The 3 Ducks Trading System

[Kim]

I found this online. Looks really straightforward. It seems to be based on trading forex but I was wondering if it could be used for anything else as well. What do you think?

https://s3-eu-west-1.amazonaws.com/captaincurrency/The+3+Ducks+Trading+System+e-Book.+Copyrighted+Andy+Perry+3102..pdf

[eddieb]

The 3 ducks was the first "proper" system I tried. Its very simple and easy to use, only drawback being that it only works in a trending market and markets (at least fx) only trends about 20% of the time
Well worth trying and I'm sure you'll learn from it

Namaste

[Kaitsu]

I found this online. Looks really straightforward. It seems to be based on trading forex but I was wondering if it could be used for anything else as well. What do you think?

https://s3-eu-west-1.amazonaws.com/captaincurrency/The+3+Ducks+Trading+System+e-Book.+Copyrighted+Andy+Perry+3102..pdf

I have no personal experience of this strategy but it is built on very sound principles and I see no reason why it would not perform on instruments other than just forex.

Its principle is firmly based on the traditional consideration of multiple timeframes. It first identifies the main underlying trend direction from the 4H TF and then waits until price is also moving in the same direction on the nearer term 1H TF. Having established that the near term price movement is in line with the longer term underlying trend, it then looks for its entries on the 5min chart in the same direction.

I think the entry and exits are somewhat discretionary and therefore still leaves some room for interpretation and other considerations, e.g .signals on public holidays, friday afternoon, etc.

It would certainly merit trialling on a demo account or with small lot sizes to forward test it.

The downside could be a limited number of trade signals (I'm only guessing here). And weak follow-though on 5 min signals when the 1H chart is turning back towards the 4H at the end of a trend.

Have you studied the e-book? or tried it on currencies?

[Kim]

Hi everyone 
I’m going to try this 3 ducks out on a demo account for a while.
I found some YouTube videos by an Irish guy who came up with the idea.
I’ll let you all know how I get on   

[Kaitsu]

What instrument (s) are you planning to try it on?

[Kim]

What instrument (s) are you planning to try it on?

I was thinking of Gbpusd or UsdCad

[Kaitsu]

I was thinking of Gbpusd or UsdCad

At least these usually generate some good movements.

I assume this is not a mechanical system and that the entries/exits are at your own discretion?
Have you decided how you will determine your risk/reward criteria and on what basis your will exit your trades? E.g. Fixed pip value, fibs, S/R levels, etc

[Kim]

From what I read and see on his videos its purely discretionary. His 3 time frames help pinpoint entries, exits are down to the individual.  Ill probably play it safe to start with, nothing too optimistic.  Just set conservative profit points to cash in at

[Kaitsu]

Just set conservative profit points to cash in at

That is a wise and very positive approach. Especially since the 5 minute chart is very short term and will oscillate regularly even intraday.

It would be equally wise to decide what would be a suitable stop level  policy to match your TL levels. Not too close to get accidently stopped out but not too far to eat away your profits from earlier trades when they do get hit.

Personally, i think these entry/exit criteria are the critical issues in optimising this kind of method based on 5min entry charts.

Another possible risk to avoid is the temptation to chase the price whenever the signal comes with an exceptionally long candle. Sometimes you might get in on an approx 50% pullback, other times maybe best to just remember there is always another trade on the way.

[Magyar]

I used to follow the 3 ducks thread on another forum, but it suddenly stopped a couple of years ago. I don't know why, maybe some day we'll find out.
Shame, Andy (Captain Currency) seemed a nice guy

[Kaitsu]

From what I read and see on his videos its purely discretionary. His 3 time frames help pinpoint entries, exits are down to the individual.  Ill probably play it safe to start with, nothing too optimistic.  Just set conservative profit points to cash in at

How have you been progressing with this? Maybe last week was not the best for such a method, but are you finding it possible to monitor the short term 5-min chart sufficiently to catch the entries?

[Kim]

I am going to give it a few months before I decide what to do next. The markets are weird right now,  they seem to be ranging then zigzag all over because some politician has said or done something.

[Kaitsu]

I am going to give it a few months before I decide what to do next. The markets are weird right now,  they seem to be ranging then zigzag all over because some politician has said or done something.

For what its worth, you are certainly not alone with that frustration!

[eddieb]

Using the 3 Ducks will help you learn how to read charts. In time you won't even need to have the SMA's, you'll be able to spot the trends without these.
Good luck

[Caesar]

Very pleased to say that Captain Currency himself has joined us as a member.