The strategy of moving the price of channels

The strategy of moving the price of channels:

• currency trading EURUSD (or any other, but with other values of SL)
• Period of schedule of 6 hours
• indicators used — no
• tradable lot — random, but always constant
• possible series of losses — 3, size 57 points each
• Recommended minimum initial deposit — required margin + 1 800 (with 1 lot size of 100,000 base currency)
• Efficiency — no less than 100% for the month

• graphics — sliding channels. Channels are built to last three extremum — the line for two lowest and the parallel through the top, or vice highest levels of, the line on the two peaks and two parallel lowest. The lines are constructed by the maximum (minimum), then have to shadow candles.

Extremes identified at least 2 candles after his passing. Between neighboring extrema must not be less than 2 candles. Exemptions — neighboring maxima — minima may be at the ends of a long candle.

Open position

• Open position — when you reach the border of Channel — interior Channel. The only possible derogation — if there is no apparent trend can be opened against him. Evaluates the trader himself. Losses in this somewhat reduced, but often skipped a very good turning motion of the market.

• Stop at the opening — 57 points.
• Purpose — the opposite border of the channel.

• The distance from the opening price of 50 points (to profit), the stop is moved to the point of opening. Next — decrease interval at a distance of 50 items every 10 points. Perhaps decrease interval at a distance of 30 points, but it improves slightly. decrease interval made only to increase profits, but never — to zoom out.

• If faults stop with a loss of 57 points — the opening position in the opposite direction with the aim of 57 points. Principles decrease interval — the same.

• If you turn the price again and again deployed to the border outside the channel, close the position at a loss, without waiting for the foot and the break in trade, two — three waves. (Not a prerequisite, but an opportunity to calm down and wait out the market flat storm, which is happening.)

All this may seem complicated. So that you can deal with this, I have tried all this to illustrate examples. Later readers pointed me to an abundance of inaccuracies. However, decided not to rule, as a result, the effectiveness of tactics, not strongly dependent on the accuracy of the entrance to the market, but — talk about it later.


So, open the schedule, close my eyes and poke a finger. Finger rested in August, a cold summer of 2003. Yes, not very good month for the trade, the last few years just to rock the markets and economies.

 The strategy of moving the price of channels

Now you can draw a channel on the points 1, 2, 3. In point 4 — purchase at a price of 1350. Stop — 1293.

 The strategy of moving the price of channels - sample 2

At the level of 1293 triggered a stop to turn. An impairment loss is 57 points. Open-down position with the foot 1350. When a white Dodge (marked with blue cross) adjust the channel for new outlets — marked as blue. When the goal after a turn (57 points, remember?) 1236 start «purse» Profit from above at a distance of 50 points from the current price, without claim to the primary objective — the border  channel.

But it has not been reached (just slightly) and the position is closed at a price of 1170. Profit — 123 item, the overall balance of + 76 points. At the 1205 sale of the mark. Stop — 1262. At the same white candle triggered stop to turn up. An impairment loss is 57 points. The balance of +19 pips. Step forward — two steps back. Smile through the force.

 The strategy of moving the price of channels - Picture 3

Reducing the interval consistently growing earnings through the 50 points, set a stop at the level of 1300. So reach the last candle. This is arranged following the bottom, and we can draw a new channel (blue line). Buying will not, and so have already been opened up. What awaits us next?

 The strategy of moving the price of channels - Picture 4

Price «swing», but our stop-loss to 50 pips (as we move up when possible) touches only at the level of 1375 candles, tagged red tick. Profit is 115 points. Balance — 134 points. Few? Not a night! More take a big minus! (kidding, of course). After two white candles draw a new channel for the red dot. In the blue point in the 1325 purchase.

 The strategy of moving the price of channels - Picture 5

Two white candles placed us balm for the soul, but to the boundary of the channel (black line) are not. As a result, close to the foot at the level of 1375 (50 points of the maximum). Profit is the same 50 items, total deposits grew to 185 points. We sell the entire week. Roll would withdraw the money and go to the Black Sea!

Black candle «A» would have to buy, but by that time we have a new channel — blue. Here on its frontier, and we buy for the price of 1305. Stop in our faces at the level of 1248. Candle-down does not hurt our feet, a white candle does not reach the upper edge of the blue channel, and close positions on the purse foot at about 1325.

Profit 20 points, but only has 205. At a small candle «B» is a new channel, green, and his breakdown when we sell at a price of about 1335. Our patience has proved rewarded, and we close the position with 107 points of profit on cost of about 1228. Balance + 312 points. Here we are forced to buy for the same price — the boundary of the channel!

 The strategy of moving the price of channels - Picture 6

And as it turned out, was not in vain! in the last candle in this figure a new channel (black lines) and we suddenly see that the channel had reached the border. Closing position at 1328 and at the same price we sell — the boundary of the channel. Put in a pocket piece (hundred points). The balance of 412 points. What — is suspiciously smoothly! Nothing, there is still a formidable Flat, how many deposits it had laid the head!

The strategy of moving the price of channels - Picture 7

So far, all marvel at the well — a long zoom is encouraging, we are covering and profit stop order at the 1270 us «clicks.» Profit 58 points. Total 470. Life — that was the forged! Next — leapfrog, look carefully. On the candle, marked with blue box, a new channel — blue. And in the red point of buying at a price of 1230. Stop us at 1173, he worked with a simultaneous turn-down. Loss 57 items of the balance — 413 points.

Then we have «sticks out» for the screen and shake profits at a distance of 50 points in every ten. Thus, our stop is at the level of 1125 (we take the worst option, which closed us in a black candle, the third from the end. Although it is likely to happen back in the white), then at the level of 1116, as we hurry to move the stop on our goal after loss — 57 points.

There, we stop working, compensating for past losses. The balance of 470 points again. We did not do until the last candle is not an opportunity to draw a new channel — the red.

 The strategy of moving the price of channels - Picture 8

The next candle sale (blue dot), but, as we brace for the zero point, we are there and closes. Nothing in the green point, we once again sell at a price of 1110. It has a short candle is not «knock out of the saddle, and we are quietly closing the position at the end of a long candles (because it has not reached its channel, then the closure on foot at around 1025, the position is not open, the boundary is not reached! Profit amounted to 85 points, total 555. What — it has become boring …

 The strategy of moving the price of channels - Picture 9

And we are open to the next candle, the purchase price of 960. Already on the next candle we turn stop-loss down at around 903. More obvious — purse increasing profits and Candle «B» we close at 846, compensating for losses from the previous stop. On the candle, marked with blue box, we draw a blue channel, and opening a new position — buying — at the level of 830.

Stop set at a level below 773, the transfer point in the opening — at the level of 880, then approximation, and candle «C» we close at about 865. Profit 35 points, not bad at all! Total 590. Meanwhile put the green channel, and we sell at a price of 905 in the red dot.

At the candle closes in us D zero point (we had moved to her feet at the last candle), but again, we persistently sell at a price of 880 on the same candle. And again, we rose at the zero point on the last candle in the picture. Meanwhile, the new paints red channel, and we buy the blue point on the price of 820.

 The strategy of moving the price of channels - Picture 10

Price as incurred up, with virtually no setbacks that closer her at a distance of 50 points, raised to the level of 980 feet. It closes on us, and a candle, profit amounted to 160 items, total — 750. A further activation of the red channel, black and blue yet, and joke! Have to sell in the green point at the price 955 (what’s the difference, from which reached the boundary of the channel!).

As it turned out — not in vain. The next candle painted black channel black candle so pierces him that we are able to move his feet well on the border and close at a price of 875. Again, profit 80 pips and all — 830.

At the same point of us opens up and expands on the foot down (I have no pain, have a look) at around 818, at around 760, we compensate the loss, closing the purse to stop, draw the blue channel at its upper bound, sell a long thick candle deploys us up with a loss of 57 points, but then returns them to us … Finish there. We bought with good prospects for the future (now we know that the first week of September, began a strong rise in euro).

Total 830. Decrease of 10 per cent — the error, spreads, slippage. Further reduced by half — randomness market simply overslept. Total — 300 — 350 points (per month). Judge for yourself! Showing good results and the trend and the trend in the spread, when the majority has a huge loss. If the deposit began in 3000 — a doubling of capital per month. In general — Soros, and Ryan Jones a rest!

This tactic is not so simple as it sounds, but it is real. Requires a strong skills in identifying and marking channels, binding effect, when one must act, otherwise the only deviation from the rules (except in those cases where I specifying deviations), may lead to total collapse. All of this is generated by practical work in the demo account for at least several months, then on the real small deposits. Because this method 50% of success depends, all from the same trader.

Link to main post