The 3 Duck's Trading System

Hey donavan5. thank you for your answering. yeah it is eur/usd. Can you explaim with picture please.?

Ha ha sorry mate I am clueless when it comes to attaching charts and pics.
If you have the 3 ducks e-book on page 5 I think there is the first 4 hour chart with the red SMA line.
You can see it is sloping upwards at about a 30-45 degree angle that is the sort of angle you want to put the odds in your favour.
Also on pg 76 of this thread salty has some charts which show this.One thing I learned from a 3 ducks thread on another board was the 4 hour is the engine room if you have a strong trend there it can make up for a bad entry

I donā€™t like your entries because they donā€™t see to me like a clear peaks, the looks like range market. The latest move is what I should look for an entry, just like this

Also, I donā€™t like EURUSD because the 4h SMA angle is small, when viewed on the 5M chart, just like this other one

Remember to look for clear trends. Use the zigzag indicator on 5m view with extdepth of 40-60 to see clearer peaks. Remember that the ducks are signaling a trend, and a trend is defined by higher highs with higher lows (uptrend) or lower highs and lower lows (downtrend)

If you see peaks that are higher highs, but with lower lows then you are seeing just ā€œnoiseā€ that a trend following technique canā€™t trade.

As the Captain says, place your stops and targets to hourly or 4h supports. It is easier to be right with that stops and targets

yesterday afternoon set pendingorder


First Duck looks good!


Second Duck looks good, too!


Third Duck is not a beauty, I oriented to the second duck.

I`d like to see a little pullback. I have to trail my stop.

Hi behroz!! :slight_smile:

First of all, you need to recognize that the 5 min chart is in a range. Ranges can be difficult to spot. But this system is helpful to spot them.

This system works with previous highs and previous lows. Remember, 3 ducks need to be align and according to you, first 2 ducks were aligned. So, you need an entry in the 5 min chart. This entry is when price break the previous high. If previous high donā€™t break you just donā€™t enter the trade. Take a look at the following chart:


I really really really think that was not the previous high. If you scroll the chart back, Iā€™m pretty pretty prettyyyyy sure that youā€™ll find the previous high. Go to the chart and spot your entry. Now see how prices are still below the MVA. That is not a previous high. If you scroll back the chart youā€™ll find a previous high above the MVA. Thatā€™s your entry.


Now analyse the following chart:


Now spot your first entry. That entry would not have work because you are considering a recent low as a previous high. (And I said that assuming there was a previous high if we scroll back)

Next: look at how your entry became the next recent high. You should have enter when price break that high and not before that. All you needed to do was wait. See how the second small wave break that small previous high? That break is the entry. (Again, I donā€™t think that was the recent high, so I would not have entered it)

Next: we have a third small wave. But this time price did not break the previous small high. So you just donā€™t enter. Up to here Iā€™m talking about your first entry and the movements around it. ok?

Note: This high now became our previous high.

Next: we wait for price to break that high. So,we wait. Price go below MVA, and above MVA. Thatā€™s when you marked your second entry. But what should we do: wait till price break the previous high. Did it break? No. So, what do we do? Nothing.

Next: Price go down again and up again. And then boom it breaks all the previous highs. That my friend is when you enter the trade.

I really think you are trying to enter as soon as prices breaks the MVA in the 5min chart. Thatā€™s not the entry. The entry is when 3 ducks are aligned and price break the previous high in the 5 min chart.

I think you should read more on support and resistance. Also read about ranges, how to identify, avoid and trade them.

I also noticed that you traded part of the assian, the whole london and the whole us. Thatā€™s too much. I think you should try to get one entry in one of the market, and the add to the position or close them on target profit. Limit yourself till you figure it out. Otherwise youā€™ll lose money in those choppy ranges.

From my experience the 3 ducks give one strong entry. With the system thereā€™s no need to be entering and exiting the market every minute. If the entry is gone you can still enter the trade according to system rules. Now that you been trough this, I recommend that you read the ebook again. Youā€™ll have another perspective and can improve yourself.

The steps that I talked about here are not absolute. Thereā€™s not an absolute rule to identify previous highs and lows. It also vary from currency to currency and from market condition. Do not try to apply every step I mention in this post as an absolute rule to identify such highs and lows. I just interpreted the chart you gave and assume certain conditions.

I am also not the creator of the 3 duck system. That is captain currency. I have nothing to do with him. I just talked about his system according to my experience with it.

Hope everything help!! Happy trading!! :slight_smile:

Lee asked me a few questions and I went all fruity on him ā€¦

Hi Captain,

What to do if Iā€™m already on a trade from a couple of days before? Do I close it? do I set tight stops?

Thanks!

PS: the trade donā€™t have USD

High Captain Currency,

First off, I would like to give you a great big thank you for everything that you do and for sharing your guidelines for gaining an edge in trading with us here at Babypips. I have a great appreciation for the effort that goes into your posts, explanations, videos, and especially the E-Book.

I have just finished my first year in Forex and I guess I would have to say that Iā€™m probably around par since I blew two accounts. In the past year I have tried countless indicators, systems, and strategies to no avail. However, since then Iā€™ve learned a great deal after paying for my tuition in hard knocks and I am finally starting to see some improvement in my trading after applying your guidelines.

Thanks again Andy!:35:

Happy Duck Hunting all!

Hi 3 Duck,s Traders. How are you guys.? Good pips today.? Yes good pips . why not. I hope Mr Andy ( captain currency) be sucessful in all part of the his life. Good wishes for you man.

Result :
1 : Eur/usd Long +20 pips
2 : Eur/jpy Long +20 pips
3 : Gbp/usd Long failed ---- Short +20 pips
4 : Gbp/jpy Long failed
5 : Usd/jpy Long failed
6 : Chf/jpy Long +30 pips
7 : Aud/jpy Long failed
8 : Eur/cad Long +40 pips
9 : Usd/chf short +30 pips

Total : +160 pips in just about 8 hours trade.

Best Regards for Mr Andy And you guys
Happy weekend and Looks like Mr Andy have a good coffee.

Captain, may I ask you what do you what is your opinion about this:

[ol]
[li]I add an initial position when the conditions are met.[/li][li]Then, when the conditions met again to add to winners, I first check what is going to be the result of my new trade. That is, if the locked profit for first trade is equal or more than the risk that is assumed on 2nd trade, then I enter the trade on that conditions, if not, then I leave that and wait until the conditions are OK again and the new risk is smaller than the locked profit.[/li][li]Then I trail all the stops to a price that is support only if the stop price will make all my positions (the sum of all risk and locked profits) is at BE or better.[/li][/ol]

Or

[ol]
[li]I add an initial position when the conditions are met.[/li][li]Then, when the conditions met again to add to winners, I simply add the new trade, adding risk to the previously free trade.[/li][li]Then I trail all the stops to a price that is support only if the stop price will make all my positions (the sum of all risk and locked profits) is at BE or better.[/li][/ol]

In scenario number 1, I have risk only on the first trade, but the second trade could give a lot of movement to market because it is entered later.

In scenario number 2, I have new risk for every new trade, but if the trend continues long, then there is more profit to be made because I add to winners sooner than in scenario number 1.

Thank you :slight_smile:

Hi medisoft, spotted any good pairs for trading on Mon? Great weekend ahead duck hunters :slight_smile:

well, lets see

EURAUD seems good to me above 1.3192
NZDJPY is also good because Iā€™m inside it and I can add to winners at about 78.45
EURJPY is a buy for me above 127.00
EURGBP above 0.8718 is good for me also, and Iā€™m inside with 2 winners, so adding to winners would be great!

Hi medisoft, im watching audusd(short) and chfjpy(long)ā€¦will add your pairs to watch for next week. :smiley:

a bit of warning about chfā€¦ it is correlated with eur, so it could be the same to trade eurjpy.

For a long positions I think chfjpy is better because the swap interest should be positive and higher.

Hi medi, roger that. I donā€™t trade too many pairs at one time anyway. Great trading week ahead. :slight_smile:

Gbp / Jpy Long +40 pips hitted
Usd / Jpy Long +20 pips hitted
Chf / Jpy Long failed
Aud / Jpy Long +20 pips hitted . ( sorry about chf/jpy it was a writting mistake)

Today was the day of yen pairs.
Good Luck.
Behroz

Do you use fixed take profits?

How about your stops?

Hi guys

Been trading with the three ducks the last two weeks and managed to bag 200 pips but had a few losses today so i m down to 120,

Just wanted to ask when trading the ducks, do you on the 4hr and 1hr simply look at above or below the moving average and then on the 5m for hh and hl for long and ll and lh for pending orders?

Cheers

Thatā€™s one way of determining a possible entry len82.
The 4 & 1 hour moving average guides are intended to draw your attention to a developed (or developing) trend.
Once that has been established, you drop down to your 5 min timeframe & look for high probability entries.

I would suggest you continually revisit the e-book & the succinct, bite-sized instructional videos if youā€™re uncertain about any aspect of the steps. Everything you need is contained within those 2 options.