FREE ES Trading Strategy that works

Discussion in 'Strategy Development' started by DonKee, Apr 29, 2009.

  1. DonKee


    Cause I'm done trading (FMOC today) and I am bored:

    1) I will give you a profitable ES trading strategy
    2) I learned it from LBR, but adopted it for me and the current markets
    3) Any indicator that you need is available for free from any chart vendor
    4) If you try this for the next 4 weeks with 1 or 2 contracts, you should not get hurt (min $3,000 account per contract) and will probably turn a profit. Obv no guarantees.
    5) If you are not disciplined enough to do this for 4 weeks then your problem is not the method, but YOU.
    6) I will answer any questions at least once per week for the next 4 weeks.

    The Strategy is LBR's 1st Cross Trade, as I trade it:

    1) ES chart is a 1000 tick time frame
    2) 9ema and 34 ema
    3) MACD settings 3/10/16
    4) My bars are basically heiken-ashi but it's not important.
    5) Lot's of information available from LBR web site for FREE (I have no affilliation with LBR)


    When the 16 line crosses zero for the first time <b>(1st cross)</b> you will enter when the 3-10 histogram pulls back on the opposite side of the 0 line and then turns back toward the 16 line (main trend).

    Target: 2 points (of course you can have runners, etc. It's up to you).

    Stop: 2 points (Yea, it's tight. Widen it up a little if you want)

    Target and Stops are definitely volatility dependent, but for the next 4 weeks, let's see if you are disciplined enough to try 2 and 2.
    btw: after 1.5 or so, I usually bring stop to b/e and scratch it, if it doesn't hit the 2 point target.

    That's it!!!!

    (you DO NOT need all the colors that I have coded into my chart, remember, trading is boring and I color code when I'm bored, lol)
  2. DonKee


    If you have a question, please post it, as you probably aren't the only person who is thinking about it and it will save me from the PM route.

    1) How many signals per day on average?

    Should get anywhere from 3-10. I stay out on FOMC days after 11am est.

    2) Does it work on other markets and other time frames?

    <b>This is the way I trade it.</b> You can let us all know if you are having success in other markets or other time frames.

    3) Is there another exit that captures more of the move?

    Of course. I posted 2 points because I'm trying to help those who are struggling to become successful. If the 2 points work and you are making money, you can always add more contracts rather than look for higher targets. If you want to trail a few, do it.

    <b>Do whatever works for YOU.</b>
  3. INteresting. Thanks for sharing.


  4. DonKee


    Good point. I've only been trading since 1982. I'll let you know if I'm successful in the longer run.
  5. Pekelo


    Excellent example of my notion of people not recognizing value if it is for free. I assume the strategy works, but you dismiss it or not care about it because you disagree with the OP on other issues. Congrats!
  6. vikana

    vikana Moderator

    Thanks for sharing. I'm probably just dense, but i don't see the ema 9 & ema 34 in play at all for entry or exit rules?
  7. wow, you're such a tool.

    Thanks for posting this. Always nice to see something different. Looks good.

    A constructive post on ET? No way.
  8. IMO it wouldn't hurt to use them.

    9>34 buy and vis-versa. Would filter out some signals but it'd toss a nice spin on direction IMO.
  9. pma


    Donkee-thanks for sharing.
    Wow-trading from '82! Props
  10. 9999


    Nice, thanks (again!) DonKee.
    May I ask you what are the Sharpe and avg win/loss ratio?
    #10     Apr 30, 2009