10.4 A Complete System

[Nidolap]

Here sharing ng dummies version. It takes from 10.5 the basic idea: Only buys above 240, only sells below. No stoch no weekly pivots, no 60 LWMA, nor round numbers. Just the daily pivot in combination with Heiken Ashi.

If your are selling enter when the first red candle close below the daily pivot. Keep the trade until the change of color. (Opossite for buys) Re-enter at any time a red candle close below the daily pivot.

I didn´t want to choose a tricky example taken from a strong trend (where you only have winning trades), but a ordinary medium trend with 240 cross, etc. Applying this simple system you should have 8 winners and only a small loss.

I have seen many systems using Heiken Ashi in combination with moving averages, but no one using the daily pivot. This is a powerful and simple combination. Maybe out of topic here, but I know Bob doesn´t mind (sometimes even encourages) new approaches.

Imagen 1.jpg

Interesting. Thanks for sharing.

[Bunker]

Hi Zentauro67,

Simple and clean. Great potential. I hope to see a thread on this.
Be careful not to be fooled by HA. It does remove the noise but it also hides the real candle behind (for instance, trade #4 is also a loss). Nevertheless this is a great simple strategy. I really like it.

Sorry Bob for my off topic post.

Cheers!

Bunks

[nanningbob]

Here is a dummies version. It takes from 10.5 the basic idea: Only buys above 240, only sells below. No stoch no weekly pivots, no 60 LWMA, nor round numbers. Just the daily pivot in combination with Heiken Ashi.

If your are selling enter when the first red candle close below the daily pivot. Keep the trade until the change of color. (Opossite for buys) Re-enter at any time a red candle close below the daily pivot.

I didn´t want to choose a tricky example taken from a strong trend (where you only have winning trades), but a ordinary medium trend with 240 cross, etc. Applying this simple system you should have 8 winners and only a small loss.

I have seen many systems using Heiken Ashi in combination with moving averages, but no one using the daily pivot. This is a powerful and simple combination. Maybe out of topic here, but I know Bob doesn´t mind (sometimes even encourages) new approaches.

Imagen 1.jpg

Yeah I like simple. Post the indies and template I am sure people would be interested. If it draws a following you can start a thread. I always thought that the 240 line combined with other indies would make a good system better. Add a warning system to when the trade should be and you got something worth playing with.

[FXTrucker]

Bob -Thanks for your all your teaching I have learned so much from your forums over the years.
I have been trading with 10.5 with mixed success since June. I like your improvements in 10.6 and have the time for at least the next few weeks to trade it full time.

I have some questions:

It looks like your current maximum total lot size for all open trades is just under 0.1 lot per $1000.00
{ $0.04 / pip / $1000.00 times 24 pairs for a total of $0.96 /pip/ $1000.00 } And you recommend beginners use a max of 0.24 ( 0.01 lot per pair ) Is that correct?

How do you decide when to cancel a pending trade? I assume one would be if STO 7 reverses and crosses back across its trigger level? Any other reasons?

I want to trade up to 24 pairs as you do. Some of the trading statistics you have shared indicate that you have placed about 20 trades a day. Do you trade all pairs every day or only those that are moving counter to each other?

In a situation like you shared Thursday:

“OK CSS today shows AUD and NZD strength with EURO, CHF, and JPY weakness. USD and CAD going opposite directions so that is where to go look. Looks like some pairs are setting up some 10.6 trades.”

I would probably NOT TRADE aud/nzd, eur/chf, eur/jpy,eur/usd and other pairs going in the same direction. correct?

I am thinking of using the Shirt Protection option in MPTM at 1.5% of account does that sound reasonable? Assuming I am taking 12 to 24 trades?.

[zentauro67]

Hi Nidolap, Bunker and Bob

I´ll start trading this system next week. I´m confident it can work but it is too early to say if it deserves its own thread. Anyway, this is the template:

10.5 Heiken & Daily Pivot.rar

BTW, Bunker, I (as many) am counting the days until the next DBM version. Hope your tests end well.

[nanningbob]

Bob -Thanks for your all your teaching I have learned so much from your forums over the years.
I have been trading with 10.5 with mixed success since June. I like your improvements in 10.6 and have the time for at least the next few weeks to trade it full time.

I have some questions:

It looks like your current maximum total lot size for all open trades is just under 0.1 lot per $1000.00
{ $0.04 / pip / $1000.00 times 24 pairs for a total of $0.96 /pip/ $1000.00 } And you recommend beginners use a max of 0.24 ( 0.01 lot per pair ) Is that correct?

Because lot sizes are different from broker to broker .01 with one broker can be ten times more than .01 on another I use pennies per thousand to keep things clear. In my testing phase of 10.6 I started trading 4 pennies per thousand of my account. That is for one trade. I then went to 5 pennies per thousand but when the Syrian story broke I dropped back to 3 pennies per thousand of account per trade. Now that it looks like the SYRIAN thing is resolving itself I will go back to 5 pennies per trade after the Monday gaps. Using small lot sizes allows me to run 20-40 trades at a time. 40 trades at 5 pennies means I am putting 2.00 in total lots up for trade. I liken this to diversifying my portfolio as an investment scheme. So if one currency goes really bad, I am covered by others that hopefully will go good.

How do you decide when to cancel a pending trade? I assume one would be if STO 7 reverses and crosses back across its trigger level? Any other reasons?

That is trading experience, I just look at a trade and dont like it, or I have too many trades going at once and my total lot size is getting bigger than I like, a news story comes out and affects my trades, candle patterns dont look good, a major S/R line is broke, the market times dont lead to good trading so I lessen my risk, my wife wants me to get away from the computer for a while, or .............. many other reasons. Trading doesnt always fit a rule book.

I want to trade up to 24 pairs as you do. Some of the trading statistics you have shared indicate that you have placed about 20 trades a day. Do you trade all pairs every day or only those that are moving counter to each other?

I trade pairs that look good to trade for me. Sometimes the whole market is moving, sometimes just a handful. It is a day by day decision. What trading all the pairs does though is give you a feel for the market. Like right now all the NZD pairs are banging up against S/R support areas on the Daily. I take notice of this and watch the AUD CSS line. If it goes down I set my NZD trades to follow.

In a situation like you shared Thursday:

“OK CSS today shows AUD and NZD strength with EURO, CHF, and JPY weakness. USD and CAD going opposite directions so that is where to go look. Looks like some pairs are setting up some 10.6 trades.”

I would probably NOT TRADE aud/nzd, eur/chf, eur/jpy,eur/usd and other pairs going in the same direction. correct?

I seldom trade aud/nzd, eur/chf, and eur/gpb, they just dont move enough to interest me. Other pairs I will look at and will trade if I see opportunity. You have to remember I was a CT (counter trend trader) for years so I still do those. I just dont talk about them here. Those that followed my 3.0-5.0 systems know about CT trading. I still do it. The one year I posted every trade I took before I took them I made 19K pips in one year. With 10.4 I actually got close to doing that in April and May. So I still take them. The NZD setups I will be doing Monday are CT trades based on info from the 10.6 info page using regional currencies.

I am thinking of using the Shirt Protection option in MPTM at 1.5% of account does that sound reasonable? Assuming I am taking 12 to 24 trades?.

I dont know what your risk is or SL are. I am comfortable with up to 10% DD and after that I start taking action. You cant run 20 trades with that small of a margin. You can do that per trade or small group of trades but 1.5% on 20 trades thats .07% SL on a trade. That is really tight and will get hit a lot.

[TraderDesk]

Hi Nidolap, Bunker and Bob

I´ll start trading this system next week. I´m confident it can work but it is too early to say if it deserves its own thread. Anyway, this is the template:

10.5 Heiken & Daily Pivot.rar

BTW, Bunker, I (as many) am counting the days until the next DBM version. Hope your tests end well.

Nice to see someone using Heiken Ashi in their trading strategy. I have used it in countless variations but the best is when I used it on it's own. Having a daily pivot helps to keep you in the trend so it will help.

I will use it with STO but my best trading comes with using it alone and on multiple time-frames. Depends on the how long I want the trade opened, usually for intraday trading it will be the 30 minute charts with the 4 hour and daily charts showing swing and long-term trends.

[nanningbob]

I wont be posting about my trades tomorrow until I see whether there are any gaps this weekend. Hopefully we will see some movement this week.

[Nidolap]

I have a few open trades right now,wonder how this gaps will affect them. Just a few more hours to know the truth...

[SteveHopwood]

New toy for you guys. http://www.stevehopwoodforex.com/phpBB3 ... 667#p75667

I mention it here in case it is of interest to you. Do not discuss it here - post your observations in the new thread, not here.