Urban Towers Scalping Strategy

[urbanforex]

Hello everyone,

I've been getting a lot of questions in regards to this strategy. Please try and post all your questions and comments here and I will reply to them.

I will keep this thread updated with chart examples for trades.

Enjoy !

- Navin

[urbanforex]

Conservative Trade on EURUSD on April 6th.

[urbanforex]

Originally Posted by acute

Where do you enter a trade as you look for the 3 lower highs or higher lows ? Should it be at the market or a limit order ?

George

Let me give you a full example, let me know if it makes sense.
- Lets say the market is below the MA's
- We wait for a retracement back to the MA's (but must not close above them)
- As it is retrancing, we want to see a higher low, another higher low, and hopefully a 3rd higher low.
- Keep a sell order on the low of the last "closed" candle, as you get higher lows, move your sell order to the next low.
- Once the market breaks through, you are in a sell trade.

Refer to the picture above. We kept trailing the candles until the market broke the white line and we were in a sell.

- Navin

[urbanforex]

Originally Posted by acute

Navin

On your chart example I was surprised to see that the ' TOWER ' rules get you in the trade very quickly . Both Daryl Guppy and Hull stress not to enter when the MMA's are tightly compressed, but instead wait for the lines to start separating .

I think this shows how powerful the tower strategy is !!

George

Yes, but one must make sure the market is trending at least. I will post up some pictures of whipsaws in which this strategy struggles.

- Navin

[urbanforex]

EURUSD Trade on 8th April using Urban Towers Strategy

- Navin

[acuter]

Navin-

Does one of the the retracement candles have to actually TOUCH the MA's , or simply be moving TOWARD the MA lines ?

[urbanforex]

Originally Posted by acuter

Navin-

Does one of the the retracement candles have to actually TOUCH the MA's , or simply be moving TOWARD the MA lines ?

Hi Acuter,

The candles have to Touch the MA's - but not close on the other side.

- Navin

[Spongebob]

Hi Navin

I had a look at this strategy and seems to be an excellent add on to mine. I trade the 1-2-3 setup mostly on 15min TF, I also love to trade around Europe sessions.

I changed my original 5 and 10 EMAs to 10, 20, 40 EMAs. There was a very simple trade on EUR/USD this morning. I found a 1-2-3 setup, and a perfect urban tower retracement of three lower highs.

My original entry is at point 2 of 1-2-3, with a target of the same distance as point 2 to point 3 which is a 1:1 ratio, with this trade having the same target i managed to get a 3:1 ratio.

These where my entry stop and targets:

Entry: 1.3195
Stop: 1.3175
Target: 1.3255

Thanks for this strategy, seems to be working well as an add on to mine.

Cheers Lino

[acuter]

Hi Lino-

Your revised 3 EMA 'S work better than my Guppy group on Tower strategy .

Thanks

[Spongebob]

Hi Navin

I would like your opinion on this trade im busy in. The urban towers strategies time frame is 15 min, I trade mostly the 1-2-3 on that time frame too, but one can trade it on most time frames.

The question i have is, I found a 1-2-3 setup on the 30 min time frame with a nice rally, i applied your three higher lows and entered at the top, would you consider using the same rules on a bigger time frame?