FREE FOREX STRATEGIES

Developing a System #3 (Dachel's trading system)


Hello, My name is Dachel and I developed a system this week which looks very nice. Maybe we can improve it a little bit more coz im still on backtesting and is not yet the final system.
Anyway..........here it is.

I used (IBFX) to perform the back test.

Here's the deal.

1. Open the 4 hour chart
2. Take the Hi and Lo of the second candle of the day (GMT)
3. Place an Buy order 10 pips above the Hi and 10 pips below the Lo
(you can use the Eagle Breakout Indicator for easy visualization)
4. When the price hit an order cancel the other.
5. You should place your SL at the other side of the channel.
(don't enter the trade if the channel is more than 200 pips)
6. You should place the TP at the size of the channel.
7. Close the trade at the end of the week if given the case.
8. If your trade is still on by the next breakout stay in until you lose or win.

This baby gave me in my manual backtest in 2007 around 4658 pips. This system can be improved if someone want to try a different strategy or maybe a Breakeven or SL. Anyway I guess is a very profitable system. Try it on a demo or backtest to check by your self. Any suggestion is welcome as well as for backtest for other currencies and other years.

Well I guess that's all for now, I leave you my monthly results.

Jan: +278
Feb: +333
Mar: +1107
Apr: +366
May: +343
Jun: +726
Jul: -412
Aug: +349
Sep: +428
Oct: +776
Nov: +280
Dic: +114
TOTAL: 4658 Pips

Dachel


Edward Revy,
http://forex-strategies-revealed.com/

Copyright © Forex Strategies Revealed

1pm EST to be accurate.

That's:
4h candle + 4h candle = 8am GMT.
EST = GMT+5 = 8+5 = 1pm EST.

For E.S.T. What would the time be when the second candle closes. I think it would be 1a.m. E.S.T. Is this Correct?

nothing happen ..just becarefully smart money and big brokers can,,,easyy acess terminal server..they know....how many buy /sell....person on line........,indicator just lagging.signal...../we dont have that system....just monitor price only....unffair system

Thanks for the EAGLE BREAKOUT INDICATORS, Here's the Templates i made base Alpari-US Metatrader.4 Platform, i Hope this Tempaltes & the Screenshoot can be usefull for us.

Dachel trading system

Your download link

Dachel Breakout GBPJPY H4.rar

Kind Regards;

Manus168

Can you make it for this system "Exit By Time" each every day rather by range of the channel ? i'm waiting for the development.

Thanks;

Manus168

Could you share EAGLE BREAKOUT Indicators to us, please ?

How about the Filter Trade such like MACD ?

Thanks;

Manus168

Well maybe you can test it. After all that's why we are all sharing our thoughts here right?

Thanks for the interest, a help from you will be appreciated if you decide to test it.

Dachel

I have a question about the timeframe??

how about the 1st 4h candle??

is the 1st 4h candle as good as the 2nd 4h candle??

can anybody give a test about this ??

thanks

Dachel
[email protected]

That's so good to hear. The good thing about having an EA is that speed up the process of improve the system and is way better than test by hand LOL. Keep the good work. I will soon upload another system which is very effective but slow so we need to improve it too ok?

Thanks

Dachel

Amazing Dachel,

Your trading system proved somewhat robust and actually produced more than 100% profit in just over a year (since May 2007) using a conservative 2% risk parameter with 0.2 lots. I implemented the steps noted into an Expert Advisor (using MT4) and came out with impressive results. I couldn't upload the image here, but its summary is the following:

Initial deposit 10000.00
Total net profit 10739.31
Gross profit 19794.19
Gross loss -9054.88
Profit factor 2.19
Expected payoff 42.28
Absolute drawdown 293.02
Maximal drawdown 1110.72 (7.97%)
Relative drawdown 7.97% (1110.72)
Total trades 254
Short positions (won %) 115 (59.13%)
Long positions (won %) 139 (64.03%)
Profit trades (% of total) 157 (61.81%)
Loss trades (% of total) 97 (38.19%)
Largest profit trade 419.07 loss trade -348.60
Average profit trade 126.08 loss trade -93.35
Maximum consecutive wins (profit in money) 16 (1641.21)
Maximum consecutive losses (loss in money) 9 (-617.53)
Maximal consecutive profit (count of wins) 1667.04 (8)
Maximal consecutive loss (count of losses) -997.61 (6)
Average consecutive wins 3
Average consecutive losses 2

When I tested the same EA for the different currencies and found the best results with the daily chart with GBPJPY, while with other currencies such as EURUSD, GBPUSD, USDCHF, I got terrible results (wiped out the account!) So there must be something to do with the characteristics of the GBPJPY pair that makes it work. Furthermore, things started to go problematic from May 2008 to today.

If you need the EA or the reports, email me at investordotme(at)gmail.com (replace dot with '.')

Great job! I'm trying to optimize the EA with different parameters to see what fits most!

This breakout strategy is really promising. Some of my clients ask me to code it. And they are satisfied by this strategy results so far.

Best Regards,
syanwar
Admin of Viking234.Com

GBP/JPY

what pairs do you trade with this strategy

In page 2 you will see a picture. The range of the 2nd 4h candle is in blue an green, all that range is the channel. Your limit is based on the size of that channel. I hope this answer your question.

Dachel


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