Best Thread GBP/USD Breakout

[gamma]

Hmm, well let's say you're trading off the 4h. (GMT) I would check at the London open around 7-8am, place any orders and then check back just after noon (not really necessary if you have trailing stop orders) and once more in the evening, 7-8pm. Since you're basically doing a long term day trade, with the possibility of holding overnight, it doesn't really matter what market you trade on since you'll be holding them through every market probably. Just trade the main pairs, GBP/USD, EUR/USD, JPY/USD, USD/CAD, etc etc.

This is a good site that shows the opening/closing times of each markets;

http://fxtrade.oanda.com/resources/fxmarkethours/

(All the above is simply my opinion)!

Hi Hawk,
Thanks for the link I did have it but lost it, its a great one for preparing for market open and close reaction.

On another note I would say to all breakout traders, try and open your breakout trades in the direction of the bigger trend and do watch price action and pullbacks, someone said earlier post that pullback do not work on cable , it does, has worked for the past 5 years for me.

 

[ez0770]

Took a conservative 10 pips out of the market today with the strategy highlighted here...it would have worked for the full 20....

 

[Claudia123]

Been a funny month so far for sure - lot of false breaks. Good the sales are on and shoes are cheap lol. Good luck everyone next week.

 

[gamma]

The breakout is having a bit of a problem this morning.
Have tried to use the fib ratios to get a better indicator.
It is having trouble getting past the 50% pullback fib has been rejected twice so far.
We need to see it break over 16269 area and sit comfortably above it for the pullback to continue.

Uk news out shortly would not trsde this until the news is out of the way.

 

[Tenapenny]

20 pips in the bag by just leaving my orders.

 

[AJ100]

What were your orders set at TP? Mine were B 16264 S 16205 set at 7 am buy got triggered by a nasty spike around 8 30 I think, then dropped down to SL all in the space of a few minutes! Gutted

 

[Leia]

What were your orders set at TP? Mine were B 16264 S 16205 set at 7 am buy got triggered by a nasty spike around 8 30 I think, then dropped down to SL all in the space of a few minutes! Gutted

Likewise:
Long @ 1 62.63
Short @ 1 62.05

long triggered as yours, for a quick loss
short triggered too (not long before it was due to time expire @ 9:30am) and gave the +20 back

net = breakeven today
very well done to anyone part holding the short side

 

[Leia]

Did I blink?

I had a buy @ 1 61.48 this morning and sell at 1 61.12

I was (unusually) watching price bounce between the levels, feeling increasingly nervous that both would trigger and fail.

Then after 1 hour and 11 minutes something strange happened. +20 in less than 60 seconds. I have now cancelled the sell (which is against my rules) because there seems to be a lot of wild spiking this morning.

Did you all get a similar move today or was it just my platform?

Hmmm, platform shoes perhaps Claudia?

 

[foredog]

Did I blink?

I had a buy @ 1 61.48 this morning and sell at 1 61.12

I was (unusually) watching price bounce between the levels, feeling increasingly nervous that both would trigger and fail.

Then after 1 hour and 11 minutes something strange happened. +20 in less than 60 seconds. I have now cancelled the sell (which is against my rules) because there seems to be a lot of wild spiking this morning.

Did you all get a similar move today or was it just my platform?

Hmmm, platform shoes perhaps Claudia?

I saw it but didnt trade it, it went through 16150, jumped instantly to 60 then again to about 70 before falling back, happy days if you got it!

 

[everyonerich]

G/U 30 min chart

 

[everyonerich]

G/U has dropped 30 pips.. ! i guess no one catched it because time interval of my post maybe too short? lulz

 

[Da.DesiTrader]

Claudia / Others. Quick question so I understand I am getting it right. I used the bigben indicator for pro-realtime to identify the ranges:

High was 15972 (chart is set at mid-range)
Short was 15938 (chart is set at mid-range)

My buy was at 15974 (which is 15972 +2, as my spread on cable is 3).
My sell was at 15936 (which is 15938 -2, again as my spread on cable is 3).

buy got filled and stopped out, then sell got filled before 10:00 AM and overall it was breakeven day.

If I am getting anything wrong, please let me know and I will build the spreads in accordingly.

 

[puregold24carat]

Hi Claudia ,

Very interesting thread . However could not find your precise set up for your trading method , thus could you please repeat it . Thank you.

regards

Anil.

 

[Paulie_5]

Hi Claudia ,

Very interesting thread . However could not find your precise set up for your trading method , thus could you please repeat it . Thank you.

regards

Anil.

I don't know why this question winds me up so much, but it really does.

Nothing personal Anil, but if you and others who have asked this question at least 5 times on this thread read through every post then you'll find the answer. Ok, there are hundreds of pages, but with trading, you have to put in the EFFORT.

If you don't find the answer, read through the thread again. Pull up the charts. See what people are talking about. Draw lines on the charts yourself. See it for yourself.

You are quite right, there isn't ONE page where the rules that Claudia uses is laid out. But it always feels like people want profitable trading handed to them on a plate.

Even if there was one page where the rules are laid out perfectly, that doesn't mean you'll be profitable. You need to test it out yourself. Back test it. Demo. Forward test. Tweak to what YOU think. Develop the system to how YOU think it would be better.

Think for yourself.

Rant over .....

 

[Paulie_5]

Jeezzzzzuuusssssss

You know what, I'm going to give you Claudia's rules.

1) Find the highest/lowest 1 hour OPEN between the 1am and 6am candle.
2) Draw a line.
3) Find the highest/lowest 1 hour CLOSE between the 1am and 6am candle.
4) Draw a line
5) Enter long/short at the break of these lines
6) Cancel orders if not triggered by 9.30am

Good luck !

Oh by the way, make sure you use £200pp so that you can make a million by the end of the year.

 

[Da.DesiTrader]

I have tried this with 10ps, for past few weeks. So far, only few winners and a string of losers. Including today, on the downside broke, spiked up (stopped out) now heading back down again.

 

[gamma]

I have tried this with 10ps, for past few weeks. So far, only few winners and a string of losers. Including today, on the downside broke, spiked up (stopped out) now heading back down again.

The problem with this strategy is, it does not take account of other forces, that are greater than breaking out of very ill defined vague time period.
Ask yourself, what is the significance of this time period!
Are major markets opening at this time?
Are they closing?
Why is this time period important?
I have put an earlier post which, if implemented correctly, is far more effective and sucessful .I am still using
If you are still having problems pm me and I will try to find it for anyone who needs it.

Good Trading to All

 

[Da.DesiTrader]

The problem with this strategy is, it does not take account of other forces, that are greater than breaking out of very ill defined vague time period.
Ask yourself, what is the significance of this time period!
Are major markets opening at this time?
Are they closing?
Why is this time period important?
I have put an earlier post which, if implemented correctly, is far more effective and sucessful .I am still using
If you are still having problems pm me and I will try to find it for anyone who needs it.

Good Trading to All

I liked this method initially as i can set the orders at 7:00 on the dot and get ready and leave for work. I will try to wakeup early and get ready to spend my getting ready time on 5M chart tomorrow

In summary, we're looking to trade in direction of the pivot, specially if medium /short term trend is also in same direction. Entry is based on a pause in pullback around fib numbers.

Have you tried to enter order straight in direction of the pivot at 7:00AM on the dot with 20/20? albeit it can spike up stop you out and then make its way to pivot.

My problem with your fib view is that if we see a reversal candle shouldnt we expect a spike up (ie, reversal rather than move towards pivot which is on the downside?)

Im referring to your example http://www.trade2win.com/boards/att...0052d1259753574-gbp-usd-breakout-breakout.jpg

 

[spreader_legger]

Hi,

When constructing your fib levels, do you take the initial breakout from the overnight range into account, or do you simply restrict yourself to the initial range?

I hope everyone has finished for the day on the breakout.

I would like to show how I trade this setup.

The first thing I do is note the trend.
the pivot points
Yesterday's high low
Once I have an an idea of trend
I note the 12am open and the 7am close (Aussi Market)and the high low for that time frame.
Draw a fib from the high/low or low high according to trend
As I mentioned pivots earlier I will emphasize this as price generally is drawn towards pivots.
Once you have drawn the fib, sit back and watch the action on the 5 min chart

Our entry is based on candle price action around the fib numbers.
If we get a reversal candle at the 23% fib we enter
wait for the 5min candle to complete before trading.
If it spikes past the 23% fib its a no trade.
even if the next candle goes negative.
Repeat the above exercise at the next fib level.
remembering that if it spikes past the fib, its no trade.
Should it go past all the fib levels the next possible entry should be the 12 -6 high low price.
Again a spike past this price, invalidates the entry and invariably the whole setup.



This system not only gives you a better entry but also helps you from possibly not entering a trade when the trend might be changing.

This morning was a classic example of the daily and 4 hour trend showing a very determind downtrend which turned.
I use this setup every morning you might want to adapt it to your own trading style.

 

[wilczek]

R:R on this strat is risky - Don't understand why you guys just don't trade the London Forex Open system - They have reported one profit in the last couple of months which I didn't get but apart from that matched em trade for trade - Works for me !