Hi Gang just to allow you to know I have been backtesting a mechanical trading method a well respected professional trader gave me a very long time ago. The fact it makes money is proof this man knew what he was talking about.
Anyway here is your machine.
On a 1HR chart bracket the GBP/USD bar that closes at 8AM BST set a buy order over that pub and a market order under it.
Once in a commerce the order not triggered becomes the halt. You can remove that prevent order and replace it with an OCO together with the other leg of OCO as your limit order, so you can then walk away from the PC.
STOP other side of trigger candle.
RULES
Bracket shouldn't be over 50 pips including spread. Even better if it is 45 or less. That way if you've got a state 3 losses in a row another 3 wins will need to 15 pips ahead.
NOTES. I have only backtested this egy back 2 months. As that is as far as my metatrader indior goes. Should you know of an EA that allows me to test further please let me know. During the period between August 12 2009 and October 8 2009 my test returned 801 pips based on the above criteria using a single lot.
If you would like to backtest further please do this and post your results. I have looked at multiple exits and from my experience they are not beneficial since your losses are times as big but you wins aren't.
Your ideas loved