OK - Traditionalists need not read...
Great post.. I will be trying this very soon. Retry to upload your files. If you cant, upload to rapidshare or similar and post link here 
https://www.mql5.com/go?link=http://rapidshare.com/files/58881260/GBPShouldLookLikeOn092807.jpg
(This is what charts for friday 09/28/07 should look like)
https://www.mql5.com/go?link=http://rapidshare.com/files/58882447/092807ClosedTrades.jpg
(This is 09/28/07 Trades closed)
https://www.mql5.com/go?link=http://rapidshare.com/files/58882493/SeptROI.jpg
(This is a "manual" listing of ROI - document from broker is available on request..)
Thanks for the rapidshare tip!!
I attached screenshot of the current situation of USDJPY on my broker. I added an arrow to what I understood to be the odd hair. So in this case, if I understood well, I guess I have to go long since the odd hair will correct it self, right?
Another thing, I used my own broker time to draw the lines and not GMT time. Will this have some adverse effects?
And where do I exit?
I have never tried this on /JPY pairs...I usually don't do anything with those for many reasons..
on the timing - I'm not sure there either - anyone who has watched these with me has adjusted to GMT so we're "all on the same page"
May I suggest watching more than trading to see what happens? I'm clueless to what the time adjustment will do - I do know one person who uses a different time - we don't talk much - cuz, well, it seems the channels are always different betweent us - but, as I'm typing this, he JUST skyped a 31.8% ROI for sept...so, maybe it will work!!!
Certainly worth trying, I personally haven't moved from GMT because my broker is on it and it's working and I don't like trying to fix ANYTHING that's not broken!!!
According to your screen shot - It looks longable - I'd suggest at the point drawing single channels on longer times and see where current price is related to longer trends...
I think the exercise of doing some single channels on weekly charts is very "revealing" -
As an exercise - put a single channel on weekly charts of GBP/USD and EUR/USD - notice where GBP is currently related to where EUR was a few weeks ago - (On these, I draw them from roughly november 2005)
THEN, do the same on a EUR/GBP chart - to me this "collection" indicates a possible EUR sell off and GBP buy coming soon...
BUT, the concern I have currently is the housing/banking situation in the UK..
Hmm interesting ... thanks for sharing autolox. Will look more into this.
Hi autolox
thks for sharing; i am not able to download as rapidshare keeps asking for payment ie have to wait xxx mins to download ... and even after waitng xxx mins, I was told wait yyy mins....
As a result I don't fully understand this part: when do you long and short yr orders?
I do a good bit of "in the game" trading with this system -
IE - Usually the first thing I do is look at a weekly chart with a single channel on it and determine which direction has the most "room" to move -
If you take a WEEKLY EUR/USD chart and draw a single channel from lows of approx. Nov. 2005 to current - (at the time of this writing - Oct. 5th, 2007) - you'll see that price on the pair is up at the top of the channel - and if you look at the 30m setup - you'll see the blue channel has some down angle to it -
On the weekly chart - you'll see the "pattern" price has followed for sometime - and the way it has moved to a fairly consistent "measurement" to the bottom and top of the channel since Nov. 2005..
Of course at this time - fundamentals certainly aren't in favor of the USD - so, I'm considering that weird things could happen - I do consider it time to short the EUR/USD right now - but I'm playing the trades VERY tight...using VERY little margin..
Here's what I mean by "in the game" - on the 30m setup - I may scalp the red channel A LOT - I'll do this in the direction I see as the least risk and look for price to rise on the red channel to about the center line - at that point - I'll put a short in and plan for it to drawdown, but, sometimes price does bounce from the center red a little bit and I'll get a few pips from that bounce.
If the trade drawsdown from the center of the red channel - I'll look to add to it from the upper side of the red channel if I'm short - I'll look to add to a long from the lower end of the channel -
I'll also consider which side of the Yellow/Blue channel price has "interacted" with last..
IE - if price has last "touched" the top of the blue channel - this gives me the indication by this setup that it's good to short - BUT, if the last time price has touched the Yellow channel was on the bottom - this indicates to me it's time to wait for price to approach the center of Yellow on the way up - or wait til closer to the top of Yellow to short...with consideration of price action in relation to the red channel if I'm scalping..
Clear as mud?
Biggest encouragement I can give to anyone about this is to setup the channels - keep them to the current 30m bar, and either demo trade for a little bit OR trade VERY small volume/levels of margin so you can see how price interacts with these...
Some systems aren't for everyone - we're all "wired" differently - don't feel bad if it doesn't work for you - it's not an insult to your intelligence if this system does nothing for you...it just means you're different from me - imagine that!!
Best of Luck to you...
Feel free to post any other questions...
I do a good bit of "in the game" trading with this system -IE - Usually the first thing I do is look at a weekly chart with a single channel on it and determine which direction has the most "room" to move - If you take a WEEKLY EUR/USD chart and draw a single channel from lows of approx. Nov. 2005 to current - (at the time of this writing - Oct. 5th, 2007) - you'll see that price on the pair is up at the top of the channel - and if you look at the 30m setup - you'll see the blue channel has some down angle to it - On the weekly chart - you'll see the "pattern" price has followed for sometime - and the way it has moved to a fairly consistent "measurement" to the bottom and top of the channel since Nov. 2005..Of course at this time - fundamentals certainly aren't in favor of the USD - so, I'm considering that weird things could happen - I do consider it time to short the EUR/USD right now - but I'm playing the trades VERY tight...using VERY little margin..Here's what I mean by "in the game" - on the 30m setup - I may scalp the red channel A LOT - I'll do this in the direction I see as the least risk and look for price to rise on the red channel to about the center line - at that point - I'll put a short in and plan for it to drawdown, but, sometimes price does bounce from the center red a little bit and I'll get a few pips from that bounce.If the trade drawsdown from the center of the red channel - I'll look to add to it from the upper side of the red channel if I'm short - I'll look to add to a long from the lower end of the channel - I'll also consider which side of the Yellow/Blue channel price has "interacted" with last..IE - if price has last "touched" the top of the blue channel - this gives me the indication by this setup that it's good to short - BUT, if the last time price has touched the Yellow channel was on the bottom - this indicates to me it's time to wait for price to approach the center of Yellow on the way up - or wait til closer to the top of Yellow to short...with consideration of price action in relation to the red channel if I'm scalping..Clear as mud?Biggest encouragement I can give to anyone about this is to setup the channels - keep them to the current 30m bar, and either demo trade for a little bit OR trade VERY small volume/levels of margin so you can see how price interacts with these...Some systems aren't for everyone - we're all "wired" differently - don't feel bad if it doesn't work for you - it's not an insult to your intelligence if this system does nothing for you...it just means you're different from me - imagine that!!Best of Luck to you...Feel free to post any other questions...
hi thanks for your system .... did u ever cut your losses ....and how many pips ?
August 16 to about 1.5 weeks ago - I did 312 trades in a row with no losses - some did run for a little bit...
I did take some losses at the start of this week - to protect principle - I did give up a little bit of buffer...an acceptable amount though...IMO...
Working on getting a 500+ streak goin'..
I lost track of the pip count after about 2000....
total ROI for Sept. doing this was 29.93%
(Posting PnLs and such seems to not work real well for me - don't know why..If you'd like to PM me an email addy - I'll send you documentation of the results...)
First off,
I want to express thanks for the warm welcome of this site - I had bookmarked a few posts from here and had never posted much....There are obviously some SERIOUS traders here not just playing with the FX market.
In regards to the setup described initially in this thread:
Make sure your channels are "rayed" - On your properties of the Channels - in the middle tab - make sure you have the "ray" box checked...
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I trade with NO stops, but FOCUS totally on MONEY MANAGEMENT. I have had some trades I've held for a little bit waiting for them to come back in my favor - BUT, GOOD MONEY MANAGEMENT prevents getting any where NEAR a margin call - I know at ALL TIMES exactly where I should be concerned about a margin call - I keep that figure OVER 1300 pips away, as an exercise - look on any of the pairs listed later and see where 1300 pips away is...and on most pairs, if we go there - something should be going on that makes worrying about my FX account piddly in comparison..
Part of the method described here relates to standard deviation - so, I'm well aware of when a trade is definitely going against me and where I should be concerned about a particular trade being a bad decision.
Here's what I do -
(READ A SMALL SECTION, DIGEST, THEN MOVE ON)
In MT4 - customize your tool bar that has FIB retrace - include the "Linear Regression Channel"
(ACT AND DIGEST)
On a 30m chart - draw three of them..
1st one is from newest GMT MIDNIGHT (I color this one RED)
2nd is from PREVIOUS GMT MIDNIGHT (I color this one YELLOW)
3rd is from PREVIOUS GMT MIDNIGHT BEFORE YELLOW (I color this one blue)
On these channels, when you draw them, they do NOT adjust vertically when you move your mouse up and down, they ONLY adjust horizontally.
Draw these from the midnights described and keep the RIGHT point of the channels on the newest 30m bar at all times...(If kept properly on the newest 30m bars - you will see the channels react to price action - these channels will "flex" and "stretch" if the top or bottom of them are tested..)
(A MAJOR thing to watch with these - sometimes the LEFT point of the channels get a wild hair and decide to adjust a little bit on their own..watch for this..keep the LEFT point ON THE MIDNIGHTS DESCRIBED)
(ACT AND DIGEST)
When a NEW DAY starts - here's what I do -
BLUE and YELLOW channels advance to the next day, I move RED to 1800 GMT. (Little explanation - lets say RED is on 0000 GMT MONDAY - when 0000 GMT TUESDAY arrives - I'll move the left point of the RED channel to 1800 MONDAY).
NOW, once the new day gets to 0600 - I move the LEFT point of the RED channel to the newest MIDNIGHT.
(ACT AND DIGEST)
Make good trades that display excellence in MONEY MANAGEMENT - This is best started on DEMO or VERY SMALL LOTS to get used to it - Seeing the way the channels react to current price movement should be studied for about a week - it'll make more sense with some dedication to it.
I use NO OTHER INDICATORS with this method - no stochs, no RSIs, no FIBS, no MAs, NOTHING except these..
I also keep a single channel on the WEEKLY chart of the pairs I trade using this.
Pairs I focus on - EUR/USD (both directions) - AUD/USD - (only longs, buying on dips to bottom of any chanels) - USD/CHF - (only longs), GBP/USD (ONLY LONGS), EUR/GBP (some long, some short)
(something happened while trying to upload a screenshot of the ROI for the month of sept. using this system..)
I also have a MoneyManagement Spreadsheet that I use RELIGIOUSLY - I know all the time PRECISELY how much margin I'm using, and how my margin will be affected by adding the next trade - for ANY system you're using - this should be FOCUSED ON WITHOUT QUESTION - GOOD MONEY MANAGEMENT!!
I've used this since august 16, 2007. Up to this week - I ran a win streak of 312 in a row with no losses doing what I've described here..I'm willing to post proof of the track record if its allowed here - some sites remove posts because of this, so, if you're interested in the proof, PM me...
IMO - all traders when looking at a system, especially for purchase should request a PnL or SOME kind of documentation showing that trading using that system/method is successful BEFORE paying for it...
Enjoy!
(ACT & BANK PIPS)