Hello everyone,
Here is the "system" I use. There is no indicators it is only based on Price action.
I enter a trade on an inside bar when the 50SMA and the daily situation are in agreement.
In picture it is clearer :
If the SMA and the daily position do not agree I wont take the trade. ( for example look at the arrow before the one I highlighted : we do not trade there )
That is all there is to it really.
The important part is the money management :
Your stop must be 1% of your account.
If your stop is 20 pips and you have 1000USD. Your position size is :
1000x0.01 = 10
10/20= 0.5
50 cents per pip : lot size 0.05.
Sometimes you will have a very tight range ( less than 5 pips or so ) in that case use the high of another previous candle of your choice.
I'll start logging my trades as soon as my new account is opened. Feel free to ask questions or post examples of your trades using the "system".
Regards
Julien
PS: just one more thing : we take inside bar setups on pinbars also, but only if the pinbar "tail" is in the opposite direction of our trade. If we get a short signal and the pinbar tail points down we do not take the trade.
Here is the "system" I use. There is no indicators it is only based on Price action.
I enter a trade on an inside bar when the 50SMA and the daily situation are in agreement.
In picture it is clearer :
If the SMA and the daily position do not agree I wont take the trade. ( for example look at the arrow before the one I highlighted : we do not trade there )
That is all there is to it really.
The important part is the money management :
Your stop must be 1% of your account.
If your stop is 20 pips and you have 1000USD. Your position size is :
1000x0.01 = 10
10/20= 0.5
50 cents per pip : lot size 0.05.
Sometimes you will have a very tight range ( less than 5 pips or so ) in that case use the high of another previous candle of your choice.
I'll start logging my trades as soon as my new account is opened. Feel free to ask questions or post examples of your trades using the "system".
Regards
Julien
PS: just one more thing : we take inside bar setups on pinbars also, but only if the pinbar "tail" is in the opposite direction of our trade. If we get a short signal and the pinbar tail points down we do not take the trade.