Forex trading strategy #1 (Simple balanced system)

Hi Clint,

I appreciate your feedback!
I think many strategies could be successfully applied to trading stocks, since in many cases the psychology of the speculative market and its participants will be similar.
But its my assumption only since I have no live experience in stock futures trading.

Regards,
Edward

Hello Edward,

Being new to forex and testing this system on several charts. I have found that by changing the EMA from 10 to 8 and using it on the 15 min. time chart is the best, the least amount of lag. Dan C. from the sunshie state.

Hi Dan,

Good observation. Thank you for sharing it with us!
Once you understand the concept behind the Forex system, there is plenty of options to try out, yours is one of them.

Best regards,
Edward

Hi Edward-

Thanks again for sharing a sound method with your devoted followers .

On page 3 you say " a trend change is confirmedis when when Stoc. exits the the overbought/ sold areas "

I notice in my preliminary tests that this appears to be a better way to EXIT the trade rather than waiting for cross in 5 and 8 EMA 's or

RSI crossing 50 line again . It gets you out faster thereby retaining more profit.

What say you ?

George

Hi Edward,
Kerni suggested adding SMA20 and you agreed it was a good idea. so I did also. But I am not sure how to utilize it as a filter to avoid some of the false signals that plague traders in ranging markets.

What is the best way to use it ??

Also, since I still favor short term 1 and 5 min..candles I am adding ADX 10 , looking for a value of 20 or more. I believe you said , somewhere . that it helps in ranging markets . Is that correct?

Overall , Basic Balance looks very promising . Thanks for sharing it with all of us .

Fraser

Yes, George
I'd say you are right!

Best regards,
Edward

Hi Fraser,

There is a lot of tweaking a twisting one can do to make a system better. Honestly, I'm already beginning to lose a track of all the systems and suggestions I've published and commented.

20 SMA could help you to filter the direction in which to trade. Above 20 SMA would favor Buy orders, below - only Sell.

Regarding ADX, you've done it right and for the right purpose.

Best regards,
Edward

Hi, my name is Norma

I am new to Forex Trading, too. How do you calculate your stop loss entry. I don't get it yet. If I was trading EUE/USD at 1.4687 going long where would I put my stop loss??? If I was going short where would I put my stop loss??? Help! This is the only thing that's stopping me from trading.