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Luke 6:38 - give, and it shall be given unto you... AGAPE.com
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Price Action Trading What makes a profitable trading plan? It's actually quite obvious. You'll know you have a winner when your trading is based on sound logic and not on impulses. You'll also have the confidence that your trading plan will survive in different market conditions in the long run because it has been designed and tested to handle these price fluctuations. The key to a profitable trading system is not to try to gamble where the prices are going but to react logically to price patterns that are proven to repeat themselves. There will be losing trades but the winners will more than compensate for the losers when these losses can be cut short and the profits are allowed to run their courses. Here is a Price Action trading system
based on sound logic: 1 EA, 1 trading system with the same settings, 7 major pairs, trades on daily charts from 1 Jan to 22 Apr 11 (for comparison with my other EAs), 1,981 PIPs or $3,962 profit trading with 0.2 Pips per trade, with no losses! Please click on the thumb-nail images to view the screen-shots...
The purpose of these screen shots is to show that an effective and robust trading system based on price patterns can be automated to maximize gains and minimize losses. Using $10,000 as trading capital and a maximum of 5% for risk management, the ROI works out to be around 39.6 % over a 4 months period or averaging about 10% monthly returns for 7 pairs of automated currency trading. This EA is also tested to be consistently profitable over longer periods without curve-fitting for all the 7 major pairs on Daily charts.
Here is the EA in action: If you are convinced that no one can handle your money better than you do, then your are going to like what you see...
Please visit http://www.facebook.com/photo.php?v=10150827448919501 if you have problem with your browser plug-in. Let your money work for you:
In this short video, the currency pair traded is the same EURUSD on a daily chart. Using $10,000 as trading capital and a maximum of 5% for risk management, the ROI works out to be around 26% over a 16 months period or averaging more than 1.6% monthly returns - a hands-free and respectable ROI from just 1 pair of automated currency trading considering that most banks' annual interests is less than 1% per annum! I used the Control Point model to illustrate this EA because using the Every tick model will require a much longer time to generate and play the video.
Here is the
What can be deduced from a study of the screen-shots and the video?
In short, your overall winnings are statistically assured if you can consistently trade on your own terms, lose small and win big in all the trades you make. The best way to ensure that you will consistently win more than you lose is to automate your profitable trading rules.
How to stay afloat in changing market condition?
Having our profitable trading plans programmed as EAs enable us to easily test their effectiveness across different currency pairs and time-frames. The results from these back tests provide us good indications of the current market conditions and allow us the mean to optimize the returns from our trading. It is impossible for a manual trader to back-test, then trade and manage multiple pairs at the same time without sacrificing lots of precious time with his/her loved ones. Hence, automating your profitable trading rules is the sensible way to stay afloat in the ever-changing Forex market. With automation, you will have more time and the money to spend on the things you enjoy doing. It is like having one's cake and eat it too. In another Chinese saying it is like 又要马儿跑，又要马儿不吃. Why Forex? Forex trading requires relatively little to get started in terms of knowledge acquisition and funding. The $4 trillion a day, 24/5 Forex market offers ample opportunities and the quickest mean to multiply the wealth of those who treat it as a serious business and not as a casino. More on Why Forex?
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