The Fractal Guru Strategy

[Spongebob]

Hi Navin

Thank you for the strategy, looks interesting.

Cheers Lino

[flyersummer]

Hi Navin

1. What is the success rate for this strategy?

2. Why should we put stop loss at 4 pips? Why not 10 pips? Should I be putting stop loss higher according to money management/ lot size etc?

regards,
Walter

[urbanforex]

Originally Posted by Spongebob

Hi Navin

Thank you for the strategy, looks interesting.

Cheers Lino

Glad you like it

[urbanforex]

Originally Posted by flyersummer

Hi Navin

1. What is the success rate for this strategy?

2. Why should we put stop loss at 4 pips? Why not 10 pips? Should I be putting stop loss higher according to money management/ lot size etc?

regards,
Walter

1. Success rate is in the 70% area if not more because these trades occur only during a trend which is really good.

2. The stops are 5 pips above or below the fractal candle. Reason : either its going to work or it will immediately stop you out. Do not move stop loss at higher risk according to money management, it is already placed as per price action rather than a set fixed stop.



VERY IMPORTANT !!! : Do not close your trades on this strategy using your close button on your MT4, make sure you trail your stop. Your trade should close by your stop only.

Reason : These trades occur during trending markets, so there is no point of just taking 5-10 pips. Let it run.

- Navin

[flyersummer]

Hi Navin

I am testing this strategy on 1hrly EUR/USD. But the ADX seems to fluctuate alot as compare to your screenshot.

Is this an issue?

Do you recommend trading at 1hr or 15mins?

[urbanforex]

Originally Posted by flyersummer

Hi Navin

I am testing this strategy on 1hrly EUR/USD. But the ADX seems to fluctuate alot as compare to your screenshot.

Is this an issue?

Do you recommend trading at 1hr or 15mins?

Hi flyersummer,

I've tested this out on the 15min. I'll have to take a look on the 1 hour and test it out. I'll do some backtesting and forward testing today. Will keep you posted on this forum. Let me know the results if you plan on testing as well.

- Navin

[Chris]

Can you explain how to exit this strategy?
Thanks.

[navin.prithyani]

Hello Chris,

1 to 1 Ratio should be your primary target. After that, a trailing stop would work great because once the trend moves in your favor, you want to lock in profits as much as you can.

- Navin

[wint]

Greetings.

1) In your YouTube video, you defined the Down fractal as a Low with ONE higher low on either side. (You didn't actually say that but that's what I inferred.) Bill Williams defined it as a low with two higher lows on either side. Any reason why you changed the definition?

2) Bill Williams trades fractals by breakout . . . i.e., if you have a Down Fractal, you would enter when price broke below it. You actually REVERSE things by treating a Down Fractal as a Long setup.

How did you come to that conclusion?

Thanks

[03jord33]

How much of a trailing stop to you recommend after hitting the 1:1 ratio? Do you do set a fixed pip amount in MT4 or change it to the low (or 1 pip below) of the last bar as the trend progresses?