Forex Is As Easy As 123

[flexie]

nice idea Peseus. Shall add it to the conditions... Thanks.

[bossxero]

Thanks for the share Perseus, quite logical your system. is very similar to the daily scalping system described on FF. Regards

[todd]

Hi flexie, I have a brain but am reasonably new to forex.

I have Qs.

1.At the close of the 00:00 bar, determine direction by close - open. Place 3 trades, with 10, 20 & 30 TP points, stop loss of 50.

'determine direction by close-open'... What does this mean? Do you determine direction from the 'close' OR 'open'? Is it close at 2300-0000 candle??/

2) When price closes out the first trade, pull the stop in to entry -8. This way, a reversal will result in at least 2 pips profit. I call this my beer stop ... cause you always gotta have 2 beers.

If you do as you explained in No2, then does'nt that still equate to a loss. 2*-8=-16 and 1*10=+10 isn't this still -6 loss... Entry-4 would equal 2 pip profit not -8.

Best case, 60 pips. Worst case 50*3 loss. Most likely, 10 + 20 +2. For the people who can't get their head around a 3:1 profit to loss ratio, better try another thread. For the rest of us who care about the bottom line and hit rates, give this system a try on the GBPUSD, you'll be happy you did.

OK, Best case, +60. Worst case 50*3 = 150 loss. Most likely 10+20+2= +32.
If I do have this correct then that means that this must be successful 5 times out of 6. 5*32=160 1*150 = 150. So it is a 10 pip profit.

I realise because I am new at forex that I may have interpreted this thread incorrectly, if so please set me straight! I want a reliable system!!!!!

Thanks.

[paradoxical]

Originally Posted by PERSEUS

High guys.... how you all doin?

I WILL GIVE YOU ANOTHER HINT! determine the pivot point for the accuracy of this technique.. How? if the 00H GMT 1 hr bar closes low and the opening of the day is below the pivot point it means that down trend is confirmed...

Don't be so stupid in making comments with this thread because this is how the BIG BANKS which is the market movers trade... HAVE YOU WONDER WHY BANKS BUY IF YOU SELL AND THEY SELL IF YOU BUY? AND YET THEY EARN BILLIONS OF DOLLARS DAILY.... TRADE LIKE A BANK NOT LIKE AN ORDINARY TRADER...


BEST REGARDS!

PERSEUS

Your initial post didn't mention anything about pivot points. Nor did it mention anything about stops that some other poster is recommending. It's pure suicide to not use a stop with the hope that is it goes the opposite way by, say, a hundred pips, it may turn around so you can catch your 10 pips. Now, someone is adding rules to the "easy 1-2-3" method. The addition of new rules makes it no longer easy, and only serves to prove that this is not an easy system. You want to put in stops? Fine. You want to trade based on pivots? that's fine, too. All I'm saying is the system as originally posted will not work. If it does, then post an actual trading record based on the initial post. Blank out your personal information, and post it.

[flexie]

Hi Todd, my apologies if I offended you. So many traders are so fixed on a specific concept that they bash a good new idea because it doesn't fit their existing parameters. To answer your questions ... Perseus, correct me if I make mistakes here.

If the opening hour bar closes higher than it opens, then it is a LONG trade. If it closes lower than it opens, then it is a SHORT trade. I did see one day where IBFX indicated one direction and MultiBank indicated another, but that is a risk we take.

As far as my trade management goes, my feeling is a bird in the hand is better .... you know the rest. Therefore, once I've booked ten, I pull in the stop loss on the remaining two positions so the most I can lose is 8, resulting in a net +2 pips. You are right then, each stop would be entry - 4 pips ... 4 + 4 = 8 possible to lose. But hey, if something else works for you, go for it. If time & results prove that this stop loss movement, can be improved or dropped all together, then I will do that.

You see, I actually don't like using stop losses to manage my trades. I use a hidden SL, ie. I handle it (discretionary), so I don't get spiked out.

As far as the 50 pip stop loss, I only use the initial stop loss as an emergency SL ... eg. if I lose internet connection, pc crashes, etc.. I never rely on that value to take out a trade which is obviously going the wrong way.

The results for last week were 60,60,60,32,0. The 0 being Friday, which I don't trade. I'm only trading this on the GBPUSD, it makes enough for me.

I like Perseus ....

Mark

[flexie]

Originally Posted by paradoxical

Your initial post didn't mention anything about pivot points. Nor did it mention anything about stops that some other poster is recommending. It's pure suicide to not use a stop with the hope that is it goes the opposite way by, say, a hundred pips, it may turn around so you can catch your 10 pips. Now, someone is adding rules to the "easy 1-2-3" method. The addition of new rules makes it no longer easy, and only serves to prove that this is not an easy system. You want to put in stops? Fine. You want to trade based on pivots? that's fine, too. All I'm saying is the system as originally posted will not work. If it does, then post an actual trading record based on the initial post. Blank out your personal information, and post it.

dude, relax ... take a chill pill. This is one of the simplist systems I've ever seen, but hey, if you've traded simpler systems successfully, maybe you'd be so kind to share?

And if a few modifications can make it more profitable as testing goes on, isn't that a good thing .... especially when Perseus is sharing this for free?
sheesh.

[todd]

Hi Flexie,

No offence taken! So you base your trade on the 0000-0100 candle (GMT). If it closes higher go long, closes lower go short... Im sure the original post said the entire trade was based on the 2300-0000 candle... Ill give your way a shot.

Thanks for the constructive words!

[PERSEUS]

hello once again....

Can't you get people? I am posting this thread not to make a spoon feeding with you but to mold you to become an expert FOREX TRADER.... Always look at the bright side, use what you think is necessary to maximize profit... Guys I am just giving you an idea that would lead you to a better yet simplest strategy.... I am giving you the key but you are throwing it away.... use the candle 2400H-0001H GMT.... use trailing stop or whatever suits you.... JUST AVOID GREEDINESS.... This thread is to open your mind to the actual world of FOREX.... My first post' actually needs some development and that is what I am tasking you... THINK THINK THINK... I KNOW YOU CAN DO IT... I BELIEVE THAT MEMBERS OF THIS COMMUNITY ARE HIGHLY MOTIVATED AND INTELLIGENT....


Best Regards Gentlemen....

[todd]

Hi all,

This is how I interpret the system. All the info below is from posts from Perseus and Flexie. Ive just tried to simplify...

1. If the candle 2400-0100 closes higher than it opened go long. If it closes lower than it opened go short.

2. Enter 3 trades. 1 with 10 pips TP, 1 with 20 pips TP and 1 with 30 pips TP.

When first target is reached move stop .loss to entry -4 to guarantee some profit. After that trail your SL however you see fit.

As far as initial SL, well that area is a little vague. I think that is up to the individual trader. I personally am going to trial with an initial 20 pip SL and will keep you updated. I picked 20 so that the maximum I can lose is 60 pips in a day which also happens to be the max pips providing I stick to the TP's.

Also, remember to wary of News announcements. They will affect the system...

Thats it!

[PERSEUS]

My Fellow traders and members of this community.... I have posted a new thread much simpler than this.... PROFIT EVERYDAY...

TITLE: FOREX IS EASIER THAN 1-2-3 OR A-B-C (the simplest)