We entered at 1.9178, placed stop loss at 1.9138
First lot taken out at 1.9218
Second lot taken out at 1.9331
Third lot taken out at 1.9316
www.TrendForexSystem.com – All Rights Reserved - 2006
Friday, June 20, 2008
Profitable Trend Forex System
L2 Signal:
We entered at 1.9178, placed stop loss at 1.9138
First lot taken out at 1.9218
Second lot taken out at 1.9331
Third lot taken out at 1.9316
www.TrendForexSystem.com – All Rights Reserved - 2006
We entered at 1.9178, placed stop loss at 1.9138
First lot taken out at 1.9218
Second lot taken out at 1.9331
Third lot taken out at 1.9316
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
.2. L1 & L2 Signal Examples
L1 Signal:
We entered at 1.9039, placed stop loss at 1.9010
First lot taken out at 1.9069
Second lot taken out at 1.9137
Third lot taken out at 1.9141
www.TrendForexSystem.com – All Rights Reserved - 2006
L1 Signal:
We entered at 1.9039, placed stop loss at 1.9010
First lot taken out at 1.9069
Second lot taken out at 1.9137
Third lot taken out at 1.9141
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
First lot was taken out when price moved the same distance as stop
loss. Second lot was exited when HMA5 turned down (indicated by the
blue rectangle).
www.TrendForexSystem.com – All Rights Reserved - 2006
loss. Second lot was exited when HMA5 turned down (indicated by the
blue rectangle).
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
The next bar, price resumed its upward direction, making HMA5 turn
up again. We had a L1 long signal and entered with three lots.
www.TrendForexSystem.com – All Rights Reserved - 2006
up again. We had a L1 long signal and entered with three lots.
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
Then we look for a small retracement of price. In the above picture,
price retraced a little bit (two red candles), making HMA5 turn down.
www.TrendForexSystem.com – All Rights Reserved - 2006
price retraced a little bit (two red candles), making HMA5 turn down.
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
. More examples
6.1. L1 Signal Examples
The first thing we need to identify is the current trend. Long MACD
crossed up, signifying an uptrend.
![The image]()
www.TrendForexSystem.com – All Rights Reserved - 2006
6.1. L1 Signal Examples
The first thing we need to identify is the current trend. Long MACD
crossed up, signifying an uptrend.
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
If the trade does not go in our favor, we exit all three lots when HMA
12 changes its direction against us (that means in an uptrend we exit
all three lots when HMA 12 turns down) or when our stop loss is hit.
5. Filter
We do not take trades when price has retraced too much and when the
trend has lost its momentum. When one of the following conditions
takes place, we do not put on any trade until a new trend has
established:
a. Price closes below GMMA in an uptrend or closes above GMMA in
a downtrend.
b. Long MACD crosses down in an uptrend or crosses up in a
downtrend.
![The image]()
www.TrendForexSystem.com – All Rights Reserved - 2006
12 changes its direction against us (that means in an uptrend we exit
all three lots when HMA 12 turns down) or when our stop loss is hit.
5. Filter
We do not take trades when price has retraced too much and when the
trend has lost its momentum. When one of the following conditions
takes place, we do not put on any trade until a new trend has
established:
a. Price closes below GMMA in an uptrend or closes above GMMA in
a downtrend.
b. Long MACD crosses down in an uptrend or crosses up in a
downtrend.
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
. Exit Signal and Stop Loss Placement
With each signal, we enter with three lots.
Stop loss is placed as the last swing high/low
If the trade goes in our favor, we exit 1 lot at the same distance as the
stop loss. For example, if our stop loss is place at -40 pips from the
entry price, we exit the first lot when we have +40 pips (excluding
spread) in profit. As soon as we take the first lot out, we move our
stop loss to break-even for the remaining two lots. The second lot is
taken out when HMA 5 changes its direction against us (that means in
an uptrend we exit the second lot when HMA 5 turns down). The third
lot is taken out when HMA 12 changes its direction against us (that
means in an uptrend we exit the third lot when HMA 12 turns down).
www.TrendForexSystem.com – All Rights Reserved - 2006
With each signal, we enter with three lots.Stop loss is placed as the last swing high/low
If the trade goes in our favor, we exit 1 lot at the same distance as the
stop loss. For example, if our stop loss is place at -40 pips from the
entry price, we exit the first lot when we have +40 pips (excluding
spread) in profit. As soon as we take the first lot out, we move our
stop loss to break-even for the remaining two lots. The second lot is
taken out when HMA 5 changes its direction against us (that means in
an uptrend we exit the second lot when HMA 5 turns down). The third
lot is taken out when HMA 12 changes its direction against us (that
means in an uptrend we exit the third lot when HMA 12 turns down).
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
Sell (Go Short): When price is trending down (as defined by our abovecriteria), we look for a larger retracement than in L1 signal, and then
enter when the trend resumes. Price retraces and makes both HMA 5
and HMA 12 changes their direction from down to up. We enter when
both HMA 5 and HMA 12 changes their direction from up to down. It
signals that the price has resumed its established trend.
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
.2. L2 signal
![The image]()
Buy (Go Long): When price is trending up (as defined by our above
criteria), we look for a larger retracement than in L1 signal, and then
enter when the trend resumes. Price retraces and makes both HMA 5
and HMA 12 changes their direction from up to down. We enter when
both HMA 5 and HMA 12 changes their direction from down to up. It
signals that the price has resumed its established trend.
www.TrendForexSystem.com – All Rights Reserved - 2006
criteria), we look for a larger retracement than in L1 signal, and then
enter when the trend resumes. Price retraces and makes both HMA 5
and HMA 12 changes their direction from up to down. We enter when
both HMA 5 and HMA 12 changes their direction from down to up. It
signals that the price has resumed its established trend.
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
Buy (Go Long): When price is trending up (as defined by our above
criteria), we look for a small stall or retracement, and then enter when
the trend resumes. Price retraces and makes HMA 5 changes its
direction from up to down. We enter when HMA 5 changes its direction
from down to up. It signals that the price has resumed its established
trend. During the entire retracement, however, HMA 12 direction is
still up (i.e. price only retraces a little bit, not enough for HMA 12 slope
to change). This is what distinguishes L1 signal from L2 signal.
Sell (Go Short): When price is trending down (as defined by our above
criteria), we look for a small stall or retracement, and then enter when
the trend resumes. Price retraces and makes HMA 5 changes its
direction from down to up. We enter when HMA 5 changes its direction
from up to down again. It signals that the price has resumed its
established trend. During the entire retracement, however, HMA 12
direction is still down (i.e. price only retraces a little bit, not enough
for HMA 12 slope to change). This is what distinguishes L1 signal from
L2 signal.
www.TrendForexSystem.com – All Rights Reserved - 2006
criteria), we look for a small stall or retracement, and then enter when
the trend resumes. Price retraces and makes HMA 5 changes its
direction from up to down. We enter when HMA 5 changes its direction
from down to up. It signals that the price has resumed its established
trend. During the entire retracement, however, HMA 12 direction is
still up (i.e. price only retraces a little bit, not enough for HMA 12 slope
to change). This is what distinguishes L1 signal from L2 signal.
Sell (Go Short): When price is trending down (as defined by our above
criteria), we look for a small stall or retracement, and then enter when
the trend resumes. Price retraces and makes HMA 5 changes its
direction from down to up. We enter when HMA 5 changes its direction
from up to down again. It signals that the price has resumed its
established trend. During the entire retracement, however, HMA 12
direction is still down (i.e. price only retraces a little bit, not enough
for HMA 12 slope to change). This is what distinguishes L1 signal from
L2 signal.
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
.3. Clarification
Why is it required that EMA 20 and EMA 30 are well separated from
each other? Because if they are close together, the market is probably
choppy and therefore whipsaws are likely to occur.
3. Entry signals
We have two types of entry signals, namely Level 1 (L1) signal and
Level 2 (L2) signal. They are described as follows:
3.1. L1 signal
www.TrendForexSystem.com – All Rights Reserved - 2006
Why is it required that EMA 20 and EMA 30 are well separated from
each other? Because if they are close together, the market is probably
choppy and therefore whipsaws are likely to occur.
3. Entry signals
We have two types of entry signals, namely Level 1 (L1) signal and
Level 2 (L2) signal. They are described as follows:
3.1. L1 signal
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
.2. Downtrend
The trend is regarded as down when long MACD has crossed down and
both EMA 20 and EMA 30 are pointing downward and the spread
between EMA 20 and EMA 30 is considerably large (the two EMAs are
well separated from each other).
www.TrendForexSystem.com – All Rights Reserved - 2006
The trend is regarded as down when long MACD has crossed down and
both EMA 20 and EMA 30 are pointing downward and the spread
between EMA 20 and EMA 30 is considerably large (the two EMAs are
well separated from each other).
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
. Components of the System• Guppy Multiple Moving Average (GMMA) Slow Group (orange
color in my illustrated charts)
• Exponential Moving Average (EMA): EMA 20 (magenta) and EMA
30 (magenta)
• Hull Moving Average (HMA): HMA 5 (blue when pointing up, pink
when pointing down) and HMA 12 (green when pointing up,
purple when pointing down)
• Moving Average Convergence Divergence (MACD):
MACD (30,60,30) – we call it long MACD
All indicators for MetaTrader4 are included within the package you
have received. If you have any questions regarding how to install
indicators, drop me an email.
2. Trend Determination
2.1. Uptrend
The trend is regarded as up when long MACD has crossed up and both
EMA 20 and EMA 30 are pointing upward and the spread between EMA
20 and EMA 30 is considerably large (the two EMAs are well separated
from each other).
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
achieve profits or loses similar to those discussed in this e-book. Past
performance is not indicative of future results.
By purchasing the e-book, subscribing to our mailing list or using the
website you will be deemed to have accepted these terms in full.
The author, the website, the e-book, and its representatives do not and
cannot give investment advice or invite customers to engage in investments
through this e-book.
We do our best to insure that the website is available 24 hours per day but
we cannot be held liable if for any reason the site is not available.
The information provided on this ebook is not intended for distribution to, or
use by any person or entity in any jurisdiction or country where such
distribution or use would be contrary to law or regulation or which would
subject us to any registration requirement within such jurisdiction or
country.
Hypothetical performance results have many inherent limitations, some of
which are mentioned below. No representation is being made that any
account will or is likely to achieve profits or losses similar to those shown. In
fact, there are frequently sharp differences between hypothetical
performance results and actual results subsequently achieved by any
particular trading program.
One of the limitations of hypothetical performance results is that they are
generally prepared with the benefit of hindsight. In addition, hypothetical
trading does not involve financial risk and no hypothetical trading record can
completely account for the impact of financial risk in actual trading.
For example the ability to withstand losses or to adhere to a particular
trading program in spite of the trading losses are material points, which can
also adversely affect trading results. There are numerous other factors
related to the market in general or to the implementation of any specific
trading program, which cannot be fully accounted for in the preparation of
hypothetical performance results. All of which can adversely affect actual
trading results.
We reserve the right to change these terms and conditions without notice.
You can check for updates to this disclaimer at any time without notification.
The content of www.trendforexsystem.com and this ebook are copyrighted and may not
be copied or reproduced.
www.TrendForexSystem.com – All Rights Reserved - 2006
performance is not indicative of future results.
By purchasing the e-book, subscribing to our mailing list or using the
website you will be deemed to have accepted these terms in full.
The author, the website, the e-book, and its representatives do not and
cannot give investment advice or invite customers to engage in investments
through this e-book.
We do our best to insure that the website is available 24 hours per day but
we cannot be held liable if for any reason the site is not available.
The information provided on this ebook is not intended for distribution to, or
use by any person or entity in any jurisdiction or country where such
distribution or use would be contrary to law or regulation or which would
subject us to any registration requirement within such jurisdiction or
country.
Hypothetical performance results have many inherent limitations, some of
which are mentioned below. No representation is being made that any
account will or is likely to achieve profits or losses similar to those shown. In
fact, there are frequently sharp differences between hypothetical
performance results and actual results subsequently achieved by any
particular trading program.
One of the limitations of hypothetical performance results is that they are
generally prepared with the benefit of hindsight. In addition, hypothetical
trading does not involve financial risk and no hypothetical trading record can
completely account for the impact of financial risk in actual trading.
For example the ability to withstand losses or to adhere to a particular
trading program in spite of the trading losses are material points, which can
also adversely affect trading results. There are numerous other factors
related to the market in general or to the implementation of any specific
trading program, which cannot be fully accounted for in the preparation of
hypothetical performance results. All of which can adversely affect actual
trading results.
We reserve the right to change these terms and conditions without notice.
You can check for updates to this disclaimer at any time without notification.
The content of www.trendforexsystem.com and this ebook are copyrighted and may not
be copied or reproduced.
www.TrendForexSystem.com – All Rights Reserved - 2006
Profitable Trend Forex System
Profitable Trend Forex System (PTFS)
All rights reserved. Except for brief quotations in a review of this publication, no part of
this publication may be reproduced, stored in a retrieval system, or transmitted in any
form or by any means – including electronic, mechanical, photocopy, recording,
scanning or otherwise – without the prior written permission of the author.
Disclaimer and Risk Warning:
Trading any financial market involves risk. This e-book and the website
www.trendforexsystem.com and its contents are neither a solicitation nor an offer to
Buy/Sell any financial market. The contents of this e-book are for general informational
purposes only (contents also mean the website www.trendforexsystem.com and any
email correspondence or newsletters related to the website).
Although every attempt has been made to assure accuracy, we do not give
any expressed or implied warranty as to its accuracy. We do not accept any
liability for error or omission. Examples are provided for illustrative purposes
only and should not be construed as investment advice or strategy.
No representation is being made that any account or trader will or is likely to:
www.TrendForexSystem.com – All Rights Reserved - 2006
All rights reserved. Except for brief quotations in a review of this publication, no part of
this publication may be reproduced, stored in a retrieval system, or transmitted in any
form or by any means – including electronic, mechanical, photocopy, recording,
scanning or otherwise – without the prior written permission of the author.
Disclaimer and Risk Warning:
Trading any financial market involves risk. This e-book and the website
www.trendforexsystem.com and its contents are neither a solicitation nor an offer to
Buy/Sell any financial market. The contents of this e-book are for general informational
purposes only (contents also mean the website www.trendforexsystem.com and any
email correspondence or newsletters related to the website).
Although every attempt has been made to assure accuracy, we do not give
any expressed or implied warranty as to its accuracy. We do not accept any
liability for error or omission. Examples are provided for illustrative purposes
only and should not be construed as investment advice or strategy.
No representation is being made that any account or trader will or is likely to:
www.TrendForexSystem.com – All Rights Reserved - 2006
FOREX Market Time Chart - Standard Time
|
| GMT | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 0 | 1 | 2 | 3 | 4 | 5 | 6 |
|
| EST | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 0 | 1 |
| |
| Chart | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 |
| |
|
| MST | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Currency Markets | USD |
|
|
|
|
|
| — | — | — | — | — | — | — | — | — |
|
|
|
|
|
|
|
|
|
|
| GPB |
| — | — | — | — | — | — | — | — | — |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
| EUR | — | — | — | — | — | — | — | — | — |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
| CHF | — | — | — | — | — | — | — | — | — |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
| JPY | — |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| — | — | — | — | — | — | — | — |
| |
| AUD |
|
|
|
|
|
|
|
|
|
|
|
|
|
| — | — | — | — | — | — | — | — | — |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Active Trading Times |
| — | Equity Markets Open |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Subscribe to:
Posts (Atom)