Complex trading system #2 (“2-Cross”)
Submitted by Edward Revy on April 19, 2007 - 16:34.
Currency: GBP/USD (preferred) or any other.
Time frame: 3 hours (preferred) or 4 hours.
Indicators:
SMA 200, SMA 100 – these are two influential SMAs; you will find price “obeying” their boundaries.
SMA 15
EMA 5
MACD (12, 26, 9)
Read entire post >>>
rule 1 is slightly confusing....
This one?
"1. Never open a trade if price is less than 25 pips away from 100 SMA or 200 SMA."
It is pretty simple. Any time you glance at charts, you can tell approximately how close the price is to the moving average, and even calculate the distance precisely.
The reason for staying aside when price trades near mentined SMAs is because these SMAs act as moving support/resistance levels, which inevitably means that the market will be changing trends, pausing, ranging, breaking there - in other words, producing all kinds of shifts and moves, except for the most desired one for us - trending.
Regards,
Edward
Hi Edward,
thanks for this simple and great strategy. Hoping to implement this asap. Great work.
Muhammad Rizwan
hi Edward,
Great work, this system looks good. I think it's a pity you can't trade it in an EA at this moment. I am going to try and find someone who can do this for me. Then some testing and fine tuning, maybe with a risk setting you can adjust. Would be very nice. Or is someone already busy on that?
Will be following this thread.
Kind regards,
Carlo
You can contact me at support(at)forexambushdiscount.com
Hi Carlo,
If someone is, I'm not aware of this :)
I would be very grateful for a custom EA.
Happy testing and trading!
Edward
Hi Edward i'm Luigi from italy, first thanks for everything you do on this site, you are great. Let me know how I can adapt this strategy for all currencies, and above all for daily time frame, also is it appropriate to entry long when prices are above 100 and 200 sma? (and vice versa). Thanks again. Luigi!!!
Thank you, Luigi
"Let me know how I can adapt this strategy for all currencies, and above all for daily time frame"
To adapt, I would try to, first of all, change SMA 15 to SMA 34, and run a few tests. Might be that it is all that is needed.
"..also is it appropriate to entry long when prices are above 100 and 200 sma? (and vice versa)"
It is appropriate and you should be looking to go long when price trade above 100 & 200 SMA, and short when below.
Best regards,
Edward
Thank you, Edward,
i try to change SMA 15 to SMA 34 and that seems work well, i also tried to change the SMA 15 to EMA 13 and works fine, I'm trying to entry short also when prices are above the 100 SMA and 200 SMA (and vice versa) following the rules of this strategy, I had some losses but agrees because the wins are more than losses. What do you think of all that? Thanks again for your availability. Best regards, Luigi!!!
Post new comment