Hans 123 is a forex trading system that any forex trading website should have in its database, hence this post today. Whilst I can not say it has been a system I have used it definitely sparked some breakout trading ideas which have helped me over the years. This system was popular about 4/5 years ago but since then it has not been discussed as much as it used to.
In short the trading system is as simple as it gets. You take a range over a certain timeperiod and a break of that range triggers you in.
Hans 123 Forex Tading System Rules
-Simple Combined Breakout System for EUR/USD and GBP/USD
-Determine the 06.00 CET – 10.00 CET High Low on EUR/USD and GBP/USD
-Determine the 10.00 CET – 14.00 CET High Low on EUR/USD and GBP/USD
-Set BuyStop at High + 5 pips and SellStop at Low – 5 pips for both timeframes and both currencies
-Set Target Price at entry + 80 pips for EUR/USD and entry + 120 pips for GBP/USD
-Set StopLoss at entry – 50 pips for EUR/USD and entry – 70 pips for GBP/USD. If the other side of the breakout is within 50 pips for EUR/USD or within 70 pips for GBP/USD then the StopLoss will be that level (Longtrade: SL = Low range – 5 pips = SellStop; Shorttrade: SL = High range + 5 pips = BuyStop)
-Move the SL to breakeven after a gain of 30 pips for EUR/USD and a gain of 40 pips for GBP/USD
-If a certain position is taken and price turns agains you and it breaks the other side of the breakout channel then turn. –If the breakout channel is broader then the stoploss first the stoploss will be hit. If the breakout channel is narrower then the stoploss then hitting the other side means that you have to turn your position. There is only one turn per time frame possible. This rule is a result of all previous rules. You can skip this rule if you want.
-At 24.00 CET all orders expiring and close all trades at market. On Friday we do the same at 23.00 CET.
That is short of it. You can find various articles and forums on the Hans 123 system. Most of it will be a little dated but you should still take the time to search a little and find out what you can. It may spark some thought process that leads you to your ideal forex trading system.
I have added some indicators found across the net. I have put them all in one file. I haven’t personally tried them all but you should know what to do with them by now.
Download: Hans 123 Forex Trading System Indicators