Thread: Daily Open Breakout Method

Hi, here is a simple, nice and profitable trading method I'm using every day in my live account.

It's based in price action, each trading day look for the opening price for the day (based on GMT time) so you basically go to your charts and find what price the pair was at 12am GMT then place a limit order 30 pips above and 30 pips below that price. In essence, we're straddling the opening price at this moment. For example, let’s say the 12am GMT price of GBP/JPY was 181.62. The two orders would go at 181.32 and 181.92. Each limit order will also have a 50 pips target and 25 pips stop. If the target and stop loss value could be entered by the user even better. The two orders should be independent from each other not OCO but all pending orders (not triggered) should be cancelled at the end of the trading day. That's it, it is that simple!

The problem I'm having is I'm not always available around 1200 GMT to place the entry order, hence an EA will certainly ease this process.

Looking forward,

Pipsraker

P.S, I have another EA to manage the trade once the entry has been triggered moving to break-even once X amount of pips in profit, usually 25 pips or so but if this could be added to the EA would be great... wishful thinking I guess :-)

Looks promising and very easy. My main question is the trade time. I know you say based on GMT time but I have some brokers that start the new day at 5:00pm Est and some at 7:00pm Est. This is my area of confusion for this strategy since it would make a big difference if you place the trades at the wrong time. Can you clear it up for me based on New York time. Thanks for the post.

Here's what I don't understand....

Are you simply straddling the price 30 pips above/below the open price of the 12 Noon GMT candle?
How does the day's open price factor into the system?

Pipsraker made this post last year, and it has been his only post since, so I dont think you'll be hearing from him.