[dpaterso]

Hey Ingot54:

I hope you're going to catch up on all of these posts today!!!

I'm starting to 'be swayed' in your MACD direction now - at least now I can actually 'see' the 'f*****g' 'crosses'!!!

For the first time I 'feel' that we MAY be nearing the 'end' now!!!

BUT - NOW - just to 'complicate' matters more (you know - if it's not 'complicated' - people will think its 'c**p'):

I've had YET ANOTHER thought (well - not so much a thought - but a 'simple' solution to something that has been 'bugging' me):

For entry (we'll put ALL of this together - like you did previously - in a 'nice neat little bundle' when we're done):

You take a Parabolic SAR signal to enter ONLY if MACD has crossed AND (and this is the 'new' idea) the price - at the time of your opening the position - has not moved in excess of it's 14 day Average True Range since the Parabolic SAR signal has been given (maybe even 2 x it's 14 day Average True Range i.e. this is used in some other 'systems' for stop loss values).

Why?

See the attached chart.

This is yet another problem that I've had to deal with i.e. you get a Parabolic SAR entry signal but by the time you've got it the price has moved so far that the chances of a (even a short term) retractment are better than average so - what you're trying to accomplish by adding 'the ATR factor' is to stay away from those entries where the move is due to a news 'spike' and the like and - in essence - is actually a false entry signal and there is an inevitable reversal coming and - if you're really unlucky - that reversal is enough to stop you out - whereas - had you ignored the entry signal totally - you could probably get in a couple of days later i.e. a 'late Parabolic SAR entry' as I have detailed previously - at a better price.

How do you like that???

Edit:

Oh - by the way - maybe with your MACD idea - a 'slight' relaxation of our entry rules i.e. for long: RSI and Stochastics must be below 40 - 50 and for short: RSI and Stochastics must be above 60 - 50 i.e. a 'relaxation' of the 'RSI and Stochastics at their limits' rule??? I'm still of the opinion that if either Stochastics or RSI (and particularly both) are at their limits it does not matter WHAT MACD is saying you're no longer in a 'tradeable range' to quote Benjimang.

Complicated enough!!!

Hey - maybe when this is finished we can write a book and sell our system (like one or two of the other 'unscrupulous pric*s' lurking around babypips)!!!

Regards,

Dale.