Friday, August 29, 2008

online forex trading :: Easy GBP/USD forex System

Easy GBP/USD forex online trading System


1- Close out any open positions
2- Cancel any unexecuted orders
3- Set an Entry Buy order 1 pip above previous high
4- Set an Entry Sell order 1 pip below previous low
5- Set stops and limits using the following guidelines:

50 pip profit target, 25 pip stoploss if ADR ABOVE 200
40 pip profit target, 20 stoploss if ADR BETWEEN 175 and 199
30 pip profit target, 15 stoploss if ADR BELOW 175

Do no trade if ADR is below 100

How to calculate ADR (Average Daily Range)

It may be easiest to use an excel spread sheet for this.

Take the H/L for each day, for the past 14 days.

For each day list the amount of pip's between the H and L

Example. H = 1.5623 L = 1.5586

5623 – 5486 = 137

Add the total amount of pip's for all 14 days and divide it by 14.

This will give you the average daily range.

Average pips: +250 – 300 /month.

Max drawdown since 2004:175 pips.

Online Forex trading

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