Hi fellow traders.
Before I start or before anyone here says this strategy is old news, I have been trading the SlingShot strategy using Daily, Weekly & Monthly bars with great success. Recently I have ditched the daily bars as you need to be a full time trader to catch all the moves every day. Unfortunately I have a full time job so I now concentrate on swing/position trades. All the video links & data are posted in the journal section under the same name “Slingshot strategy revisited”. Here I have links to my youtube channel where I upload my live account trades & setups before they are taken. My live account is only small but is what I use to sample a strategy before using my large account. There are also video links to all my back testing data (done on forex tester 2) that I have compiled the last few weeks & is currently on going.
A little about me:
I’ve been trading for nearly 6 years & spent most of that with Online Trading Academy. Cut a long story short, I’ve been back testing many mechanical strategies, mostly trend following, but have not found anything that give’s a real edge in the markets over the long run. Now the long run to me is many years of data. Im not interested in making a quick buck over a few days, weeks or months, but I am interested in trading a strategy that requires no emotion to follow & produces smooth steady profits over the years. Yes years… The problem we all face is finding a strategy that fits our personality. Well this strategy fits mine like a glove.
I wont post the general rules here, but if you click on this link, Forex Trading - SlingShot 30M 100% Mechanical Scalping Forex System Part 1 - YouTube then you will be directed to the original youtube video that caught my attention. This is by a trader called Martin Alexander. Now he made a robot for this to trade 30m time frame’s as a scalping strategy. Im not interested in a robot nor 30min time frames. I wanted to see if this could be traded on daily to monthly time frames. This is where my research has taken me, so far with good results.
Now I have two rules/filters to this strategy that I follow on top of the original.
1/ I only take setup bars that close within the 40% of the top/bottom of the bar/candle. Any close within the 40 to 60% will be a void setup bar.
2/ If price opens & moves to the opposite high/low of setup bar or breaks the opposite high/low of the setup bar before valid entry has initiated, then that bar is invalid. Move on to your next currency pair or wait for a new bar to close.
There are two trade management’s that im currently back testing:
1/ Exit only where the entry candle closes. (Original)
2/ Use trade management which again is explained on one of my video’s. Slingshot Live account 14 FEB 2014 - YouTube
So far there does not seem to be a great deal between either but I have plenty more back testing to complete before coming to a final conclusion.The main thing is both seem to be profitable.
All data can be found here 301 Moved Permanently
This is early days but this 100% mechanical strategy seems to be the only strategy to make sense to me. Who knows how this will pan out but im sure its worth a 2nd look for those who have not give this strategy a chance, or who have not done the necessary back testing to really see its strengths.
My channel Welcome - YouTube
All the best fellow traders