Category Archives: System Design

Convergence-Divergence Trend Launching System

Note:  This trading system is my attempt to self-study Convergence / Divergence.  The system calls for looking for Convergence / Divergence MACD entry signals on the daily chart.  A long-term trend filter ensures that entries are only allowed in the … Continue reading

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2EX Breakout System

Note:  2EX stand for 2 EMA Cross This system combines the use of two EMAs (5 and 9), with a 100 EMA Long-Term Trend Filter and a MACD entry confirmation.  Category: Breakout Trend-Following System Type: 100% Systematic Timeframe: Daily Indicators: EMA (5, 9, … Continue reading

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Near-Term Support & Resistance

Support and Resistance (S&R) is one of the first things beginners learn when studying technical analysis in Forex.  It seems that every book mentions it, every website has a few articles about it, but how can we implement it in … Continue reading

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“Essence of a Trend-Following System”

Every good trend-following method should automatically limit the loss on any position, long or short, without limiting the gain. Whenever a trend, once established, reverses quickly, there is always a point, not far above or below the extreme reached prior … Continue reading

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Writer’s Block (Trading-System-Design-Style)

“Don’t waste time waiting for inspiration.  Begin, and inspiration will find you.” – H. Jackson Brown Jr. When designing that perfect trading system, do you ever feel like you have writer’s block? I sure do… I’ve done a lot of … Continue reading

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Building a “Robust” Forex Trading System

I would construct a theory and work on its lines until I found it was untenable. Then it would be discarded at once and another theory evolved. This was the only possible way for me to work out the problem. … Continue reading

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