EUR/USD 15M EMA CROSS

[lopezoscari]

Indicators 5, 20 EMA Close
Envelopes 20 EMA Close .1% deviation
RSI Chart Bars Period 14 Overbough 55 Oversold 45
MA crossover alert 10, 20 EMA At open
Start trading at 3 am ast Europe open

This is a very simple method that is giving me very good results.
1. M0ney Managemet
Goal for the week 6% account increase 3% Risk in 100 pips
Example Balance $500*.03/100=.15 micro lot (IBFX accepts that)
Total pips to achieve goal 200 week = 40 per day
Risk Take profit 40 pips stop loss 20 pips. Using this method if you put 20 trades you only need to win 7 trades to be 20 pips in profit.
The concept is very simple what is important is having a specific goal for the week, do not over trade and again stick to your goal.
I simply waits for the cross over in the 15M chart and waits for the bar to close, the close RSi needs to be over 55 or under 45. Also I trade the retracement when the bar touches the 20 EMA Line or in the .10 % envelope area. I usually make the 40 pips goal for the day in the first hours of trading. I has learned that the important thing in forex is always make the same ammount of pips and week by week when your account grew larger the size of the lot is going to be greater also. You need to understad that probably making $30 in a week is not much, this is while you gain confidence. But if you have 5000 and make 6% that is $300. Its only a matter of time. Also be aware at what time the economics reports are out. IS good to time your trades. If you want to see an example charts or need some indicator just ask. lopezoscari@gmail.com

 

[Enivid]

Thanks for sharing! How long have you been using this strategy?

 

[lopezoscari]

I has been using it for ten months more or less

I has been using it for ten months more or less. My story is no different from anybody. I start with $800 account that reach $100. Right know my account is building up again, slowly again but steady going up. Goals and stop losses are the key. Never stalk the market waits for the perfect entry opportunity. Dicipline. This are my trades for today. 10/20/2011

 

[Enivid]

10 months is quite a long term for testing one strategy . You look to be disciplined enough for Forex! What do you think about switching from the conventional moving averages to 3rd generation MAs, which result in less time lag?

 

[lopezoscari]

NO never tried them.

 

[lopezoscari]

Positive week

Trade 1 AT Europe open. Market is already down trend 40 pips and I am done for the day. Stick to my goal of 40 pips a day. Pips this week 225. Account increase +/- 6.3% There are other good opportunities during the day but I do not over trade. I don't care if the market moves 10000 pips I stick to my goal.

 

[Enivid]

NO never tried them.

I recommend trying. They will probably improve your results if you are already using MAs.

 

[lopezoscari]

Thanks for the advice I am going to do some research on them

 

[Benson]

I usually post my daily outcome of my trading day on other blogs. Im new to this one and decided to post on this one as well .... Have a good weekend everyone..

 

[Pipsrus]

More then 2 months data on MA system which i use.

Hello everyone.. I will be using the 3rd gen MA this week. I also use MA for my entry point Yet I base it on Higher Margin (1000:1) while using 33% of my entire account value to open one position. If you look at the MA crosses you will see that they very very very well. A stop loss of 30 is amazing. Which is why I use High Margin. Here are the stats using the MA which I use.
--------------------------------------------------

**Crossed over MA: 64
-Moved more then 30 points: 50/64
-Short lived less then 15 points:14/64
**Crossed over Failed: 9
-Fake cross over and push in opposite direction 3/9
-Fake cross over and push in original direction 6/9

76% of the times
when it crosses you get 30 points or more
Your chances of taking a position and being in red for more then 30 mins is 14% of the times
In which your account will get cleaned out on 1000:1 margin even if your stop loss is 30 points 4% of the time

I know my margin is high... I just place my trades on the odds that a trend will happen again...

 

[lopezoscari]

The flowing charts shows:
1. My method, envelopes 20 .1 dev and 5,20 EMA cross
2. The blue lines are 3rd gen MA using the indicator provided in the technical trading page. Parameters 5,1,6,2 and 20,1,6,2
3. The red indicator are 3rdGenMA provided in this page with the parameters 5,5,1,6 and 20,20,1,6

What is the difference between the parameters? Did I have any parameter wrong?

 

[Pipsrus]

Maybe its me. Yet I think to many indicators is a distraction. I just use my MA crossing with the price and then I take my position. Yet what ever works for you.

 

[Enivid]

That version is flawed. Please use the newer 3gMA indicator attached here:

 

[lopezoscari]

Trades for monday

Here are my trades for Monday net 80 pips 3 trades, 2 win 1 break even

 

[Pipsrus]

Here are my trades for Monday net 80 pips 3 trades, 2 win 1 break even

I never understood how a person can take a chart. Then say I made a profit of 80 points with 2 wins and 1 break even without showing any transaction history. Anyone can draw lines on a chart and say this is where i got in,, and here is where i got out/

 

[Enivid]

I never understood how a person can take a chart. Then say I made a profit of 80 points with 2 wins and 1 break even without showing any transaction history. Anyone can draw lines on a chart and say this is where i got in,, and here is where i got out/

Anyone can draw any transaction history. If the person is sharing his trades in form of chart without trying to push some paid system/EA/indicator, there's no point in disbelieving them.

 

[Pipsrus]

Well to each his own then.

I guess my point is drawing lines on a chart DOESN'T reveal that you actually placed those trades. Or that you even know how the system works. I would never follow a system, or anyone for that matter based on lines that cross on a chart. Either show me on a video, or allow me to test settings to see if they work. Yet I see it is promoted to make people THINK that you are a TRADER when you truly aren't.

 

[Enivid]

It's a strange logic. Adding lines to the HTML report file is even easier than drawing lines on the chart. He definitely knows how the system works, as the system set-up was explained here, and it's seen in the chart. You can't say for sure that someone isn't a trader just because you can't see his account statement.

 

[lopezoscari]

Trades for tuesday

1. Long at cross, price pull back to SL -20 Pips
2. Re entry long near the lower envelope, reach 30 pips, SL to braek even, result: market move to TP +40 pips
3. Entry at retracement at 20 EMA, Result: SL reached -20 pips
4. Entry short, SL reached when a news about the tomorrow meeting, -20 pips
If this SL not been there and the market goes long that would be a very great loss.
5. I has learned that when a market usually spikes in on direction in an economic news most of the time it retraces, to go in the direction of the spike again. But at this time of the day economic news in the us put the market in a spike down. I wait for a retracement between the lower envelope and 20 Ema and enter short. When 30 pips reached (green box) SL to break even. Result, market move down but retraces to break even.
6. Re entry at retracement near the upper envelope, markets move down to 30 pips, SL to break even, eventually market reaches TP point. Net for the day 20 pips. 2 Wins, 3 Losses 1 Break even

In another note. Here I do not want to sell anything. I only wants to share for free the thing that I has received free, Knowledge. I also do not see the point to show the trade log, is easy to draw and understand symbols in a chart. There are hundreds of good forex strategies and the thing that I want to share is that my path to success is the importance of money management and risk management. Today my strategy has more losses than wins but I manage to make a profit, a little profit but a profit. Thanks to money management and risk. Having SL is critical. Second using a W/L ratio of 2 to 1
in very trade guaranteed that for every 100 hundreds trades you only need to win 33 to break even. This is putting the market in your side. No matter what strategies you use the important thing for me is money and risk management. A profitable strategy could become a disaster because of money management.