Welcome, Guest

Author Topic: 321 Strategy for FX  (Read 8695 times)

0 Members and 1 Guest are viewing this topic.

Anthony

  • Administrator
  • Full Member
  • *****
  • Posts: 100
321 Strategy for FX
« on: August 22, 2014, 04:44:52 PM »
We have been experimenting with the range bar settings for the 321 strategy on the FX pairs. The Average Daily Range on Forex charts at the moment is extremely low, therefore we need to look to tighten the ranges of the bars in the 321 strategy. In the Strategy Guide we suggested using 10pip/5pip/2pip for the 3 charts in an active forex market with ADRs in excess of 100 pips, but take a look at these..

We are getting some nice entries using 5pip/3pip/2pip range bar settings at the moment.

5pip Direction Chart
3pip Confirmation Chart
2pip Entry Chart

We would encourage users to experiment with these settings and share your findings.

Anthony

Luke

  • Newbie
  • *
  • Posts: 18
Re: 321 Strategy for FX
« Reply #1 on: August 25, 2014, 06:23:55 AM »
Hi Anthony

Was hoping you could clarify something for me with regard to setting up MT4 for use with the 321?  I may have set this up incorrectly ...

I have opened the M1, applied the EA, changed the setting each time to create each of the offline charts I need for the strategy, with the following settings:
 1. M4 (5pip bars)
 2. M3 (3pip bars)
 3. M2 (2pip bars)

Now with all 4 charts open (M1 is the 4th), the EA is only going to update the offline chart it currently has settings for (ie. if EA is set for 5pip chart then only that chart updated with price movements).

Is the solution to have an M1 chart (with EA for each) for each offline chart eg. 6 charts for the 321 system for each pair your watching?

Thanks in advance.


Luke

  • Newbie
  • *
  • Posts: 18
Re: 321 Strategy for FX
« Reply #2 on: August 25, 2014, 06:33:44 AM »
Was also wondering what settings you would suggest for the "zone" with the reduced pip settings for the 321?  Currently this is at 10pips either side of the Superguppy baseline.  Would you look to change this given the reduced range bars sizing?

Thanks

Anthony

  • Administrator
  • Full Member
  • *****
  • Posts: 100
Re: 321 Strategy for FX
« Reply #3 on: August 25, 2014, 10:00:19 AM »
Hi rukas

You have to have 1x M1 chart per Range Bar Chart therefore to create the 321 setup you will need a total of 6 charts open, 3 x M1 and 3 x Offline (M2, M3, M4)

I would still use a zone setting of 10 on the 2 pip chart

Anthony

Luke

  • Newbie
  • *
  • Posts: 18
Re: 321 Strategy for FX
« Reply #4 on: August 25, 2014, 01:50:16 PM »
Thanks Anthony, appreciate the confirmation

RichardH

  • Newbie
  • *
  • Posts: 44
Re: 321 Strategy for FX
« Reply #5 on: September 02, 2014, 07:34:15 AM »
Given that the initial trend analysis is being done here on a chart range that is smaller in priceframe than the original system, should we also give some thought to adjustment of profit take expectations given that the trends identified/confirmed on a 5R chart are somewhat less likely to span as greater range in price as those identified on a 10R chart?

Just a thought.

Anthony

  • Administrator
  • Full Member
  • *****
  • Posts: 100
Re: 321 Strategy for FX
« Reply #6 on: September 02, 2014, 08:12:21 AM »
Hi Richard

Absolutely, as the ADRs are low we need to reduce out targets and expectations, agreed.

Anthony

RichardH

  • Newbie
  • *
  • Posts: 44
Re: 321 Strategy for FX
« Reply #7 on: September 02, 2014, 08:26:18 AM »
So I guess then the question is one of risk management.  Do we still look at stop losses in line with the ANTS zone, or rather a fixed (and presumably) reduced initial stop loss point.

Would you rather sacrifice the risk:return ratio or increase the likelihood of being whipsawed out of a trade?

Anthony

  • Administrator
  • Full Member
  • *****
  • Posts: 100
Re: 321 Strategy for FX
« Reply #8 on: September 02, 2014, 09:10:55 AM »
Hi Richard

The zone is a good area to allow the trade to breath, once price goes the wrong side, I would get out of the trade and wait for the next entry.

The question of reduced risk/reward vs whipsaw is a good one. If you can prove to yourself that your hit rate is high enough, then yes reducing the reward/risk to help avoid the whipsaw is something that I would do.

We don't need to make many pips/ticks per day to make fortunes in this business. Too many people get focused on trying to make lots of pips on each trade and the reality is you don't need to.

Anthony

RichardH

  • Newbie
  • *
  • Posts: 44
Re: 321 Strategy for FX
« Reply #9 on: September 02, 2014, 09:52:27 AM »
Hi Anthony,

Good point.  The consistency is the key.  I am interested to see how this approach plays out over the next couple of weeks.

I'll post some results after I've had a chance to have a decent test period.

Richard

JohnG

  • Newbie
  • *
  • Posts: 11
Re: 321 Strategy for FX
« Reply #10 on: November 17, 2015, 03:55:59 AM »
Hi Anthony
Just wondering how low should the ADR's be before going to 5r 3r 2r?
Have you had more time testing this out, in the current FX market most top pairs are in low 100 with 1 or 2 high 100 possibly just above 200.
Any info would be great, your post was from 2014 so I hope you see this.

Thnaks

John Gal

We have been experimenting with the range bar settings for the 321 strategy on the FX pairs. The Average Daily Range on Forex charts at the moment is extremely low, therefore we need to look to tighten the ranges of the bars in the 321 strategy. In the Strategy Guide we suggested using 10pip/5pip/2pip for the 3 charts in an active forex market with ADRs in excess of 100 pips, but take a look at these..

We are getting some nice entries using 5pip/3pip/2pip range bar settings at the moment.

5pip Direction Chart
3pip Confirmation Chart
2pip Entry Chart

We would encourage users to experiment with these settings and share your findings.

Anthony

DanielF01

  • Newbie
  • *
  • Posts: 2
Re: 321 Strategy for FX
« Reply #11 on: December 16, 2015, 07:31:00 AM »
Daryl was here in my country recently and introduce about ANTSSYS.

I am interested in the 321 strategy and read about it from here: http://www.antssys.com/resources/ANTSSYS-Strategy-Guide.pdf

What is the ideal timeframe and range bar setting for the long, meduim and short term charts?
Is it really fine to trade on the long term chart only as mentioned on the the strategy guide?

DavidF

  • Newbie
  • *
  • Posts: 39
Re: 321 Strategy for FX
« Reply #12 on: December 20, 2015, 10:56:35 AM »
Daniel - see my post to you and Lucca under "Stop Loss".

RichaBoer

  • Newbie
  • *
  • Posts: 1
Re: 321 Strategy for FX
« Reply #13 on: December 30, 2015, 10:54:13 AM »
Would like to understand whether the following setup was correct, and that this is just an example where the odds turned against me.

Setup on GBPCHF
R10: downtrend in progress
R5: downtrend in progress
R3: Downtrend in progress, entry when ANT fired: Short, 30pip SL, 30pip TP.

See attached screenshots.

Thanks