Scalping system #7 (Great GBP/JPY 1M scalping strategy)

Has anyone written a EA on this ?

its great strategy i would like to add point to enter the market
first point: price should cross orange (50,3) and when price to cross red (50,2) and close below that line now if next bar cross thats a entry point and u can go upto other end of red line check it and let have a feed back

chelo would it be possible for you to post some picture of this? meaning some entry points thnx.

cm

I would like to add that this system seems to work very well, if not better, in ranged markets, contrary to what the Original poster posted. Why did the OP say it won't work on ranged markets? Take last friday the 29 January 2009 for instance, I got 100% accurate trades even on the ranging choppy market of friday 2 hours both buying and selling before closing time for the weekend!?

Hi Coen,

Take a look at these recommendations:

The fist time frame is the one you trade with, the second and third are suggested time frames to look for major trends, important price levels and forming patterns:

1 min => 5 min => 30 min
5 min => 1 hour => 4 hour
1 hour => 4 hour => daily
4 hour => daily => weekly

Hi Edward, if it is in our advantage to trade with the major trend while using this strategy, what timeframe would you advise at looking at? the last hour on a 5 min chart?

regards
Coen

Nice summary!

so the trading method until now finally is using the modify 1 for Chelo which:
setup for the indicator:
gamma: 0.66
ccount: 9500
levels: 0.15 - 0.45 - 0.75

Only trade when system conditions are met + laguerre indicator (IN 5M CHART) is going in the direction of your trade and past 0.15 for long and 0.75 for short.

2) I found a version of the stochastics indicator called "Stochastic DiNapoli" which gives much better signals than the common Stochastics indicator found on MT4, also set to 8,3,3 and levels at 70 - 30. (though Chalesi's recommendation works fine, this one will be a bit more reliable)

Edward :
Setup: GBP/JPY 1 min
BB (200, 2, -2)
BB (200, 3, -3)
Remove middle line on Bollinger Bands or make it black/invisible. Instead of this line we will use EMA 100. (I also tried EMA 200 for this purpose, but finally stopped at EMA 100)

Entry and exits rules are without changes. Use 100 EMA for exits or go for 5-10 pips per trade. Looks to be quite accurate.

I'm going to leave this setup on my background charts and if I find additional interesting approaches or some indicators to add I will gladly provide my comments.

So how about a guy recomament this 1?do anyone try b4?
Indicators: Bollinger bands (20, 2) applied to close.

Once ranging market is identified, traders work with candlesticks that touch upper and lower bands of the Bollinger band indicator:

If a red candle touches the upper Bollinger band, go Short with a new candle open.
If a green candle touches the lower Bollinger band, go Long with a new candle open.

If a green candle touches the upper Bollinger band, wait. If next candle closes in red, then go Short with a new candle open.
If a red candle touches the lower Bollinger band, wait. Only if next candle closes in green, go Long with the next new candle open.

Stops are couple of pips away from the last candle to touch BB.
If a signaling candle also touches middle Bollinger band on the close, refrain from entries as a correction has high chances to occur. "

Hi all,

To everybody that is wanting to see live results, I will be posting them shortly. I will be trading my live &100 account with FXDD using this method. I have studied it for some time now and I think it might just work. I have used very prommissing EA's in the past and got all my accounts blown!

I will be opening a blog so you can follow me as I trade and I will post new findings. I'm not a guru, but I think if one is not greedy you should be able to profit from this strategy.

Thanks everyone for your input!

I'll keep in touch.

Cheers,
K

22pm to 5-6am GMT.

hello. Im wondering when is the best time when the markets are going sideways in GMT?

Hi Chelo,

Thanks for sharing this strategy. I tried it and it worked well for me (usd/jpy). I will to testing it for more time. Do let us know if you have any updates on the same.

Thanks again,
Niksan

The method is certainly good and profitable, but not the easiest to integrate into someones' trading.
(This could be one of the reasons why there isn't much feedback about trading results for it).

Traders prefer trend trading, they look for strategies which are able to capture main trends. At the same time sideways moving markets are avoided - traders don't like trading when prices are channeling, because they seem to cannot make money out of it, instead their trend following strategies make them lose money during those times.

This trading method is made to work exactly in sideways markets. If the market starts to trend, this method will fail to bring profits.

thus, as you can see, it is important to know what time to use each method.

Some trading systems on our website will soon celebrate 2 years since their publishing date. It doesn't mean they are abandoned :) or not used anymore. It simply means that all questions were answered, and it is time to set your charts and try them out :)
Happy trading!

Kind regards,
Edward

Hi everyone,

I was just wondering if anyone has had good results with this strategy? It has been a year now that it has been posted and I am a little confused to not see any feedback from Chelo or some users who seemed interested...

Anyway, it's still very nice from you to share it and from this website to exist. Thanks a lot for the good job! :)

+ make sure you're trading during most active trading hours.
+ try not to trade much on Monday morning and Friday afternoon.

Regards,
Edward