360#Batfink Forex Strategy

Submit by JanusTrader 01/07/2012

 

The system rules were followed strictly in the gathering of tested results. It is up to the individual if they wish to change any of these rules although it would be my

recommendation to trade to the rule for period of three months prior to adjusting or customizing any of these.

1. Trade Entry Signal: Trade entry signals are given when the price reaches 40 pips

above for a buy signal or 40 pips below for a sell signal.

2. Trade Position Size and Amount: I would recommend no more than 3% of your

account size.

 

3. Setting Stops: The original stop for entering a trade is set at the daily close price +

10 PIPS.

4. Taking Profits: Profits are set to trailing stop at each profit target except target 1

which is set to Stop Loss B. (details in the Indicators and Setup section of this

document).

a. Profit level 1 - 55 pips – or + from daily close (re-set to stop loss B)

b. Profit level 2 - 70 pips – or + from daily close (re-set to Profit level 1 – 55)

c. Profit level 3 - 85 pips – or + from daily close (re-set to Profit level 2 – 70)

 


d. Profit level 4 - 100 pips – or + from daily close (re-set to Profit level 3 – 85)

(Spread costs can be added to profit targets 2nd, 3rd and 4th. I will leave this to the

discretion of the trader. Spread cost should not be added to the 1st profit)

5. Chart Time: All entries are based on 1 hour time frame.

6. Intraday Trading: All trades that break entry Line 1 and 2 are taken throughout

the day. Except when they are returning in the same direction as the closed trade

in which there are additional rules for re-entry.

(Please see re-entry trade and additional rules for re-entry trade)

 

Entry Setup

1. The BatFink [Homeline] indicator sets up a line at 00:00GMT close of day price. We call this the Home Line (HL)

2. There are two stop loss indicators setup with BatFink [Stoploss A] (SLA) and BatFink

[Stoploss B] (SLB). The SLA sets 1 line 10 pips above and below the HL line (30 pips

above and below L1 and L2)

3. The BatFink [Line 1 and 2] indicator sets two entry lines for trade entries 40 PIPS

from HL. We call these Line 1 (L1) and Line 2 (L2).

 


4. The BatFink [Target] indicators set up our 4 target lines

5. The BatFink [Signal] indicator sets up our target signals

Summary

• HL – 00:00 GMT • T1 and S1 – 55 PIPS above HL

• SLA – 10 PIPS above HL • T2 and S2 – 70 PIPS above HL

• SLA – 10 PIPS above HL • T3 and S3 – 85 PIPS above HL

• L1 – 40 PIPS above HL • T4 and S4 – 100 PIPS above HL

• L2 – 40 PIPS below HL • T4 and S4 – 110 PIPS above HL GBP

only

6. Enter trade at L1 for buy and L2 for sell.

7. Set take profit at target 4

8. Set original Stoploss at SLA

9. Monitor trade and when 1st target is reached re-set stoploss to SLB.

  1. Monitor trade and when 2nd target is reached set to 30 pips trailing stop

Re-Entry of Trades throughout the day

Example 1:

This example gives some visual idea of a trade re-entry that may happen throughout the day. There are no additional rules for this entry and trade is taken when price

reaches L1 or L2.

The First trade gets stopped out after breaking through L2 and retracing back to HL. It then breaks throughL1 and proceeds to Target 3.

 

This example happens less than the second example and if it completes the stoploss

cycle from trade one it may indicate a choppy day in the market

 

Re-Entry additional Rules

Example 2:

The re-entry of trades can be taken in the same direction as closed trades, on the same or proceeding bars if, price falls below 1A or 2A and then bounces back through L1 or

L2.

Example:

• Trade taken when L1 is reached

• Target 1 is reached

• Price drops back to L1

• Price then continues through SLB

• Price on next candle breaks L1 again trade is entered.

• Trade would not be entered if price did not fall back below SLB before re-break L1

again)

 

Batfink Daily Range
Forex Trading System
Batfink Daily Range (A).pdf
Adobe Acrobat Document 792.3 KB
BatFink
Trading System
BatFink.rar
compressed file archive 15.4 KB

Share your opinion, can help everyone to understand the forex strategy.

Write a comment

Comments: 0

This example is the most common re-entry and fills approx 70% of all re-entries.