30 pips per day?

[JonnyT]

Well folks I've been busy of late.

Another system to ponder that has returned 30+ pips per day in backtesting. It basically trades pullbacks from a BO

It trades as follows:

1) Use the GBP/USD spot (allow 4 pip spread)

2) Note the high and low between 07:00 and 08:00

3) If the high is broken after 08:00 go long when the market retraces 35 pips for the high between 07:00 and 08:00

4) Close at 150 pips profit else close at 21:00

Reverse the procedure for shorts.

My tests suggest an average of 30+ pips per trade. Some days it doesn't trade. Typically it trades 3 days out of 5.

JonnyT

 

[JonnyT]

What no comments!!!

Perhaps I'm wasting my time here.

JonnyT

 

[jpwone]

Hi JT

usual questions

Stops ?

Max drawdown?

30 pips per trade (average) for 3 out of 5 days is 90/5 = 18 pips per day average.

Ref. point 4 - close at 150 pips profit. How does this equate with the 30 pip average. Are you saying that it has a lot of little losers and one big winner?

Patience is not just a game

 

[Zenda]

Well just how.....

Do you know when a pullback has started :!:
What % pullback confirms a pullback ! :!:
Its easy to spot pullbacks later on ---- dead easy! :!:
Are Fibs used to confirm pullback? :!:
When is a pullback not a reversal? :!:
When is a reversal not a pullback and not a trend change? :!:
What rise do you need to justify a pullback? :!:
Please quote pullbacks in Pip's ? :!:

Don't lose heart Jonny T - just confirm the above and your system is a cracker!!

 

[iwish]

Hi JonnyT

i'm gonna start testing your system next week, but was wondering what stoploss you would suggest if any.

many thanks nick

 

[peedee]

Zenda, is that a picture of you? you look quite sexy! Trade...What...Appears...Thankyou! By the way, this is not supposed to be phonetic! PeeDee!

 

[JonnyT]

No Stops
15% big winners
Others in between.

Yes these has been drawdown, but not too bad ;o)

I'll analyse the trades further and report back.

JonnyT

 

[rog1111]

Jonny

What source for data are you using to backtest ? Also, is it bar data or tick data ?

rog1111

 

[JonnyT]

1 minute Bar data for the futures on globex.

JonnyT

 

[3rddawn]

Any updates on this one?

Anyone done anything with this one?

iwish: Did you test it? How did it do?
JonnyT: Did you do your analysis? How did it fare?
Has anyone else backtested this one yet?

Cheers all!

 

[3rddawn]

Query on when to trigger

"when the market retraces 35 pips for the high between 07:00 and 08:00"

Sorry if being a bit thick - what exactly does the above mean?

Say the 7-8am low is 1.2500, high is 1.2600
does that mean that when the high has been beaten by 35 pips i.e. 1.2635?

Thanks anyone!

 

[Red Eye]

Hi 3rd drawn
I think it means......eg. If the high between 7-8 was 18000, and after 8 it broke up to 18020, then pulled back to 17965 (18000 - 35 pips), this is where you would enter your long!
Only started to look at this system today.

 

[3rddawn]

Hey Red,

Thanks for the clarification.
Have been busy on one or two of the other JTSpecials strategies recently. Must give this one some attention soon with the backdata ...

Cheers,
3rddawn

 

[GreyingSurfer]

I'd think the retracement is measured from the high, not from the high limit. So in your example, RedEye, entry would be at 17985, not 17965. However JT will have to confirm that!

 

[Red Eye]

Greyin Surfer

That was how I interpruted it at first, but had second thoughts after re-reading "when the market retraces 35 pips for the high between 7-8 "....probably just confusing my-myself

Still not 100% sure, hopefully someone can clarify!