*** UPDATE July 25th, 2016 ***
*** Starting from post#528 Yen Trader evolved into Cross Trader
*** where system idea is applied to all crosses, not only yen crosses
Pairs : XXXJPY, where XXX is one of the major currencies (except USD which will be used as a reference currency).
Time Frames : H1, H4, D1
Simple Method
*** Starting from post#528 Yen Trader evolved into Cross Trader
*** where system idea is applied to all crosses, not only yen crosses
Attached Image
Pairs : XXXJPY, where XXX is one of the major currencies (except USD which will be used as a reference currency).
Time Frames : H1, H4, D1
Simple Method
- If XXXUSD is UP and USDJPY is UP --> BUY XXXJPY. EXIT when either XXXUSD is DOWN or USDJPY is DOWN.
- If XXXUSD is DOWN and USDJPY is DOWN --> SELL XXXJPY. EXIT when either XXXUSD is UP or USDJPY is UP.
- IF USDXXX is UP and USDJPY is DOWN --> SELL XXXJPY. EXIT when either USDXXX is DOWN or USDJPY is UP.
- IF USDXXX is DOWN and USDJPY is UP --> BUY XXXJPY. EXIT when either USDXXX is UP or USDJPY is DOWN.
One way to define UP and DOWN on H1 time frame (as an example):
- Pair is UP if current price is greater than where it was 24 hours ago. Greater by a min of x pips. where x is H1 ATR(24).
- Pair is DOWN if current price is less than where it was 24 hours ago. Less by a min of x pips. where x is H1 ATR(24).
Similar approaches can be applied to H4 and D1, so for H4 we can compare current price to a week ago, and for D1 to a month ago.
No guts, no glory