I made a spreadsheet for the GBP/JPY DBO strategy.

[TravisFX]

This is to work in conjunction with the strategy found in the education section of the site.
Here is a link: http://www.forex4noobs.com/education/dbo-basic.php

Just input the fields in bold. It will calculate the entries, TPs and SLs for the day, both long and short.

I made it for myself but figured some of you might want it who trade this strategy.

If there is something you want me to add or change just let me know.

Sincerely,
Travis

[TravisFX]

Forgot to post the file. Doh!

Here it is:

[TravisFX]

One thing... The calculation of the target pips for the day needs to be capped at 100 and I don't know how to integrate that into the formula.

So if it generates a figure higher than 100, just manually type 100 into the box and it will calculate the rest.

[om_salat]

Hi Travis,

Thanks for the excel sheet, it sure make it easier for me as I'm a newbie on the method.

I've a couple of questions I'd like to ask if you don't mind.

1. How many times a day can the GBPJPY DBO be used in a day?
2. Based on your experience, what is the best time of the day do we use the setup? Please use US Eastern time as I live in Asia at GMT +7.

Again, thanks for the file and thank you in advance.

Salat

[TravisFX]

The GBP/JPY Daily Breakout method is meant to be used once a day. It is called the daily breakout because each new trading day technically starts at 12:00AM GMT.

The trade is based off of 12:00 AM GMT, that is the only time to place the pending trade.

Please read the page that is linked to in the first post.

Basically you note the price at 12:00 AM GMT, then you place a buy order 30 pips above, and a sell 30 pips below that price. Your target is 1/4 of the previous 24 hours range. The range must be at least 50 pips otherwise you don't trade this strategy on that day. If 1/4 the previous 24 hour's range is higher than 100, you cap your TP at 100.

Again, read the page that is linked to in the first post as it details this method. And I wish you success! Let me know how it goes.

[pizal]

Thanks Travis for making the spreadsheet.

One problem I have is that the education page says the Profit Target is 25% of yesterdays range but in the live chat room trades taken by FA he uses 10% of Average Daily Range as his profit target.

Not sure if this is a recent change or not but I asked him to clarify in the chat room and that is what he said "It's 10% of ADR"

[TravisFX]

My spreadsheet is based off of the strategy outlined in the education section of the site. Although I plan to, I have not been active in the chatroom yet. If I can verify that ten percent of the ADR is a more profitable strategy I will change the way I am trading it. But for now I am sticking with 25 percent of the previous day's ADR.

[imprator]

You may have been in the chatroom for today's DBO trade, but if not you might be interested in what Furious Angel said.

He confirmed, in answer to a direct question, that he now trades for a target of 10% of the "current ADR". By this I assume he means 10% of the previous day's range, midnight GMT to midnight GMT. This strategy replaces the previous 25% target because he found that this resulted in too many losses. He commented that he should change the system rules presently published in the Education section of this site.

Today there was a break up which he didn't trade because the price momentum was heavily down. Instead, he took a short trade when the price retraced. However, he exited this trade when an M1 candle closed above the 00:00 GMT candle's opening price. I assume that this is now his exit strategy (although in this case a stop placed in accordance with the original exit strategy, 40 pips above entry level, would have kept him in the trade by 4 pips(!) and allowed him to achieve his profit target).

[imprator]

Travis

Thanks for the spreadsheet.

I had a few minutes to spare so I have lightly revised it to limit the target to 100, plus one or two other little things. Hope this is OK with you.

The changes;

1/ The target now auto-adjusts to a maximum of 100 pips when necessary.

2/ I assume that the targets and stops for this method are gross (i.e. before spread). If this is the case the actual entry and exit leves with your broker will differ from the calculated levels. I have therefore added a cell where you can input the spread you pay with your broker, and the net entry and exit levels (taking spread into account) you will record with your broker, together with potential pip profits and losses. (If you don't want this information just delete it from the spreadsheet - it isn't password protected.)

3/ Press the Tab button to move between entry fields.

Happy trading!

[TravisFX]

Thanks for revising it! I'll check it out tonight, and if 10% is the new target the I'll start using that in my strategy.