Scalping system #2 (Morning breakouts)
Submitted by Edward Revy on April 22, 2007 - 10:03.
The closer time gets to 8:00 EST in the morning the less movements can be seen on the chart. It is a well known fact that once the Forex market “hears morning bell” at 8:00 am it is going to really move – stretching well doing morning exercises :).
What is needed from traders?
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Edward....
I also am new to forex....love this site...and your method here..i know this is getting redundant....but as far as pip size...i have seen 5 pip..3 plus spread..and many others..in the comments on here....so for my own piece of mind...are you basically saying...3 pips plus spread..or 5 including spread..would
get the best results??...someone was talking about 7 and 10 and 15
and 2).as far as the stop loss...it should be the same as my profit target...correct??.....someone mentioned 10 or 20 pips on here....but if i do 5 pips
for profit.then it makes sense..to have same number for stop loss...and 3).am i understanding this right...the beauty of this is if i got stopped out in one direction.....then that same momentum is probably going to keep carrying me to profit the other direction......thus zeroing out my loss........????
and 4).if it is possible for the market to hit profits in both directions....then i would not want to use that oco order...right???
thanks...this site rocks...dave in virginia
We don't have this EA on our site, but it's very likely that the strategy has been coded already (don't know if shared, however).
Best regards,
Edward
P.S. If you find one, which is free to use, please drop us a line/link as well. Thank you!
I am an amateur at forex trading and I think this strategy is great for a beginner like myself. I was wondering if there was an EA available for this strategy? Thanks!
should be read as:
1.5104 + spread.
By default the spread assumed to be +3 back then, now of course the competition among brokers helped to narrow the spread to +1 pip.
I'd use +3 still as a safer price margin.
Thomas
i live in uk england eur opens at 7 am and london at 8am. i want to trade the eur open so which is better the 7am or 8am, bit confused, any help? Also when you say buy for eg: at 1.5104 at the high does that mean buy at 1.5104 or does it mean to buy at 1.5104+spread 1 + 3 pips which means to buy at1.5108?
Hi Adam,
start trading both pairs at London open.
EURUSD and GBPUSD are equally good for this method.
Kind regards,
Edward
Hi edward or anyone who can help?
I really like the morning breakout strategy, however i just need a little help, i am a newbie to all this and am trying to get to grips with it all. when you say to capture 5 pips at 8am do you mean that then i should be trading with the gbp/usd as that is the london session and to trade the eur/usd i would need to trade be the Frankfurt session which i believe is at 7am? Please correct me if i am wrong, and if so which do you believe to be the better pair to trade??
Thanks adam
I can't give such recommendations, since I don't know much about the other brokers.
Regards,
Edward
What is the best broker for these morning breakout strategies regarding spread, software, tight stop losses and so on? Oanda? Any backtesting results?
It's either 7 pips for stop and 12 for profit (with spread).
Or 10 pips for stop (as suggested by Edward on the page 1) and then you need about 15 pips for profit.
Hi Edward or anyone in the know!!i am new here just gettin into scalping, you mention to have your 5 pips safely in the morning for breakfast, should that include my spread or exclude it. To explain a bit better lets say i work on a spread of 2 for example, should i be aiming to take profit at 7 pips (2pipspread+5tp) or do you mean total of 5 pips meaning (2spread+3tp).
Also for reassurance can you advise me what number of pips i should use for stop loss,
many thanks adam
Edward plz can u send this example in diagram , if u dont mind ,
plz , bcoz i am new to forex
No, you won't be profitable with such trading.
Kind regards,
Edward
Hi Edward,
What's your opinion if we trade this strategy with 3pips TP and 50 pips SL, can we assure 100 % winnings, eventhough its not recommendable.
Hello Edward,
Thank you very much for your prompt response!
I honestly agree with you, I have started with 1k!Thanks very much!!!!
I didn't make it on time today once more to place an order on both couples of currencies (EURUSD, GBPUSD), since I do that manually.
I don't have anyone to do that for me (To automate trading, you need to write an Expert Advisor (or have someone to write it for you)),but if you have any website or anything to help me to write an Expert Advisor it will be good for me! I will try it!
Thanks a Lot for your advice , your time and everything you have given to all of us!!!
I hope one day I can meet you ! Our discussion will be very profitable!
You are welcome to my country (Greece) any time, ( it is normal in our culture to invite people) !!!!
Kind Regards,
Dimitris
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