Scalping system #8 (1 minute Scalping with Pivot Points)

Thank you dear edward for quick responce.You are really doing great job for traders like us.Actually i saw this strategy last night (saturday) and i was thinking why not check the correlation of hourly/four hourly pp (and mid points in case of daily pp)cause minute chart is less risky then anything else.
secondly i was wondering what if we use 3 pips trailing stop?

Thank again for helping the trading community edward

Hi Farhan,

I think we can. I haven't looked at this option yet. Thanks for the interesting note.
In case you plan doing some study lately, I'd also like to hear about results.
I'd love to do tests myself, but can't promise any results soon, since my schedule now is pretty tight and I have lots of unfinished tests and studies to complete.

Regards,
Edward

Hi edward!
Can we use pp of other time frames like hourly / 4 hourly.have u ever tested them?and if u did,what were the results..
Thanks in advance
Farhan

Hi Javier,

Certainly those that have the lowest spreads.
EUR/USD and USD/JPY are also my choice.

Regards,
Edward

Hello Edward:
I am using the system in EURUSD and USDJPY because these currencies has the lowest spread, please could you tell us what are the best currencies to use the system.
Thanks in advance.
Javier

Hi JJ,

Let me first recommend you a great website about Pivot points that should help you to understand pivots much better than if I start explaining it here.

It is http://www.fxpivot-points.com/
Do come back later and ask questions if you need anything to be clarified.

Alex

Hi

I have the ability to watch the market all day so I think this would be a good method for me to use. Could you go into more detail on how to plot the pivot points. I downloaded a pivot point calculator, but I am not sure what to make of all the info it says. I put in the data for the Euro/USD in the calculator and this is what came out. Which are the points and how do I plot them on the chart?? It only says PP which I assume is Pivot point, one time. Are the other letters pivit points too ie r3 m4 etc?? It would be great if you could post an example of a past day with all the points on the chart.

Thank you,
JJ

Hi Peter, I'm playing on bounces off the levels, which happen regularly. And that's exactly the way I do it. If the price, say, rises and reaches R1 level I sell, expecting the price to bounce back down for a short period of time. I do not care that it's been trending up, I play the R1 - which is resistance level, and resistance means it is going to resist :)

Alex

#I buy if the price touches pivots descending from above#

Sorry Alex, but I still don't get it. Why do you go long when the price drops? Do you bet on a retracement? Shouldn't it be better to go short (=sell)?

Peter

Thank you Alex.

KK

Hi KK,

I buy if the price touches pivots descending from above and sell if the price rises to pivots from below.
However, I don't use this method further. If the price breaks through pivot levels I don't go with it.

Alex

Hello Alex!

My doubt is how should we treat the pivot points i.e should we buy if the price touches a pivot line from top and sell if it touches the line from bottom or should we place a trade once the line is broken and go in the direction of the break?

Thank you.

KK

Hi Nick,

I use +4 to +6 pips target (excluding spread).
Fibonacci levels, yes, tried those. The problem is that it is not always easy to define the right Fibonacci top and bottom, therefore I would count less on Fibs, while with Pivots it is much more obvious.

Alex Wakemann

Hi Edward,
How many pips is your usual profit target and do you have an estimate of what percent of the time it bounces off pivot points enough to be a profitable trade? Also have you looked into using this same trading strategies with Fibonacci levels?
Thanks,
Nick