This is my experimental method visually backtested simple naked trading technique. Right now I am currently trading in a demo account. Eventually will be trading a live account soon.
I am a mechanical trader and there is no leeway in my rules except for the rules being changed to adapt to profitability and changing market conditions.
I am currently using this system with the gbpcad currency I will post my limitorders after i set them and hopefully before the trade happens.
My system is based on the previous daily bar and daily bars that go back far enough to give you the best educated guess as to if you are in a consolidation period or trending period.Which will give you the insight on where to place your limit orders.
I place limit orders because i would like to catch a trend instead of guessing a trend.My educated guess obviously is not always right.
I like to do this trade in consolidation periods as the previous daily bar is often fully covered or more then 50 percent covered (the 50 percent covered is fine because it is the 50 percent that is close to the new day entry which is close to where we set our limit order and somewhat close to our take profit.
I will set a 20 to 40 pip take profit (the daily bar can offer more as swings of over 100 pips are common). And a fairly wide stop loss as the probability of the trade offering me 20 to 40 pips is really high and do not want a tight stop to lower our chances of our take profit from happening.
I have found that this trade gives you a high probability of being in the money. Therefore if i am in the money more then 20 pips I will set my new trailing thirty pip stop or take my profit.
Now my limit order does not always hit but i fire this trade 1 time a day (when the new daily bar appears) except on friday night.
I have incorporated more then this but want to keep it simple for now.
As this system is new there probably be some tweaking as time goes on.
Also i will incorporate my strategy for trending daily markets as this thread moves forward.
I am a mechanical trader and there is no leeway in my rules except for the rules being changed to adapt to profitability and changing market conditions.
I am currently using this system with the gbpcad currency I will post my limitorders after i set them and hopefully before the trade happens.
My system is based on the previous daily bar and daily bars that go back far enough to give you the best educated guess as to if you are in a consolidation period or trending period.Which will give you the insight on where to place your limit orders.
I place limit orders because i would like to catch a trend instead of guessing a trend.My educated guess obviously is not always right.
I like to do this trade in consolidation periods as the previous daily bar is often fully covered or more then 50 percent covered (the 50 percent covered is fine because it is the 50 percent that is close to the new day entry which is close to where we set our limit order and somewhat close to our take profit.
I will set a 20 to 40 pip take profit (the daily bar can offer more as swings of over 100 pips are common). And a fairly wide stop loss as the probability of the trade offering me 20 to 40 pips is really high and do not want a tight stop to lower our chances of our take profit from happening.
I have found that this trade gives you a high probability of being in the money. Therefore if i am in the money more then 20 pips I will set my new trailing thirty pip stop or take my profit.
Now my limit order does not always hit but i fire this trade 1 time a day (when the new daily bar appears) except on friday night.
I have incorporated more then this but want to keep it simple for now.
As this system is new there probably be some tweaking as time goes on.
Also i will incorporate my strategy for trending daily markets as this thread moves forward.
My trades are 100% profitable 65% of the time!