Earn From Blogging & Investing Online

This system I have read on the forexfactory forum but instead of summarize the system. I search from the web that already has posted this system.

The daily fozzy method is another forex system which is a low
maintenance and very easy to follow. It was started on Forex
Factory by Fozzy from Australia. He developed this strategy on
his own, and it targets those who cannot sit in front of their
computers all day, just waiting for signals. All it needs from
you is a 10 minutes every day.

This system, or method as called by the its creator, can be traded on EURUSD, JPYUSD, USDCHF, GBPUSD. For simplicity purposes, we will trade it on GBPUSD, because we
cannot afford to trade it on other currencies in the mean time.

1. Place an 8 period RSI. Place an 8 period
MA of the RSI and Bollinger Bands with a 20 period setting, also
on the RSI.

2. When RSI is below the
middle Bollinger Band. Go long on the open of the next
bar after the RSI crosses the MA form below to above

When RSI is above the middle Bollinger Band. Go short
when RSI crosses the MA from above to below/

3. Stop loss is the low/high of the previous bar.

4. When profit is +40 pips or more, move SL to break even.

5. Use trailing stops of 25 pips
afterwards. For testing purposes we will not use that. Instead
we will use 50 pips TS changed on daily basis.

4. Look at the charts once per day, just before 0.00 GMT. This
way you know which pairs are approaching the set-up.

5. Wait for complete close of bar to make sure that the cross
is real, then place the trades. So, when there is a start of a
cross, you have to wait for next day 00.00 GMT to make sure the
cross has stabilized. Then you enter the market. It is a daily
method.

Example Chart: (Click to view)

Tips for placing indicators:

First set RSI as usual, then drag MA from navigator window
into the window of the RSI. Then select apply to first
indicators data.

Repeat for bollinger bands

Download template (Right-click save target as @ save link as )

Source : http://www.myfxreport.com/fozzy.htm

Regards,

Aidil Azhar

Share/Bookmark