The goji system, for lack of a better name

Trading Systems
141

hi all,

those of you who have been reading this for awhile now, know that i like to quit early on fridays. as such, i am finished for the day, week. i hope that i answered all of your questions this week and i hope, if so inclined, you are following along and making some $$$$. today’s two, :):slight_smile: trades:

8:07 long 1.2595
8:14 exit 1.26075, hit TP, +12.5

8:52 short 1.2585
8:54 exit 1.25725, hit TP, +12.5, +25 for the day

november total; 290.8

have a :):slight_smile: weekend and we’ll see you monday morning,

goji, bernie

142

Hi Bernie, congrats on your continued success!

I just wanted to ask why you’re still with EUR/USD. I thought the original reason you switched was because the spreads on USD/CHF had jumped out of control, but it seems they’ve been back down in the 2-3 range for awhile now. It seems like having the bigger SL and TP you had with that pair would have kept more trades from being stopped out and also gotten more profits.

143

hi orpips et al,

very astute, i wondered if anybody would notice. first, i have mentioned this and it is only from observation, i think the e/u has been more volatile lately and experiencing larger daily ranges. I COULD BE WRONG ABOUT THAT, i admit. secondly, i have gotten on a sort of roll with the e/u. as i said when i changed from u/chf to the e/u, i do not like to change when all is well. you know, “if it ain’t broke!” so i have not changed. third, and maybe most importantly, i do not really like the 25 pip S/L. with the u/chf, i felt it appropriate if you are shooting for TP of 50, but i never really felt comfortable with it. now i know all of this is personal, but the bottom line is i still do not like to lose. fourth, if i must take a loss, i’d rather it be 10 pips, rather than 25. RIGHT NOW, MY FIRST DESIRE IS TO ELIMINATE THE LOSS. when i enter a trade, and maybe this is backwards, i am all about damage control. get the S/L to six, and then to two, and if you get ahead plus four, get the trade to BE. finally, i seem to stay more active, more awake, more in tune while trading the e/u. today, for instance, one of my trades was ended in two minutes, i think. oh my, i didn’t plan on writing a sermon but the thoughts just kept flowing. this seems right for me right now, it may, or may not, for you.

have a great weekend,

g, b

144

hi all,

i decided to do just a little research to support my vague answer to orpips.

today, between 8:00 am to 5:00 pm est, the u/chf range was 1.2173 to 1.2295, 122 pips. however, that was because of two spikes, one long, one short. the bulk of the day u/chf was between 1.2209 and1.2257. THAT’S JUST 46 PIPS. HMMMMMM!

the e/u on the other hand, was 1.2640 to 1.2434, 206 pips. the bulk was between 1.2620 and 1.2486. THAT’S 134 PIPS!

ok, you choose. do you want to shoot for 50 pips in something that is only moving 46? or, would you rather attempt to generate several 12.5 pips with in a range of 134?

now, today may have been unique. this coincides with my observations, however, so i’ll probably stick with the e/u for awhile.

g,b

145

hi all,

WHAT A DAY! ok, a day like today ultimately identifies the one draw back to my system. i do not view it as such, although some of you may, especially, if you are attempting to hit home runs. honestly, even when i played softball, and i have played a lot, i was a singles hitter. as i said, my strategy fits my persona. this strategy does not have a re-entry application. thus, when things keep moving only in one direction for a period of time, there is no way to take advantage. now, on the other hand, i did a lot of work in a short period of time today and am walking away, A WINNER, of 15 pips, AND THAT IS JUST FINE WITH ME. the trades:

8:45 entered short order, 1.2760
8:47 short, 1.2760
8:50 exit, 1.2766, had been to 1.2757, S/L moved to 1.2766, -6

8:55 entered long order, 1.2780
9:00 cancelled long order
9:00 entered short order, 1.2755
9:00 short. 1.2755
9:02 exit, 1.2749, had been to 1.2745, closed at 1.2749 to get me back to
0, +6, 0

9:10 entered long order 1.2785
9:10 long, 1.2785
9:12 exit, 1.27975, hit T/P, +12.5

9:40 entered short order, 1.2775
9:45 canelled short
9:45 entered long order, 1.2795
9:46 long, 1.2795
9:49 exit, 1.2785, hit S/L, -10, +2.5

9:55 entered short order, 1.2780
10:00 cancelled short
10:00 entered long order, 1.2815
10:09 long, 1.2825
10:19 exit, 1.28275, hit TP, +12.5, +15

november total, +305.8

OK, i’m tired, have a great afternoon all,

goji, bernie

146

hi all,

this is late today. i had a totally different article ready to submit, but when i hit “submit reply” button my computer was booted off line. i went to my desk top and couldn’t get on line. i attempted a reset. no luck. ok, the teacher will use this as a learning experience. THIS IS THE REASON YOU MUST USE STOP/LOSS ORDERS. NOW, I WAS FINISHED TRADING FOR THE DAY, THUS THIS DID NOT AFFECT ME. HOWEVER, IF I HAD NOT BEEN AND WOULD HAVE HAD A TRADE ON, THE WORST THAT COULD HAVE HAPPENED WOULD HAVE BEEN THAT I HIT MY S/L. I MIGHT EVEN HAVE GOTTEN LUCKY AND HIT MY TP. this is why i have my S/L and TP added automatically when my trade is entered. you simply never know when a glitch could otherwise cost you considerably, without the S/L. today’s trades:

8:20 entered order long, 1.2865
8:24 long, 1.2865
8:33 exit, 1.28775, hit TP, +12.5

10:00 news - no trade.

10:00 - 10:30, secretary of treasurey paulson spoke and e/u was extremely choppy. check it out on a one minute chart over that time. no trades.

10:35 entered order short, 1.3010
10:38 short, 1.3010
10:43 exit, 1.3010, had been to 1.3005, or +5 thus S/L moved to BE, and that was hit.

at this point i quit for the day. +12.5

november total, +318.3

later,

goji, bernie

147

hi all

it’s 10:00 am and i am quitting for the day. i have an obligation to attend to. today was another good day, three trades, three winners, though one was only two pips. today required patience and a little luck. you will notice that i got out of the last trade at 9:59 am. just before news at 10:00. i was just getting ready to take around a 10 pip profit when the 12.5 TP was hit. the trades:

8:35 entered order, long 1.2945
8:40 long, 1.2945
8:41 exit, 1.29575 +12.5 TP

9:15 entered order, short 1.2945
9:22 short, 1.2945
9:25 exit, 1.2943, had been to 1.2938 +2, +14.5

9:50 entered order, long 1.2955
9:54 long, 1.2955
9:59 exit, 1.29675, hit TP just before news, +12.5, +27

november total, +345.3 :):slight_smile:

later,

goji, bernie

148

Congrats again.

I was wondering about your first trade. In my demo trading, the 8:25 candle closed above the EMA, so my entry was at 8:30 at 1.2935. What made you pass on that one and base your entry on the 8:30 candle’s high? It didn’t make a difference in this , I’m just curious.

One more question: Are you trading live with Oanda? I hear about their “stop hunting” with live accounts, and with such a tight stop it seems like that could be a problem. Of course, I don’t know how much (if any) of that is a legitimate complaint and how much is just people looking to excuse their own bad trades.

149

hi orpips,

i did’t write it in, but i did not take the earlier trade becasue i knew there were several news items coming out at 8:30 am. by 8:35 the spreads had returned to normal and the signal was given.

concerning the S/L hunting, there may be something there but i really can’t say for sure. where i notice it often, is rght after a move to BE after price had been in my favor 4-5-6-7 points. when i first started this, i would simply move to BE after a positive four point move. many times price would come right back to the BE, and then continue in a positive direction for that trade. i have decided to move to BE, plus, now depending on the move. today was a good example of that. i was positive 6-7 points and insted of moving just to BE, i move to +2. it did get hit, but i showed a profit. right now, i do not remember if price went all the way back to BE. anyway, nothing i can really put my finger on, but i will watch it more closely now and report what i find.

goji, bernie

150

HAPPY THNAKSGIVING TO ONE AND ALL,

just one trade today as it is a holiday after all.

8:15 entered order, long 1.2805
8:17 long, 1.2905
8:30 exit, 1.2912, had been to 1.2916 +7

november total, +352.3

151

Bernie,
Pls keep on posting. I’ve been monitoring your results. Have not been posting for some time. Been to other threads.
Again i must say that your stretagy has been the most straightforward and effective without the frills.
I have not really been demoing.Just did that twice but both losers. I guess i picked the wrong time.So i stopped demoing. Will do that soon but you hang in there. Hope to post my result soon.
Regards

152

hi all,

well, another day, week, and month has come to close. regular readers know i like to quit early on fridays. it is now 9:23 am and i am fininshed for the day, week, and month. it has been another very good month. here is the learning point for today. if you notice, i generated 200+ pips less this month. do you think i am disappointed?

i hope no regular reader said “yes.” the bottom line in this business is to make money. I DID THAT. when you start worrying about how much you did or didn’t make that is when greed sets in and you become less of a trader. i believe the best traders trade without emotion. for five months plus my strategy has been working for me. i have only been recording for the last two of those months because i wasn’t going to put something in baby pips unless i felt confident it would work.

now, the strategy is almost mechanical with me and that is what is contributing to the success. i do not have to really think, get greedy, etc., the set up occurs and i react. then i work the trade moving the stop loss. it does not work every time, BUT IT IS WORKING OFTEN ENOUGH TO GENERATE 377.3 PIPS THIS MONTH. I WOULD TAKE THAT EVERY SINGLE MONTH OF EVERY SINGLE YEAR. TODAY’S TRADES:

8:20 ENTERED ORDER, LONG, 1.2740
8:30 LONG, 1.2740
8:32 MOVED TO BE, AS PRICE HIT 1.2744
8:33 EXIT, HIT TP, 1.27525, +12.5

9:10 ENTERED ORDER, SHORT, 1.2745
9:11 SHORT, 1.2745
9:13 MOVED TO BE
9:15 EXIT, HIT TP, 1.27325, +12.5, +25

NOVEMBER TOTAL, +377.3
OCTOBER TOTAL, +594.76

HAVE A GREAT WEEKEND EVERYBODY,

GOJI, BERNIE

153

Great results once again. I agree that there should be no disappointment whatsoever; quite the contrary.

It seems you and your system are such a good fit that you are successful every day. Even ending a day with just one winning trade “in the black” means that with a common risk management of 2% per trade would mean a 2.5% gain on your account per day (since you would lose 2% if your 10 pip stop loss is hit, that means a 12.5 pip TP is equal to 2.5%).

Again assuming a 2% risk per trade, your 330 pips for the month would equal a staggering 66% gain on your account! Actually even more due to compounding, but I don’t feel like doing the math :slight_smile:

A lot of people, even those who should know better, get caught up in the number of pips and all that. With your incredibly simple system and “tiny” gains of 12-25 pips per day, you can achieve massive gains in very little time. 66% per month? Warren Buffet, one of the most successful investors of all time, averages around 30% PER YEAR.

Anyway, keep up the good work and enjoy your gains!

154

Ok I don’t mean to sound dense, but I’m kind of new at this and I’m confused. The candles always close above or below the ema line. So what else are you looking for to make a good trade? What am I missing here? Are you putting in a buy/stop at the close of every 5 min candle in the direction of the candle? If it hits, that’s your confirmation?

155

hi all,

orpips, thank you for the kind remarks, they are appreciated. i view this as a marathon race, made up of thousands of 100 yard dashes. i try to keep it all in perspective with analogies like this.

slapfish, i do not want to antagonize anyone, especially since i have walked in your shoes by being a newbie once, several years ago, myself. thus, yes, i do believe you have missed one very major point. if you would go back to the beginning you would read that we are waiting for the price to cross the 10 ema. then from the high of that candle, AFTER IT CLOSES, we put our long order in at the nearest X.XXX5, or nearest X.XXX0. of course a short would be when price crosses and closes below the 10 ema and then we determine the low of that candle and place our short at the nearest X.XXX5, or X.XXX0.

all of my trades are entered with price ending with a 5 or 0.

now this is why i take the time to list everyone of my trades. if you are having difficulty grasping the strategy, you can match things up with my trades. take today for instance, i have just two trades listed. one was entered long at 8:30 am, @ 1.274-0, the other at 9:11 am, short at 1.274-5. using that information, i am not sure how you would get the impression that i am taking trades off of every 5 minute candle close?

this is not a very difficult strategy to learn, however, i realize anything new requires some work. the problem, which i have stated before is that i can not copy oanda charts and post them. as a former teacher, i know many people are visual learners.

i hope my explanation clears this up for you. please feel free to let me know. if i was you, and really wanted to learn this system, i would go back and read every post. if what is being said is not sinking in, then you may have to go back to baby pip school to gain a greater understanding of some of the basics. i am proving day to day that this sytem is working. most agree it is a realitvely simple system to learn. it is not going to produce home runs, but it is producing enough that, depending on the size of your bank roll, one could make a living just off of this system, with just one MAJOR exception. AS IS THE CASE WITH ANY STRATEGY, IT MUST CONTINUE TO WORK.

HAPPY STUDYING, and have a great weekend,

goji, bernie

156

Cool thread. Been watching for a few weeks now.

157

Bernie,

I traded live on 3 trades following your system. Here’s the records.

1st trade - 8.30pm Long 1.2742 exit at 8.35pm 1.2749 profit +7 pips. Since it was 1st live trade,i just closed them at 7 pips. Could have gone to TP if let it run. Also need a bit more experience and a cooler hand.

2nd trade - This was supposed to be my 2nd trade but i missed that as i was doing some manual backtesting ( Jan 2008) . Would have pocketed my TP of 14 pips if i was watching. Just missed that by a few seconds. Did not want to chase it.
It was supposed to be enter short at abt 9.12pm 1.2745. Price went down to 1.2715

3rd trade - long 9.35pm at 1.2752, exit BE as it was stalling and went up peaking at 1.2760.

4th trade - short 10.04pm at 1.2715 and BE at at 10.05pm. Not sure if i let it run,it would touch my TP.

So my first day live trading, i did get off to a positive start . A 7 pips profit. Yes.

Appreciate if you can give some comments to my trades.

BTW, i mentioned that i did some back testing using this system. I managed to gather this data.
System: Goji
Pair : Eur/Usd
Trading time: 8am - 11am (EST)
sl: 12
tp:14

Jan 08 +28pips
Feb 08 +14pips
Aug08 +108pips
Sept08 +386pips
Oct08 + 390pips
Nov08 + 186pips( till 27th Nov)

It may not be very accurate as it was manually done but it does give some indication of the systems effectiveness( or lack of)
I also noticed that the last 5 months, Eur/Us volatility is at its peak compared to beginning of the year ie Jan/Feb 08. It use the ATR to gauge.
My question to you : How long have you traded this system and pair? Would you have been profitable if you were trading in the beginning of year ie Jan - Apr’08.
I only managed to backtest the above months as its very manual and time consuming.It does seem that the volatility( which i use ATR to measure - may not be the right way) in general determines the profitability of this system.
Pls feel free to ask or give comments.
Sorry too long winded.
Have a good weekend.

158

Ok I get the feeling that asking a question somehow offended you. I didn’t ask if you trade EVERY 5 min bar. I asked if you enter a buy/stop at the close of EVERY 5 min candle. When I looked at a 10 ema on a chart, every candle closed over or under the ema. I see that you only take a few trades, so I don’t understand how all of those candles ends up with only a few trades. That’s what I was trying to clarify.

Sorry I bothered you.

159

slapfish,

your question did not bother me in any way. i am sorry if you got that impresssion. i believe if you had truly studied the system, since it is very simple to learn, you could have aswered your own question. even now, you have not told me if you grasp an understanding. i am very willing to help you, but unless you talk to me, i can not. i can not pre-determine your level of understanding, thus the reason i said you may have to go back to school is simply based on your not grasping that part of the strategy. do you understand that price has to cross the 10 ema to develop a set up? read my responses to teddy, next several threads.

goji, bernie

160

hi teddy,

wow, you hit me with a lot and there is nothing wrong with that. i may use a
couple of threads to answer all of your questions.

i will start by critiquing your trades. keep in mind each person has their own style, thus my critique is simply based on what i would have done. it does not mean you are wrong if what you are doing is MAKING MONEY, because that is the bottom line.

  1. i have the candle that began at 8:15 closing over the 10 ema. its high price was 1.2736, thus my order was placed at 1.2740. that then hit TP

REMEMBER, ALL TRADES ENTERED SHOULD HAVE A 5, OR 0, AT THE END.

  1. you had this right on and it should have hit your TP

  2. entrance should have been at 1.2750, it then hit 1.2760, lately i have been taking 2-4 pips when this happens. the 2-4 add up over time.

  3. yes, i think you are right, you should have stayed in with this one, at 10:07, i believe you would have hit TP.

ok, let me look at your other questions.