Best Thread GBP/USD Breakout

By the way, taking GBPUSD today, overnight range midnight until 6am UK time. Price broke out and went 25 pips or so. It came back into the range, then went out again for 20 pips, giving you another chance to take profit if your stop was more than 15 pips below entry. It then surged down around news time and stopped almost to the pip on the bottom of the overnight range.

Again, you say these overnight bars are not true resistance or support? They are possible support.

That's just one day. Lets look at the day before. Price broke out at 6:35 with momentum and went almost 60 pips barely looking back> Price then retraced and again almost to the pip, bounced off the underside of the overnight range for over 100 pips.
 
I think that Claudia did what she could with the time available to her, which was before she left for work. It's difficult to trade tied to around the opening. I am around at 0800 but I have until lunch to do whatever I want. Now, just before I go out for the afternoon, I am faced with the problem that she has and I do not believe in predictions.
 
I haven't used Claudia's system since December last year. At that time I took quite a few pips and it was an inspiration to devise my own simple system (which I use from time to time - for the last 5 days, 4 days were winners). If I'm not mistaken '20 pips a day keeps stress away' is a reasonable system that so far returned a small profit. These sort of simple systems may be useful for somebody starting trading - they can slowly improve their trading skills and end up with either a small profit or a small loss.

PS Always wondered what happened to Claudia. She hasn't posted for a long time.
 
Shakone said:
By the way, taking GBPUSD today, overnight range midnight until 6am UK time. Price broke out and went 25 pips or so. It came back into the range, then went out again for 20 pips, giving you another chance to take profit if your stop was more than 15 pips below entry. It then surged down around news time and stopped almost to the pip on the bottom of the overnight range.

Again, you say these overnight bars are not true resistance or support? They are possible support.

That's just one day. Lets look at the day before. Price broke out at 6:35 with momentum and went almost 60 pips barely looking back> Price then retraced and again almost to the pip, bounced off the underside of the overnight range for over 100 pips.
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Sure, as has been said, there is the basis, the root of a system here, but not to be followed slavishly.

I see there can be overnight support/resistance levels, but using the closing prices of 1-hour bars overnight, not the highs or lows, is a recipe for random remuneration.
 
summer time is tricky for most breakout systems and I recommend changing your settings to allow for a more choppy market. Having said that we are in September and I believe we should see a return to good breakout profits

cheers
 
nmead41 said:
summer time is tricky for most breakout systems and I recommend changing your settings to allow for a more choppy market. Having said that we are in September and I believe we should see a return to good breakout profits

cheers
Click to expand...


Good point nmead41.

I guess the market should be back to normal from tomorrow:?:
 
tomorton said:
Sure, as has been said, there is the basis, the root of a system here, but not to be followed slavishly.

I see there can be overnight support/resistance levels, but using the closing prices of 1-hour bars overnight, not the highs or lows, is a recipe for random remuneration.
Click to expand...

Yes I agree. I wouldn't even consider it a breakout if it is the close rather than highs and lows. I just disagreed that there was no rational basis to it, or that it couldn't be profitable. Entry is only one part of the puzzle, and imo not the most important.
 
Hi all. Just found this thread and was interested to see no one seems to be trading this any more?

I've been trading again with the London Forex Open System and have been getting some pretty good results on this pair and also by using the indicator on others - EURUSD has been pretty good in the current market volatility. I'm tending to use the signals as the basis for my own trading views. But its proving a real quick and profitable approach at present.

I'd like to know if anyone else has been trying it on any other pairs and how they are getting on?
 
Ok took the plunge and set this running on my live account from this month. So far have booked over 700 pips on the GBPUSD with London Forex Open this month. Seems I chose the right time to go live.

Surely must be some others who are trading on this? I am currently backtesting on a couple of other pairs - Eurusd seems to have performed better over the last year than the gbpusd. Can start posting results if anyone interested?
 
Well well well came across this old thread by accident can't believe is still going!! Just read back and saw some old names made me smile. Anyway I still trade this but it has evolved quite a lot since I started.

The Asian session is still a good starting point to me as it is usually very quiet so I still look for a breakout of what I view as a consolidation. BUT my entries/exits are way more refined now and I learned patience and discipline along the way!! I read one of BBMACs posts on another forum recently and hell I understood it (nearly!!!) - so I must have come a long way!!

The initial system/strategy was very basic but it gave a lot of guys a good starting point to develop a system of their own.

Anyway if anyone wants to say hi and liven the thread up again let's go!! Was fun when it started and attracted some very good traders. NO PMS PLEASE
 
OMG i been a member here over 3 years - they call me a VETERAN pmsl we need words with management about that!!!
 
Claudia123 said:
Well well well came across this old thread by accident can't believe is still going!! Just read back and saw some old names made me smile. Anyway I still trade this but it has evolved quite a lot since I started.

The Asian session is still a good starting point to me as it is usually very quiet so I still look for a breakout of what I view as a consolidation. BUT my entries/exits are way more refined now and I learned patience and discipline along the way!! I read one of BBMACs posts on another forum recently and hell I understood it (nearly!!!) - so I must have come a long way!!

The initial system/strategy was very basic but it gave a lot of guys a good starting point to develop a system of their own.

Anyway if anyone wants to say hi and liven the thread up again let's go!! Was fun when it started and attracted some very good traders. NO PMS PLEASE
Click to expand...

Hi Claudia,

It's been a long time!
 
Marcus showed a lot of interest in the World Cup, last year, you'll find photos and stuff in the football section. After that he faded away.
 
Welcome back Claudia123. I found this interesting thread in August last year. I was very critical then of your use of 2100-2300 time range to set orders but only because I could not see evidence they made up reliable support or resistance. However, I thank you for making me think maybe there was a more suitable period, which took me to look at market opening ranges, which I did find a rewarding area of study and trading. I also admired your set orders and go to sleep philosophy.

So, I am looking forward to hearing how you are trading now and especially if you have any more ideas to get me thinking.

Best wishes, tom.
 
Hi Tom - first i never used 2100-2300 time range not sure where u get that from. I never enter a trade before Frankfurt open = 7 am London time. I now trade cable fiber and swissy on this. There is always a breakout from the overnight asian market thats the whole point of the strategy - buts lets go further. The breakout comes after a consolidation which is low volume which happens overnight then off we go. Hope this makes sense!!
 
Tom look at swissy today on hour tf at 7 am that is a perfect example of a consolidation overnight then boom! breakout - I didn't take it but is a great example Then look back how many times it paused before going up - breakout
 
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