Is there a way to discretionary trade in FX without sticking to the chart?

Hello.

My name is Ryumiku.

I have 15 years of FX trading experience and 15 years of EA experience.

In the market I was losing for about 10 years, but in the last five years I have stopped losing on an annual basis.

Recently, especially, my long-tested logic for staying profitable over 15 years has been turned into an indicator, and my win rate has increased significantly.

Nevertheless, as the title suggests, I aimed for a non-attached, relaxed trading and thus developed an exit-only EA.

Details are also explained in the video, so please refer to it.

FX trading can be done almost 24 hours a day, five days a week, so in that sense it’s an attractive trading environment because it doesn’t require specific hours.

For example, in domestic stock trading,

Thus, the morning is 2.5 hours and the afternoon is another 2.5 hours, totaling only 5 hours of trading time.

The wide selection of tradable time slots in the forex market is the biggest reason I chose forex over stocks.

And liquidity is overwhelmingly greater in the forex market.

Please see more details here.

https://min-fx.jp/start/stock/

Next, forex offers higher leverage.

There are also downsides to trading for long periods.

For working traders, when they have a job, they come home exhausted, and with a fatigued mind they judge charts and enter trades, often making poor judgments, causing the market to move against expectations and increasing unrealized losses, which can keep you from sleeping.

While I no longer experience such patterns now, I was fatigued by such irregular trading patterns for over 10 years.

Sometimes I would stay glued to the chart until dawn to time my exits.

That’s when I arrived at combining a signal tool with an exit-only EA.

Signals are sent from MT4 to my smartphone, so I only need to check the chart when I look at my phone, which saves the effort of watching the chart constantly for entry timing.

When you’re trading while working part-time, you don’t want to miss entry timing!

That’s why you end up spending more time glued to the chart.

But after watching the market for many years, true trends occur only a few times a week.

If you devote 120 hours a week to trading, you’re present for only a few moments when a trend starts.

In many cases, after finishing work and looking at the chart, you chase the late stage of a trend and accumulate losses, which I’ve experienced many times.

So, I needed to develop an indicator that combines signals with email forwarding and a range where signals do not appear except when a trend is present to prevent excessive signaling.

I had high hopes for many signal tools, but many produced signals too often in ranges or reversed-signals during trends, which became overwhelming.

Let’s look at today's chart.

This is a 5-minute Euro/US Dollar chart for the past week.

Amazing! After yesterday’s surge, the signal from entry to the highest price has exceeded 300 pips!

Isn’t that impressive?

This is the signal tool I had wanted to create.

In short, isn’t the purpose of a signal tool to align with the trend direction?

For me, I didn’t want to easily issue reverse-signal entries whether the trend was large or small.

If you agree with this idea, the current signal tool should suit you well.

And when there is a basis for entry, executing the entry is when chart watching truly begins, doesn’t it?

Aren’t you spending long days staring at the chart?

First, to search for entry timing.

And then to search for exit timing after entry.

For these two reasons, watching the chart endlessly, even when you should sleep...

Huh? Is it already that time?

That’s a common story in FX, right?

I used to be the same.

So I decided to let the EA handle the exit!

That’s how I arrived at this idea.

Signal tool → notifications to smartphone → chart-based discretionary analysis → entry → finished in 1 minute.

This takes about 1 to 5 minutes.

Moreover, can you timely open your smartphone at the moment a signal is issued and an email arrives?

That’s not always possible.

Most likely you won’t open your smartphone at the same time as the signal.

On the other hand, during lunch break, once work eases, or on the train during commuting...

Looking at your smartphone in these small pockets of free time is perfectly feasible.

Therefore signals are not issued many times a day; usually about 1 to 2 times.

It’s fine to have days with no signals.

In this case study it was once a week, but there are times when trends reverse twice to three times a week.

In range markets where entering is not advisable, signals can occur once a day.

Back to the topic: is it okay to entrust exits/settlements to EA?

I can hear you asking, but for someone with 15 years in both markets and EAs, a discretionary plus EA combination is ideal.

In years of running EAs, the reason to discard an EA is in its entries.

Sometimes I feel discomfort with exit logic and discard it, but this happens very rarely, about 1 in 10.

If I’m not convinced by the entry logic, I stop the EA and discard it.

Many profitable EAs employ averaging down or martingale.

Single-entry EAs often yield zero profit on some days, months, or years, so ultimately Martingale tends to leave more profit and recover capital faster, but Martingale entry logic is dangerously simple.

Once a trend occurs, the entry logic shown above is repeated, and positions are increased indefinitely as it reverses, until a small profit is realized.

Even if the initial lot is 0.01, repeating such entries can result in an enormous number of lots, and if a strong trend continues, forced liquidation can cause you to lose more than 80% of your funds in a single trade, forcing you to leave the market.

As with this logic, when the traded direction goes against you, reverse-sign entries are repeated in 10-pip steps.

This is the biggest problem.

My logic analyzes and judges the direction of the trend.

From the perspective of such thinking, increasing lots while selling in a reverse sign when the market is clearly trending upward is a suicidal act.

However, since extreme trends do not usually continue, if the price hits a ceiling and a range forms, the moment profits are slightly positive, I would exit, so it may seem like a superior logic, but...

Thus the problem with EAs lies in entries.

After all, a robot’s decision criteria are this simple.

It doesn’t adapt well at all.

So discretionary judgment is important.

Because discretionary judgment involves elements that cannot be automated.

Also, an EA that always holds positions cannot rest the mind.

You never know when a major trend will occur due to a major statement by a leader while you’re sleeping.

If a huge trend occurs due to a powerful fundamental like a〇〇 shock, you’ll have a hard time.

That’s why counter-trend trading is dangerous.

There could be a possibility of breakdown, so I think the logic has inherent risk.

There are people who profit from counter-trend, so I’ll add, “In my case…”.

Returning to the point, for me these are important reasons:

1. Do not be glued to the chart.

2. Entries are discretionary.

3. Exits are basically EA (or execute all-at-once when the chart can be viewed)

These three.

Well then, that’s all for today!

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https://youtu.be/5cycpTlMtkE

Blog

https://trader-kuu.work/

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