EDIT: For anyone new to NNFX (No-nonsense forex) he goes by VP and has a youtube channel where he explains how to build a systematic trading strategy, check it out if you're interested. submitted by
Not how I trade anymore, but I've collected quite a few indicators that others might want to use. These did well in my testing but I can't guarantee that they will work well for you. These are for MT4 on the daily chart, and I've given the best parameters (which were optimised for) in brackets. This is all for the NNFX strategy, meaning that I had a stop loss at 1.5x ATR and a half TP at 1x ATR.
C1/C2 (Trend indicators):
- T3_Trend_CF(32): https://www.mql5.com/en/code/7496
- Trinity_Impulse(27, 11): https://www.mql5.com/en/code/9717
- Momentum(16 zero cross)
- The_Heavy(38, 38): https://www.mql5.com/en/code/11567
- Schaff_Trend_Cycle(6, 25, 13 entry when it curves down/up): https://www.mql5.com/en/code/17700
- Volatility Ratio(13 enter with trend when green): https://www.mql5.com/en/code/26159
- Waddah Attar Explosion(Histogram above the line): https://www.mql5.com/en/code/7051
- Rex(44, 25 or 19, 11): https://forex-station.com/download/file.php?id=3354211&sid=4021ce6670f5aed2e5ff117d3aa541a0
- Waddah Attar Explosion(Histogram below the line):
- Trailing stop at 1.5x ATR
- NOT HULL, it repaints heavily
- Didn't do well using one
So, in short about me, Im in my mid 20s, and have been trading for about 5 years. The first 2 I did not take seriously at all, I was in college, working a lot and had a lot happening, long story short, I have given it my all the past 3 years and have done really well to the point Im starting to have close friends/family ask me to teach them or how to get started. Im not here to teach anyone or promote anything so please do not PM me asking for my strategy or for help on any of the things I mention. My only reply would be to use your friends google and youtube to do your own research into each checklist item, if I even responded at all.
Anyways, today id like to just try to give back to this sub a little bit. I see a good bit of negativity on here and have even found myself bickering with users on here which has led me to pay a lot less attention to this sub altogether. One thing I recently noticed is that we are at 80k members in here! I think I subscribed just 2-3 or so years ago and it was around 15k. So that tells me that up to ~80% of this sub probably has less than 3 years experience. So obviously a ton of people are all here debating/arguing/attacking/trolling ideas/topics or users that are likely still in the learning phase so this sub I feel like can often discourage or delay a new persons chances of success because everything about forex is subjective, Technicals, Fundamentals, RM/Psychology, all of it is subjective and when users clash it often ends up toxic and someone that is new may completely give up just because they ran into some asshole on here. I believe what I share could benefit this community and if it happens to do so I may post more breadowns on different topics.
For me personally, I enjoy daytrading. I've tried all types and find daytrading to be the best fit for me. I trade the London/NY crossover, for me that is 5-9:30am central time. Occasionally ill come in an hour early or stay an hour late. I trade 18 pairs, majors, crosses and gold, occasionally silver. No CHF and only few NZD. I know countless people who do just fine with CHF and NZD but from my results over time I do the least well with those. The RSI is mainly the only indicator I use, occasionally an EMA or Bollinger band. Also I have a sessions indicator I sometimes use that I had a friend make for me that outlines a box around my 5-9:30 time and range.
My list of factors in being a successful trader, in order are
- Risk Management
*Ill go ahead and state, directed to newbies, that strategy is important but is one of the lesser important factors in the sense of thinking long term, most new traders are out strictly searching for the golden strategy, which doesn't exist or it would be well known, even my best strategy is around 80% which I believe is awesome but without having 1-3 covered, any strategy is useless.
This is my checklist, in order, although some are kind of closely related. I could go on and on about every point but ill try to keep it short and let you use your friends google and youtube to go further into any point you are more interested in understanding better.
Before the trade/before I start trading this takes around 15 minutes for me to have all these in check, so I arrive at my desk around 4:30-4:45am to get all these in check
- Psychology- your mental state is the most important factor. You need to be in a clear state of mind and not have anything heavy weighing on you.
- News- Go ahead and be aware of upcoming news events, I use forexfactory.com and only takes me a minute or 2 to review the news and get a bias on what might happen or if any currency should be avoided due to high impact news.
- Risk Management- Never take a trade risking over 1-2% of your account is kind of known standard for decent risk management. I would mostly agree but I'm personally super conservative and trade 0.25-1% per trade. Also I aim for trades with at least a 1:2 Risk:Reward, never ever less than a 1:1. When trading most days, I already kinda have the pip value and expected risk lot size in my head before im even at my desk, just because its fresh on my mind. I use https://www.myfxbook.com/forex-calculators/position-size to calculate my risks if i'm unsure.
*The more data you can gather about the pairs you trade the more you can use RM to your advantage, For instance, I backtest ALL THE TIME, constantly trying to learn as much as I can about my pairs such as: How many trade setups did each pair produce each week, month year? What pair produced the most setups? What pairs provided the most wins, losses or breakevens? What time during my session did the trade setup form? How many trades went for 20 pips, 40 pips or 100 pips? (for swing traders or scalpers you may want to adjust these numbers) Did news affect my trades? What happened in the Asian session? Early London session?
Knowing this information allows me to organize my attention to the more profitable pairs for my strategy. I'm almost certain very very few people may have the same exact strategy I use but just as a tid bit out of my 18 the best ones for me in 2019, not necessarily in order, were GOLD, GBP/AUD, GBP/CAD, GBP/USD, GBP/JPY, EUAUD, EUCAD. These 7 have been my favorites and most reliable, so I will do 0.75-1% risk for these. Next preferred, in no particular order, are EUGBP, CAD/JPY, AUD/JPY, AUD/CAD, EUNZD, GBP/NZD, GOLD/EURO. For these 7 I use a 0.25-0.75% risk. The last 4 are EUUSD, USD/JPY, USD/CAD, EUJPY, which I use a 0.25% on typically. This doesn't mean the pairs suck or anything, again this was based off my strategy, could be completely different for you but I hope you can see how this improves your odds vs just slapping a 2% trade across all pairs. If you do some research you'll find my best ones were also some of the most volatile and had higher ADRs.
- Trend. Since I daytrade I don't pay as much attention to H4, D1, W1, M1 although I do establish a bias for these timeframes, and I typically don't check these everyday honestly, because Ill already know in my head where these are. So I check H1, M30, M15 for my daily bias, Trying to establish a good trendline on the H1, preferably a nice channel.
- What did Asian/Early London sessions do? My trades typically form bettemore often/more reliable when the Asian session is mostly flat or around a 20-50 pip range, more or less depending on the pair and ADR.
So these are before, this section is about being aware of news and establishing bias'. Also note other than news, your bias' may or may not be correct, this is simply just getting an idea before we jump into ouyour session. It takes me a short while and it worth doing, especially the psychology part, I probably spend half of the time just on number 1, not to watch some motivation video or get super pumped but more so just getting relaxed, putting worries aside if there are any, getting rid of distractions, maybe some light/short meditation. 4:30-5am is definitely a quiet time so its relatively easy to do. I might have a cup of coffee but no more than 1-2 to not get jitters or too much hype in me.
During my session/preparing for a trade. I wont go in to my specific strategy but I believe the checklist can work with many strategies.
- Wait for overbought/oversold on RSI, over 75 or below 25. I don't trade in the middle of the range, simple rule we all know buy low, sell high. I set an alert for when the RSI hits either 75 or 25 so I can start to pay attention to it. I simply wait for an RSI alert then bring that pair to my attention. THIS DOES NOT MEAN ENTER AS SOON AS RSI IS TOUCHED, It just tells me I may potentially have a setup form on that pair soon. The alert allows me to trade 18 pairs relatively easily because there's no way I could sit there and constantly be flipping through charts for hour on end. I have been (what I feel like is) more aggressive in the recent years trading this many pairs. I have a reliable strategy that I could easily cut the the latter 4-11 pairs I mentioned out and just get paid off my best 7 which I probably will in the future as i've gotten more involved in other businesses and opportunities. For now and recently it hurts worse than a loss to know there was a clean trade setup that I missed just because I didn't have it up on MT4. A loss I can study and identify why I was wrong or what went wrong, a missed clean pattern just sucks lol
- Pattern/Setup. There's a ton of candlestick/pattern formations that happen and people learn an example here where a user posts a lot of charts and examples of all kids of patterns. https://bitcointalk.org/index.php?topic=4846473.0 So again for new traders, This can be incredibly overwhelming to attempt to learn everything and every pattern. I trade 4 patterns total, 2 when buying , 2 when selling. My advice is find a pattern or 2 and stick to them for a decent amount of time before switching or trying others, I know plenty of traders that stick to 2 patterns, 1 buy, 1 sell and are set. I've studied many but have found my favorite 4. You have to pick a pattern and pay attention to it over time gathering all the info you can to understand if that pattern works well. Every single pattern you can find online has happened on every single pair before, often times over and over and over. Find a pattern/setup, study how much it moves, if news affects the pair, how many times that patterns forms, how it acts around trendlines, etc.
- Once I have identified a clean setup I begin to think risk/reward, SL/TP, entries/exits, having clear risk and targets in mind instead of jumping in and hoping it goes well. I pay attention to recent levels, Support/Resistances, Trendline touches and news to get an idea to where to place my SL/TP. I wouldn't recommend just using a flat amount for an example such as a 40 pip SL and a 80 pip TP across all pairs. A value of a pip changes across different pairs (An entire topic that should be learned but the calculator from myfxbook I stated takes care of the pip value for you.
- I check other pairs that have the same currencies involved from the pair I received an alert on to see if there are similar setups forming on those. Currencies have positive and negative correlations, meaning some pairs move together and some pairs move opposite. For instance typically EUUSD and GBP/USD move in the same direction and EUUSD and USD/CHF typically move in opposite directions. This is largely due to economic factors. Here's a link that gives a little more insight but this one doesn't list all of the correlations out there. https://www.markettraders.com/blog/understanding-currency-pairs-correlation/. So if I see or get alerted for a potential setup on EUUSD I can check GBP/USD to see if there is a setup there too.
- Enter after patten had been confirmed and is clean.
So these 5 are leading up to entering the market. Based on my backtesting, I typically get around 3-4 setups per day. Sometimes theres none, sometimes theres 10. I never ever force a trade on a slow day, I know that my pattern will happen eventually so I never take a setup I think is iffy or that im forcing. Also that is another reason I keep my risk low incase there are days where 10 trades happen that all look good.
So for my session I place my trades around 5-9:30am central time and I usually close them by noon cst when NY session has ended and prices start to go flat. Occasionally I might hold for a day or 2 if I took a good trade in line with the trend and other factors. So after the trades are placed I have just one thing left
- Psychology- I said this was the most important, it comes full circle for me and many other. Trading my session and my strategy means my trades could be open for 5 minutes or up to 7 hours. A good trader needs to be able to handle his emotions and trust the process. This means trusting in your setup and let it run while also knowing when to get out in case it show signs of going against you. A traders real job is to manage risk, not to make big trades or a ton of trades. The more selective you are after you've learned a pattern and having everything else in line, the better. There are 5 outcomes of every trade Big win, small win, breakeven, small loss, big loss. To become a successful trader you just need to eliminate the big losses. For me I look at a small win and a small loss basically as breakeven trades. This helps with my psychology because to me it all ends up evening out, just the cost of business. If you take a small loss or small win and let that affect your psychology going to the next trade youre hurting yourself. Sometimes I take a 5-10 pip profit instead of holding and then it going against me for a loss and sometimes I take a 5-10 pip profit and it could've been 100 pips in my favor. Oh well, I protected my account and I know more setups will come tomorrow or later this week.
That is my complete checklist for entering the market. 11 bullets to cover, 5 before you start your session, 5 leading up to entering and 1 during/closing the trade. I hope this will be beneficial to some and may try to post a little more if I see it is helpful. Thank you for still reading this far! Best wishes in your trading endeavors and 2020!
Edit: I forgot to mention for a beginner or any skill level I highly highly recommend getting a simulator. There’s several out there, I don’t want to break any rules by naming which one I use, but they basically all work the same, all close to $100 which if you understand the power of backtesting you realize how necessary it is to have and that cost is nothing. A simulator allows you to download the candlestick tick data for any pair, for as far back as the pair’s chart goes. So then you can pick a day in the past, any day, pick your timeframe, and press play and the chart will start playing out like it actually did on the day it happened. So you see every little tick up and down. You can control the speed and speed it up fast so you can cover a years worth of trading of a currency in just a few hours. This makes it really easy to get a ton of accurate data in a short time. Demo trading is cool but fully controlled simulated trading kicks ass. I can’t recommend it enough.
Edit 2: my apologies for showing my ass in the comments right after I spoke about the negativity in here. I posted this at local time 4 am right after I stayed up finishing my 2019 backtest results and then I noticed the 80k members and felt an inspiration to post something what I thought could be helpful. I spent over an hour on this post and the lack of sleep and 2 straight all-nighters allowed me to allow others to get under my skin after they come at me with some dumb shit. If you see a post from me just know I’ve put some thought into it and am attempting to bring value. Haters gone hate. If I see some are receiving value I’ll keep it up as long as I know it’s something valuable. Again I have nothing to sell or promote even though others assume I do just for posting this. I specifically said stay out of my inbox. Whatever I decide to teach it will be fo free. Thanks again for your time.
Volatility MT4 Indicator – shows the current volatility in the market. Something like ATR, but more faster in showing current market volatility. Parameters: MaPriod – smoothing period value – select the change level from gray to blue color, blue after gray means it’s time for trade. Download Volatility MT4 Indicator The Volatility MT4 Indicator Settings. The preferred settings for the Volatility MT4 indicator are the default settings. We’re going to use a “MaPeriod” of 34 periods while for the ”value” variable we’re going to use a 0.5 period. Basically, this means that the Volatility MT4 indicator will measure the volatility of the last 34 bars based on the high-low prices. Kaufman Volatility Indicator How to install the Kaufman Volatility Indicator on your Metatrader 4 trading platform? Download the indicator by clicking “LINK” button at the bottom of this post. Copy and paste the Kaufman Volatility Indicator files into following folder of your Metatrader 4 (MT4) platform: MQL4 > Indicators. You can gain access to the […] This is the MT4 version of the Parkinson's Historical Volatility indicator coded by Mladen. As explained by Mladen: The Parkinson's number, or High Low Range Volatility developed by the physicist, Michael Parkinson in 1980, aims to estimate the Volatility of returns for a random walk using the High and Low in any particular period. Download our content for free & unlock your true trading potential today. Volatility Indicators for MT4 Volatility Indicators for Metatrader 4 Example: Average True Range shown on a ProRealTime Chart
Download Volatility Pivot Forex MT4 Indicator- https://forexmt4indicators.com/volati... ForexMT4Indicators.com are a compilation of free download of forex strategies, forex systems, forex mt4... Volatility Indicators are an important part of any trading strategy that relies on markets having good price movement. Check out our top picks for Volatility Indicators including a bollinger band ... I'm excited to share my new indicator the Bollinger Bandwidth Indicator v1.0 for MT4. The concept created by John Bollinger which measures the distance between the upper and lower bands. No Nonsense Forex 1,812,054 views 32:00 🔴 Volatility 75 index strategy • perfect entry • RSI strategy • Boom & Crash Index by Boss Trader - Duration: 10:01. FREE Multi-Time Frame (MTF) Volatility Indicator for MT4 and MT5 - Installation Guide - Duration: 11:06. Optimus Futures 2,129 views