108# Donchian Channel Double Breakout Trading System
Double Donchian Channel Strategy
Submit by Kerry 11/09/2013
This Trading System is inspired a Richiard J. Dennis the first at to use an similar trading system This is an Breakout Trend Following System.
Forenx indicator:
Donchian Channel 20 period red;
Donchian Channel 55 perid green.
Rules for: Donchian Channel Double Breakout Trading System
Long Entry
When the price breaks upward the red line of the Donchian Channel 20 period.
If there is a second breakout of the red line of the Donchian channel 20 does not enter, but get into position only if there is a breakout of the upper band of the Donchian channel 55 periods.
Short Entry
When the price breaks downward the red line of the Donchian Channel 20 period.
If there is a second breakout of the red line of the Donchian channel 20 does not enter, but get into position only if there is a breakout of the lower band of the Donchian channel 55 periods.
Exit position with Trailing Stop that depends by time frame and currency pair.
Place initial stopo loss 2 pips below or above the first green line.
Example EUR/USD H1
Trailing Stop 35 pips, place stop loss 2 pips below or above the first green line or fix stop loss at the 40 pips.
Exit position also with Profit Target:
Example EUR/USD 60 min 30 pips, GBP USD 35pips , AUD/USD 30pips, USD/CHF 26pips or ratio 1.3 initial stop loss.
After 20 pips in gain move stop loss (40 pips) at the entry point.
Donchian Channel Double Breakout Trading System: Template and Indicators.
Double Donchian Channel Strategy.
Indicators, and Template.
