Hi folks,
balaji3003:
Yup: only the daily timeframes AGAIN!!! (I say 'AGAIN' because I've tested and 'raved about' the shorter timeframes and the like from time to time but I always come back to the daily timeframe in the end). With ALL of Wilder's trading systems (as with most) the DAILY close is ALL important (although I WILL admit that this DOES apply more to stocks than forex). Also (to state the obvious): far less 'whipsaws' with any of the systems on the daily timeframe.
Randon:
Well done!!! Proud of ya'!!!
Trailing Index SAR for forex (summary as requested):
Calculate the ASI EXACTLY as per the book. Each pair though will have a 'Quote Price Factor' or 'QPF'.
I calculate the QPF as follows (based on the spread):
Let's say the spread is 3 pips or 0.0003 (EUR/USD) then the QPF is 0.0001.
Let's say the spread is 500 pips or 0.0500 (GBP/ZAR) then the QPF if 0.0100.
Let' say the spread is 15 pips or 0.0015 (AUD/NZD) the QPF is 0.0010.
(I hope you can see the 'correlation' between the spread and the QPF i.e. for want of a better explanation it's the first 'significant' digit of the spread that's being used and the QPF is always a '1').
NOW: you divide the ASI that you've calculated as per 'normal' by the QPF. The Trailing Index SAR is then plus or minus 60 to or from the result.
That's it.
__________________
Regards,
Dale (forexbrokersonline.net).
'I know traders who can never seem to hang on and follow a good system because of a compulsive need for action. I know other traders who have a greater need to be right most of the time than they have a need for the money they can make' (J. Welles Wilder Jnr. from 'New Concepts In Technical Trading Systems', 1978).
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