Forex trading strategy #5 (5x5 Simple system)

If open here tomorrow, if RSI> 50 will be valid for signal?

Thank you for your feedback, Isabel.

It won't be sufficient enough. We need both conditions to be met:
to go Long price must Close above the moving average and remain above it when we enter a trade. Closing below the moving averages means we can no longer plan Long trades the following day.

Regards,
Edward

Dear Edward

Firstly, i wish to thank you so much for such an insightful, helpful, caring, .... site. Thank you.

With the 5x5 system here, you state "price crosses over 5 SMA and makes + 10 pips up the next day", my question is crossing/breaking sufficient or does it have to also close above 5 SMA on the day it crosses it. In other words if price on day x crosses/breaks over 5 SMA up for example, but during the same day closes below it is that sufficient to take a Long if on the following day x+1 prices reaches 10-pips above the high of the previous day?

Yours, Isabel

I would use exit rules from this Midnight trading system.

Regards,
Edward

Hello edward and everybody. Just wondering when to exit the trade? are you gonna close the trade daily(by the end of the day) and open new trade again the next day. Maybe anyone can help me. Thanks. Help is really appreciated. Happy trading:)

Hi James,

If you had a pending Buy order sitting 10 pips above the bull candle, then on the 10 pip spike it'll be triggered.
At that point you won't know yet that by the end of the day it will actually turn into a bearish candle with the 10 pip spike.
Regards,
Edward

Hi

I have been using this system for awhile, it’s simple and works well. I just have a question.

If at day x the candle closes about SMA that means I will be looking for the next candle at day x+1 to be higher than the previous day by at least 10 pip to go long. This is all fine when the day x+1 candle is a bull candle and higher than 10PIPS but would I enter if it was a bear candle but actually spiked up higher at one point more than 10 PIP’s. Hope this makes sense.

Thanks, James

It is better when it is positive, although it is not a requirement.

Regards,
Edward

does the slope of the RSI have to be positive when entering a long ?

Exits rules are not given, I guess one should use some sort of trailing stop strategy.
Basically the system gives you a winner, all you have to do is to control with how much pips to exit. If you entered a loser, you get an exit signal for it - a close on the opposite side of 5 SMA and RSI signal.
I guess you can as well use opposite signals to close one trade and enter another in the opposite direction.

Rich

Great strategy, but exist strategy seems still missing or I miss it.

You're welcome Edward, btw you are the Man, you did a great thing by share this magnificent 5x5 Trading System; i owe to you Bro.

All The Best;

Manus168

Hi Manus168,

Thank you for the great and detailed introduction of a new indicator!
With your help the strategy now got a new trading approach and filter.
Great job!

Regards,
Edward

Here's the Coppyness Index Formula if you want to studied:

((log(sum(atr(1),14) / (hhv(if(H,>=,ref(C,-1),H,ref(C,-1)),14) -
llv(if(L,<=,ref(C,-1),L,ref(C,-1)),14))) / log(10))/(log(14)/log(10))) * 100

All the Best;

Manus168

Last Sunday i heard G7 have got a meeting, so i decided to take action cut half my position & tightened my SL to BE + 20 pips (so i break the rules before), & early Monday morning like i prediction Market have gap ups & not came back again like usually they did (i saw if EUR/USD pairs Gap Ups usually came back again to the Gaps called "Dead Cat Bounce" Charts pattern, you can studied this patten from ebook Ensiclopedia Of Charts Pattern By Thomas Bukowlski; but this time is Different, those pairs don't came back).

Btw, nothing to lose, actually im still have a little bit Profit because i take a precusive action according the G7 Meeting (half from 138 pips & + 20 pips from Move Stop Loss to Break Event + 20 pips), so far so good.

Here's the Screenshoot in 3 hours charts so we can look in the detailed process story:

The Bottomline 5x5 System can be used in real live trade (not just only a theoretical but in practical - live real world trading) But Please you must try it in the demo account first.

Regards;

Manus168