System Messages

This forum is for members of the Apiary Investment Fund. To learn more about how to get involved, sign up now or fill out the form below and preview the training right now!

2 Trading strategies that I find work best for me.

Back to Forums

2 Trading strategies that I find work best for me.

Here are my 2 favorite strategies that I have pieced together using a few indicators and am excited to implement new things that I have learned. The second one listed is the main one I used to get up to this point. I really like the alignment strategy and the bankers close one that I learned this week in Silver 3. It seems that up till this point, the main things that get taught are terminology and risk management. (Has improved my trading significantly) I have been seeing great results, and love the section talking about diminishing returns on knowledge. These are my strategies, and may not work for everyone, but at some point, you need to just trade with what works and stop trying more and more strategies. Enough with my rambling,.... here goes.....

First strategy consists of the following charts:

1. Faster moving pairs such as EURAUD/EURJPY/GBPJPY/GBPAUD
2. BB/MACD/Stoch indicators
3. 1HR timeframes

I like to find zones of consolidation in the tops or bottoms of the Bollinger Bands. I can also find it when the BB squeeze tightly together. My period for them is set at 14 instead of the default 20. I feel this makes them tighter. I will consider consolidation as between 4-8 candles typically. The MACD will indicate when they are reaching consolidation at points when the signal line goes outside of the momentum lines. Otherwise at points when the BB squeeze, typically the MACD will be around 0 point. I use the 2 trade enter method putting buy stops and sell stops on the outside of my consolidation zone and will set tp for the range of the zone for the first trade and the second tp about 2x away. If I am actively watching, I will just put a trailing stop at that point if it crosses it. (As well as moving my s/l at entry point once it hits the first tp order) I can also use the ATR indicator if I'm unsure. SL are typically originally setup for where the reverse trades are set or a few pips within to account for whipsaws in the market or quick traps that happen.

Second strategy consists of the following charts:

1. Slower moving pairs such as EURUSD/USDJPY
2. 200HMA/MACD
3. 15 minute tf

This one is quite a bit simpler but seems to work better on slower moving pairs. (It helps with managing the trades quite a bit better. I will look for the buy when there is a bullish candle above the HMA as well as the MACD creates its bullish line. Opposite is seen for a bearish trade (A bearish candle below the HMA and a bearish line on the MACD). Keep in mind, the HMA has to be in the bullish or bearish direction on either the buy or sell (I do it by color which makes it easy because the line will be blue for bullish and red for bearish just like the candles). So just because the candles close above or below the HMA, doesn't mean I will jump into the trade unless the HMA is matching. I typically will only look for a trade when the conditions match exactly and at the beginning of momentum (MACD for momentum). I typically wont trade if those conditions meet during the middle of a trend or the middle of the momentum. This works out approximately 70% of the time for me but typically will catch fewer pips. I'm usually looking at a 10-20 pip risk vs 20-40 pip reward when I use this strategy. I will usually look for a 2/1 reward for risk ratio. I will look to implement the 2 trade execution method in the first strategy, but will only use pending orders for the reversal and market executions for the direction I believe it is going in. :)

Sat, 04/27/2019 - 2:00pm

Thanks for sharing. I might try that to see how well it works for me...



I have yet to use the BB BANDS but i'm interested!