. No more closing early. The only time I will get out of a trade early is if the SMA starts to curl against me, or bad news comes out. Other than that, Iāll be in it until my TP or SL is hit.
Part of the reason I did so well in demo is because I didnāt check my platform constantly. I just let the trades ride until the TP or SL was hit. Funny how it changes when real money is on the line, even tiny amounts like $5 that really donāt matter. Iāve been reading a lot of trading books recently. I just finished āThe Complete Turtle Traderā and Iām reading āMarket Wizardsā right now. One thing I found interesting was Richard Dennisā view on money. He completely detached himself emotionally, by viewing it all as a game. And money was just the points being used to keep score. He attributed a large part of his success to that view.
Thanks for your post, it made me thinkā¦
Keep an eye on gbp/chf. Over 200 pips from the 50 line. At key resistance levels. @rjmah319 Its going to drop!
Hi there. My name is Adir and I am a professional Forex trader from Dubai - I run my own private fund managing several million in investor capital. I have been trading for over 25 years in stocks, commodities, and Forex. I have been following this thread with interest for the past two weeks. I created an account just to give my comment.
I wanted to offer some words of advice and of caution. This method works well. Too well. Trading edges like this are hard to come by and the last thing you want to do is publicize them on a forum. As soon as enough institutional traders touching the big money catch drift of it will almost certainly stop working.
Before I set out on my own, I worked at several different funds in India and Dubai. Most of them had a team who had the job of exploring the Internet and finding new edges like this. People posted free work for the funds, and they loved it. Over time as more and more people found out about them the edges became dull and the systems no longer worked. [B]There is always somebody willing to settle for less than you![/B] Never forget that. Look at arbitrage, a great strategy that no longer works unless you have impossibly little spreads. Thereās too many people trading it, and enough people are willing to settle for .5 pips of profit which doesnāt even cover the spread of traders alike to you and me.
Such is what happens in the dog eat dog world of trading. There is good reasoning behind the why most traders are so secretive with their edge once they find it. They have a big interest in making sure it continues to work. Even something so simple as an account statement which showed impressive profits would earn you a big reward from the fund if they could reverse-engineering it into the original trading system.
I apologize for any grammatical misuses, but English is not my first language. Just my words of warning based on my long years of experience in the market. I grew very tired of the murderous nature of the institutional traders, which is why I left. I admire your hard work in creating this system, but if you still want it to work 6 months down the line I would suggest taking your discussion to a non-public location and erasing your presence here. You need to protect your edge if you want to make it in the market. On other forums which I frequent I have seen this occur many times where a system was āmysteriousyā killed over time. I would feel guilty if I saw this thread and didnāt tell you about the dangers of broadcasting your edge.
If you do decide to take this discussion some place else I would appreciate an invite as I think I could offer valuable contributions.
MA is curved up right now so itās not a good trade yet. But we had a bullish bar yesterday, followed by an indecision bar that just closed. So if tomorrow closes bearish for a 3-bar reversal and flattens the MA it would be great. Weāre at the top of a range so definitely key resistance levels like you said.
Can you elaborate on the principle of more people trading a system making it no longer work? Iāve heard it said before, just never the reasons why itās true if it even is.
Several pairs to watch.
Eur/Us Buy; Aud/Us Sell; Eur/Jpy Buy; Aud/Jpy Sell; Usd/Chf Sell; Eur/Aud Buy; Chf/Jpy Buy; Gbp/Chf Sell; Aud/Nzd Sell; Eur/Cad Buy; Aud/Chf Sell; Eur/Nzd Buy & Cad/Chf Sell
This system is not new, its been around for years and available for free in many other places other then baby pips. I did not come up with this system , I am just sharing it as it was shared with me.
But thanks for the caution.
Your welcome. It also helps me remind myself of these things
I posted a short video earlier in the thread in which the trader talks about just thatā¦detaching from the money.
I want to welcome Ajs2014 , My family member and trading partner over the last 4 years. He has also been trading the Rubber Band since early April as I have.
We both have 4 year degrees forex trading haha . We have done everything you can imagine and everything we can come up with to trade profitably .
Some things worked , for a while, most did not .
From scalping the 5 minute chart to range trading the weekly chart. And everything in between.
We spent months trying to set up auto trading strategies. Watching videos, reading web pages.
Learning price action, chart patterns , using indicators, downloading custom indicators, having someone send us signals into our email.
Nothing worked consistently . At one point I even took advice from a Seinfeld episode . When George is fed up with his life and decides to do the opposite of what he would normally do. So I would study a chart and everything would point to BUY . So I would sell it. haha
What we have found is simple is best. And patients pays off.
Welcome Ajs2014
If you are setting financial and/or pip or % goals for each month , I do have some advice or opinion on that.
My advice and opinion is DONāT .
Monthly goals when trading forex does a few things to you.
It gets you into trades you normally would not have taken.
It keeps you in trades you should get out of.
It makes you greedy
It makes you open larger positions than you normally would.
It is a mental disappointment when the goals are not met.
There is only 1 goal each and every month . [B]FIND THE BEST SET UPS AND TRADE THEM .[/B]
The money will come from that.
I know there are some folks who look at a custom start date on myfxbook and donāt take that trader seriously.
My own myfxbook page has a custom start date of April 2nd 2014 , when I began trading the Rubber Band exclusively .
The actual start date when I opened up the account on myfxbook is August 2009 I believe. Over 1370 trades.
My account is down over 99% . There is a large chunk of time when I did not even trade live. I have lost a couple thousand dollars. My wife thinks forex is evil and itās gambling. She hates it.
So if you wish to look at all my grief, stress, turmoil, anger, hatred and confusion from the past 4 years of trading go right ahead. It was well worth it to get to this point.
My start date is April 2nd 2014 and I started with $31.99 . I do have a yearly goal on myfxbook of $16000 or so for Dec 31st 2014 . I would be happy with 2 or 3k starting with 32 bucks.
These 2 pairs looking good. Very tempting
eurusd 105 pips from the line. I am seeing a slight curve down on the very tip of the line. Maybe itās just me. haha
and eurjpy over 130 from the line.
If anyone likes this Rubber Band Trade strategy and you like this thread, go ahead and give it a 5 star rating at the top of the page. Thanks
I believe he means they get in just like we do but they get out early. making big money on a small amount of pips.
Do you have a video that explains this a bit more ?
So here is my personal update. Over 6 weeks, since April 2nd.
10 wins
2 losses
Up 131.76%
423 pips.
wins 83%
No I dontā¦sorry But you can read the first page of the thread. There is the history of this strategy there
Hello rjmah319 (& everyone else following this thread).
Iām new here and have just finished reading from the beginning!
Congratulations on your win rate so far. I have signed up to Barry Burns and am busy watching his videos also.
It certainly looks like a great system.
I think it is worth considering what Adir Mehra cautions about in his post. What about setting up a private FB group that we can join and posting the info on there?
Just an idea!