LOL i’m in short now after breakdown of Red dot on M5
(my IG Index chart that I actually trade from shown here M5)
(N.B. The blue and red dots shown on this chart are nothing to do with the ZZ system but are just SL & TP points for this broker)
You’re right about the wedge, no clear direction yet… Anything could happen
Madmkiv,
You may well be right on the short call. I think it will break one way or another. My long is not triggered yet. If I get trigger I’m thinking it will run. But it is likely that the eur will return to short trend.
Good Luck,
GJ
For the purposes of clarity I think this screen shot shows it clearly
A definite break down of the red dot to hit 161.8 fib extension drawn from the last 2 dots.
There is a small problem I think with the EA because it did not draw the lines quick enough on the last 2 confirmed dots. Also on my previous charts I did not draw the fibo on the last two dots. The above chart is how it should be traded.
If someone could please check the EA?
Great trading guys, keep it up, fib pullbacks and extensions with breakouts, PERFECT! Nice setup this morning:
thanks
I’m not brave enough to enter on the fib pull back, I have to wait for a clear break out of the ZZ dot line.
do you manually draw those fib lines?
Another perfect pull later in the day. Yes I draw them by connect the last 2 confirmed dot. Im working with a programmer to have an EA draw them for us but for now just connect them manually. Its scary sometimes entering the Sell trade on a bright green candle but its the way to go. I read once never to chase a trend, anticipate the reversal and enter close to the top (61-76% pullback.)
*Note , im drawing the fib upside down to show the extension. Its really the 61-76% pullback.
Here is the EA that plots the horizontal lines for along with the original trend-lines but don’t leave this on the chart to trade for you as it clearly still needs work. I have also added a SAR based SL feature to follow profits and cut the SL short. Let me know what else we can do here to make it better as it doesn’t seem to fair to well yet. It would be nice to combine this with a Fib pull back entry. Maybe next week we should have that in place also.
thanks
ZZ_v6.zip (3.95 KB)
Awesome Blizard thanks, correct me if im wrong in understanding you but will your new EA include plotting the entry positions using the fib rules as discussed above?
If i may ask an addition to your EA but if we could have a true/false option to only trading in the direction of thr daily trend 
might be useful if you want to turn it into a fully fledged EA.
I have some ideas about what could go into an EA but probably best to discuss that in a seperate thread if you want to go down that path?
Hello, the EA doesnt have the fib pullback entry build in yet or daily trend indicator. I guess we can add that next. Also a special feature of the EA is that it only allows for the trendline to be used once so the EA wont enter the trade again and again off of the same trend-line break in case the price is dancing around it. The Ea does well on 4HR time frame when you set the break to 30 pips and disable SAR SL. This is back about 8 months on 4 hr chart 200 pip SL with 75 TP. Trading 1 lot
thanks
A 25 pip TP looks great. The key seems to be break past trend-line. If you set it to 30 or 50 pips past trendline on a large time frame like 4 hr. the entries are great. MinBArs setting is “4”
thanks
StrategyTester.zip (6.21 KB)
Hi guys, just for my two pennies, this is my trading lot for yesterday and today. I think next week i’ll go live.
This definitely works !! Thanks Blizard !!!
Also regarding the EA nice work !
A few ideas regarding the EA, im not sure how far you want to go with having a fully automated EA which we leave to trade 24/7 for us. Since Blizard’s strategy is quite simple, i think we could make a good EA out of it, providing we keep things simple 
None of us are doing anything particularly complex with our manual trading even though some of us are doing things slightly different, like me scalping
I only have written the below for your consideration if you do want to progress with creating a full EA.
I do apologise if you have this already covered as im just guessing since we have not seen it yet
ESSENTIAL:
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When the EA is started it may start trades which meet all the entry conditions, but if its too far past the trend line break a nice profit might turn into a small or big loss. Best to have the EA only take trades on the next dot that appears. Just a bit of risk prevention on our part.
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NO MARTINGALE STRATEGY. PLEASE !!!
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Compatible with 4 and 5 digit broker (this should cover us all, unless someone is on ECN broker?)
EXTRAS, NOT NEEDED BUT WOULD MAKE A FULLY AUTOMATED SYSTEM MORE POWERFUL: -
Time Filter, so we can have the EA trade only between selected times, would be useful for those people like you Blizard who are not in Europe and does not want to stay up all night to start / stop the EA.
Set time for Mon - Thurs and set separate time for Friday.
True/false option for trading Sundays
True/false option for trading Fridays
- Allow us to set the EA to run on multiple currencies pairs if attached on one chart. Would allow us to take more trades if we are being very restrictive on trading permissions such as only trading in the direction of the daily trend.
I do the above manually which is why i have a good few low level trades, this does work !!
Hot Forex has 28 pairs, imagine if we run this finished EA on 28 pairs scalping 3 pips a piece, could provide alot of pips with very low draw-down, nice and quick.
Take a look at my screenshot above, this is how i currently trade and the above does prove it can be done and it does work. This could allow the EA to run as a pure scalper or just focusing on one currency pair and going for max profit.
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Maximum number of trades the EA can make any one time (only needed if you implement the above about trading multiple currencies)
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Comments to include spread of current trade (so we can test to see what are the best currencies to use and what times we can trade with the least spread).
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Trailing stop so we can gain a few more pips.
Let me know your thoughts guys and i’ll explain anything i have not been too clear on.
Nice work !! What about including pivots, perhaps combing that could reduce losses.
Also it might be an idea to only let the EA trade if the last dot was outside the Bollinger Band, like we experimented above, i know it was not great us humans, but perhaps on a more automated system it might help us to catch real trends.
So for example if we are going for a sell, then we will only allow a sell when the last high dot is outside the bolllinger band.
Let me know when your ready to test the EA, i have a spare laptop so i can leave the EA running 24/7.
Also Blizard one last thing, when the EA is finished if it does work well automated, we need to test if we get losses and in particular big losses when trades are executed before major news events.
Just so we can do something like no trading 30 mins before a major news release, but trading immediently after the news release, say 2 mins.
Also Blizard would the non-lag ma indicator or OsMA be more of use for the EA to filter fakeouts, we did find this helped us a little. If it helped to eliminate 10% of the fake trades it would make the more profitable.
Great work Manually trading SandyBeach, are you using just breakout with the daily trend-indicator, or are you using the Bands with nolag also?
Well actually no, i went back to basics and kept things very simple. These are my rules:
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Only trend in the direction of the daily trend indicator (as posted before, if indicator is sideways, or against trend no trade).
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Only trade between 0900 - 1600 GMT for Monday to Thursday. Friday is 0900 - 1100 and no trading Sundays. I have disobeyed this sometimes but very rarely, i try not to go against this, but humans are humans !
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Only take trades where spread is below 5 pips, but im thinking of lowering this to 4.5 pips or 4 pips just to be a little tighter.
The only thing i do different from your rules is that if the current dot is blue then i only take a trade when the price breaks the trend created from connecting the last two blue dots.
I watch 10 pairs at the moments, but i would like to watch all 28, which would in theory triple the trades i had, so instead of 17 trades over the last two days i could have 51 trades, not bad if the profit was 1 pip each, 51 pips over two days. But im sure we could easily take 3 - 5 pips a trade, so 150 - 250 pips for two days work for an EA, not a bad idea if we can perfect it.
By doing this i don’t get huge trades of 20+ pips, but from my experiments i can safely take a profit at 1 pip, i do miss most of the profit but it does mean i only trade in the direction of the daily trend and the current trend of the current ZZ which is always the same of the daily trend direction, just makes it safer.
I find trading this way trades are fast and fluid and the drawdown is quite low which is why i can trade alot of pairs at once which would allow us to trade alot of pairs at once if we are scalping, but to be fair we have proven your strategy works for scalping and for going for 5-10 pips or even 30 - 50 + pips on the hourly charts.
Im not using the bbands or non lag ma at the moment but i have it on my charts just so i can observe it and see if my trades match up with our findings, which so far do indicate both could decrease fakeouts.
We should build the EA so it can do all of what we want so we can find the best settings for scalping, long term, 5min 1 hour etc.
For the EA adding the bbands and non lag ma could help us decrease fake outs, but if you do include them add them as a true/false so we can all experiment with different settings to find what is best
Oh also forgot to say im not too fond of Friday trading hence why only 0900 - 1100, i find i get too many fakouts after this time for the low level of profit im after, so i am not sure if i will continue trading fridays, but i will keep demo trading fridays for the next few months and make a decision then, but i think it will only be between these times.
Also the way i trade, apart from very small occasional losses i nearly always win, in the last three weeks i have had a total of 5 loosing trades, totalling about 5 pips i think, but have made at least 10 pips a day + a further 10 pips from my affiliate scheme from hot forex. So losses are small and easily mitigated.You have to have patience to sit all day just to trade for a few mins lol !!
Simply using the daily indicator to only allow the EA to trade in the direction of the daily trend would filter out at least 50% of the bad trades / fake trades etc, it is the easiest thing to implement, but it does mean you get very few trades per currency pair maybe 1 - 2 trades per currency pair on a 5 min chart with minibar 4.
But as i have proven this works, and the more charts you trade, the more trades we get, without increasing our risk !
I don’t believe in gambling, just statistics and fact, which is why i am trying to trade as near to 100% success as i can even if i do get 1 pip a trade.
My logic is if i trade £10 for 1 pip, all i need is 10 pips in profit per day which i will get a further 10 from my 60% of the spread and i’ll have my 20 pips for the day, which add that together £200 profit a day from lots of low value trades with very low drawdown.
Im sure Blizard earns much more than this as he is a pro But if we can perfect a workable EA with low drawdown…
Remember guys im not here to earn millions from forex, im just happy to earn 20 pips a day and call it quits, but like i mentioned if i can get more pips for no more risk i will, which is why i know if i traded more pairs than i do now i could get double those pips if traded 20 pairs, but i am human and if i watch too many charts i will make a big mistake which is where an EA would be perfect and could handle all of this without making a silly human error.
I welcome all questions, don’t be afraid to question me guys, like Socrates i welcome that, i just want us to perfect this strategy and hopefully EA so we can all make some money, work from home and quit our day jobs !!!
What is the profit / loss like at the moment on a 5 min chart if you aim for just 1 pip (of the lowest your broker will allow) ?
Just curious
Thanks.
By the way i do data / software & hardware / application testing as part of my day job, so when your ready to test the EA let me know