Thanks for this thread, I’ve been following from the beginning. I’ve been playing around with your basic concept but tweaking things here and there.
The best results I’ve seen (and they are pretty good) is to keep your EMA’s the same but change your profit/stop loss ratio to 30 (TP) and between 20-25 (SL).
Two or 3 of these a week and you’re pushing 100 pips for the week which is what I always shoot for.
Just food for thought…Try what I’m telling you on the EUR/USD as a test and you’ll see it hits at a pretty high percentage rate.
Also, the 21 EMA and 60 EMA someone else mentioned in this thread used on a 1 hour chart for EUR/USD with similar 30 TP and 20-25 SL also yields very good results.
Thanks Dani12. I thought I did test the 5 and 10 ema on daily chart and I though there were too many false signals there too. I am going to go back and re-test this again and see what happens. If it is better than the current method, I will update the post accordingly.
Thanks Ace08. Are you referring to the same time frame, when you mentioned TP: 30 and SL : 20 - 25. I thought for Daily, you need to give the trade a bit more breathing space. Please let me know the TF that you are referring to. Since I trade off the daily, sometimes need to wait for days for a signal. So taking 30 pips in one trade will not be enough.
I basically took your strategy but applied it to the 1 hour timeframe. Maybe I’ve just been extremely lucky the last month (and it’s very possible that’s the case since it’s such a small sample size)…but like I said so far it’s been working.
I’m going to give this a try as well very soon on my demo account.
I’m just wondering what capital you are using in your demo account. I like to use the same amount that I use on my live account so my profits and losses will be reflective if you know what I mean.
Also work a full time job so the day TF will work for me.
I started with a $1000 demo account. For the month of December 2013 my account was up by a bit over 5%. For January 2014 it was up by about 2%. My lot size (in MT4) is 0.03. To say this is a good method (for ME), I need to have my account up by at least 4 % every month. At the moment, I am not achieving it. I don’t keep count of the no of wins or pips. I look at my account balance and the % is gained or lost.
Update
If you are wondering what happened to this thread, please note that it is still active.
A slow month for this method, but be patient. Trades will come. Only one profitable trade for this month and my account balance is down by - 1.29%
what is the take profit ?
i hope you noticed its the overbought of the stoch so unless its an uptrend and real strong one its going down very soon because its already up by more then 300 pips
Update
gbp usd is over 50 pips. Closed 1/3 of the trade and moved sl to open.
I don’t set TP on my trades. I let them run and after the initial 50 to 70 pips move, I close 1/3 of the trade and move my SL to open. If I see an SR line near by then, I watch the trade and close 50% or the full trade.
I don’t have STO in my chart.
New trades
Open trades:
Buy gbp usd @ 1.6614, sl moved to 1.6614 (closed 1/3 of the trade)