TA Forex Trading

EZ follow-up. At this point, it did hit my 1.5825 TP target I had on the flipper. I always aim well below the 2nd extension target from the entry level.

But the red PETD candles on the 15 minute and the single red PETD candle on the hourly are saying it's prudent to exit any remaining trade positions.

The nice thing about this setup is that even if the trade doesn't run as far as you expect, you can still take profits along the way and protect the rest with either a trailing stop or exit for break even plus a pip or two on the return retrace. Same with short setups.

Follow up charts...keep in mind the candles are NOT turning red because they're bearish candles. They only turn red or green based on the PETD indicator with the modified code I posted about. Basically, the candles are a visual indicator of whether or not the candles close above the EMA15 or below the EMA15. During an uptrend, closes above the EMA15 are posted as green candles. During a downtrend, closes below the EMA15 are posted as red candles.

For anyone interested in this setup, look up Steve Primo on Youtube. He has tons of videos that describe his system. He's a former floor trader on the NYSE and has decades of experience. I wanted a setup that emulated my HA candles but I still wanted some form of regular candles on the chart as well. The PETD indicator along with the modified bollinger band setup (dashed white lines) gave me what I wanted with a lot less clutter on the chart and more precise entries.

Of course, Primo wants to sell you stuff as most of those retired professional traders do. The PETD system alone sells for something like 2 grand. But if you watch enough of his videos, he gives away a piece here and a piece there of his system so it's not hard to put together the bigger picture.

Here's the finalized template and the modified generic PETD indicator I coded to emulate his setup, if anyone wants it. But before you trade this setup, be sure to go and watch as many of those Primo videos as possible on Youtube to make sure you're comfortable with the system and can spot the setups.

Of course, like any trading methodology, the system isn't 100%. But it does have a very high win rate, somewhere in the 80% to 90% range, which is more than good enough to make an account profitable with very little drawdown if you follow the rules.

The one really big thing that jumped out at me about this setup is that it is absolutely non-subjective. The rules for entries and exits are clear and not subject to speculation. Normally, if 10 traders look at a chart, they'll come up with a wide variety of conclusions. With this setup, 10 traders all come up with the same conclusion. It makes it much easier to trade by totally removing any speculation about support, resistance, chart patterns, wave counts, etc. None of that comes into play. It also eliminates the idea of looking for tops and bottoms because the system is devoted entirely to trading the trend.

Template and the PETD generic indicator I modified are included below in a ZIP file.