Simple Forex System Trading

Came across this EA on MQL4 site.  The EA uses two moving average crosses to generate buy / sell trades.

I left all settings at default and back tested it on EUR/USD 4-hour chart from beginning of 2009.  The result was quite good with potential.  I also tested it on EUR/JPY 4-hour chart but the result was disappointing.

Leaving the settings still at default, but testing it on both EUR/USD & EUR/JPY 1-hour charts, did not yield any better results.  Nor did it do any better on daily charts.

The two moving averages can be changed at run time so we can test different combinations to see what works best.

Good luck.  Maybe you can find the perfect combo and the perfect time frame for your favorite currency pair(s).

via MA Cross – MQL4 Code Base.

The study conducted by the Swiss university shows that traders are crazier than psychopaths.  How rude!  I don’t think I am crazy.  I just want to be among the 5% that makes money in Forex.  I couldn’t care less about the remaining 95%.  AND when I wear horizontal stripe shirts, I don’t want them to make me look fat!  Do these trivial wishes make me a psychopath x 2?

According to a new study at the University of St. Gallen seen by SPIEGEL, one contributing factor may be that stockbrokers’ behavior is more reckless and manipulative than that of psychopaths. Researchers at the Swiss research university measured the readiness to cooperate and the egotism of 28 professional traders who took part in computer simulations and intelligence tests. The results, compared with the behavior of psychopaths, exceeded the expectations of the study’s co-authors, forensic expert Pascal Scherrer, and Thomas Noll, a lead administrator at the Pöschwies prison north of Zürich.

Appetite for Destruction

“Naturally one can’t characterize the traders as deranged,” Noll told SPIEGEL. “But for example, they behaved more egotistically and were more willing to take risks than a group of psychopaths who took the same test.”

via Going Rogue: Share Traders More Reckless Than Psychopaths, Study Shows – SPIEGEL ONLINE – News – International.

Fairly simple trading strategy that requires only bollinger bands and candlestick pattern.

Trading Rules For Buy Trades

1) Look for the pair to be trading in the vicinity of the lower Bollinger Band.

2) The appearance of a bullish pin bar will confirm a buy trade near the lower Bollinger Band.

3) Open two buy orders at the pin bar’s close.

4) Stops are placed 1 pip behind the low of the pin bar.

5 ) Sell half of the long position at risk-to-reward 1:1

6 ) Move stop loss on the remaining half to BE

7) Sell the remaining half at risk-to-reward 1:2.

 

via Bollinger Band Rollercoaster Forex Trading Strategy.

It finally happened.  MetaTrader 4 is now available on the App Store.

via MetaTrader 4 Takes Forex Trading Mobile for iOS.

Victor Sperandeo, Trader Vic – Methods of a Wall Street Master, gives three steps for identifying a change in trend.  This three-step method will help you avoid losing trades and find great trading opportunities.  It correctly predicts a trend change 60 to 80% of the time.

The three steps are:

1. A trendline is broken.
2. There is a retest and failure.
3. Price falls below the prior low

via Learn the 3-Step Method for Identifying a Trend Change.