Trading The Daily Range Over Night

I have been trading the range on the daily charts since July 1st 2013 . Before that I was messing around on different time frames and some scalping. All with no success. If there was any success is was short lived. Starting July 1st 2013 I began just trading the daily chart trading the “range” . As many of you know the markets are ranging nearly 80% of the time. Then they trend up or down to the next range. I find that range and drop in a horizontal line at the top and bottom. When price gets to the top I sell and when price gets to the bottom I buy. I use a 100 pip stop and no limit.
There are usually many pairs at the top of their range and many at the bottom of their range.
This is the key I have found that has worked for me for the past 9 weeks. I open multiple positions 7 to 13 trades 7 being the least I have opened and 13 being the most so far. I live in California and I have a day job, so all this is done after work usually around 9pm PST . Then I close all my positions the next morning about 8 hours later.

I keep trading that range up and down up and down. But I don’t stay in the trade and ride it up or down. I am in and out over night.
A few times I have gotten into a trade that was in the middle of the range on it’s way up or down.

I have drawn in a trend line across the range sometimes.
The only indicator I have used is CCI . If the price is at the top of the range and the CCI is just coming down crossing the +100 line I’m selling.
If the price is at the bottom of it’s range and the CCI is heading up just crossing the -100 line I’m buying.

Use whatever you want to aid in your decision to get into a trade.

This is quick in and out over night trading. I don’t care if the price kept going and I missed out on another 200 pips. I don’t care if I wake up and I’m up 350 pips but 2 trades are negative 20 pips or 50 pips each. I’m up 350 pips ! I close everything and go to work.

Trading like this I get maybe 1 to 3 trades a week.

My biggest over night gain was over 700 pips. 13 open positions

This is a demo account . I am going to continue to trade this way through September and maybe take it live Oct with $500 bucks.

The reason I wont go over 13 positions is because at 1k lots 13 positions would cost around 300 bucks to open so I need to test it live with just $500 . If all 13 hit their stops, that’s a $130 loss. And that’s the key to trading multiple positions. All 13 will never hit their stops.

983 pips in July
569 pips in August
922 pips this first week of September 2013 31 trades total , but I traded only 3 times .

I will be happy to answer any questions, you can track the trades at myfxbook .

All the results are at the link on myfxbook

When you go there , scroll down to "monthly analytics " and click on the “more” button and change it to “pips”

Daily Range System | Myfxbook

Hi rjmah.
Thanks for sharing your strategy. Man, you sound like me. I’ve been trying so many different methods of trading, being I am busy working everyday. I’ve been wanting to find a good system to work for me to; learn the trade, eventually go live, while having a full time job. I had a good system (thought I had) like yours. I placed quite a few trades before I went to bed, which was: limit orders, hedging a long trade and a short trade on the same pair, 25% up of the daily range, from the opening price, to go long, and the same for short. It was good for the pairs that were trending during the asia session. But, I only had 2 good weeks, just over 100 pips each week. And I’m only trying to get 50 pips consistently every week. (I know I will be successful if I can prove that to myself.)
So, I ditched that method, and been searching now. I have found out what I’m gonna be doing now, surely for the long haul. And that will be PRICE ACTION learning and trading. 2 hour session before I go to work in am. Scalping. (I wake up very very early). And to let ONE run through out the day with a stop loss and profit in place. And checking on it after work for an hour or two before I go to bed.
So, that’s my story in short. Thanks for cluing us in on yours.
Btw…man, that chris capre has some good insight on price action. He’s here on a big thread about it. He knows how the market works.

Good concept.
Happy trading

Boss!! Thank you! The point is beneficial, and I would like to follow you! Would you like to contribute some technic about EURUSD!!

Thanks for sharing :slight_smile:

It’s 3:30pm in California Sept 8th 2013. I just opened 11 positions you can see on the myfxbook link in the first post. We will see what happens. Because it is early I may close these tonight , but I will close them for sure by 5am tomorrow morning.

Here is a current chart of EURUSD with CCI and it’s current range and I added a trendline . The CCI just broke the -100 line headed up. If the price closes above the trend line EURUSD may be headed back to the top of it’s range 250 pips away. I am not doing anything with this pair right now.

i cant seem to see your 11 positions. I can see your old trades just not today’s…sorry I am new to myfxbook

I am looking at that right now as well . For some reason it is not showing the “open trades” I am trying to fix it.

OK I can see them now…take a look now.

i can see them!! =)

Ok I’m up 100 pips in 3 hours and 15 minutes . All positions are in profit except 2 . I am very tempted to close.

Wow!! I would be tempted to close as well lol

I’m gonna let it go over night . It’s about 830pm here in California. I 'm up 78 pips. I will close around 5am

Hi Rjmah. Thanks for sharing. Interesting indeed. Just wondering how do you calculate the CCI and what time periods do you use to come up with the range.

I just use the daily chart to find the range that pair is has been trading in. The settings on the CCI is 14 . I dont recall who I learned from on how to trade it but it seems to work more often then not.

OK . It appears I may have burned myself in this series. I am down around 115 pips. So for the first time since July 1st I am going to let these trades go longer. They are all at or near the top of their ranges. They are all shorts. I made 2 mistakes this time. The 1st was I got in a bit to early on a few of these . And the 2nd was I was up around 110 pips twice yesterday and did not close the trades.
This technique is not perfect and it takes patients as any forex trading system will require. I will post some charts in a moment

Here are some charts so you can see what I see.




I thought u would have closed the trades in the morning

Yep. I was supposed to but I over slept haha …pretty stupid of me. I had to just get up and go to work…no time to get on the computer and close trades . But that was not my only mistake this time. I also got in some trades to soon. No biggie I will let this series run its course and see what happens. This is why you do this stuff on a demo account . I have had nothing but success for the past 9 weeks doing this. I was due I guess for a problem …LOL

Lol good point. You never know tomorrow you might make it up.