Forex trading strategy #52 (Forex Money Print Strategy)

Submitted by User on September 24, 2012 - 20:55.

Submitted by neobunsy

******** FOREX MONEY PRINT STRATEGY *************

Hi Fellow Traders

I have trading a simple and straigtforward strategy which gave me 80% wins for 2 months with a 1:1 risk/reward. I want to get the opinon of others to possibly a fluent programmer to do a back test to check if the strategy is profitable in the long run.

Currency Pair: GBPJPY
Time: Tokyo Open and London Open

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Submitted by kim on October 31, 2012 - 09:21.

user (29/10 05:47), i did a re-run through 2011 data with 1. orders at open of tokyo, london and new york 2. open of new york only. no more than one market order running at a time, market order allowed to run until either tp or sl hit as suggested by user (29/10 14:29).

print screen of results:

this is beyond me. good luck.

user (29/10 14:29), i am trying to get my head around your system. assuming you stick to the rules and does not exit in discretion there are 4 scenarios:

1. +20 on long, -60 on short = -40
2. +20 on long, +20 on short = +40
3. +20 on short, -60 on short = -40
4. +20 on long, +20 on short = +40

this system runs on a 1:1 risk return and relies on price going 20 one way and retracing at least 40 pips in the other direction to profit. i am not experienced in session opening systems but decreasing your SL will improve your odds e.g. with a 50 pip sl instead you can have 3:4.

will not be checking back in.

cheers,
kim

Submitted by User on October 29, 2012 - 14:29.

Hi All

I did a backtest similar to Kim, but because I did not have an EA for this strategy I used an EA which is exact opposite. Where I buy and Sell at the same time with a 20 pip take profit and 60 pip stop loss. I think traders who are experienced will know what i mean. This is the exact opposite strategy of the one which is submitted by the author.

And based on the findings, I can say that the author is correct in 80% wins in most months.

Kim, can you share your ea too ... so I can go through it and see.. The only change that should be made in your EA is to let the trade run thoughout the day in all sessions.

Meaning, only test One session per day.. dont trade all sessions at once.

Submitted by User on October 29, 2012 - 09:00.

dude...use trailing stop...so loss can be reduced

Submitted by User on October 29, 2012 - 05:47.

Hi Kim..

Sure the test sounds strange..

The 80% win still holds true.. even after some slow moves made by GBPJPY.. Im a bit tide up with a friends wedding.. and I look into this in detail as soon as I get some time..

But to keep all of you updated on the changes.. I only trade in the Newyork opening now.. cos its more profitable..

Kim, you might want to do the testing for New york opening ONLY and see...

Thanks everybody...GOOD LUCK

Submitted by User on October 28, 2012 - 07:12.

blah... blah... blah... old school... word of advice, great strategies are kept hidden--that's why we call it "trade secrets"...

Submitted by Kim on October 25, 2012 - 22:56.

I have to fill in some missing rules to code and here are the assumptions I made:
* Pending orders at open all have 40 pips SL and 40 pips TP
* When a pending order gets hit, the remaining pending order gets deleted
* In the case of Tokyo orders, they all get removed (market order closed at market) one hour prior to London open - because it doesn't make sense (to me anyway) to have say a Tokyo long and a London short both on at the same time
* All London orders removed at London close
* Each order risks 2% of account balance

I ran the above through 2011 and got the following:
Initial deposit 5,000
Total net profit -3,161.93
Absolute drawdown 3,161.93
Total trades 509
Gross profit 12,954.06
Gross loss -16,115.99
Profit trades 225
Loss trades 284
Average profit trade 57.57
Average loss trade -56.75

I also did a 2001-2011 run and it does not get better.

I personally do not like 1:1 risk systems unless the edge is huge. If you are getting a 80% win out of this then it is either I misinterpreted your rules (please do let me know) or your test period is not significant enough.

Will check back in within a day.

Cheers,
Kim

Submitted by User on October 25, 2012 - 04:13.

JP.. thats way too much mate.. change the broker

Submitted by JP on October 21, 2012 - 12:00.

"PRICE YOU SET MUST DIFFER AT LEAST 120 PIPS FROM THE OPEN PRICE".
This is what my criminal ACFX tells me when trying to set a BUY or SELL STOP.
Comments welcome.... Any way around this ?
JP

Submitted by User on October 20, 2012 - 01:54.

What happened if on one day take profit doesn't reach? Will you waiting for next day until it reach your take profit?

Submitted by User on October 19, 2012 - 14:02.

Wow... old or not.. this is truly a very simple and a very powerful strategy.. anyone able to do an EA on this

Submitted by Soros on October 13, 2012 - 20:45.

The stop loss stuff. it is simple enough. As far as the startegy is concerned, this is as old as Forex trading. I am not saying it is not good, just old stuff.

insider
ps. my name is really Soros, but I like to mingle with the plebe sometimes...

Submitted by User on October 12, 2012 - 19:54.

Hahahaha I can't believe some people are having trouble understanding this! Sound like a pretty solid strategy! I will definitely be trying this, thanks :)

Submitted by User on October 11, 2012 - 22:59.

You won't necessarily get a margin call with no stop loss if the size of the trade is small enough.

Submitted by User on October 10, 2012 - 23:56.

gotta have a stop loss....not worth it imho.

Submitted by User on October 8, 2012 - 23:02.

This strategy is essentially Stuart's (Advanced Strategy #14)

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Forex trading strategy #52 (Forex Money Print Strategy)

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