The Compounding System
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thread: The Compounding System

  1. #1

    The Compounding System

    Hi

    I've one system and I am planning to perform manual testing daily. All traders are welcome to take part in this testing.

    Probability Game Strategy Use M5 Chart Just EU pair is recommended NY Time 08:00 near Candle (Modifiion: This system based on PA so we can modify it by looking first candle (open and close price). If available price is smaller than shut price it is buy and if available price is higher than closing price then it is sell.) Quite simply if candle is market candle then it is sell and if it is buy candle it is buy order Candle near at 1.32594 (consider it is buy) In the final value of candle. Add/subtract 10 pips to final value and it is TP. I'm not fan of putting Hard SL so if price go below 10 pips from closing value so value will be (1.32594), close the trade with loss and open Brief place at 1.32594 and subtract 10 pips from this value and set TP. If price go up again in 1.32694 then close the brief position and open long position with above given rule. It's crucial to keep in mind that first place should open with 0.1, second with 0.2, third using 0.4 and fourth using 0.8 Use broker that offer you two or less than 2 pips spread. It's possible to check Exness or Alpari (it is completely your choice) On the screenshot, red line is symbolizing the candle close on M5 chart and it is also showing final value of candle. Second screenshot is currently showing green lineup. Criteria to recognize the days that are successful is that our TP should reach in maximum of 4-5 trades. Bear in Mind this Is Quite risky system

  2. #2
    August 26, 2014:

    according to guidelines, M5 candle near at 1.31917 so

    - Long at 1.31917 with 0.1 (Red line shows the candle that shut at 1.31917)
    - TP is 1.32017 (TP is green line)


    Take Profit is achieved and there was no requirement to open another position.

  3. #3
    August 27, 2014:

    Now is best example to describe the compounding system.

    As per rules, M5 candle near at 1.31797 so

    - Opened Long position at 1.31797 with 0.1 (SL hit 1.31697)
    - Because SL hit 1.31697 so open short position at this respect (but SL hit for this particular position in 1.31797)
    - Because SL hit 1.31797 so open long position at this value
    - Our TP hit 1.31897


    Take Profit is accomplished and there was no requirement to start any position.

    Outcomes:

    First Long position = -10 Pips
    Second Short position = -20 Pips
    Third Long position = 40 Pips

    End Result: -10-20 40=10 Pips

  4. #4
    August 28, 2014:

    Another successful day with this particular compounding system.

    As per rules, M5 candle near at 1.31812 so

    - Opened Long position at 1.31812 with 0.1 (SL hit at 1.31712)
    - Because SL hit at 1.31712 so open short position at this respect with 0.2

    - Our TP hit at 1.31612


    Take Profit is accomplished and there was no requirement to open any other position.

    Outcomes:

    First Long position = -10 Pips
    Second Short position = 20 Pips


    End Result: -10 20=10 Pips

  5. #5
    Your system looks really nice!!!
    Looking ahead to see some more upcoming transactions

    btw, do you have some experience how this strategy functions in such periods?

  6. #6
    your system seems really fine!!! Looking forward to see a few trades btw, have you got some experience in such periods how this strategy performs?
    If you check the history of EU pair, such as period is 20 pips and also our TP is 10 pips so we're good in ranging stage. Incidentally, I totally forgot to mention that I urge only EU pair for this egy.

  7. #7
    Junior Member Jakkioxn's Avatar
    13
    Just how many compounds do you visit and when can you call it quits?

    In the Event That You got.1 then.2 then.4 then.8 then .16 and still lost, then you have effectively wiped out most of the winnings up to that date

  8. #8
    I only had a quick visual backtest...

    what could you consider, maybe to bring an 200 SMA as a filter.
    By way of instance, price below start with brief; price above start with long??

  9. #9
    So how many compounds do you visit and when do you call it quits? If you got.1 afterward.2 then.4 then.8 then .16 and lost, then you have effectively wiped out the majority of the winnings up to this date
    Yes, thats why I called this system very risky. I'm testing this system and then consider it if it goes for 30 days. Criteria to identify this system's achievement is that TP should reach in maximum of 4-5 trades.

  10. #10
    I only had a quick visual backtest... what would you think about, possibly to add an 200 SMA as a filter. For example, price below begin with short; price above begin with
    Yes I thought about it and you are able to add it as filter but I will carry on testing exactly the same manner like I do.

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