Great technique for beginners...

[Akash]

Originally Posted by fxquest

Hi Akash,

The system seems to be working great when there is a clear trend. Last week is a good example. However, I believe that with out a clear "trend filter" ( clear criteria to decide if the current conditions are trendy enough for the system) the system will produce many false signals (this week is a good example).

Any ideas how this can be elegantly addressed?

Hi fxquest,
You are right, this system does produce false alarms, and especially in strong trending markets, because you think that the trend has turned around...and as soon as you go with that notion, it blows you right out. See, if I add a filter to this system, then it catches trends late enough to leave me with a loss almost every time. I tried it already. Also, if you are suppose in a downtrend, this method helps you make money from the rallies. Although that's going against the trends, but it works more often than not. Plus, if you modify your s/l to B/E once you have about +10 pips, you are pretty safe. It might happen that price may go up +10 pips and you modify your stops, then it comes back, blows your stops and then turns around again, but then again this happens once in about 5 times and at least you safe gaurd your money. You especially should modify your stops, if you are going against the daily or hourly trend, it is very risky. Also, if I put a filter, this will be more like bunnygirl's system. Bunnygirl's system is great, but I think that it puts down quiet a lot of fake signals, if you're only looking at the cross+filter. Lay down bunnygirl's indicator and the KS line on the same chart, you'll see what I mean. The KS line catches every move that the cross+filter catches too late.

Even this week has been really good too, I've just had 2 losing trades till now. I believe that you really don't need strong trending markets to make profits with this system. I'm just glad that this time I'm taking trades on my real account. Will update everyone about the results during the weekend .

Rockin' Tradin'
-Akash

[Akash]

Hi All,
Just trying to figure out a nice exit strategy. I'll tell you what I am doing right now and what I am thinking of doing from now on, and I would really like it if you guys would comment on it and suggest modifications and/or give your own exit strategies.

What I do right now

I really don't have a nice reason for my exits, I just exit when I think I have enough pips and/or when I think price starts to reverse. Every trade, I do look for at least 20 pips and if it is a bad trade then break even. I move my stops to break even as soon as I have 10 pips. Then I wait for it to go to 20 and set stops at +10 pips, and more often than not, I am only able to get 10 pips instead of the 20 that I could've gotten, because I was hoping for more.

What I am thinking of doing

I think it would be best if I buy 2 lots, move the s/l to break even as soon as they're both +10 pips, then close 1 lot as soon as I have +20 pips and keep the second lot open with stops still at break even. Now, if price goes back and hits stop loss on the second lot, I would still have my 20 pips, and if it doesn't go back, then I will keep gaining big profits. But now, I am basically risking 40 pips (2 lots 20 pips each) for at least 20 and maybe more. Is this way any good?

Please let me know if the new strategy I'm going to use sounds feasible. All suggestions would be highly appreciated.

Rockin' Tradin'
-Akash

[traderone]

Depending on your bank account, I would go 4 lots. You are banking a lot of pips as it is. I would do exactly as you are thinking except twice the lots.

Also, could you possibly give us a little recap on your system now? I think it may have been modified since the first couple of pages of the thread. It is interesting to me that you decide to ignore indicators(filters). Very bold, and you are making good pips. Thanks for sharing.

[pipsrus]

Originally Posted by Akash

Hi All,
Just trying to figure out a nice exit strategy. I'll tell you what I am doing right now and what I am thinking of doing from now on, and I would really like it if you guys would comment on it and suggest modifications and/or give your own exit strategies.

What I do right now

I really don't have a nice reason for my exits, I just exit when I think I have enough pips and/or when I think price starts to reverse. Every trade, I do look for at least 20 pips and if it is a bad trade then break even. I move my stops to break even as soon as I have 10 pips. Then I wait for it to go to 20 and set stops at +10 pips, and more often than not, I am only able to get 10 pips instead of the 20 that I could've gotten, because I was hoping for more.

What I am thinking of doing

I think it would be best if I buy 2 lots, move the s/l to break even as soon as they're both +10 pips, then close 1 lot as soon as I have +20 pips and keep the second lot open with stops still at break even. Now, if price goes back and hits stop loss on the second lot, I would still have my 20 pips, and if it doesn't go back, then I will keep gaining big profits. But now, I am basically risking 40 pips (2 lots 20 pips each) for at least 20 and maybe more. Is this way any good?

Please let me know if the new strategy I'm going to use sounds feasible. All suggestions would be highly appreciated.

Rockin' Tradin'
-Akash

Hi Akash: When you get a chance could you please post a recent traded chart?
Also, I noticed that youhave been usinh Kijun-Sen while 'perching' has been using Tenkan-Sen. Is it also possible if you could also inculde the Tenhan-Sen indicator along with the the Kijun-Sen? Thanks for sharing your strategy. I am trying to follow-it and try to adapt to it. Thanks again.

[Manzar]

Originally Posted by perching

Hi Akash,

I only use one part of the Accelorator Osc, Ac hgm, neither the ACGreen or red AChgm. You should be able to setup the style of the line when you configure the osc.

Trades do come along one after another, you need to look at different time frames as well to see the established trend pattern. I look at a 15m, 30m, 1h,& 2h charts. I try to take 20 pips when I place a position on.

I changed the colors of the Stochastic Slow K so it would be easier to see.

Ed

Hi perching. This strategy works only with USD/YP or i can use it on other pair as well.

[Akash]

Hi,
Well here are the numbers again. This week didn't have big trending markets and I was also just sticking to my 20 pip profit limit. This week- although not very big on profits was quiet a safe trading week, because the markets were ranging widely.

Results for September 5, 2005 to September 9, 2005

GBP/USD

September 5, 2005
Profit: 30 Pips at 15.00 GMT

September 6, 2005
Profit: 25 Pips at 10.30 GMT

September 7, 2005
Profit: 40 Pips at 7.30 GMT

September 8, 2005
NO TRADES

September 9, 2005
Profit: 20 Pips at 10.00 GMT

Week’s Total Pips: 115


EUR/USD

September 5, 2005
Profit: 20 Pips at 07.30 GMT

September 6, 2005
Profit: 20 Pips at 13.00 GMT

September 7, 2005
Break Even at 04.30 GMT (Nice move missed)

September 8, 2005
Profit: 20 Pips at 07.30 GMT
Profit: 20 Pips at 13.30 GMT

September 9, 2005
Profit: 20 Pips at 10.30 GMT

Week’s Total Pips: 100

USD/CHF

September 5, 2005
Profit: 20 Pips at 07.00 GMT

September 6, 2005
Loss: 20 Pips at 06.30 GMT
Profit: 30 Pips at 13.00 GMT

September 7, 2005
Break Even at 04.30 GMT

September 8, 2005
Profit: 20 Pips at 07.00 GMT
Profit: 20 Pips at 13.30 GMT

September 9, 2005
Profit: 20 Pips at 10.00 GMT
Profit: 20 Pips at 15.30 GMT

Week’s Total Pips: 110


USD/JPY

September 5, 2005
Profit: 20 Pips at 15.30 GMT

September 6, 2005
Break Even at 13.30 GMT

September 7, 2005
Break Even at 08.00 GMT

September 8, 2005
Loss 20 Pips at 13.30 GMT

September 9, 2005
Break Even at 05.30 GMT

Week’s Total Pips: 0

TOTAL PROFIT

September 5, 2005
Profit: 90 pips

September 6, 2005
Profit: 55 Pips

September 7, 2005
Profit: 40 Pips

September 8, 2005
Profit: 60 Pips

September 9, 2005
Profit: 80 Pips

Week’s Profit: 325 Pips


Rockin' Tradin'
-Akash

[Akash]

After analysing the past 3 weeks, I've come to realise that USD/JPY can't be traded efficiently with this method. Maybe if I experiment more with the Kijun Sen and the Kijun Shift values, I might come up with better results. If anyone finds values that are better suited, please do let everybody in here know.
Rockin' Tradin'
-Akash

[Akash]

Originally Posted by pipsrus

Hi Akash: When you get a chance could you please post a recent traded chart?
Also, I noticed that youhave been usinh Kijun-Sen while 'perching' has been using Tenkan-Sen. Is it also possible if you could also inculde the Tenhan-Sen indicator along with the the Kijun-Sen? Thanks for sharing your strategy. I am trying to follow-it and try to adapt to it. Thanks again.

Hello Pipsrus,
I did try to use the Tenkan-Sen side by side the KS, but I realised that when the TS crossed the KS line, more often than not, the trend would have ended. Perching is using a different way, in which he uses the TS line as one of the factors that confirms what the accelorator oscillator and the stochastics are saying. I personally feel that the TS line is always way too close to price to identify safe trends, but yes if you use it like Perching does, then it works to confirm when the other indicators have identified a trend. As for the KS line, it along with the MA identifies the trend. Basically, the KS line is usually so far from the price, we can suppose that there is already a filter included in it. I mean, you use a filter, just to make sure that the trend is for real and not a spike...right??? Here, only the big spikes cross the KS line, while most of the small ones don't. Also, to confirm that the cross is not a spike, we have a look at the direction of the MA.

I will give a description of my system here again, tomorrow, along with a chart, beause just as Traderone said, the system has changed a bit from the time I did my first post.

Rockin' Tradin'
-Akash