Here is the system:
1-. you need 15m charts of six pairs present in the image
2- 300 sma
3- determine the strength of the dollar
-------this is how-------
in gbpusd chart, the price is above the 300 sma this gives (-1)point for dollar strength.
(if the price is below 300 sma, this gives (1) point for dollar strength)
repeat this process in all six charts.
then see how the dollar performed in the six charts.
be careful the dollar may base or quote.
the result may be
3/3 ---- neutral dollar
4/2---- weak dollar
4/2----strong dollar
5/1—weak dollar
5/1-----strong dollar
6/0-----weak dollar
6/0-----strong dollar
4- buy or sell the dollar from any pair.
5- example if dollar strong—
buy usdcad or usdchf(must be above 300 sma)
sell gbpusd,eurusd ,nzdusd,audusd(must be below 300 sma)
6- example if dollar weak
buy gbpusd,eurusd,nzdusd,audusd(must be above 300 sma)
sell usdcad,usdchf(must be below 300 sma)
7- you must enter near 300 sma for better risk/reward ratio
8-stops should be below 300 sma for buys
or above for sell(how many pips is up to you)
9- target is up to you but i recommend scaling out after good profit.
this is my trend following strategy and can be used for scalping little moves when market is ranging.
the fate of the trade:
1- may be a loser
2-ride a small trend
3-ride big trend
Hi,
Did you back test any historical data yet, or did you forward test in a demo account? What were the results?
all i can say is that you will earn good profits especially when you ride a big trend like this
i was earning good money with it but i became greedy and wanted to be a millionaire very fast so i searched for another strategies that will make me rich very quick.
but after 3 month of trying different strategies, i had no success so i decided to go back to this strategy.
please, help me improve it.
Hmmm doesn’t seem enough to go on. How long were you consistently profitable from this?
The theory goes (as I understand anyway) is that for a trend following system, you find a zone of interest. You decide on two or more entry criteria, you enter only when those criteria are met, you manage the trade to a written plan and you exit when the exit criteria have been satisfied. So I can’t see, without back testing, and forward testing with a demo account, how else you can i) know that the trading plan has a measurable edge, ii) that it works whilst the trend following is valid (i.e., in the price action example you gave), and iii) what parameters you could change to improve it. If you haven’t done any of that really boring but necessary work, what other actions could be taken to improve it?
To me it seems something that will give consistently good results.
