TalonD:eek: stay away from here if you are the one who “”“CREATES”""" this LOOOOOSING resistance zones.
Check is in the mail, (Can you see the “bouncing” mail bag)
Experience taught me to use SL50.
I lost a few good trades just because I felt 40pip loss is enough and it hit 43, 46, 45 and I was gone. ~30~50mins later I could have pocketed the ~pips TP if my SL would have been 50.
I consider SL’s as an “emergency brake” for the last resort therefore there is no reason not to use it. I am willing to loose max 50pips. So far a good decision.
I use it on any orders I place, regardless of strategy. TP varies on my “greedmood” but in general, unattended overnight orders for me is 30TP.
Exception: Phil’s Sunday breakout. (where the H#$@L is he???)
If you are sure that you “studied” your charts and you are sure it will go in the direction you choose, then why would you use any SL’s?
After all you are convinced it goes “your way”.
If you are only willing to loose 20, 30 pips SL then this would be “YOUR” threshold of loss and is perfectly fine too.
Somewhere on an earlier page Trevpick came to a similar conclusion, looking over his charts and found only 2 times it would have hit him with a 50 SL otherwise it would have saved more trades.
Right on the money with a 50 stop on the 1h. Where I digress is with a ‘set it up and forget’ aproach? Cant get any sleep with that idea. At the risk of repeating myself… If you cant be in front of the monitors… DONT TRADE!
hey, how about hiring me? I need lots of training but one of my references says that I have a mind like a sponge absorbing everything and I’d love a trip to England! yeah I know… maybe some day!
I agree I’d like to be in front of the monitor when I’m trading, just didn’t want to go to bed last night! But the only time I can really be monitoring is during Asian session and there’s not a lot action at that time.
Different strokes for different folks!!! I sleep like a baby(pips) and when I open the chart in the morning it is like in a candy store, did I got something or did the bag shrunk???
Very seldom a disappointed.
At night, I love to use the set & forget and so far it worked (US 01:00~04:00 AM Oooouuuch ). Daytime no problem to watch and trade, that’s where the greed comes in.
I’ve marked the fake-out that triggered our short trades very early Friday morning, along with the actual breakout which occurred later.
Notice the suggested starting time for tonight’s Period — 2pm EDT (18:00 GMT) Friday. This looks reasonable on my platform (FXCM-UK), which opened at 4:30pm EDT (20:30 GMT) Sunday. Depending on what time your platform opened, you may see something different. Decide for yourself where to place the starting point of the Period.
Hey guys, started reading this thread some time last week and it’s taken me this long to get caught up with the current posts!
I lost track of the original strat details, though, as it seems you guys have modified them somewhat from the beginning and have added clarifications for when it’s best to use and not use it.
Could someone lay out the particulars again in one complete post so a new trader could run this on a demo account this week with you?
Clint, I think using the 2pm EST Friday extended period is a good idea.
Just wondering on the low. Currently at 9:47pm EST the GBP/US is near the low for the 2pm to 12 midnight period. Similar to Thursday night. What do you think of increasing the SL to 50 pips on the low end (maybe increase the TP to 30 or 40) to avoid a similar fake out? In addition you may want to take half your normal position on the low since your TP would be doubled at 40.
The high would be the same. 30 SL and 20 TP.
I have read most of this thread but have only started trading the London Break out Strategy since early last week. My above comment is regarding the low is mainly based on the last two days of trading.
Prior to Friday Aug 14 I had read up to half this thread. I am about 3/4 way done as of today (will finish reading the last quarter soon). One thing I noticed near the third quarter of this thread was that several posters commented that Friday trading is tricky. I think I may only take half my normal position on Fridays going forward. What do you guys think about that?
I think we can choose between two sets of lines tonight:
1. use 18:00 GMT Friday as the start of the Period, and 1.6532 as the HIGH, or
2. use 20:30 GMT Sunday as the start of the Period, and 1.6519 as the HIGH
Choice #2 is shown in dashed lines on the 5-minute chart, below.
Mike, I think you are modifying the original strategy too much with your choice of HIGH.
Notice that the lower channel boundary has been tested, and has held (so far). Channel boundaries are basically sloping support and resistance lines.
Because the lower channel boundary is so close to the LOW line, we might have to allow some extra pips below the LOW, when setting our Sell Entry orders tonight.
hmmm there I go experimenting again. Still if it breaks out of your upper range then that would be 35 to 50 pips into profit from my upper line, I’m undecided.
I guess in a way, I call myself trying to get an earlier entry into the break but that may be a mistake…
Notes on the London Overnight Breakout Strategy for Monday morning:
I’m choosing to use the higher HIGH (1.6532). The LOW has been moved down slightly (to 1.6435) after the second test of the
lower channel boundary. This gives us a fairly wide 97-pip range in price. Narrower would be nicer, but we can trade this set-up.
Resistance and Support:
R – 1.6607 – August 14 high
R – 1.6600 – century mark
R – 1.6596 – August 13, 06:00 GMT candle
R – 1.6560 – August 12 high
S – 1.6430 – August 10 low, and August 11 low – STRONG
S – 1.6390 – August 12 low, and July 28 low – STRONG
S – 1.6350
S – 1.6338 – July 29 low
Scheduled News Releases: no high-impact releases until 13:00 GMT Monday — U.S. Treasury International Capital (TIC) Long-term Purchases report. This probably will not influence the London Breakout this morning.
The Period HIGH is a judgment-call. I choose to use 1.6532. The Period LOW is 1.6435.
My Entry Orders for this morning:
I will allow an extra 5 pips margin below the LOW, in order to clear the lower channel boundary (which is support).
[B]Trevor, good morning. I’ve been wondering where you were lately.[/B][/QUOTE]
well last week my other half give birth to little jessica, althought i tried trading monday and tuesday, i give up the ghost half way thought the week and called it a break , back to normallity this week, hehe
