The Inquisitive Trader: SlickTrade

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Friday, July 17, 2015

Two Consecutive Days of the GBP/USD "Afternoon Delight" Strategy with Nadex

This trade comes courtesy of Krystal Comber, CEO of SlickTrade. The full text of this strategy, can be found in TradingPub's new free eBook
"Trading Made Simple - Strategies that Risk Less than $100."

The "Afternoon Delight" trade has been extensively tested on the GBP/USD currency pair, and it is very consistent and super simple to execute if a setup is in play.

The trade requires two components:

15 minute charts on the GBP/USD
MACD

If you see a crossover after noon, a trade setup is in play. it really doesn't get much simpler. For full details on this strategy, make sure to watch Krystal's short video at the bottom of this blog.

Here are the steps you need to take to execute the GBP/USD "Afternoon Delight" trade.

Select the 7pm daily on the Nadex platform
Look to see the overall trend direction from the start of the New York Session
If it was bearish (downward movement) then you will be looking to Buy after you receive confirmation of trend direction change
If the trend was bullish (upward movement) then you will be looking to Sell after you receive confirmation of trend direction change
If there is any news on GBP or USD during the hours of 12pm – 7:15pm (EST) – avoid trading the strategy that day
Once the cross occurs on the MACD, wait for full formation of the current 15 minute candle
If the trend direction was bearish, then you would purchase a Buy at the lowest point of the body of the candle where the cross occurred
If the trend direction was bullish, then you would purchase a Sell at the highest point of the body of the candle where the cross occurred
I normally place a market order and a working order on this strategy. Many times the strike gets tested for the next few hours, so setting a working order in addition to the market order can give you additional profit possibilities overall.
That’s it!

"Afternoon Delight" Trade - Thursday, July 16 2015

15 Minute Nadex Chart. Click on Chart to Enlarge

On this 15-minute Nadex chart, the MACD crossover occurred at 3:15pm EDT. The market then moved below the T-Line (8EMA, shown in purple) and started to grind its way down. The decision was made to SELL the GBP/USD from 1.5620, which was a position of safety.

Since the probabilities were high that this trade would be successful, I risked $72.72 to make $27.25. The trade was never threatened. I've been trading this strategy for several months, and I have been rarely disappointed, so I wasn't too worried.

It is important to note that if the market suddenly decided to reverse and attack my position, it would be very wise to bail out and cut losses. But that wasn't the case yesterday. As it usually does, the market just continued to drift downward, and this trade was never threatened.

Trade Results:

Win: SELL at >1.5620 - 1 contract x $27.25 profit, less $1.80 in exchange fees = $25.45

"Afternoon Delight" Trade - Friday, July 17, 2015

15 Minute Nadex Chart. Click on Chart to Enlarge.

The rules for this strategy are slightly modified on Friday, since Nadex does not offer a 7pm expiration on Friday. Today, I was looking for a MACD crossover sometime after 11pm. The crossover occured at 1:30pm and I pulled the trigger on a trade risking a maximum of $60 to make a maximum of $40 dollars. The trade was briefly threatened, but it settled safely in the money for a full profit.

Conclusion:

This strategy is very consistent. To backtest it, just load the 15-minute charts and the MACD. Look at the time period after 12noon and look for a MACD crossover. If it happens, look at where the GBP/USD price is at 7pm. Test this strategy in demo before you attempt trading it live to see if it suits your trading style.

Try this Strategy Out for Yourself. Download a 2 Week Nadex Demo.
Nadex is now available for trading in 47 countries. You will have complete access to the Nadex trading platform, and your demo account will be funded with $25,000 in play money.

Free Nadex Education Reminder:

Monday, July 20 How to Start Day Trading 7pm EST Register Here

Click Below to View Krystal Comber's "Afternoon Delight" Strategy

The Purpose of this Blog

The Inquisitive Trader will be used to share my experiences as an investor getting back into trading the markets. In June 2014 I joined the staff at TradingPub, and I am responsible for helping to book speakers for free webinars. Each week, I am exposed to a wealth of information from leading industry experts who teach how to trade the financial markets. When I come across interesting trading strategies, I will summarize my thoughts and share a link to the archived webinar. As I develop my own trading plan, I will also share some of my personal successes and failures. Responsible comments are welcome, but to avoid flaming posts and spam, I will be moderating all comments. I hope you find this blog useful, and wish you the very best on your journey trading the markets.

Disclaimer

The opinions expressed in this blog are solely those of the author, and should not be construed as trading advice. I am not a registered or certified financial planner. There is a very high degree of risk involved in trading. Past results are not indicative of future returns. All individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, strategies, columns, articles and all other features are for educational purposes only and should not be construed as investment advice. Information for futures trading observations are obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. Your use of the trading observations is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any trade with your broker and make your own independent decisions regarding any securities mentioned herein.

Thursday, July 16, 2015

The Evening EUR/JPY "Sausage & Sushi" Trading Strategy with Nadex

If your work schedule doesn't permit you to trade during normal working hours, here's a trading strategy you can use in the comfort of your home around the dinner hour. For the past several months, I've been testing an evening trade with the EUR/JPY that has been very promising if conditions are right. This strategy for trading Nadex Binary Options came from Krystal Comber, CEO and founder of SlickTrade.net.

The working name used for the strategy was the "8pm-11pm EST EUR/JPY Asian Session" strategy. But that's a mouthful to write and it's boring. After testing this strategy with a group of fellow Nadex traders, we decided to rename it to the "Sausage & Sushi" trade.

Quite often, a predictable pattern happens with the EUR/JPY. If you can draw support and resistance lines,this strategy can greatly enhance your trading consistency.

The rules for trading the "Sausage & Sushi" Strategy are quite simple:

Log on to Nadex, and select the EUR/JPY currency pair with the "Daily 11pm" expiry.
At 8:00pm EST, draw horizontal lines at the highest price (resistance) and the lowest price (support) between 6-pm-8pm on the 15-minute chart for the EUR/JPY. Draw your support and resistance lines on regular candle bodies, and not the wicks. Use regular candlesticks, and not Heiken-Ashi candlesticks. I trade this strategy on Nadex charts.
Be aware of any economic news occurring on the EUR or JPY from 6pm – 11pm EST. Refer to Investing.com or Forex Factory to view economic news.
For a SELL – After 8pm, if a candlestick closes below the 6pm-8pm support line, then SELL on the closest strike price at or above the support line. You can place a market order if you want your order filled immediately, or you can place a working/limit order if you want to adjust your risk/reward.
For a BUY – After 8pm EST, if a candlestick closes above the 6pm-8pm resistance line, then BUY at the closest strike price available at or below the resistance line. You can place a market order if you want your order filled immediately, or you can place a working/limit order if you want to adjust your risk/reward.
That’s it! Price is normally tested heavily between 9pm – 10pm EST –You may wish to walk away during this point and come back around 10pm -10:15pm EST.
Always pay attention to the trend direction and news. If the market is sideways and staying within the high and low range you may want to avoid taking the trade. Also if the spread between 6-8pm support and resistance is very skinny, it's best to stay away from this trade.

Last night's "Sausage & Sushi" trade (July 15, 2015) played out very nicely:

15 Minute Nadex Chart. Click on Chart to Enlarge.

6:00pm - 8:00pm EST: The EUR/JPY established RESISTANCE at 135.84 and SUPPORT at 135.48. A nice 36 pip spread. Support and resistance lines for the 6-8pm time period were plotted on the 15-minute chart at these levels.

8:00pm - 11pm EST: Within the first 30-minutes after 8pm, the EUR/JPY broke through the support line, gapping slightly below the T-Line (8EMA). Using the rules of this strategy, this triggered a pending/working SELL order from the nearest NADEX strike price above the support line (135.60).

The following order was placed
Trade Details:

Contract: EUR/JPY >135.600 (11PM)
Expiration: Wed Jul 15 23:00:00 EST 2015
Direction: SELL
Quantity: 1
Price: $40.00

1 contract was sold, with a maximum risk of $60 and a maximum reward of $40.

Once the order filled, it ground it's way downward and the trade was looking good. At 9:30, the EUR/JPY spiked downward sharply. I had a decision to make it. With 1:15 minutes left in the trade, I was maxxed-out at $34 profit. Should I wait until 11pm to collect $40, or should I cash out early at $34 and take a sure thing?

I elected to cash out early and get a good night's sleep. I took the $34 profit, less $1.80 in exchange fees. The trade ultimately expired in the money at 11pm for full profit.

After several months of trading this strategy, I have found that it can be very consistent if I like the setup. A sincere thanks to Krystal Comber for sharing this strategy. If you can draw support and resistance lines, you can trade the EUR/JPY "Sausage & Sushi" trade tonight!

About Krystal Comber:

Krystal is the founder of SlickTrade.net SlickTrade provides live trading rooms, signals and setups for Nadex, IG Group and Forex traders. Krystal provides the following services:

Video tutorials for trading with Nadex
Winning strategies with detailed instructions
ThinkorSwim (TOS) workspace setups and indicators
Live trade signals
A private Facebook group and chat group
A personalized online trading journal that helps you track your trading activity
Live support

Free Nadex Education Reminder:

Thursday, July 16 How to Trade with Precision 8pm EST Register Here
For the full schedule of free March Nadex webinars, click here.

Open a Free, 2-Week Nadex Demo Account!
Nadex is now available in 47 countries! Your fully functional demo will
be funded with $25,000 in play money.

Watch Krystal Comber Explain the "Sausage & Sushi" Trade:

The Purpose of this Blog

Disclaimer

Thursday, June 25, 2015

The GBP/USD "Afternoon Delight" Trade with Nadex

15 minute charts on the GBP/USD
MACD

If you see a crossover after noon, a trade setup is in play. it really doesn't get much simpler. For full details on this strategy, make sure to watch Krystal's short video at the bottom of this blog.

Here are the steps you need to take to execute the GBP/USD "Afternoon Delight" trade.

Select the 7pm daily on the Nadex platform
Look to see the overall trend direction from the start of the New York Session
If it was bearish (downward movement) then you will be looking to Buy after you receive confirmation of trend direction change
If the trend was bullish (upward movement) then you will be looking to Sell after you receive confirmation of trend direction change
If there is any news on GBP or USD during the hours of 12pm – 7:15pm (EST) – avoid trading the strategy that day
Once the cross occurs on the MACD, wait for full formation of the current 15 minute candle
If the trend direction was bearish, then you would purchase a Buy at the lowest point of the body of the candle where the cross occurred
If the trend direction was bullish, then you would purchase a Sell at the highest point of the body of the candle where the cross occurred
I normally place a market order and a working order on this strategy. Many times the strike gets tested for the next few hours, so setting a working order in addition to the market order can give you additional profit possibilities overall.
That’s it!

Here's how this trade played out yesterday (June 24, 2015):

Click on Nadex Chart to Enlarge

On this 15-minute Nadex chart, the MACD crossover occurred at 2pm. The market then moved above the T-Line (8EMA, shown in purple) and started on an uptrend. The decision was made to BUY the GBP/USD from 1.5680, which was a position of safety. The following trade was placed:

Click to Enlarge

Since the probabilities were high that this trade would be successful, I risked more than I'm normally comfortable risking. $84 risk for a $16 reward per contract. 5 contracts were purchased. I've been trading this strategy for several months, and I have been rarely disappointed, so I wasn't too worried.

It is important to note that if the market suddenly decided to reverse and attack my position, it would be very wise to bail out and cut losses. But that wasn't the case yesterday. As it usually does, the market just continued to drift upwards, and this trade was never threatened. If I had decided to place my trade later, there would not have been a market at 1.5680 for a BUY. The market settled in the money

Trade Results:

Win: BUY at >1.5680 - 5 contracts x $16 profit, less $9.00 in exchange fees = $71.00

Free Nadex Education Reminder:

Monday, June 29 Trading Binaries Part Time (And at Night) 7:00pm EDT Register Here

Click Below to View Krystal Comber's "Afternoon Delight" Strategy

The Purpose of this Blog

Disclaimer

Thursday, March 26, 2015

Nadex Trade of the Day: EUR/JPY "Sausage & Sushi" Trade

If your work schedule doesn't permit you to trade during normal working hours, here's a trading strategy you can use in the comfort of your home around the dinner hour. For the 2 past months, I've been testing an evening trade with the EUR/JPY that has been remarkably consistent. This strategy for trading Nadex Binary Options came from Krystal Comber, CEO and founder of SlickTrade.net.

The working name used for the strategy was the "8pm-11pm EST EUR/JPY Asian Session" strategy. But that's a mouthful to write and it's boring. After testing this strategy with a group of fellow Nadex traders, we decided to rename it to the "Sausage & Sushi" trade.

Almost every night, the EUR/JPY behaves quite predictably, and if you can draw support and resistance lines,this strategy can greatly enhance your trading consistency.

The rules for trading the "Sausage & Sushi" Strategy are quite simple:

Log on to Nadex, and select the EUR/JPY currency pair with the "Daily 11pm" expiry.
At 8:00pm EST, draw horizontal lines at the highest price (resistance) and the lowest price (support) between 6-pm-8pm on the 15-minute chart for the EUR/JPY. Draw your support and resistance lines on regular candle bodies, and not the wicks. Use regular candlesticks, and not Heiken-Ashi candlesticks.
Be aware of any economic news occurring on the EUR or JPY from 6pm – 11pm EST. Refer to Investing.com or Forex Factory to view economic news.
For a SELL – After 8pm, if a candlestick closes below the 6pm-8pm support line, then SELL on the closest strike price at or above the support line. You can place a market order if you want your order filled immediately, or you can place a working/limit order if you want to adjust your risk/reward.
For a BUY – After 8pm EST, if a candlestick closes above the 6pm-8pm resistance line, then BUY at the closest strike price available at or below the resistance line. You can place a market order if you want your order filled immediately, or you can place a working/limit order if you want to adjust your risk/reward.
That’s it! Price is normally tested heavily between 9pm – 10pm EST –You may wish to walk away during this point and come back around 10pm -10:15pm EST.
Always pay attention to the trend direction and news. If the market is sideways and staying within the high and low range you may want to avoid taking the trade. Also if the spread between 6-8pm support and resistance is very skinny, it's best to stay away from this trade.This is why I like to watch the Keltner Channels and Fisher Transform on ThinkorSwim (TOS) or the EMAs and Ichimoku cloud on the Nadex charts.

Last night's "Sausage & Sushi" trade (March 25, 2015) presented a good OTM opportunity:

Click on 5-Minute Nadex Chart to Enlarge

6:00pm - 8:00pm EST: The EUR/JPY established RESISTANCE at 131.092 and SUPPORT at 130.993. Support and resistance lines for the 6-8pm time period were plotted on the 15-minute chart at these levels.

8:00pm - 11pm EST: Within the first 15-minutes after 8pm, the EUR/JPY broke through the support line, gapping hard below the T-Line (8EMA). Using the rules of this strategy, this triggered a pending/working SELL order from the nearest NADEX strike price above the support line (131.00).

There were 2 SELL strike prices to consider:

SELL at 131.20: This was the safest strike price, but it was very deep into the money. If a market order was placed, it would have required risking $92.50 for a $7.50 reward. I placed a working/pending order risking $70 to make $30. For this order to fill, it would require the market to move upward significantly for a fill. With almost 3 hours left in the trade, anything is possible.
SELL at 131.00: This order was much riskier, since the support line was barely below this strike price. The market price for a SELL order was $45. meaning I was risking $55 to make $45. While those are better risk/reward odds, the market was straddling that line, and it felt a little too risky.

Sometimes you just have to trust the strategy. After 2 months of trading the strategy, the rules hold up with great frequency. The decision was made to SELL at 131.00, but a working/pending order was placed, risking $40 to make $60.

Trade Details:

Contract: EUR/JPY >131.00 (11PM)
Expiration: Wed Mar 25 23:00:00 EST 2015
Direction: SELL
Quantity: 1
Price: $60.00

1 contract was sold, with a maximum risk of $40 and a maximum reward of $60. Now it was time to be patient and let the market grind upward to fill the order.

The order filled at 8:42 pm when the market moved up sharply. From that point forward, the SELL order was never threatened, except for a brief period at 10:10pm. The market moved back down and traded sideways before it expired and settled safely in the money at 11pm.

This trade yielded a gross profit of $60 per contract, less $1.80 in exchange fees for a net profit of $58.20. The pending order at 131.20 never filled.

In backtesting, demo trading and now 2 months of live trades, I am learning to trust this strategy because it has been remarkably consistent. A sincere thanks to Krystal Comber for sharing this strategy. If you can draw support and resistance lines, you can trade the EUR/JPY "Sausage & Sushi" trade tonight!

Video tutorials for trading with Nadex
Winning strategies with detailed instructions
ThinkorSwim (TOS) workspace setups and indicators
Live trade signals
A private Facebook group and chat group
A personalized online trading journal that helps you track your trading activity
Live support

Free Nadex Education Reminder:

Thursday, Mar. 26 How to Trade with Precision 9pm-10pm EST Register Here
For the full schedule of free March Nadex webinars, click here.

Curious about Nadex? Open a Free, 2-Week Nadex Demo Account!
Nadex is available to legal residents of the United States, Canada, Mexico and U.S. Territories

Watch Krystal Comber Explain the "Sausage & Sushi" Trade:

The Purpose of this Blog

Disclaimer

Friday, March 6, 2015

Trading the EUR/JPY "Sausage & Sushi" Strategy with Nadex Binary Options

If your work schedule doesn't permit you to trade during normal working hours, here's a trading strategy you can use in the comfort of your home around the dinner hour. For the past month, I've been testing an evening trade with the EUR/JPY that has been remarkably consistent. This strategy for trading Nadex Binary Options came from Krystal Comber, CEO and founder of SlickTrade.net.

The working name used for the strategy was the "8pm-11pm EST EUR/JPY Asian Session" strategy. But that's a mouthful to write and it's boring. After testing this strategy with a group of fellow Nadex traders, we decided to rename it to the "Sausage & Sushi" trade.

Almost every night, the EUR/JPY behaves quite predictably, and if you can draw support and resistance lines,this strategy can greatly enhance your trading consistency.

The rules for trading the "Sausage & Sushi" Strategy are quite simple:

Log on to Nadex, and select the EUR/JPY currency pair with the "Daily 11pm" expiry.
At 8:00pm EST, draw horizontal lines at the highest price (resistance) and the lowest price (support) between 6-pm-8pm on the 15-minute chart for the EUR/JPY. Draw your support and resistance lines on regular candle bodies, and not the wicks. Use regular candlesticks, and not Heiken-Ashi candlesticks.
Be aware of any economic news occurring on the EUR or JPY from 6pm – 11pm EST. Refer to Investing.com or Forex Factory to view economic news.
For a SELL – After 8pm, if a candlestick closes below the 6pm-8pm support line, then SELL on the closest strike price at or above the support line. You can place a market order if you want your order filled immediately, or you can place a working/limit order if you want to adjust your risk/reward. If you want an additional margin of safety, you can place a working order at the next strike price up the strike price ladder and hope that the market comes back to fill your order.
For a BUY – After 8pm EST, if a candlestick closes above the 6pm-8pm resistance line, then BUY at the closest strike price available at or below the resistance line. You can place a market order if you want your order filled immediately, or you can place a working/limit order if you want to adjust your risk/reward. If you want an additional margin of safety, you can place a working order at the next strike price down the strike price ladder and hope that the market comes back to fill your order.
That’s it! Price is normally tested heavily between 9pm – 10pm EST –You may wish to walk away during this point and come back around 10pm -10:15pm EST.
Always pay attention to the trend direction and news. If the market is sideways and staying within the high and low range you may want to avoid taking the trade. This is why I like to watch the Keltner Channels and Fisher Transform on ThinkorSwim (TOS) or the EMAs and Ichimoku cloud on the Nadex charts.

Let's take a look at last night's "Sausage & Sushi" trade (March 5, 2015):

Click on Nadex Chart to Enlarge

6:00pm - 8:00pm EST: The EUR/JPY established RESISTANCE at 132.471 and SUPPORT at 132.245. Support and resistance lines were plotted on the chart above at these levels.

8:00pm - 11pm EST: The EUR/JPY ground downward riding below the T-Line (8 EMA) at 8:00, and it breached the support line (132.245) at 8:20pm. This triggered a pending/working SELL order from the nearest NADEX strike price above the support line (132.40).

If a market order would have been placed at the time of the breach, it would have commanded a risk of $85 to make $15. In conversations with Krystal Comber, I learned that the average risk/reward for this strategy is $70 risk for $30 reward. Using this information, the order ticket was amended:

Trade Details:
Contract: EUR/JPY >132.40 (11PM)
Expiration: Thu Mar 5 23:00:00 EST 2015
Direction: SELL
Quantity: 1
Price: $30.00

1 contract was sold, with a maximum risk of $70 and a maximum reward of $30. Now it was time to be patient and let the market grind upward to fill the order.

The order filled at 8:55pm when the market moved up sharply. From that point forward, the SELL order was never threatened, moving sideways before it expired and settled safely in the money at 11pm.

This trade yielded a gross profit of $30 per contract, less $1.80 in exchange fees for a net profit of $28.20.

In backtesting, demo trades and now a few live trades, I am learning to trust this strategy because it has been remarkably consistent.

Video tutorials for trading with Nadex
Winning strategies with detailed instructions
ThinkorSwim (TOS) workspace setups and indicators
Live trade signals
A private Facebook group and chat group
A personalized online trading journal that helps you track your trading activity
Live support

Free Nadex Education Reminder:

Monday, Mar. 9 Directional/Reversal and Scalp Trading Strategies 7pm-8pm EST Register Here
For the full schedule of free March Nadex webinars, click here.

Curious about Nadex? Open a Free, 2-Week Nadex Demo Account!
Nadex is available to legal residents of the United States, Canada, Mexico and U.S. Territories

Watch Krystal Comber Explain the "Sausage & Sushi" Trade: