PowerTrading/The River
Revised rules.

PowerTrading is a method I developed to bring together the basic elements of trading and what the knowledge I believe it takes to become a professional or full time trader. I think it is fair to say that I was influenced by many of the best traders and many of the things I usesd have been used by others. The PowerTrading method combines Support and Resistance, Fibonacci, Price Action, Trend Lines and sound Money Management. If you leave out any one of these items you will not be successful.

The River Trade is only one aspect and we will use it just for the setup. The old River is just part of our indicator setup and I would never advise taking a trade simply based on a cross. I will attempt to teach you the entire PowerTrading method as we proceed in this thread. Please understand you must practice, and have patience to master the method.

PowerTrading/River Trade

Currency: I am currently only supporting the GBP/USD, although this method will work well on other pairs.

Timeframe: M15

Settings:
1- Envelope
2- 62SMA


1- Create an envelope, period 62, MA method simple, at close, with 0.05 deviation.
Upper color: Blue; Lower color: Red

2- Create a 62 SMA at close, and add the levels -30, +30, --60, +60, -90, +90
MA color Black; Level color: Gray

Template
RiverTemplate.tpl - DivShare

Entry 1: Enter upon breaking the zone. It is always better if this falls in the area of a Fib number.

Take profit:
1- Use Fibo levels, support and resistance, etc
2- Look for reveral candles and formation.

Stop loss:
1- Use Fibo levels, support and resistance, etc
2- Use the other band, if you´re long, set the SL at the lower band, if you´re short set SL at the upper band
3- SL of 50-60PIPs


Zone Breakout is a way of consolidate price and identify Support and Resistance. You use a box to set up your zone. This is unlike any other box because it is not based on some arbitrary time but on Price Action and Fibonacci. We attempt to draw the box around price as it is consolidating. We do draw when price is making big moves. Here is an example where the box was drawn between the zero on the Fib swing and 38.2. Notice how priced danced inside area for some time. We keep moving forward and this becomes the zone.

Attached Images

cableriver32.gif (19.8 KB, 1804 views)

I have been trading this system since January. This is my best month to date and I am close to 1500 pips for the month.

I trade this method using fibs and trendlines for entry and exit. There are some basic rules for entry, but when using fibs and trendlines it can alter entry somewhat. For example, the basic entry is after the first candle has been formed outside the envelope (river). Once a candle has been opened and closed on the upper side you would go long and on the lower you would go short. However, if there is a crucial fib or trendline in the path, you could wait for the break of that fib area or trendline before entry.

I trade with a group of people in a Teamspeak trading room and almost everyone is having great success with this method.

Not selling anything at all and this method is not mine. It has been traded for years and was made popular by Rob Booker and others. Our group has simply put a little different twist on the trade and made it unique.

PT

PowerTrader,

Congratulations! You have done a very good enhancement of the Rob's 5/13/62. Hmmmm, whatever happened to 10 pips a day?

ENJOY!

fxcruiser

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Hi Power Trader.
Can you post Non lagging ZIGZAG_V2 indicator?

It is here (created by Igorad for our forum some time ago) http://www.forex-tsd.com/75196-post67.html

Thank you very much.

Thanks and I would always take those 10 pips a day but with this method and trading the GBP/JPY, there are way more than 10 pips a day. Also, put this thing on a D1 chart and look at the possibilities for carry trades.

PT

This was a trade from a week or so ago. It shows the normal entry and you can see TP is a little more tricky. In this case I was out at one point and then re-entered. I also locked in some profit at another point, moved the SL to about 50 pip profit and let the remainder run. It was a good trade.

I would love to see more screen captures of entries, exits, stops, etc.. as i am a visual learner

Also maybe on examples that occur regularly, like sideways chop. The move 2 weeks ago was amazing, but rare.

Thanx,

GK

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Please, can you attach more pictures ... samples?

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