I have manual backtest in the last 14 months with a 62% success rate and an average benefit/risk ratio of 1.9:1. Forward in real account for 5 months with +12%. It is not panacea, but it is stable.
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I have manual backtest in the last 14 months with a 62% success rate and an average benefit/risk ratio of 1.9:1. Forward in real account for 5 months with +12%. It is not panacea, but it is stable.
I congratulate you if you really do, few show numbers. What do you do if you come in and just then you go back to rank?
I do not move the SL. If the break fails, I prefer to go out with the controlled loss. The worst thing is to adjust SL to the whim. In any case, if I see a clear rejection and false breakout, sometimes I enter in the opposite direction with the same criterion.
I do like that, taking advantage of the traps in your favor. How much average time do you hold the positions?
Most trades last between 4 and 12 hours. Some can be extended for a full day if the movement is accelerated after the breakup. That�s why active tracking is key, although I try to automate alerts so as not to be attached to the screen.
Any recommendations to better detect those valid ranges? Because defining "clear consolidation" is the hardest thing.
Totally. I look at three things: Minimum and maximum practically flat for at least 20 candles. Small candles, no long fuses. Declining volume towards the center of the range. When these three factors coincide, the probability of a valid breakout is greater.
Very good explanation. Do you consider the correlation of pairs to decide whether to enter or not?
Yes, especially in forex. If I see correlations like EUR/USD and GBP/USD showing similar ranges, it gives me more confidence if both break in the same direction. It is not mandatory, but adds up.
What about the news? Mm-hmm. Didn't some breakup break you up with an unexpected tip?