Cimov System

[desta_wp]

First let me introduce my self,
I've been in trading for 4 years until now. I've trading in commodity 1 year and the rest in forex, stocks and other derivatives.
I learn every systems and every indicators.
I read books and ebooks about technical analysis, fundametals, psychology, money management and mental trading.

And I come with conclusion:
Trading is not about the money, It's about you.

Ok, let's straight to system.
I want to share you one of my systems.
It use 2 - 3 indicators which is an Exponential Moving Average and Commodity Channel Index.

The parameter for each indicators is up to you, but I use 8 periods for EMA and 20 periods of CCI.

I use it for trading EUR/USD and GBP/USD.

I preffer H1 for time frame. Better is longer timeframe but shorter.

Now, the rules:
Buy :
1. When price above 8 EMA and pullback to it and and CCI become positive or
2. CCI break +100 level or
3. CCI make a higher value over +100 level

Sell :
1. When price below 8 EMA and retrace to it and and CCI become negative or
2. CCI break -100 level or
3. CCI make a lower value over -100 level

Remember, we have 3 possible entry signal for buy or sell positions.

[desta_wp]

For more visual let's see the picture below.

I've mark the position with line colour.
Green for Long
Red for Short

I will explain to you next time step by step, including take profit and stop loss.

http://i27.tinypic.com/124aeeb.jpg

[desta_wp]

The picture I give to you is my trading records from March 27th until April 2nd, 2008 or 5 days trading.
We make 18 trades in 5 days.

Before we examine trade by trade let me tell you how to determine take profit level and stop loss level.

First we must calculate the stop level.
Take the close price when signal come and substitute with the value of 8 EMA from the same candle/bar.
Now we have a value of stop loss.

Second add this value to the close price to find take profit level.
Just remember, the best money management is to set Profit and Loss Ratio minimum equal to 1:1
This system always use 1:1 ratio.

If you find that the price can reach the profit level twice from its stop level then good to you.
Nobody will blame you if you took a trade with a profit loss ratio 2:1

[desta_wp]

Now let us examine trade by trade

Trade A

1. Our signal trigger buy position at close price (2.0123)
2. EMA 8 value is 2.0073
3. Candle before our signal candle is not a spinning or doji
4. Our stop loss level is 50 pips
5. Profit Loss Ratio 1:1 then our take profit level is 2.0173
6. In three hours, profit 50 pips

[desta_wp]

Trade B

1. Signal trigger sell position at 2.0058
2. EMA 8 value is 2.0105
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 49 pips
5. Take profit at 2.0009
6. Trade close with 49 pips

[desta_wp]

Trade C

1. Signal trigger sell position at 2.0006
2. EMA 8 value is 2.0055
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 49 pips
5. Take profit at 1.9960
6. Trade close with 49 pips

[desta_wp]

Trade D

1. Signal trigger sell position at 1.9946
2. EMA 8 value is 1.9976
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 30 pips
5. Take profit at 1.9916
6. Trade close with 30 pips

[desta_wp]

Trade E

1. Signal trigger buy position at 1.9953
2. EMA 8 value is 1.9942
3. Candle before our signal candle is a doji/spinning/star
4. No trade

[desta_wp]

Trade F

1. Signal trigger sell position at 1.9924
2. EMA 8 value is 1.9939
3. Candle before our signal candle is a doji/spinning/star
4. Since we are in downtrend, star/doji means the retracement is over. It's okay to sell
5. Stop loss level is 15 pips
6. Take profit at 1.9909
7. Trade close with 15 pips

[desta_wp]

Trade G

1. Signal trigger sell position at 1.9906
2. EMA 8 value is 1.9932
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 26 pips
5. Take profit at 1.9880
6. Trade close with 26 pips

[desta_wp]

Trade H

1. Signal trigger sell position at 1.9835
2. EMA 8 value is 1.9879
3. Candle before our signal candle is a doji/spinning/star
4. Because we are in downtrend, doji become a signal for continuation move
5. Stop loss level is 44 pips
6. Take profit at 1.9791
7. Trade close with 44 pips loss

[desta_wp]

Trade I

1. Signal trigger sell position at 1.9829
2. EMA 8 value is 1.9857
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 28 pips
5. Take profit at 1.9801
6. Trade close with 28 pips

[desta_wp]

Trade J

1. Signal trigger sell position at 1.9831
2. EMA 8 value is 1.9846
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 15 pips
5. Take profit at 1.9816
6. Trade close with 15 pips loss

[desta_wp]

Trade K

1. Signal trigger sell position at 1.9782
2. EMA 8 value is 1.9822
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 40 pips
5. Take profit at 1.9742
6. Trade close with 40 pips

[desta_wp]

Trade L

1. Signal trigger buy position at 1.9854
2. EMA 8 value is 1.9805
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 49 pips
5. Take profit at 1.9903
6. Trade close with 49 pips loss

[desta_wp]

Trade M

1. Signal trigger sell position at 1.9806
2. EMA 8 value is 1.9807
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 67 pips
5. Take profit at 1.9739
6. Trade close with 67 pips

Note:
The distance between close price and EMA too short.
We can use ordinary stop loss at the high of previous bar/candle.
This signal bar close below its moving average indicate the trend continue.

[desta_wp]

Trade N

1. Signal trigger sell position at 1.9751
2. EMA 8 value is 1.9794
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 43 pips
5. Take profit at 1.9708
6. Trade close with 43 pips loss

[desta_wp]

Trade O

1. Signal trigger sell position at 1.9750
2. EMA 8 value is 1.9777
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 27 pips
5. Take profit at 1.9723
6. Trade close with 27 pips loss

[desta_wp]

Trade P

1. Signal trigger buy position at 1.9801
2. EMA 8 value is 1.9779
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 22 pips
5. Take profit at 1.9823
6. Trade close with 22 pips loss

[desta_wp]

Trade Q

1. Signal trigger buy position at 1.9804
2. EMA 8 value is 1.9785
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 19 pips
5. Take profit at 1.9823
6. Trade close with 19 pips loss

[desta_wp]

Trade R

1. Signal trigger buy position at 1.9838
2. EMA 8 value is 1.9817
3. Candle before our signal candle is not a doji/spinning/star
4. Stop loss level is 21 pips
5. Take profit at 1.9859
6. Trade close with 21 pips

[desta_wp]

Summary of trades:

Trade with profit:
A, B, C, D, F, G, I, K, M, R
(10 trades)

Trade with loss:
H, J, L, N, O, P, Q
(7 trades)

No trade:
E (1 trade)


Total pips from winning trades = 373 pips (63%)
Total pips from lossing trades = 219 pips (37%)

Net pips = 154 pips

[desta_wp]

The Important of Using Trailing Stop and Money Management

I'm sure you all have deep understanding in Trailing Stop and Money Managemet.
So I don't need to explain the basic concept, but only for this system.
An experience trader know not only the good system but the price movement too.

This system can use trailing stop with this criteria:
1. If price move in trend, put stop at break even when price had move half or third quarter to take profit level.
2. If price move sideways, leave the stop at its original level.

For money management, of course you can use your own system.
Mostly money management tell to open a trade with 2 lots and close 1 lot at take profit and move the other stop to break even and let it run to gain more pips.
It's okay to do that, but in this system I don't use that.
When price move to third quarter of target point, I put stop at break even.
When price reach its target, I close half of my positions and move the other half stop to half value of target pips.
So, if our target is 30 pips then I move the stop 15 pips from breakeven level.

Now back to my first post in this thread.
Trading always about you.
You decide to use money management of your own. Go ahead but always discipline.
If you decide not to use trailing stop, then good for you.

Remember to always confidence and discipline
After all, not the best systems make you rich but the understanding of price movement does.

If you have trading the same system with this one, you are very welcome to share your experiences.

Please understand, that's English not my main language.
If there is incorrect grammar, then I must learn again.

[sultan]

English language grammer is not a big deal. The important thing is to be able to communicate. We hope that you will post more interesting articles. I mean some useful ones which will be profits making.

[fx_karin]

Please go ahead, you want to introduce a whole were just summarize wish comes useful

[richtrader]

Come any de them, I do not know anything

[dr_haker]

Not bad results. Why do you use it only daily TF,. It can be used in HOURLY as wee. Especially volatile pairs like GBP/JPY od XAU/USD (aurum)

[desta_wp]

Not bad results. Why do you use it only daily TF,. It can be used in HOURLY as wee. Especially volatile pairs like GBP/JPY od XAU/USD (aurum)

not just daily, you right, we can use 1H time frame and also 4H:o

[denvinmw]

statement trading pleaseee :)

[ef_med2001]

thanks for sharing, bro desta !

[mzer]

Very informative. Thanks.

[benitohau]

statement trading pleaseee :)

You will not receive trading statement from desta_wp,
because this system is not originally his.

The original Cimov System can find at fxopen forum thread
The thread starter is Wing2008

The link is:
http://forum.fxopen.com/showthread.php?t=16698
http://forum.fxopen.com/showthread.php?t=16698

If you want to see trading statement ask the guy named Wing2008

Don't ask desta_wp because he is only a plagiat. (plagiatism)

Should this help!
benitohau

[yohanip]

You will not receive trading statement from desta_wp,
because this system is not originally his.

The original Cimov System can find at fxopen forum thread
The thread starter is Wing2008

The link is:
http://forum.fxopen.com/showthread.php?t=16698
http://forum.fxopen.com/showthread.php?t=16698

If you want to see trading statement ask the guy named Wing2008

Don't ask desta_wp because he is only a plagiat. (plagiatism)

Should this help!
benitohau
:)