Advanced system #14 (Simple trading with Daily range)

Hi all,

Great thread - and great strategy! Well done to Stuart for devising it and Indrek and others for refining it.

I have started to trade this in very small lots today and will post results as I go.

Good luck everyone!

Rob

that's some good food for thought too. Thanks for the idea!

Hello friends,
One more trading week has ended and I post fresh results (including 38 trading days now):
results_1I.xls
This week was a little bit weaker than previous one, at least for me. I made 414 pips on 7 pairs, as previous week's result was 615 pips.
Regards,
Indrek

Hi,

has anybody tried Indrek's suggestion of simply trying for 10-20 pips on one or two pairs per day rather than using the 25% ADR targets. If so, can you post your results.

Thanks

Dear friends,
The system that I use is, in fact, the original one with only one modification - stop loss is also 25 %, i.e risk-reward ratio is 1:1. Stuart originally placed his stop loss at 10 pips from the opposite position but my backtesting indicated that it is not effective at all.
One important point - as this is a breakout system, it should work so that you have either quick profit or quick loss. So, we have not to be afraid of having losses because during some longer period than 1-2 unhappy days, we just have much more profitable trades than losses.
Indrek

Claude,

no you didn't miss it as I too was waiting for Stuarts report on the original system. To be fair to Stuart, rather a lot is being asked of him and time must be an issue. If you have read Indrek's postings, and particularly his results from the past 34 trading days you can make a fairly good assessment of what is a slightly retouched, and simpler, version of the original. In the end, a few days ago I decided to trade based on Indrek's info and have done quite well up to now.
Hope this helps
Andy

Hi everybody,
I try to answer some questions:
1) the question of ADR has been discussed here before as well as I have posted here a simple excel sheet that I use for quick calculations; setting up 7 positions (my usual) with it takes 5-7 minutes, no more;
2) yes, by "draws" I mean the days when none of two positions trigger but also the days where the result is around zero by the end of 24 h period (e.g + 2 pips or -8 pips);
3) I do not cancel my trades before 24 h when the new day starts; after that it is my choice if I let them run or close;
4) it is very dangerous not to close the opposite position when the first one triggers; usually you just have two losses per pair in these cases;
5) I have not tested different opening times for different pairs, just found out that for my 7 pairs in total 7 a.m GMT is the best; still, on some days when I am away from my computer at 7, I set my positions earlier using the prices from 5-6.
Regards,
Indrek

I have been only following this thread for a few weeks, and it seems to be a great system. I am currently using it live. Like some of the other commenter's I have ran into issues of when to set my trades up. I have finally settled on just before the London open, but has anyone given thought to opening up different pairs at for different sessions?

My thoughts are,if you want to trade a lot of pairs you can increase your lots for each pair without increasing your risk. It seems most trades are opened just after a session is open and closed, hopefully, at our TP within a few hours. That being said we are idle for several hours to most of the 24 hr period waiting on the London open to start all over.

Has any one backtested say E/U or U/CAD just before the NY open? or NZD/J or any of the other JPY pairs just before the Asian open?

Just my two cents,

Josh from Texas

My buy trades for U/J & E/J closed with a loss right now. So now my sell trades for these 2 are now active. Hoping i can get back what i lossed. Yesterday the only 2 with a loss were E/J & G/J & so i thought these were doing good. I don't know if i'm doing something wrong. What i'm thinking is that maybe i should wait for the london session to start because i place my trades at 5PM est...that's when the new candle opens. So i don't know. I'm using that revised 25 move excel spreadsheet.

Hi,
Have I missed it? Stuart was suppose to test the Original System for an entire month (April I think it was) and tell us about the results. Did he post them? If so what are the conclusions?

We can tweak this and tweak that till the cows come home. I am not saying there is no good in this. But I sure like to keep things simple.

Regards,

Claude

Indrek,

regarding your results, the "wins" and "losses" are fairly obvious but can I assume the "draws" are actually trades that never triggered and were subsequently cancelled by you. If so, how long did you wait before you decided to cancel.
thanks

Hi Indrek,

thanks for sharing your results with us all, very much appreciated. Just a couple of questions:1) what ADR figure are you using eg 10 day, 30 day etc and 2) With so many pairs (7) how do you ensure you place your trades quickly enough after 7.00am GMT so that you don't miss any. I have tried placing four trades and it takes quite a while to do. Are there any short cuts?
thanks

Andy

Hi Andy,
There is nothing wrong with the numbers, there are is just difference in terms. The bigger numbers are calculated as days with profit / days total. The smaller number (or win ratio, as I call it) is - (days with profit - days with loss) / days total.
Please, see my latest results file, everything should be clear from it.
Indrek

Congratulations to everybody who used this system today! This day was again a real success.
Hereby, I post the updated file that now describes the results with the system (with my small modifications - see previous posts) for last 34 trading days.

results.xls

Indrek

Indrek,

according to your figures supplied on page 31 of this thread the % wins were GBP/JPY-94%, EUR/JPY-84% and GBP/USD-87%. However, on page 33 of the thread you show very different figures for these three pairs. These can't possibly have changed so dramatically over two trading days so,are one set of figures wrong or am I missing something?
thanks
Andy