My Forex Box Trades

[Trading4Living]

Hi

I used to trade S&P 500 with very good returns till last Oct when the market went crazy check my old thread:

http://www.elitetrader.com/vb/showthread.php?s=&threadid=130414

Since then I was watching the Forex market and I've been trading it with a very simple approach and I've been making even more money than I used to make in the S&P 500

I started posting my forex trades on my blog if you don't know it just Google
"Becky Biggs Trades"

I will also post some screenshots
here of my trades every weekend

I am also offering my trading method for free PM me if you are interested.

Becky

Here is my approach:

===================

Setup:

(1hr chart)

EMA pairs of 5 and 2 (5 in red color - 2 in black color)
EMA 50
stochastics at standard settings 8,3,3 (mainly for divergence)

That's all

I go short when price is below EMA 50 and when the red ema goes below
the black ema

I also go short only when there is a pullback to the ema 50, so if the price is moving down then it retrace up to touch the ema 50 line then goes back down with ema 2 below ema 5 then I go short

For long just the opposite, price must be above ema 50.. price is movin up then it retrace a bit to touch the ema 50 and then goes back up with ema 2 crossing above ema 5 then I go long...

I don't risk more than 75 pips first target is 100 pips

if the market is moving sideways all EMA will be moving so close to each other I don't trade at that time I always wait to see a smooth movement
ABC kinda a thing to trade...

I average about 200 pips a week.
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[marketsurfer]

any relation to Barton?

 

[Trading4Living]

nope, is that a similar approach?

 

[marketsurfer]

Quote from Trading4Living:

nope, is that a similar approach?

surely you jest:

http://en.wikipedia.org/wiki/Barton_Biggs

 

[Trading4Living]

wow I hope we were related then

 

[stevegee58]

Sounds just like this guy's setup only without the Andrew's Pitchfork.

50 EMA, Stoch 8,3,3

He uses the pitchfork to determine trend direction, only taking trades that way.

 

[wavefinder]

What time frame are you trading on?

 

[Trading4Living]

I am trading the 1hr chart.

I use stochastics only to spot divergence so for example if I am going long and there is a bearish divergence developing I pass the trade that's pretty much it

 

[stevegee58]

Your first post was a little ambiguous. Do you *only* take the trades where price has retraced to the 50 EMA?

Quote from Trading4Living:

...I go short when price is below EMA 50 and when the red ema goes below
the black ema

I also go short only when there is a pullback to the ema 50, so if the price is moving down then it retrace up to touch the ema 50 line then goes back down with ema 2 below ema 5 then I go short

The first statement implies you take all short red/black crosses when price is below the 50 EMA. The second says you wait for the retracement.

 

[Trading4Living]

I wait for the retracement every time