10.4 A Complete System

[benloe]

Glad it's not just me that's had a crappy week, typical august

I decided a long time ago I would try to be honest about my trading. To let traders know the ups and downs of this business. March, April, May, I was having the best trading months of my career. Did some things I had never done before. Averaging around 50% increase a month. Then June July August came around and it has been up and down. The key though is during these rough trading times is you dont lose your shirt and you keep your account intact. Hopefully this fall things will pick up and I can continue to increase my account and have a real solid year. That is what trading is really like. I am happy that for 2 weeks I was increasing my account over 1% a day but not this week. Really cool, it goes like this. HEY GUYS I am really doing great with this. So I post and crappola. Well not totally I am up 3% for the week and have almost 1/2% up now which I will close soon. So that is trading in reality.

I hate the guys who run threads and wont reveal their losses, bad days, bad weeks, bad months. To think you can go through a trading cycle and not have losses is absurd. Yet some of these guys make you believe that is the way they always trade.

I just want to know if anyone has been able to make a living out of this system. (or any system)
It has changed soo many times.
That is Good and it is Bad.
Just like forex.
I think I am giving up after many many years.
I hope you Guys make it!
B

I hate to pick on you but obviously you do not under stand the basics of the system. What has changed?

buy above/ below 240 line?? NO

Enter crossing DP or WP lines back into the trend?? NO

RSI pinned/STO 5 pinned with CSS reads versus STO 7 crossing back into the trend?? A better change and a much quicker less interpretive read. The difference is the STO 7 gives a warning when it unpins giving you a very specific point to enter or look for a trade. That is an improvement. You are no longer dependent on CSS reads, with RSI2 reads and then trying to find the best entrance. It tells you this is a good place to set your pending trades. You have a very good chance of success.

The CSS info page?? HAS that changed? NO it is still the same page.

When to take profit?? You can take profit as WS1 or WR1 or you can use xxx.00 lines. Now which make reading the charts universal to all users? Those blue xxx.00 lines. WS1 and WS2 are no longer broker dependent on the math based on GMT 0 +1 +2 or +3. You can now set your TP SL and entrances to the blue lines and everyone can use those same lines and they are the same on all brokers. That is an improvement.

SO what has changed ???? Explain that to me please. The basics of the system remain the same throughout. Buy above 240, sell below. Buy the dips in the UT, sell the rallies in the DT. It is what every trader tries to do and be a success at.

I just want to know if anyone has been able to make a living out of this system. (or any system)
It has changed soo many times.

"Edit"
I just want to know if anyone has been able to make a living out of this system. (or any system)
It has changed soo many times.

What I meant is the Indicators have changed so very much.
I saw the reply that you gave me and you were right,
on your reply to me.
But my main question was not answered.
I just want to know if anyone has been able to make a living out of this system. (or any system)

I am sorry that I made you unhappy with my post.

I think you are one of the best out there in FX land but.
Can you make a living using this?

Edit.

My question is still not answered. 9-11-13
Have you, Yes you, been able to make a Full Time living with FX?
And I'm not talking about the ripoffs Like SM and others.
I give Steve H. a great thanks to this website.
BUT Have You Made A Full Time Living?
You see you need to make a lot for your Medical insurance for they will take all your money in hospital bills when you get old.
There are other Caveats that I will not expand on.


Question still unanswered.

Have You Made A fricking Living using a passivise approach (Not like S.M.)
Using this or any other FX System?

Just asking.







That is Good and it is Bad.
Just like forex.
I think I am giving up after many many years.
I hope you Guys make it!
B

[garyfritz]

Can you make a living using this?

Bob consistently reports 1% or more, per day, with VERY few losing days.

1% per day is about 20% per month.

If you can't make a living with 20% per month, you're not likely to make a living with ANY trading approach.

But that assumes you trade it successfully like Bob does. That will take some practice. (I'm not there yet, mostly because life is making it difficult for me to practice consistently. But I'm working on it.)

[kwanann]

I know of MANY that made a living out of systems, be it Bob's system, Steve M, whatever

The IMPORTANT question to ask is, do you?

If yes, then what are the action steps to get there

I'm aiming for FX to be my retirement plan, keeps me from getting dementia at old age and keeps me on my toes. So i'm doing the neccessary to make sure this happens

[kwanann]

Bob consistently reports 1% or more, per day, with VERY few losing days.

1% per day is about 20% per month.

If you can't make a living with 20% per month, you're not likely to make a living with ANY trading approach.

20% a month, means i double my capital every 5 months. Sure MAYBE i can't earn a living with 1K starting capital. Give it 5 months, it becomes 2K, in a year, 4K.

Now stretch that over 5 years, give or take a losing year, you will have a nice nest of at least 30 to 40K at least, which means you can easily take back 6K a month, is that enough for you to live on?

[nanningbob]

The biggest frustration of Forex is winning comes in seasons and the rest you try to hang onto your winnings. I had a good March, April, May run but then the market changes. This is a key understanding for traders. June, July, and 1/2 August sucked. A system will work great for awhile and then goes nowhere and then works great and then goes nowhere. It is one of the hardest concepts for people who trade to grasp. I would love to report that 10.6 gives a consistent 1% gain everyday but that is unrealistic. The markets seem to be shifting directions with the AUD, NZD DT of the last 6 months maybe over. JPY made a big splash earlier in the year and then settled into a range area. GBP has had a nice run the last couple of weeks and every time the USD seems ready to bust out the economy hits another bump. Now we are in transition. Who will break out and who will drop and who will just sputter. Wish I knew.

Can you make an income off of FOREX. That has a lot to do with your starting balance. Guys who really make good money in this business also have 100K+ accounts. A 1% day would be a 1000 dollar day. If they make 5-10% a month they are happy. My goal is to do 10% a month average for over a 1 year period. To do that I need a couple really good months to over come the stinky months. So far I have not had a losing day with 10.6 but almost did yesterday. 32 cents profit is still profit. Too many guys are in this business thinking they are going to find if A+B+C= I will always make money. Well that simply is not true. Just in this forum we have guys that have spent years and years of their lives trying to find an EA that works 24/7. Sorry but it doesnt exist because the markets dont play the same game over and over again.

I have said this before and I will keep saying this. Indicators are trumped by major news. I dont care what your indies say if the USA gets a coalition of people or even by themselves and go and throw some bombs and missiles into SYRIA, no indie is going to tell you what happens next neither will any lines on a screen or any kind of candle pattern. They will become useless. Will Syria say, sorry we wont do that again. OR will they retaliate and .......... oh boy .......... give me an indicator that predicts that one and I will be a millionaire by December. Indicators will tell you what is happening once price starts jumping all over the place but they wont predict which way it will go.

There is a reason why brokers in the USA have to show how many of their traders are making money every month and that number stays between 20-30% with a lesser number actually making enough money to say they make money. There are no shortcuts to this business. You are going to lose money learning it. It is a grind it out campaign, day by day. It has taken me years and some sorrow to make it. I decided if I made money consistently in this business I would tell others how I am doing it. Maybe, just maybe I have saved some traders a lot of losing. Speeded up their learning curve. I never would have learned this without all the posts and articles I have read from people sharing. Steve is one of those people and I owe him a great deal of gratitude. His army of programmers and friends have sped up my learning curve.

Can you make money in Forex? Yes. Can you do it with one system, maybe if you are patiently willing to wait on the market to be the kind of market that system will work in. Since 10.0 series started I have been able to make money but it still is a grind it out affair. I place lots of trades, use small amount lot size, and most of them are profitable. Keep the losers from damaging my account and over the long haul that has worked for me.

I cant tell you how many times I have gotten to the point of throwing in the towel. Then I would get my next 300 bucks and try again. Finally it grew slowly but it grew.

[Wavegarrick]

Hi Guys I just want to share a bit of my trading journey,

I blew my first account, a $300 investment after a few months and re-invested and it took me another 3 months to blow another $300 account. The third time I got a bit more lucky and grew my account to a sizeable amount and allready had visions of an early retirement. The problem was that I became more greedy with my lot sizes and quickly saw my profits diminish until I had nothing left.
The fourth time I thought that it would be better to join an experienced signal provider. Heh what a mistake, it took the provider only a few weeks to blow my account.

This is where reality struck. I needed to take a few steps back and re-asses my situation. What about trying some learning I thought. I started googling across the internet and even joined twitter. Unfortunately I found hundreds of e-mails everyday with people trying to sell trading systems to me. Well something had to give and I eventually purchased a robot for a couple hundred dollars. The problem was that the robot kept on blowing my demo account - Lol. When I tried to contact support through many e-mails there was no answer. What a scam!!!!.

I started demo trading for a year whilst educating myself ongoing and after that took the step to opening a live account. 6 years later and I have been trading at a snail pace and slowly growing my account. There is no getting rich here - Lol.

Anyway through all my learning endeavours I came across Steve Hopwoods website 9 months ago and must say that I have been impressed by Bob's system. This week I have made $ 22 Dollars with Bob's system by trading small lot sizes relative to my account size. And I think Bob has emphasized this enough. As they say, trading is a neverending journey and I sure as heck do not plan on quiting.
Regards.

[Cyprustrader]

Well after about 4 years I do not have a blown account, however I have not made any money at it.
Bit of a wimp I suppose and not committing enough to putting hard cash on and sticking to something.
Been around the forums for a while, esp Steve's and Nanningbob's on FF and here. I have heard this before that any idiot can take a proven system and lose money, all down to psychology and rules.
So now I hope I can follow here and get a grip.
No expert but I believe within reason that news on the longer time frames does not completely nullify setups, yes it creates a lot of volatility and noise, so unless there is a large shift in fundamentals, then levels are often respected.
I like fibs a lot, entry at 50% and target 123%, stop 61.8%, look at EurGbp, picture perfect setup despite a lot of Gbp news recently, these occur very frequently on all time frames. Looking at ways to incorporate fibs with NB over time.
EurUsd is approaching a 50% on the daily TF at 1.3104 ish, we have Weekly S1 and Monthly S1 here too, lets see what NFP does.

EurGbp.png

[nanningbob]

I'm am trying desperately to make 10.6 profitable as I want to trade it exclusively and I am struggling having 3 out of 4 losers this morning and 2 out of 2 yesterday using your setup to the best of my ability.

HOW I TRADE

There are so many different philosophies of trading and so much information. There is no such thing as a correct philosophy but there are philosophies that fit you as a person. My philosophy is to put the odds in my favor by volume trading and trading small. Making sure no one two or more trades can hurt me.

For example this week I have executed 78 trades of which my scorecard shows 54 winners and 24 losers for a 69.23% win rate. That win rate is actually very low for me because when I am nailing it, it is closer to 75-80% But I can chalk that up to a reversing market. My win rate will drop during a reversing market. That makes sense because I have to take more losses than normal. But here is one stat I usually dont report and it is part of my trading philosophy. I have cancelled 35 pending trades. Now for 4 days that means I placed 113 trades. That means of all the pending trades I place 47.8% were winners, 21.2% were losers and 31% were no takers. That comes out to placing 28 trades a day. How can I do that???

First I trade very small lots. A trade would have to go over 300 pips in the hole to equal 1% of my account. Most currencies wont do that in one week especially if I stay on the side of the trend. So I minimize my losses so they cant hurt me. Yes I can get enough losers to lose money in a day, week, or month but they wont kill my account. So it becomes a numbers game for me. (think of a blackjack player who is allowed to count cards, he will almost always come out on top)

Here is how I play the odds. If price crosses the Weekly pivot what are my chances of making a profit. To see this study clean off all indies and just have the WP on the screen. How many price moves make some kind of profit every time it crosses a WP, no other indies. The answer is most of the time.

Second. How many times does price cross the DP and go into profit, at least 10 pips or more? Well clean off the screen and look at it with just a DP. How many touch and reverse compared to how many break through.

Now add the 240 line and only take buys above and sells below. What is your winning trades to losing trades ratio. I already know that answer because that is how I trade. I will consistently hit 75% sometimes go over 80% and sometimes be under 70%. You see for me win to loss ratio is far more important that TP to SL ratio. 5 trades that are winning rack up pips faster than 1 or 2 trades that are losing. Those are the odds. Now I have added the STO for a more specific entrance place to look for a trade. Even with that I still remain in that 75% win rate, but my DD has been less because of the better entrances.

My whole attitude to trading changed years ago when I rejected the notion of one trade in one trade out. The example above is 4 trades one day 2 trades another. You lose the odds of going into your favor by limiting the number of trades you take. I know why people trade like this they play bigger lots. Bigger lots mean bigger losses and when they happen especially a series of loss they can be very damaging to an account. It also causes discouragement.

I play little lots 4 cents to a thousand. That mean 12 cents on a 3000 account or 24 cents on a 6000 account or 48 cents on a 12K account. Lets a take a thousand dollar account and trade a nickel a trade. I want to keep the math simple. I average 25 pips for a winning trade and 30 pips for a losing trade this week. That would mean I would make about 1.25 for a winning trade. Big deal you say hmmmmm but I have had 54 this week for 67.50 or 6.75% of my account for 1 week. Then I subtract the losers. They average 30 pips x .05 equals 1.50 per losing trade or 36.00 or 3.6% of my account. Subtract that and it comes to 31.50 profit or 3.15% of my account for the week so far. Thursday sucked. A 3000 dollar account that would be 94.50 and a 10K account would be 315.00 and so forth.

What am I doing. If I play as many DP, WP and xxx.00 line crosses as I can in the direction of the trend I will have more winners than losers. WHY? I set a pending on of 3 things will happen. Price does not cross so I cancel the trade. Price crosses but doesnt go far, Ok bank some pips. Price takes the trade and reverses, it will happen. BUT most of the time it will cross and go somewhere and I will bank a profit. If I trade small enough I can take all of them and no losing trade can hurt me because I am banking pips faster than a loser can multiply. So I trade in with many trades. If you dont believe me trade one penny trades with a 1000 bucks and watch what happens. It will take 100,000 lost pips to lose your account so you dont have to worry. I actually would like to know if anyone could lose a 100K pips. Is that even possible.

So when I set a pending trade what are my odds. 47% were winners, 21% were loser and 31% never took. That is called putting the odds in your favor.

To the person who wrote the letter. You trade big lots and want to make big money, but if your trades were not right on you make nothing or lose. I am not under that kind of pressure to make every trade the just right trade. A couple days ago I wrote gbp/xxx I will look for trades there. Only one moved gbp/nzd and I got 80+ pips in the bank. I also said I would play NZD but they were all duds. I took some others and they hit. I played 20 pairs and 4 or 5 hit. If you didnt catch those 4 or 5 you got nothing or hit some losers. That is how I trade. If trades dont move in my direction I am not in. If they do I am a winner. Of the 3 groups of results, those that hit and reverse is the lowest percent of trades if you are running with the trend. Close those out and you have a winning day. That is how I trade.

On Wed. you reported you had 3 out of 4 losers. I bet I had the same 3 losers. But I had 12 winners and 6 losers that day and won around 200 pips. I trade small, win small, lose small but I keep my win/loss ratio up by playing the odds that crossing DP, WP lines in the direction of the trend. So that is my answer to how I constantly win a lot more often than I lose.

[cmeade2]

Bob

Thank so much for these comments.

One thing that seems to be missing is the general basis for 10.3 (which is part of the structure of 10.6 as I understand it). Specifically, going long when the price opens above the daily pivot and vice versa.

I did that last night and it was very profitable.

cmeade2

I'm am trying desperately to make 10.6 profitable as I want to trade it exclusively and I am struggling having 3 out of 4 losers this morning and 2 out of 2 yesterday using your setup to the best of my ability.

HOW I TRADE

There are so many different philosophies of trading and so much information. There is no such thing as a correct philosophy but there are philosophies that fit you as a person. My philosophy is to put the odds in my favor by volume trading and trading small. Making sure no one two or more trades can hurt me.

For example this week I have executed 78 trades of which my scorecard shows 54 winners and 24 losers for a 69.23% win rate. That win rate is actually very low for me because when I am nailing it, it is closer to 75-80% But I can chalk that up to a reversing market. My win rate will drop during a reversing market. That makes sense because I have to take more losses than normal. But here is one stat I usually dont report and it is part of my trading philosophy. I have cancelled 35 pending trades. Now for 4 days that means I placed 113 trades. That means of all the pending trades I place 47.8% were winners, 21.2% were losers and 31% were no takers. That comes out to placing 28 trades a day. How can I do that???

First I trade very small lots. A trade would have to go over 300 pips in the hole to equal 1% of my account. Most currencies wont do that in one week especially if I stay on the side of the trend. So I minimize my losses so they cant hurt me. Yes I can get enough losers to lose money in a day, week, or month but they wont kill my account. So it becomes a numbers game for me. (think of a blackjack player who is allowed to count cards, he will almost always come out on top)

Here is how I play the odds. If price crosses the Weekly pivot what are my chances of making a profit. To see this study clean off all indies and just have the WP on the screen. How many price moves make some kind of profit every time it crosses a WP, no other indies. The answer is most of the time.

Second. How many times does price cross the DP and go into profit, at least 10 pips or more? Well clean off the screen and look at it with just a DP. How many touch and reverse compared to how many break through.

Now add the 240 line and only take buys above and sells below. What is your winning trades to losing trades ratio. I already know that answer because that is how I trade. I will consistently hit 75% sometimes go over 80% and sometimes be under 70%. You see for me win to loss ratio is far more important that TP to SL ratio. 5 trades that are winning rack up pips faster than 1 or 2 trades that are losing. Those are the odds. Now I have added the STO for a more specific entrance place to look for a trade. Even with that I still remain in that 75% win rate, but my DD has been less because of the better entrances.

My whole attitude to trading changed years ago when I rejected the notion of one trade in one trade out. The example above is 4 trades one day 2 trades another. You lose the odds of going into your favor by limiting the number of trades you take. I know why people trade like this they play bigger lots. Bigger lots mean bigger losses and when they happen especially a series of loss they can be very damaging to an account. It also causes discouragement.

I play little lots 4 cents to a thousand. That mean 12 cents on a 3000 account or 24 cents on a 6000 account or 48 cents on a 12K account. Lets a take a thousand dollar account and trade a nickel a trade. I want to keep the math simple. I average 25 pips for a winning trade and 30 pips for a losing trade this week. That would mean I would make about 1.25 for a winning trade. Big deal you say hmmmmm but I have had 54 this week for 67.50 or 6.75% of my account for 1 week. Then I subtract the losers. They average 30 pips x .05 equals 1.50 per losing trade or 36.00 or 3.6% of my account. Subtract that and it comes to 31.50 profit or 3.15% of my account for the week so far. Thursday sucked. A 3000 dollar account that would be 94.50 and a 10K account would be 315.00 and so forth.

What am I doing. If I play as many DP, WP and xxx.00 line crosses as I can in the direction of the trend I will have more winners than losers. WHY? I set a pending on of 3 things will happen. Price does not cross so I cancel the trade. Price crosses but doesnt go far, Ok bank some pips. Price takes the trade and reverses, it will happen. BUT most of the time it will cross and go somewhere and I will bank a profit. If I trade small enough I can take all of them and no losing trade can hurt me because I am banking pips faster than a loser can multiply. So I trade in with many trades. If you dont believe me trade one penny trades with a 1000 bucks and watch what happens. It will take 100,000 lost pips to lose your account so you dont have to worry. I actually would like to know if anyone could lose a 100K pips. Is that even possible.

So when I set a pending trade what are my odds. 47% were winners, 21% were loser and 31% never took. That is called putting the odds in your favor.

To the person who wrote the letter. You trade big lots and want to make big money, but if your trades were not right on you make nothing or lose. I am not under that kind of pressure to make every trade the just right trade. A couple days ago I wrote gbp/xxx I will look for trades there. Only one moved gbp/nzd and I got 80+ pips in the bank. I also said I would play NZD but they were all duds. I took some others and they hit. I played 20 pairs and 4 or 5 hit. If you didnt catch those 4 or 5 you got nothing or hit some losers. That is how I trade. If trades dont move in my direction I am not in. If they do I am a winner. Of the 3 groups of results, those that hit and reverse is the lowest percent of trades if you are running with the trend. Close those out and you have a winning day. That is how I trade.

On Wed. you reported you had 3 out of 4 losers. I bet I had the same 3 losers. But I had 12 winners and 6 losers that day and won around 200 pips. I trade small, win small, lose small but I keep my win/loss ratio up by playing the odds that crossing DP, WP lines in the direction of the trend. So that is my answer to how I constantly win a lot more often than I lose.

[nanningbob]

YUP I remember that. Good reminder.