Hi Greg, thank you for trying the system and posting your trades taken with the Samurai Channel. I appreciate your feedback because i see you like scalping i haven’t tried or backtested the method on lower timeframes. Lets see where it takes us on those fast paced charts.
Thanks again and hope to see more profitable trades from you.
Greg,
Thanks for your posts and please, keep giving us your feedback about your trades taken on short timeframes, it is very important to me because i haven’t tested it on any TF smaller than 1H and really don’t know how it could work for scalping.
As i have seen by your charts two nicely done trades, let’s hope to see more of those coming.
Have a nice day and weekend.
Well this week i could not be as active as i would like to trad and post, but next week will try my best to do more. But good thing was it had been a “green” one, 4 trades 2 won 82 pips and 2 lost -65 pips, for a net profit of 17 pips.
I appreciate the comments and the interest on this system, please feel free to ask anything you don’t understand or want to know about the SC.
See you all next week! Have a nice weekend.
Huascar,
Would you speak more about the role of the three 21 EMA’s? I like your strategy very much and have won on my first two trades, but I need to understand more about the 21 EMA’s and how you use them.
A fibonacci retracement can be drawn to help find a good entry. I do like the longer time frames, I just personally like the 5 minute for scalping.
Thanks,
Greg
Hi Greg,
Is good to see you are adapting the SC to your personal style, adding some indicators for confirmation. I use fibonacci on higher TF to be alert
of strong support and resistance levels and zones of interest.
About the 21 EMA’s Channel, is meant to filter some trades when markets are ranging, when you see the break gets stuck in a flat channel you should avoid entering, as i said on the first post, take into consideration the slope.
Also it is used for reentries as i have seen how the market tends to retrace into that zone and then head back to its original direction.
I’m taking a look at CCI oscillator to see if it can also help me avoiding false breakouts, but for now will stay in the thread with the current version of the Samurai Channel.
Have a nice day and see you around.
Huascar,
Attached is a strategy to filter false breakouts. This is a two hour chart on the eur/usd. This a backtested trade only for example.
The entry would have not been the prior upward mover across the KS because the 100 ema and the ATR trailing stop were in a down trend. In addtion the Stoch and the RSI were overbot. By waitng for the trade entry to be consistent with the trend a false entry was avoided.
This works on all time frames. I would say about 75% winning trades. Only one trend indicator and one oscillator is needed. These are just ideas.
Thanks,
Greg
Hauscar
Below is a 15 pip long on the 30 minute chart. It did not follow all the rule but I noticed a mover on the /es and a following eur/usd.
Three in a row using your strategy.
Thanks,
Greg
Huascar,
Thank You, Thank You! Another winner. 5 in a row now with your method (52 pips). Maybe just luck, but I don’t think so. I like the New York time period best 5 am PST or 8 am EST. Bigger moves, however I hit two winners last night after the weekend open. I do not recommend that time period. I do look at longer time and shorter time frames than just the 5 minute, but I do want to go with the trend.
Your method has helped me zero in.
Thanks,
Greg
Thanks for your reply. Awsome and good luck for the future trading. lets make some pips :5:
Greg,
Excellent man, congratulations i´m glad you are succeeding trying out this method. I also took a smal position on that EURUSD long after the break on 1H but had been very busy at the office and could not post it. I would be a bit way during the NY session for tomorrow and wednesday, full time semminar, but if i get some trade going before i get to the office i will let you all know.
About your ideas for filtering the false breakouts, i like the use of an oscillator, personally, CCI(55), but still on test mode, I i mainly focus on what has to say the price against the KS and the slope of the Channel.
Hope to hear more pips banked for you!
Thanks everyone for your support and see you around!
Great example here Greg for what i was think about updating first post and the use of the Channel to enter a more conservative trade:
Wait for the price to break the KS and also close above (long) or below(short) of the channel, giving you a late entry, but sometimes avoiding choppy PA.
On your chart you can see an excellent example of the channel filtering range periods.
But as i said, is too fast for me, too many crosses, but i guess your combination of ATR/OSC is giving you nice results. 
Hope this helps you more about the use of the channel.
See you around!
Huascar,
Another winner. 6 for 6 using your method. All eur/usd. This one is on a 15 minute chart about 5 am PST which is right before the New York action. This entry was not ideal, however note how the price bars were coming off the KS line. I set my entry a few pips up the down bar completed down bar at 4:30 am PST. If I had a second contract I would have moved it to BE and let it run.
This scalp trading of you method is not for everyone. I really appreciate your review of my chart. It really helped me understand your strategy.
Once again I do appreciate your work. I look forward to using your strategy. My plan is that after the first ten trades I will increase the number of contracts I’m trading. I have found that jumping in too fast to a new strategy is risky in fx trading. Trade management is just as important as the strategy.
Thanks,
Greg
Huascar,
Another winner. One minute time frame, 13 pips. This is a continuation long after a retrace. The 30 minute channel was long trend and this trade was taken at the lower side of upward 30 minute channel as the price bars crossed the KS.
Entry was on one chart for trend is 30 minute. The KS is a great tool in my opinion.
Seven trades in a row winners, 79 net pips using your strategy. I keep waiting for a loss. I only trade the ym and almost always early am New Your time 5 am EST. Also just one or two trades a day. I used to hunt the major currencies for trades now just the eur/usd in prime time.
Greg
Huascar,
Another winner. I lost a trade last night so now I’m 8 out of 9 winners or 88% at 76 pips. The early morning 8 am EST time continues to best for trading the eur/usd. The moves during this time frame are more predictable and dynamic, almost like trading the futures. I would be nice if more Babypips followers were using this strategy, it is winner. The posted chart is 5 minutes, however I used a one minute of entry, notice how the five dips toward the KS line, the one minute actually dipped below the KS and I caught the trade as it crossed the KS on the one minute knowing that he 5 minute price bars were above the KS.
Greg
Sorry about that loss, but is part of this business. I’m glad you are doing great. I tried myself the system in 15m charts following your comments and got in a very nice profit with GBPUSD, entered after the price rebounded from KS and also closed near the top of the channel. Nice 25 pips with 15 risked. Entered al 1.5915
I agree with you, let’s hope more fellow traders test and give their points of view about the Samurai Channel.
I really appreciate your feedback, have been great satisfaction for me being helpful to other traders. And also learning during the process.
Have a nice day and let’s keep the pips coming. 
Huascar,
Nice trade on the cable. I think the 15 chart is a good one to work with if you choose to trade the shorter time frames.
In regards to the loss, I expect a 3 out of 4 winning rate with you strategy, I’m just having a good run right now.
Prior to using your strategy I was primarily using a entry on retracements to trends. I’m still doing that with your strategy but the KS line is so very helpful and helps determine a better entry. The KS indicator is great to look at with a 5 minute chart side by side with a 15 chart. If the 15 trend is strong and the price bars are above the KS then I watch the 5 minute chart for KS crosses back to the trend. Actually the 5 minute/1 minute works well with the KS. I also like your breakout strategy using the KS.
For longer time period I like the 2 hour/30 minute or any combination has great potential.
So far your strategy “fits like a glove” for me.
Thanks for posting your chart.
Greg
PS Do you track your win rate? Are you similar results?
Huascar,
Another winner, and I should have gone for a bigger target.
9/10 winners for 90% or 84 pips. I find that the best time to trade your method is about 4:30 am PST time, or 7:30 am EST, or 12:30 pm GMT. I think the New York early bird traders are hitting the markets both futures and FX. A long time ago I attempted to trade breakout during this time period using Donchian Channels with mixed results. As evidenced by my first ten trades using your method I have done much better using the KS line.
For today’s trade I used the 5 and 15 minute time frames. I will add an additional contract to my next ten trades. I have found that getting over confident in trading FX usually ends in failure. Incremental steps work best.
Thanks,
Greg
Excellent news, great job you have been doing with the SC in your scalping.
About your question about my tracking, I will add my account to myfxbook, its a demo but i do the same as my real account that is in a non Mt4 platform. Will post the link when I get it ready.
Btw i want to ask you and the community if you would be interested on a EA of this strategy.
Have a nice day.
Huascar,
As you know I totally respect and appreciate your work here. In addition I know I need to study this strategy in regards to time frame, time period, targets within range and trade management as well as discipline. As I increase the number of contracts I trade and the manipulations of contracts in moving to Break Even etc. I will need to constantly monitor my discipline and trade decisions. There is a factor of a creeping attitude that can impact trade decisions over time. This is why most traders fail. The morphing of decisions making is one of the key aspects to failure in FX or any trading in the markets.
Along with that said I have strong feelings about an EA. In my opinion the markets are organic and chaotic as is nature. There are repeating patterns but just like snowflakes each pattern is original. I probably need to learn more about EA’s but my instincts tell me that at best EA’s have a limited life span. Chaos Theory and Fractal geometry and wave theory all tell me that implementation of ES’s is not practical. However alerts from a EA could be helpful in a raising awareness to a potential trade.
I’m interested in learning more so it will be interesting to see what you come up with. The next big adventure for me is 2xcontracts trading your strategy. I’m still working best at must one trade a day. That trade I took earlier today where I took 8 pips is now up about 40 pips, I would have done well to have a second contract moved to BE. Your strategy is great.
Thanks,
Greg
Huascar,
Attached is a chart with some indicators that I have used. They are not needed or recommended to use with your strategy. They do help me sort out false breakouts.
Below the chart is a John Carter squeeze indicator. Note how the read dots prior to the trade. These show an accumulation period prior to a market move. The stoch is overbot with the 100 ema in yellow showing a downtrend. The magneta doted lines are the ART Trailing stop showing a down trend. Note how the price bars rise above the KS line and then fall below the KS line.
So for me this is a continuation play to the downside. It is just one way in my mind to use your your KS line. I personally really like using the KS line for entry purposes. If I had the 15 minute chart up it would show no cross of the price bars above the KS.
Greg
