London Forex Open Breakout Forex System - Journal

Discussion in 'Trading Systems and Strategies' started by joshhart, Aug 17, 2011.

  1. joshhart

    joshhart Trader

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    Hi I'm fairly new on these boards but have been trading the above system for a few months. What I like about the system is that it only takes a few minutes to complete each morning (which suits my nature!) and has been pretty OK in terms of results.

    I'd like to start keeping a journal of my trades on here -

    1) To help discipline my trading
    2) To force myself to start looking at trading a greater range of pairs with the system
    3) To open up a discussion for any other traders of the system and hopefully gain some feedback to improve my results! :D
     
  2. joshhart

    joshhart Trader

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    Well a very quiet week this week... no trades! Not surprised really given the volatility this week. A couple of trades that would have triggered later in the day but not in the spirit of the morning breakout that the system looks for.

    Onwards and upwards and have a great weekend!
     
  3. joshhart

    joshhart Trader

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    SHORT signalled on GBPUSD this morning. Orders have been entered but so far not looking like we are going to get an entry before 10am (BST)
     
  4. joshhart

    joshhart Trader

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    SHORT signalled on GBPUSD this morning. Orders triggered at 1.6473...
     
  5. joshhart

    joshhart Trader

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    Out for -120 this morning. Ouch!

    Still leaves my up +90 pips for the month so far but could have done without that this morning!
     
  6. xSPACECOWBOYx

    xSPACECOWBOYx Master Trader

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    Hi joshhart
    Sorry about the loss, but you really do need to adjust your s/l. Playing the London breakout strategy is all good and plays well with many pairs. Although i would recommend looking to gain no more than say 20 pips and keeping my stops just above previous highs shorting,and just below previous lows buying. This whole set up on the GBP/USD for a breakout was wrong (sorry to say). I just think you need to adjust your time frame and look at the bigger picture, also i would highly recommend staying away from the GBP/USD until you get more confident in your method. Most of my trades focus around price action and breakouts but the conditions still have to be right. Heres a bit of a briefing on the GBP/USD
    : After the euro, this is the most popular currency pair to trade. It's volatile intraday and long term. Spreads and liquidity are far below EUR/USD and USD/JPY, even in the best of times. The London session is best for trading GBP/USD. During the Asia time zone, GBP/USD is hard to trade in large sizes because liquidity is less and its spreads are inconsistent. GBP/USD is the single biggest reason people who lose money trading currencies lose. Range trading strategies are not recommended, neither is scalping. GBP, just like GBP/JPY, is a great breakout and momentum currency. Market makers usually do a better job in GBP/USD during the Asia time zone as they understand that GBP/USD trading is where the majority of people lose money so they are willing to offer fixed spreads or tighter spreads during the Asia time zone. However, when this currency pair does move, usually during London session, it is heavily re-quoted by market makers thus offsetting their initial advantage of fixed or tight spread during the Asia session.

    Good luck with your trading joshhart all the best …xspacecowboyx
     
  7. joshhart

    joshhart Trader

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    Hi Spacecowboy

    Thanks for the input. I was away from the Bank Holiday but hadn't intended to trade on Monday. This week has been quiet so far but with no trend yesterday.

    I had a signal for a false breakout this morning which I've taken and am currently carrying out some testing on this part of the strategy as it seems the most promising.

    Using the default settings the strategy delivers a pretty respectable average return of 3-4% per month over the last few years. It does seem to get a lot of 'breakeven' trades however - At first glance I think this can be improved upon as the default profit targets seem very high.

    Even an average 3-4% per month though is still a pretty good return though for the maximum five minutes it takes a day.

    Hopefully though I can grind some more out of this with some tweaks. :)
     
  8. joshhart

    joshhart Trader

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    A quick update going into the weekend.

    Out for breakeven on the false breakout strategy mentioned in the previous post on Wednesday.

    A better start to September with +120 pips Thursday and +60 pips today on the Conservative strategy. That'll pay for my weekend! ;-)

    I'm going to see if I get some time to work on the false breakout (advanced strategy) this weekend to see if I can get some optimised settings from backtesting.

    Have a great weekend all!
     
  9. joshhart

    joshhart Trader

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    Good morning all and a new week!

    Trade this morning - Short on GPBUSD - Entry 1.6153.

    Order one closed for +20, order closed for +40. Free run from breakeven for order 3. :)
     
  10. joshhart

    joshhart Trader

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    Orders closed out. +120 pips on Conservative strategy. Also +100 pips using aggressive strategy (though I'm not trading this particular version of the strategy). That's me done for the day!
     
  11. joshhart

    joshhart Trader

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    Long this morning - out already - +120 pips on Conservative +100 Aggressive! Could see why these closed so quickly for profit but looks like the Swiss bank comments rocked the market... many thanks!
     
  12. Enivid

    Enivid Administrator Staff Member

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    Why don't you describe your entry and exit rules here?
     
  13. joshhart

    joshhart Trader

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    Closed out for +75 pips yesterday.

    Today a false breakout trade for +125.

    Hi Enivid. This is not my system but I simply following the London Forex system I bought. Link here to the system if is ok to post - http://www.londonforexopen.com

    I'm also trialling it on the EURUSD and EURGBP pairs but haven't yet had time to sit down and work out properly how it performs on these pairs... something I might try at the weekend if I get time off from doing jobs around the house!
     
  14. joshhart

    joshhart Trader

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    Hi all. I've been pretty busy this week so haven't had time to post.

    Here's the GBPUSD trades I got his week -

    Mon - No Trade
    Tue- No Trade
    Wed - Short / stops hit (basic strategy) -120pips
    Thu - Long / stop hit (false breakout ) -45
    Fri - Short / target 1 hit +20, orders 2+3 still open from break even

    So a couple of losses this week after the great start to the month.

    Current balance for September +590 pips.
     
  15. joshhart

    joshhart Trader

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    A quick update as I've been out of town. Still trading the system.

    System signalled short again this morning for +60 pips.

    Running total on GBPUSD so far this month is +645 pips. :)
     
  16. Easy Trader

    Easy Trader Master Trader

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    Im interested!,could you post some charts and rules.
     
  17. joshhart

    joshhart Trader

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    Hi all. A summary of September.

    Total pips earned across all strategies of the system was 705 pips according to the official results. I only trade the Conservative and False breakout strategies on my own account which brought me in around 500 pips (525 logged on site) - so it seems to me that the results posted on the site continue to be pretty accurate.

    There was no trade yesterday on the GBPUSD but put an order in this morning to go short as signalled. This has been triggered and the first two profit targets have been reached booking 60 pips profit with the last order now running from break even.

    Basically the system trades the trend set prior to the Asian range at the London Open. You just set up your orders if you get a signal and all orders that are not triggered are pulled by 10 BST.

    The system uses a MetaTrader indicator to signal the trades but I have now started placing the actual orders in a spreadbetting account as this allows me to use trailing stops quite easily. So once I have set up the orders I can just walk away and leave the system. Takes only a couple of minutes each day.

    I might get a wrap on the knuckles if I post the rules of the system here but you can find out more on their site http://www.londonforexopen.com
     
  18. joshhart

    joshhart Trader

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    Results for yesterday - trade triggered. 120 pips booked on Conservative approach - Aggressive would have been out for breakeven.
     
  19. Enivid

    Enivid Administrator Staff Member

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    I don't quite understand the point of sharing the pips amount with us without giving any entry/exit details of your trades...
     
  20. Easy Trader

    Easy Trader Master Trader

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    #'s of pips are irrelivent, 1pip per day could equal 100pips per day. Profits/losses are in %return@%risk.;)
     

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