Outside The Box????

[thestellaman]

*note - sorry forgot to add that i only trade this set up on the gbp/usd,i have never tested it on any other currency*



hiya guys and girls,
firstly can i say nice to be here on forex fisherman and to share my system/method with you,please dont hesitate to be constructive and ask questions,i have now been trading on a live account for almost 9 months and showing profit so i cant complain.the following system/method was born due to the fact that i was still working when i started trading and needed something that was as they call it a "set and forget" well this as close as i could get and has been profitable for me for the past 6 months,i have a couple of different rules that i apply to this system/method,that i will share with you the later on,this set of rules is really simple(as we like)i have posted PICTS BELOW to show how to change the fibonacci retracment levels to give you your ENTRY and STOP LOSS levels,the nice kindly SCORPION is creating an indicator for me (thanks scorpion) to plot the monday levels,which will save a lot of time.anyway on to the rules........



*HERE IS THE STEPS TO TAKE TO CHANGE FIBONACCI LEVELS*

[thestellaman]

Ok to the rules........this system/method is purley mechanical,as i did get a "bit" emotional(to say the least)when i first started trading,it is based on a weekly trading system/method, i know there are a few about....BUT this is mine .........anyway,i have posted a video to show you how to make your ENTRY and STOP LOSS levels via your "fibonacci retracment" tool (if you have any problems or dont understand the video,just ask)the next step is to take the HIGH and LOW from monday and use those levels as our base for our breakout levels(our fibonacci levels giving our true entry levels when applied) thats basically it we buy/sell with a break of our fibo levels.........................BUT......yes theres always a but........

[thestellaman]

ok by now you should have set up your HIGH and LOW levels from monday and applied your altered FIBONACCI RETRACEMENT levels to give you your ENTRY and STOP LOSS LEVELS....GOOD...now for the rest of the rules,

ok..........how many times have you set a stop loss level only for a huge spike to take you out of a trade and then retrace to where you "knew" it was going to go(cough cough),but seriously we have all been stung by a spike or two,so just for a change why dont we use those dam spikes in OUR favour for a change,yes lets use them to our advantage........so here is what we do on this system/method.........

ENTRY RULES..........we have our entry level set with our fibonacci retracment,but rather than enter when price first crosses ,we wait until we have a close above/below on a 30 minute chart,now this may take us anything from 5 pips to 50 pips above/below our fibonacci level,but in the long run it is more profitable to maybe lose 30 pips on the entry to the trade rather than lose 30 pips on a spike entering us in a trade then retracing and hiting our stop loss(SO ENTRY RULES..WAIT FOR CLOSE OF CANDLE ON 30 MIN CHART THAT IS ABOVE/BELOW OUR FIBO LEVEL)

STOP LOSS LEVELS............AS ABOVE we wait for a close ABOVE/BELOW our stop loss level,again it seems better in the long run to lose a few more pips rather than getting stopped out by a "stop loss hunting spike"

EXIT.......ah the all important "exit" we can all get into a trade but when the hell do we get out.................well for this system/method.......thats easy..........close of trade on a friday.................see i told you it was easy

[thestellaman]

OK lets have a re-cap of the rules.............

you have seen how to change the "fibonacci retracement" to use as our ENTRY and STOP LOSS LEVELS

1- set out our HIGH and LOW of monday to use as our breakout base

2-set our modified fibonacci levels on our monday HIGH and LOW

3-for ENTRY wait till we have close of candle ABOVE/BELOW our levels

4-STOP LOSS wait till we have close of candle ABOVE/BELOW our levels

5-EXIT-close of trading on friday night

*i have posted picts of example trades in this and above posts*

[Cartoon]

I have try the similar strategy in oanda, but it not working well, b'cause the spread of oanda will change suddenly... T_T. So guys, which broker you recommand?

[thestellaman]

I have try the similar strategy in oanda, but it not working well, b'cause the spread of oanda will change suddenly... T_T. So guys, which broker you recommand?Today 02:57 AM

hi Cartoon,with this being a weekly strategy/method i dont see how your spread could be that adverse(bad) that it makes a trade like this unprofitable,being that the usual spread is between 3 - 5 pips(unless during volatile news breaks when spread widens)i dont see how it could affect your trade over the period of a week,i have an account with interbank fx and have had no problems with them,like most brokers now there spread does go nuts before and during news breaks,but the nice think about this system/method is i dont worry about the news,if it kicks me out then fine but if its going in the right direction even better.

*this weeks (15/01 - 19/01) trade set up so far*

[Cartoon]

Like This??

[thestellaman]

Like This??

any chance you could explain a bit more cartoon?

[Cartoon]

Am I correct? the picture above show that now is time to buy?

[trevman]

Originally Posted by Cartoon

Am I correct? the picture above show that now is time to buy?

wrong chart he said GBP/USD yours is euro

thestellaman, could you post your results from your demo account? thanks. you may also want to try adding these values onto your fib retracement

0.236 - stop
-0.236 - enter
0.767 - stop
1.24 - enter

i find these match up with the other two lines, thus 4 levels 1 line