George Smith's AVG strategy

[Freddie]

I have been getting a lot of e-mails recently from Uncle George defining his strategy. I thought that it might be useful for us.

 

NOTE: I am not in any way part of his organisation nor an affiliate etc. Just want to help you and me.

 

Basicly the idea is that we record the highs and lows as they occur then calculate the difference between the current price and the previous....so if last high was 20 pips from the low just hit we add 20 to this low and expect price to hit 20 more.

He also says that we buy at 5 above the low and take just 6 pips or we TP at 10. (25% from bottom to 25% from top) .....if I have it right!!

 

I will post the URLs for his videos about the AVG if anyone is interested.

 

http://www.forex-trading-made-ez.com/fx100412/fx100412.htm First one.

Edited January 13, 2013 by Freddie

[sillykiddo]

i am interested

[Freddie]

OK, SK, I will sort out the video urls and when the trading day starts try to start an AVG log on EUR/USD.

 

Tokeo is just an hour in front of me so I will start Monday morning in about 22 hours time...Time here is 10 am Sunday, 9 pm Saturday NY. Where are you and what's the time?

 

http://www.forex-trading-made-ez.com/fx080212/fx080212.htm second one

Edited January 13, 2013 by Freddie

[ichiyeow83]

sound interesting..

[ebizpro]

I am interested also

[Freddie]

I have had a look at last friday's chart and marked the first swings.

The rules of deciding a high or low are a couple of lower bars or candles each side for a high or higher candles for the low. This is also the rule for fractals so perhaps using a fractal indicator might help us on the minute chart.

 

Since GS says that he trades after 25% of the last swing has passed then the two bars following the 'swing' candle is likely to be no problem. As always, if the entry candle swoopes up or down then we are too late and 'thats life'.

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG1_zps50b88fac.png

 

George puts up pending trades, usually in threes with 5 pips between I have ignored that since this is the Asian session and not likely to make large moves.

His SL is anywhere from 9 to 15. Since the first down was only 13 I expect that a 9 would be good.

I have seen a lot of risk reward arguments about being SL hunted but George is adament about his 9, 12 or 15 SLs.

I have also seen a lot about moving to Break Even. I don't agree with BE, I always think a few pips is better.

Edited January 13, 2013 by Freddie

[Freddie]

Good Morning, we have had a few swings to start the day but at present it is just going almost straight. Last up swing was 6+ and current down swing is 6+, both nearly 7.

 

In fact the last DS has finished and the next US has started

 

Best left alone for the moment I think.

Edited January 13, 2013 by Freddie

[Freddie]

Thought I'd give you a pic.

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG14J_zps02d906f5.png

 

While I was doing it the down stopped . It was just a retrace and the up has continued

 

There is no trend at the moment. The channel is 14 pips wide. We have only been going 2 hours.

 

I should note here that I am not using George's calculations here just looking at the chart, looking at the swings and if I do trade them it will be by sight not 'maths'.

 

Latest swing is down 11 and just retracing so if traded would have produced the 'scalping' pips.

 

I have just noticed the difference between Alpari's spread and FXDD Malta. I have been using FXDD only as a demo but their spread is 2.5 pips, Alpari only 1.

Another thing that I noticed, I am using a 1 min chart. As I watched the price went up three bars. Now it was not 3 mins passed only a few seconds, so maybe FXDD is not the one to use.

Edited January 14, 2013 by Freddie

[Freddie]

Got to stop for a while...other things to do which is a pity because the price has really risen.

 

I will be back later......

.....OK I am back. The internet has been out for most of the day but London has started, it is 09:20 there so lets see what is happening.

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG14J3_zps3d3df541.png

 

There was a possibility: 16 pip down so a four pip pending and an 8 pip target.

 

Don't know what to do after that it is all a bit flat but there is a big rise a few minutes later. Probably the start of a run.

Edited January 14, 2013 by Freddie

[Freddie]

Just looked at the chart

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG15J_zpsd1c9e96e.png

 

The sell pending order didn't trigger so I am waiting for the chart to settle again to delete the old sell and do another.

 

Up swing is now 19 so the sell pend should be now be 5 down from the top, TP at 15.

 

Sell has triggered, SL at 9 up from sell

Edited January 14, 2013 by Freddie

[Freddie]

Here is the latest pic. All the writing has disappeared

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG15J2_zpsf13e0b97.png

 

The top green line is SL, lower is TP

 

Price is consolidating so may go up again. It is one o'clock in the morning here and I am off to bed.

 

What does anyone think of this strategy? Am I doing it right. It would be better if I had the time to concentrate on in plus, of course have steady internet all day.

 

Night all

Edited January 14, 2013 by Freddie

[Freddie]

That was a bad time to go to bed. A few good pips to be made. I will show you:

 

19 up swing, 19 down swing so 5 pip PS, 9 pip SL, 10 pip Target: Same figures for Pending Buy.

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG15J3_zpsa6448298.png

 

As you can see the sell took its profit but the next swing only reached 10 pips so the SL move won a few.

 

I have to go out this morning so I will be back later to do a few more possibles

Edited January 15, 2013 by Freddie

[juicyt]

Keep posting Freddie, I hope you can prove GS's system to be easy and profitable.

 

jt

[Freddie]

Keep posting Freddie, I hope you can prove GS's system to be easy and profitable. jt

 

OK just looked at the start of the London day

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG15J4_zpsb88add50.png

 

There are two 25 pip runs up but very little run down again.

 

The latest is 13 pip down and looks like consolidation. The 4 pip pending buy would have triggered...lets see what happens

 

It is threatening the 8 pip TP. I would put the SL at 5 pips for the moment ...now at 8.8. I would have been stopped out.

 

The next swing was 16 so a pBuy would have triggered at 4...Sorry that is a P Sell it is now at 10 pip win. I don't have time to mark the chart

 

OK, I would have been stopped out for 6 pips

 

I saw Hermes commenting on someone talking about an indicator predicting a move - cannot be done he says and I agree. Here we are expecting swings and we are guessing what will happen next. We guess that the swing has ended and put in a pending order. If we are lucky it triggers... if we are enen more lucky it carries on and makes us some pips. Looking at today's early swings we would have triggered but then failed twice. We would then have made a few pips twice....

 

In case anyone thinks that I am not absolutly honest here, I am telling you what I think as the price moves. If I had placed the SL a little further back in each case it would have been another story but where I said is where I would have put it if I were working the system alive and not just discussing it with anyone who is looking.

Edited January 15, 2013 by Freddie

[Freddie]

11 am UK and a 45 down swing, 11 pip pending entry. Not hit yet consolidation!!

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG15J5_zps8003cc9c.png

 

11:01 Buy trjggered making 3 or 4 pips

Edited January 15, 2013 by Freddie

[Freddie]

Stopped out but I should have been aware of the 15 pip swing up that then broke down again.

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG15J6_zps77ae3e20.png

 

Could have triggered at 4 and went down to win 14.

[Freddie]

OPINIONS WANTED!!

What do you think about the STOP LOSS siuation. Generally we have a retrace but is often only a minor one. It does not usually get hit is not moved. Perhaps we should set & forget?

 

This morning, in Penang, we have a 24 swing high that triggered at 6 pips down then threatened to retrace. It didnt go back to the trigger position. Still going down.

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG16J1_zps24d22f28.png

Edited January 16, 2013 by Freddie

[Freddie]

Stopped out for 6 and triggered on 5

Picture to follow.

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG16J2_zps97327927.png

 

I was too busy to watch the chart and the latest one hit the stop loss.

 

I am off to Thailand for a few days so I will probably restart this system next Monday but I will use a demo and trade it for 'real' setting my 'pendings' and SLs. I will post the odd pic when I can.

Edited January 16, 2013 by Freddie

[juicyt]

Hi Freddie, Unless there is a rare exception to this, I think you should be aware that GS doesn't make NEW videos and that they are all year/s old now. (You can see by the prices on the chart and sometimes the date) I would suspect you may need to adjust to 15min TF or make slight changes to make it fit the market of today and not of the one GS shows us.

 

jt

[Freddie]

Hi Freddie, ... I would suspect you may need to adjust to 15min TF or make slight changes to make it fit the market of today and not of the one GS shows us. jt

 

Well Jt, either you are psychic and sent me the message already or we just have had the same thoughts. Actually GS vids have numbers at the end which are dates I think.

 

Yes, I became aware that my work was nothing like GS's so I looked at 5 min and 15 min even 30 min. Didn't look usable.

 

As it happens Uncle Karl is selling an indicator that deals with these long swings??? and there was another that arrived by e-mail that looked the same....not exactly but good swings and good wins.

 

Thanks for your contribution.

[juicyt]

Just looked at Vid on latest email and the date is Dec 6th.. not too bad... oh, 2011!

 

Oh well, that kind of tells you something

[Freddie]

Hi Freddie, ... to adjust to 15min TF or make slight changes to make it fit the market of today and not of the one GS shows us. jt

 

Hi Jt, here is what today's London Session looked like with its swings on an hourly chart.

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG16J3LS_zps0c93f19e.png

 

... And here is what the 5 min looks like. Maybe we could use Oscar and AVG? I will have a look on Monday.

 

http://i914.photobucket.com/albums/ac341/freddieforII/AVG16J3LS2_zps8766a108.png

Edited January 16, 2013 by Freddie

[Freddie]

Here is a link to GS's latest video.

 

http://www.forex-trading-made-ez.com/fx012013/fx012013.htm

 

You might find it interesting that he makes a trade and leaves it over the week-end.