Bolinger & Trendline System

[stevenglobal]

Bolinger setting is default. Period 20, Shift 0, Deviation 2.

I am based on the nature of the followings:
a) When it is bottom, we start to buy up. When it is top, we start to sell down.
: which is to reverse the trend.
b) When it start to drop, we sell. When it starts to up, we buy.
: which is to follow the trend.

Bolinger IMO, a tool to measure, top, middle, and bottom, which cover the candlestick.

By identify the bottom, middle and bottom, you will know where you are.
There will be 4 actions.
: When bottom, buy up, close at middle. Per pips higher.
: When top, buy down, close at middle. Per pips higher.
: When it middle, buy up, close at top. Per pips lower.
: When it middle, sell down, close at bottom. Per pips lower.

Trendline, it's the signal whether candlestick will continue to follow the trendline or will go outside the trendline (meaning it is weak). Remember do use stop loss.

The truth about most indicator:
Most indicator is just indicate what is the past history and compare with the current one, especially moving average. If we use a lot of indicators, we are making our decision more complicated, because of the fact that, if every indicator produces the same result, which is to ask you buy and sell, why don't we use only one indicator? Some say, when exit, please use indicator A, when buy use indicator B, when sell, please use indicator A & B. In this case, you may question yourself,
a) when not exit, indicator A, carries rubbish information?
b) when not buy, indicator B, carries rubbish information?
c) when not sell, indicator A & B, carries rubbish information?


The truth about 1 to 5 minute chart:
Every indicator and even trend line, couldn't behave itself, because too fast for you to make conclusion.

The truth about comparing different period of chart
Compare 30 minute trend and 1 hour trend with indicators or trendline.
There are two type of people:
a. Buy 1 hour trend
b. Buy 30 minute trend

Situation "b" is more logical than situation "a". Don't you think?
30 minutes produces up and down more than 1 hour trend, the opportunity is there. Actually, we couldn't compare it, due to the fact that, we are more attracted or distracted by the movement of the smaller period.
However, we could use the situations "a" for advance level. Not for basic level. Perhaps will introduce it at next 2 postings.

The truth about playing forex
It's all about up and down. The more ups and downs, the more opportunity you will have to earn gain or else losses. Every chart period, also produce up and down, however some may think, 1 minute got more opportunity than 1 hour chart. Of course it's more opportunity, but it is also an opportunity for you to make more losses, don't you all think?

Give yourself a standard setting, such as,
30minutes chart, bolinger, drawing trendline, use stop loss.
If 30minutes give you an earning of USD30 per day, if you are planning to use 15minutes, you must achieve more than your standard formula, which is to produce an earning of USD60 per day. Or else, you are not qualified to use 15minute chart.



* stay tune, i need to collect chart photos for demonstrations *

[Max99]

I'm looking forward to your posts on this subject since I mainly use just price action and the only indicator I use is Bollinger Bands.

[stevenglobal]

Originally Posted by Max99

I'm looking forward to your posts on this subject since I mainly use just price action and the only indicator I use is Bollinger Bands.

Thanks for reply. I thought I want to close this topic. Due to the fact that I'm changing strategies for the best. The fact is, slow to earn little by little.

Considering a breakout system, bolinger, stop loss and trendlines.
Breakout, means explosive pips. Using stop loss, you only loss a bit.
Breakout might be slow, but given multiple pairs of currency, you earn your opportunities. Trendlines might be useful on this breakout.

Double top / double bottom system = a system you could play if breakout is not around. The 2nd best earning after breakout.

Sorry for the incovenience caused.

For the attachment:
Basically when it ups, you need to draw to first 2 to 3 candlestick
when it downs, draw the first 2 to 3 candlestick
* small candlestick not counted. *
When it breaks the trendlines, it's another trend.