I’m in that actually. You need to fix your stochastic by the way, it should be 14,3,1 and not 14,3,3.
Saw it - but I’ve been burnt a few times recently by the EURUSD and vowed not to trade it again until the new month starts - pity - nice pips in that one
i know, i tried everything, but my platform only let’s me put it to 14,3,2 (nothing below 2 is possible)…
here i put both versions…which one would you recommend?
You could always just download MT4 with a demo account and use that for your charts - then enter trades on your platform.
Weird how yours doesn’t let anything smaller than 2 …
I recommend using trading view instead, these won’t work. Even the EURUSD trade you shared earlier, I was in at the close of the eighth candle from the right of your chart. Looking at your stochastic it didn’t even reach the overbought area then.
philip, would you have entered the 4 times when stochastics was below 20?..personally, i would have done, but you already mentioned that you prefer only taking the first signal…also in a long trend like this one?
thanks for the recommendation…but here the stoch also didn’t reach overbought on the candle you said, or am i completely wrong?
@forex mike, may be bucket’s idea is the best then.
I said I don’t prefer entering multiple times you are right. But I also said that it works except for the trade that precedes a shift in trend. So its a matter of preference rather than right or wrong.
Hey Philip, I’m learning how to trade this system. Already made some pips from it. Just curious about the EURUSD, I was in it, but I closed quickly with a few pips gain. Did you short it when the stoch crosses? Or wait for next candle open? I was kinda worried when the stoch dived straight down to oversold when the candle open and I hesitated to short it.
Let me know your thoughts in it. 
What if the EMAs recross right at the next candle when stochastic hits the mark? Is that a signal not to enter?
As you can see in the picture. The red candle marked with the rectangle is where I entered. That was on February 25, way ahead of today’s fall. So we were trading different signals.
@Jwilsonf, yes it is a signal not to enter.
Hi Philip,
Many thanks for sharing and teaching your profitable trading pattern. This method does share some aspects with Hector Deville’s 3 SMA method. But, I like your system better. This is both unique and very tradeable.
My Oanda H4 MT4 charts don’t quite align with your posted charts. Please share the times of day new H4 candles appear on your platform. My H4 chart candles appear at 4:00, 8:00 and 12:00 CST.
Great Trading! 
Hello Bobkat - I’m with Oanda as well and there is a slight difference in data feed to Philip’s but you should have still got the same entry signal. This is from my Oanda chart.
Hi Bucketman,
Many thanks for your reply to my query. After comparing your chart to mine, I discovered your chart is GMT-5 and mine was set to GMT+2. So I changed mine to be identical to yours now…many thanks!
Bob
Just remember that no matter what we will never catch all trades. Just set the timing to your region and trade what you see
May be the next time stochastic will flash on your time zone and not mine. We cannot control that.
Philip,
Sometimes small details make a BIG difference in trading results.
To that end, assuming the 20/50 EMA cross, and Stochastics enters the correct 80/20 overbought/oversold area:
- Do we always wait for the current H4 candle to [B]CLOSE[/B] in order to enter a trade?
- Do we make certain that [B]BOTH[/B] the stochastic trigger line and main line cross back the OB/OS area or is [U]just the trigger line [/U]sufficient? Must the trigger and main lines also cross on the breakout of the OB/OS area?
Thanks!
My understanding is that you wait for the 4 hour candle to close - you just don’t know what’s going to happen until the candle closes - a last minute up or down surge may prevent a Stochastic cross from happening whereas it may have looked like it was going to be one at the time of your early entry.
Plus - if you wait you might get a better entry point - with a smaller stop loss.
Confirmation is the key.
Thanks Bucketman. What is the answer to my stochastic query?
You enter when the stochastic crosses its moving average. See the examples earlier for more explanation.
I gave examples that really cover everything from winning to losing. So even if you enter and the pattern fails, don’t blame the entry…just apply the exit and move on to the next trade. Also note that the winning% of the system drops as we diverge from the 4HR time frame.
Here’s another question for Philip.I took a trade on Silver the other day which didn’t work out but soon after we got a second entry (I was unfortunately asleep at the time I think)
Would you have entered again with a second entry (seeing how the first failed) - or if 1 fails do you wait for a cross of the MA’s again before looking to trade the same currency again. I ask this as you have said you prefer to trade only the first signal after a cross.
