Range Bar Cloud Scalping Method

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Hi all.
I wanted to share a method I have been using successfully (on demo) to scalp 5 pips a day from the Dax.

I have been working on this since December whilst getting side tracked by a couple of other projects but it has only been recently that the penny has dropped and I have been able to make this consistently profitable.
before I get into the method I wanted to explain my thoughts on scalping and what is working for me. I'm sure this isn't an original idea, I'm not calming any ownership or to be a guru. I'm just sharing.
I only trade Dax at the moment. I start trading at Frankfurt open and wait for the first signal. When the setup comes i take the trade, its a 1:1 with a stop loss of 6 pips and a take profit of 6 vinaceis. as soon as the trade hits +5 pips I close the trade, close my laptop and I'm done for the day.
if the trade loses I wait for the next setup and continue taking trades until I'm 5 pips up then close up for the day. usually I'm done before London open or shortly after.
when I first started trading this method I was looking to get 50+ pips a day and trust me it can often reach that goal but having high goals often leads to overtrading, chasing losses and taking risks.
having a goal that means you only have to win one more trade a day than you lose takes the stress out of trading and so far has been the key to my consistency, especially with a method that's over 70% accurate.

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OK on to the method...
to be honest whatever works for you is the best method. as long as it wins more than it loses and you quit when you are one up your golden but here is what has been working for me

Range bars set to 3 vinaceis (300) if you don't know how to set up range bars then please use the search facility
Heiken ashi
3 separate MA ribbons that make up a cloud

the cloud shows dynamic areas of support and resistance it also is the NO TRADE ZONE. When price is above the cloud I only want to take long positions and when it is below only short and only ever take a trade after a pullback!!!

Rules... stick to them and you cant go wrong (I am putting this here as much for my benefit as anyone else's!!!)

Setup for Long is when price is above the cloud, red candles have pulled back and close inside the cloud then take the first white candle to close both up and above the cloud.
the green part of the cloud must be at the top with the green line on the outside.
price can bounce from any part of the cloud, green, orange or red.
once price has broken through the red part of the cloud a trend change is very likely but is only confirmed by a pullback. you can now start looking for short positions witch are basically the opposite of long setups.
stop loss 6pips take profit at 6 pips but stop trading when you are 5 pips up.

avoid trading when the market is ranging, generally in a range price will bounce from one side of the cloud to the other and if there is no pullback then there is no trade so you are safe but if you do find yourself losing a couple of trades and it is clear a range has formed then wait for the high or low of the range to be broken and then for a pullback to confirm the new trend before taking any new trades.

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that's about it. I use quite high leverage, de " 5% per trade. I don't recommend this. always stick to what you are comfortable and only trade this in demo until you have it down.
once you are live, grow your account and once its big enough 5 pips a day will be plenty!!

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