Scalping system #10 (Capture M30 direction - xx.00 xx.30 strategy)

To Fraser:
as far as I understood, we do not have TP, we just trail the stop using 1 min chart. At the offset points you should place both Buy Stop and Sell Stop orders together.

To Clint:
I agree with shakin23 that quitting for the day has to do with stopping one from overtrading. If the market isn't trending stably for some reason, there is no reason for feeding it with own money.

To Helen:
Yes, you have to be able to set 2 limit orders quickly. If while placing orders you see the price already advancing, you can hit a Market order instead.
You'll also need a stop loss, which you will trail then. No Take profit order is needed.

I agree that you'll be "playing a piano" on your keyboard every 30 minutes when you need to set both pending orders. I'd suggest watching the decisive 5 min candle closely. Often, you'll be able to figure out all needed price levels in advance.
When placing the orders, start with the one you feel is going to be hit.

Moving stoploss on m1 is just looking for valleys and peaks. When you are in a trade moving sl on m1 is not so problematic at all. If you hit your sl twice on the same candle you move to the next if that one also fails you stop trading because it's scalping and you have to protect yourself from overtrading. Limit orders are not the same as buy orders (which i'm using)

Great site and a unique method you guys.

My only concern is entering two LIMIT order for the " offsets " , then a Stop Loss price , AND THEN a tp , take profits order , ALL on 1 min

candles ! How can you move that fast ? That is a lot of " entering " in so short a time .

In addition , I use Oanda as broker, and they do not offer OCO , so I would have to remember to cancel the LIMIT order that was NOT

hit .

What do you think , guys ?

Helen

shalin23- Just discovered this new site and your method is quite unique !

The many questions from posters , and the answers from you and Edward

were very helpful , as well as Edward 's sketches .

If the SL is hit twice on each of the first and second 1 min. candles , why

do you stop trading for that day ?

Why do you not trade at night ?

Regards ,

Clint

Hello Edward ,

Interesting scalping approach here ! Your 5 min. sketch is very helpful , but

how do you use the 1 MIn bar for the exit ?? How many pips

do you suggest for the TP , ( taking profits ) on Eur/Usd and Usd / Jpy ??

Also , at the offset points I assume you place both Buy Stop and Sell

Stop orders together . Correct ? Thanks .

Fraser

Hi - sorry, forgot to mention when I trade the GBPUSD, I did change the offset from the advised 2 pip to 3 pips as spread at that time was 2.9 on that pair. Some times at the start of Frankfurt (07:00 GMT) it is as high as 3.5. I basically set my buy/sell orders at HIGH/LOW plus or minus spread and add 1. Therefore, on the GBPUSD at 2.9 my offset would be 4.9 rounded off to 5. Any better ideas?

Scalped well on the EURUSD on friday, eventually closing first 10 pips, then in the opposite direction closing 36 pips in profit.

Thanks again for the great site, and strategy.

Kind regards, Stuart (Belgium)

That is correct. 2 pips offset will work well with EURUSD, also USD/JPY and USD/CHF.
GBPUSD pair is good and it is capable of producing large moves (2-3 pips offset is adviced). The champion of the largest moves is GBP/JPY. However, this pair is difficult to scalp with brokers where GBPJPY has a large spread.
As it was said, additional tests are needed for each pair to determine the best distance for entry, spreads should be taken into consideration.

Regards,
Edward

It was designed for EU but on other pairs 2 pips offset may not work, just additional tests needed

Hello, and thanks for this strategy. I am new to forex, but this makes so much sense - specially the trailing stop that follows. I have tested it with some good results, and when I lose, it is never a lot due to the following SL.
Keep up the good work.
Also, any preferred pair?? I have only tried it on the GBPUSD as that pair moves a lot? Thanks.

wow... look promising... thanks for sharing..

While adding my sketch I thought I would help to understand the strategy, instead seems to have created more confusion..? :)

Ok guys, I'll try to answer all your questions today-tomorrow once I have few spare hours to review the system and all the comments.

Regards,
Edward

Yes you're right it is 1.2711. Like i said no M1 is involved, offset and substracting is the same thing i guess. I don't think i can explain it better than i did, maybe Edward could help.

Hi Stuart,

No problem. Let's quote the author: "...we are taking the first M5 candle (xx.00 and xx.30). Then add 2pips offset to low and high.."

This means that we are adding 2 pips offset to low and high of the 5 min candle. Plus, when I made a sketch I asked Shakin23 to check it out and he confirmed that the sketch is done correctly.

We enter on 5 min chart, but exit on 1 min or even a tick chart - only this way; and sure we have a scalping strategy - we look for small profits and scalp out of the trade.

Regarding the entry point on chart #1, I'm not sure I can identify it without staring at the screenshot for long time, I'm sorry... I would appreciate if you could point it out by sending your own screeshot or make some other screenshots of your own that we can discuss here. Thank you.

Kind regards,
Edward

Edward and shalin 23-

Some confusion here.

Shakin says " Offset means you add 2 pips to high and low ( ? ) on the .oo

.30 candle " . Don 't you subtract 2 pips from the low for the sell stop ?

But , Edwards sketch shows the offsets are on 5 min . candle ! Also is the

entry made on 1 min. candles since this is a scalping strategy ? The entry

point on chart # 1 appears to be at 1.2711 , not 1.2771 . Please clarify.

I am a " newbie " so pardon my confusion.

Stuart

Oh and moving sl is just an idea cause it's not easy to come up with a good exit strategy