PIPS CARRIER

Overview of the System

The Pips Carrier is a trading system designed by Vladimir Ribakov that relies on two primary indicators: the MACD histogram and the Slow Stochastic indicator. The system aims to identify potential turning points in the market to execute long (buy) and short (sell) trades effectively. The main components of the system are:

1. MACD Histogram:

This indicator helps identify the overall trend direction and potential reversal points.

2. Slow Stochastic Indicator:

This indicator confirms the entry points for trades by identifying overbought and oversold conditions.

Buy (Long) Trade Rules

1. Identify a Turning Point on the MACD Histogram:

  • The MACD histogram should be above the zero level.
  • It should start declining and then reverse to rise again.

2. Confirm with Slow Stochastic Indicator:

  • The Slow Stochastic indicator should be in the oversold area (around level 20).
  • The two lines of the stochastic should cross each other and face up.
  • At least one of the averages should be below level 20.

3. Determine Entry Point:

  • Wait for the candlestick that created the conditions to close.
  • Enter the trade as soon as the candlestick is closed.

4. Manage the Trade:

  • Place the stop loss 1 pip below the base candlestick.
  • Close 80% of the trade when the price reaches a 1:1 ratio of the stop loss to take profit.
  • Move the stop loss to the breakeven point and aim for a second profit target twice the initial stop loss.

Sell (Short) Trade Rules

1. Identify a Turning Point on the MACD Histogram:

  • The MACD histogram should be below the zero level.
  • It should start rising towards the zero level and then reverse to fall again.

2. Confirm with Slow Stochastic Indicator:

  • The Slow Stochastic indicator should be in the overbought area (around level 80).
  • The two lines of the stochastic should cross each other and face down.
  • At least one of the averages should be above level 80.

3. Determine Entry Point:

  • Wait for the candlestick that created the conditions to close.
  • Enter the trade as soon as the candlestick is closed.

4. Manage the Trade:

  • Place the stop loss 1 pip above the base candlestick.
  • Close 80% of the trade when the price reaches a 1:1 ratio of the stop loss to take profit.
  • Move the stop loss to the breakeven point and aim for a second profit target twice the initial stop loss.

Additional Notes

  • The system emphasizes waiting for confirmation from both indicators before entering a trade.
  • Managing the trade by taking partial profits and adjusting the stop loss is crucial for minimizing risk and maximizing potential gains.
  • The system has specific criteria for entering and managing trades to ensure consistency and discipline in trading.
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