The Opportunities of Trading the Forex Hedged Grid System.
I have seen the hedged grid system been used successfully (and highly unsuccessfully) over the last few years. Unfortunately the failures tend to discourage traders from taking advantage of this great system. I have found that the failures are mainly due to ignorance, impatience and greed (common reasons for trading failure).
In a nutshell the grid system uses the following methodology. You start by buying and selling a currency. When the price moves a predetermined distance (grid leg) you cash in the positive leg, leave the negative leg and buy and sell again. Sooner or later the system goes positive and you would then cash in when it is positive.
This is a brief summary of the content of our free hedged grid trading course available on expert-4x. Please refer to this course for more details of how money is made. The attraction is that the system is reasonably mechanical, can be programmed and does not take much supervision as exclusively entry orders are used.
Money is made when the price retraces 100%, 50%, 33% at various levels. This starts looking like a strategy that supports the Fibonacci concept. The grid system is also based on the nature of the market to trade sideways 80% of the time and to trend 20% of the time.
The dangers are that what if the price does not retrace and continues to trend. The Grid system can not make money in a trending market — full stop. One has to realize that. You therefore need Strategies to minimize damage during these periods:-
Firstly I have found that the biggest mistake made by traders is that they select a very small grid leg sizes e. g. 20 to 30 pips. This is a recipe for disaster. The trick is to use big leg sizes between 150 and 300 pips. What this does is that it sometimes turns a trending phase into movement in a sideways market. I would typically use 300 pips for the GBPJPY and 150 pips for the EURUSD for instance.
Secondly there is no rule that says that the legs have to be the same size. So I change my leg sizes in trending markets to be even bigger. If I started with 150 for the 1st leg I would go to 200 for the 2nd leg and 250 for the 3rd leg etc. This makes sure that I am carrying less loss making transactions in a trend.
Thirdly — sometimes it is wise to increase the number of lots with the trend compared to the numbers against the trend in a good trend. However be aware of having the same number of sell and buy transactions. All you will have done was lock in your current status in a 100% hedge.
Fourthly — This is the biggest change and most important one that I personally have made in my grid trading strategy. Always cash in all your transactions when your system is positive and when the price reaches the end of one of your grid legs. By cashing in you are reducing the risk of carrying negative lots in a trending market. This also gives you an opportunity to re-assess the market conditions.
Fifthly:- Cash in a start again is always an option. One of my strategies is to cash in all my open positions when the 3rd leg of my grid is reached and start again. Experience has taught me that this is a short term pain that goes away very quickly and is soon forgotten.
People that have traded the grid system will immediately see how the above approaches will reduce the risks of exponential losses building up in a strongly trending market. Please feel free to contact Mary McArthur at marymcarthurexpert4x for clarification on any items discussed above. She has numerous examples of successful applications of grid trading.
This article is part of a series and many more will follow on Grid trading, money management and Forex Trading Strategies.

Win With No Stop Currency Trading.
No-Stop, hedged, Forex Grid system trading ("the No Stop system") is one of the most newest techniques in forex trading. I am going to describe the No Stop system as best I can in the limited space available. There is a series of 7 other articles describing the elements below in greater detail.
The No Stop system is an investment technique which creates favourable dollar cost averaging on all transactions entered into. For this reason the technique is too much of a paradigm shift for most conventional traders who like charts, support and resistance and indicators.
The No Stop system trades without stops. No stop loss orders are used at all except for when a group of transactions have a positive result and we want to liquidate the entire group of transactions at a net gain. Because the No Stop system cashes in its transactions regularly it becomes a trend following No Stop system too. There is no need for charts when using this No Stop system as we use predetermined price levels to cash in transactions positively (The No Stop system loves price spikes).

Grid Trading System.
Grid Trading is a profitable, time-tested trading approach (grid trading system) popular on the Forex markets. This blog is dedicated to its practical application – we show real-life examples and trading sessions, discuss various ideas, offer useful tips and tricks to aid your trading. Please also check our website at: gridtradingcourse/ Happy Grid Trading!
Friday, August 16, 2013.
"No Stop" Forex Grid Trading System 2.
Forex Grid Trading is a great strategy, but to be consistently profitable with it, in the long run, you must have a solid risk management in place as well. Actually this is true for any trading system out there – a good risk management is necessary to achieve long term profitability. However the so called "No Stop" Forex Grid Trading System doesn't have any. None. Zero. Zilch. Not even a simple StopLoss.
The "No Stop" Forex Grid Trading System states that it is designed to take advantage of the natural back and forth market movements – this is true. It then builds a hedge grid to capture them – and it does. It has buys and sells opened at the same time, on the same grid line and this allows it to make profit regardless of the market direction. It all sounds good. And works most of the time. Why? Because this kind of setup (a hedged grid) is suitable for ranging markets, when price is moving sideways, in a range. This is where the "No Stop" Forex Hedged Grid Trading System shines. It racks up profits on every up and down movement, on every market wave. And the good news is that markets are moving sideways during majority of the time – various estimates say 70 to 80% of the time. This means that the "No Stop" Forex Hedged Grid Trading System will be making money during 70-80% of the time too. It all sounds great, isn't it? Well, yes, it does, at a first glance at least.
The problem here is that trends happen. Outside these 70-80% of the time markets are trending. And when a strong trend occurs, lets say an upwards one, then your grid will close all the buy positions at profit, but the sell ones will stay. The sell trades will stay open at an ever increasing loss (because there's no StopLoss on any of them). The stronger the trend the more sell trades will be opened and the higher the loss they will accumulate. And there's nothing in the "No Stop" Forex Hedged Grid Trading System to stop that. There's no risk management, not even a simple StopLoss at place. The trader is supposed to sit and wait and hope that some magic will get him out of the bad position he got himself in. And the moment you start relying on hope, on magic, this is when you are no longer trading. You are gambling.
You should never ever use a trading system with no risk management . You should never ever use the No Stop Forex Hedged Grid Trading System. You should never ever trade without a StopLoss. It is that simple.

No-stop hedged grid forex trading system

currency trading advice. Currency trading and fx trading is highly speculative and should only be done with risk capital.
Foreign Exchange prices rise and fall and past performance from currency trades is no assurance of future performance.
This online forex trading website is a currency trading information website only. Accordingly, we make no warranties or.
guarantees with respect to the correctness or validity of its content. Forex traders making use of the online currency.
trading information presented do so at their own risk. The information provided herein does not take into account their.
forex investing objectives, financial situation or needs of any particular person. This site is not intended to by used as.
the only source of currency trading information or forex education. It is important and assumed that traders use sound.
trading principles when using the online forex trading information on this currency trading site. This includes trading.
common sense, sound money and risk management and full personal ownership of any trading decisions. Investors.
should obtain individual financial advice based on their own particular circumstances before making any foreign.
currency investment decision.
(Self financed transactions) which effectively allow you to cash in on EVERY move.
of the market (up or down). No need for stops.
trading processes. The Grid system sets up its own network of hedges which allow.
you to cash in on EVERY move of the market.
money back guarantee if any purchaser can prove that the system did not work.
using any currency over the last 15 years. No refunds have ever been made. Over.
the years we have made some changes to refine the system. We are now offering.
the INVESTMENT GRID system to be traded on a subscription basis.
time that they loose sight of what they are try to achieve (Make lots of money from.
trading). They can’t see the wood for the trees.
invest in hedges which allow you to cash in on every buy and sell move in the.
market. The money generated can exceed the cost of the hedge very quickly a.
thereby eliminate the risk very quickly.
related to an Investment on which continuous returns are being generated (ROI). It.
has been developed by financial and actuarial people rather than traders and is.
therefore a different approach to maximising income from the natural movement of.
the market. See the examples below: Sometimes the investment can last 1 hour and.
sometimes the investment takes days or weeks to mature profitably.
making over $ 6 000 in the process. Not bad for a month of skillful trading. He did.
160 trades with an average stop of 40 pips. During this period the trader had.
invested an amazing $ 60 000 in having stop losses (160 transactions x 40pips x.
$9.50per pip). Some were hit and other not. Using a fraction of $ 60 000 the trader.
could rather have invested in a hedging system which would have allowed a much.
freer way of trading and would have eliminated many of the stop out encountered.
The INVESTMENT GRID system can easily be adapted for further optimisation by.
had in the last month as well as the risk you took on the positive transactions and.
you will be amazed at how much you risked (In $ and in pips) for the return that you.
made. If you do this you will start seeing the benefits of using hedging to finance.
stops rather than being stopped out.
benefit from all moves and no concerns about stops being hit.) less the cost of the.
hedge $ 100 = Profit of $100. No more risk. Start a new investment.
benefit from all moves and no concerns about stops being hit) less the cost of the.
hedges $200 = Profit of $ 100. No more risk. Start a new investment.
What are the most common problems YOU as an online.
 YOU get the direction wrong.
 The market whipsaws and takes out YOUR stop.
and then reaches your target.
should be big and too big when they should be small.
market run another 200 pips in the direction you where.
problems occur with mechanical and manual trading.
EBook: : The introduction to the no stop, hedged, Forex investment Grid system.
Module 2: Basic Concepts.
Module 3: Grid Trading Rule.
Module 4: Making Money.
Module 5: Placing orders.
Module 6: Currency selection.
Module 7: Interest.
Module 8: Automatic trading.
Module 9: Trending Markets.
Module 10: Strategies.
Module 11: Capital required.
Module 12: Live Examples .
PURCHASE THE GRID EBOOK.
FOR MORE DETAILS CLICK HERE > GRID.
What are the key success factors impacting your trading returns when.
 You need to use currencies that have a low over night interest charge as.
some currencies may not move over say 100 pips every day.
 The size of your “cash in move” should be 100 pips or more depending on.
the volatility of the market.
 The market must move – doesn’t matter in which direction.
How do I start trading the INVESTMENT GRID system:
pip movement in the market. The system only requires you to replace cashed in.
transactions on the GRID as soon as possible so that you can cash them in again.
started regularly . You can even join an investment group at appropriate times.
because this is not a trading system but an investment process and it takes a while.
for traders to get comfortable with the new concept. They for instance keep on.
looking at the charts and trying to manage the process.
conditions when you start, you may only end up risking as little as $1 000 to setup.
the hedges. The balance is of the capital may not be needed at all! $ 5000 in.
capital can hedge a move of 3000 pips so you have plenty.