Trading System - OzFX System

This amazing system has been created by OzFX, and you can find the original system along with the daily trade signals here. This system is not only simple to use, but is also extremely profitable. As with other systems I use, I have used most of the original system, and modified with slightly to suit my needs.

The System:
This system involves trading off the daily chart or sometimes the 4 hour charts. And since we are looking at a larger time frame, it involves holding positions anywhere from few days to few weeks. And since this is a longer time frame trading system, we are targeting more than 100 pips in profit with each trade, and typically around 200-300 pips. Once again, in my testing the past few weeks, this system has done exceedingly well with high rate of success and good returns per trade.

The Indicators:

1. 200 SMA applied to close.
2. Accelerator Oscillator with default parameters.
3. Stochastic (5, 3, 3)
4. Awesome Oscillator with default parameters.
5. RSI (9)

The Signals:
Long Trade (conservative):

1. The AC is showing green and just crossing zero.
2. AO is also showing green.
3. Stochastic is heading up and crossed above 50 and not in overbought territory (this is still being tested).
   
4. RSI is heading up and close to or above 50.
   

Short Trade (conservative):

1. The AC is showing red and just crossing zero.
2. AO is also showing red.
3. Stochastic is heading down and crossed below 50 and not in oversold territory (this is still being tested).
   
4. RSI is heading down and close to or below 50.
   

Long Trade (aggressive):

1. Both AC & AO are starting to showing green.
   
2. Stochastic is heading up and not in overbought territory (this is still being tested).
   
3. RSI is heading up.
   

Short Trade (aggressive):

1. Both AC & AO are starting to showing red.
   
2. Stochastic is heading down and not in oversold territory (this is still being tested).
   
3. RSI is heading down.
   

The aggressive method allows us to catch the trend earlier and also exit the trade as soon as the trend is reversing.

Stop Losses & Exits:
Each trade is opened with 3-5 lots. Stop losses are usually set to 100 pips. Set target points every 50 pips and sell 1 lot every time a target point is hit. Let the last lot run until the trend reverses. As soon as the first target point is hit, move the stop loss to break even.