Nasdin's Trading System

Trading Systems Free Forex Trading Systems
58

Hey mate,
Thanks for all the info so far! I must admit I’m still a bit confused reading the document… I keep going back to it as a reference for help.
Here are my questions…

TRENDING
1 - For trending: you take trades in direction of the trend. I assume it must be bouncing off an EMA (is that on either 1 and 4 hr charts?) UNLESS there is a CCI pattern? - Do you need BOTH Divergence/Hidden divergence in our favor PLUS oversold/undersold PLUS compression?

2 - Do the 4H, 1H, 30m, 15m all have to have the same bullish/bearish pattern with all the WPR’s in the safe zone for a trade or is it just the candle action?

3- As i check other pairs after say another 30 min, can I still take trades? If so do I just look at the most current candles and see if they all line up as above? So do you keep waiting until all of this lines up AFTER the 4 hr close?

4- Is it only the Doji’s etc that make you take the CCI into account when taking a trade or do you check with it for all candles before a trade (ie oversold/undersold)

5- For the advanced entry, you show the fib line over the bear candle. I assume at this point in time (but possible 15 min after the 4hr candle?) all the charts lined up, WPR was good but CCI was diverging against you so you draw fib from low of candle to high of candle. You then entered the trade at the high of the bull doji? (page 16 of word doc)

6- Are the Take profit and stop loss fib lines all done from the 1hr chart? This includes drawing fibs during the trailing stop phase.

7- When you say “trailing stop” do you set it to auto, or are you “trailing” via the original TP fib levels and manually moving it?

RANGING MARKET
8- Stop loss : can you elaborate

CONSOLIDATION
Entry: “use the candlestick method in trending” - is that the 3 pips above / below the high / low on 1H candle?

MOST IMPORTANT
Check the R:R ratio. I assume you have a spreadsheet for this? What do you do if the R:R ratio is not good? Can you wait around on the 30m/15m chart and wait for them the line up for a better entry? or do you just wait for another 4 hrs?

At the end you say “criteria has to be met on both 1H, 4H charts”. Is that for all strategies? I thought for trending we needed to check the 30m and 15m?

Sorry for the noobness… I’m going to try and give it a real hot go but these questions seem to be confusing me.

Thanks heaps,
Mudbloodz

59

Hi Mudbloodz,

I will answer [B]all[/B] your questions as best as I can and will also do some partitioning on those questions.
Each question I will try to answer individually with detailed elaborations and explanations as best as possible on separate posts.

Stay tuned
Nasdin94

60

Direction of Trades in Trending

TrenddownusdjpyH4.jpg700×640 71.1 KB

When the trend is down, it doesn’t matter whether they have to be bouncing off an EMA, you can trade regardless whether its bouncing off an EMA or not.
In this case, you can make a sell just because the trend is down( but do watch out for WPR filters)

However, you cannot take buy candlestick signals UNLESS the green part of the CCI is more oversold than the red part of the CCI, in which I have labeled a hidden divergence with the CCI pattern.

Not only do you need the green CCI to be more oversold than the red, but you also need EITHER divergence AND/OR CCI compressing at the -90 to -150 region, just any part of it compressing and within that area is fine, even if it is a slight touch.

Divergence includes hidden and normal divergence

However, the CCI green more oversold than the red pattern is a compulsory pattern. It helps to judge that the trend has became significantly weaker and is towards bullish and hence you can take counter trend signals.

Here’s another example of a downtrend.

CCI compressing buy.jpg700×501 53.9 KB

If it is an uptrend, the signals would just be reversed, it would be green CCI more overbought than the red, and it would be 90 to 150 region.

Hope this helps,
Nasdin

I will make another reply in 6pm +8gmt

61

18 years old controlling 700k :jawdrop: lol way to go man. Is ur dad as successful as you? You have a great story lol.

62

Oh no, I dont have 700k.

I only have a small account now, but at least what I’m earning is mine now.

63

Yes, all the timeframes need to have the same candlestick signals, meaning that each timeframe must say bull, before there is a bull signal.
Each timeframe must say bear for a bear signal.

Also, there are also such things as inverse candlesticks, it is where you get a doji, an almost-pin bar or a spinning top.
Basically, they are bars where the wick size are much greater than the candle body size.
In this case, sometimes they candle might be a bullish, but it is actually a bearish signal, the trick is to look at volumes and if there is nothing much on volumes, then you have to look at the CCI bias.


This is an image of the possible bullish pin bars and almost pin bar
The almost pin bars are bearish ( but they are actually a bullish signal), you can verify whether it was a valid bullish signal through volumes and/or CCI, however, if not present, then its a bearish signal.

As for WPR being in the safezone, we are only concerned at looking at H1 and H4, the rest not included.
i.e If WPR is not in the safezone for buy in H1, and we received a buy signal, then, we are not able to take the buy trade then

Nasdin

64

Thanks for the info so far. Helping heaps already!

65

Hi mud,

I’ll try to help Nas by replying to the questions.

It sounds like you’re asking if we can see the other timeframes immediately. The answer is yes. Let’s say the 4hr candle just closed 1 min ago, now you can see 1hr 30m 15m immediately, remember the +3hr45mins on vertical line attached to the last 4hr closed candle.

66

Hi Nasdin,
Can you explain how you use volumes? How do you use it to filter your entries and so on.
Thank you!! :44:

67

I understand that. What im asking is, if there is no trade right then and there, how long can you keep going back and checking the charts? Not only that, what happens when your checking your last pair and 30 min has passed? Do you look at the most recent bars?
Mud

68

I better leave that for Nas to answer. I’m getting confused myself. If I’m not wrong, you can wait for the next candle to be same as the other time frames then take the trade on H1.

Of course you look at the most recent bars, especially if you’re doing the fib retracements. Use latest corrections.

69

Using Volumes

We use volumes when we find that a candlestick has wicks greater than its body, which is the most obvious, but if you are more observant, candles with long wicks also apply, not necessarily the wicks have to be greater than the body.
We are not really interested in the colour of the candlestick as sometimes it can be bullish in colour but it is actually a bearish signal (e.g almost bearish pin bar)

Almost bearish pin bar.jpg297×700 43.8 KB

What we do with this kind of candles, (e.g dojis, spinning top, almost pin bars,) would be to look at volumes.

In the volumes, we have to compare the volumes of this current candle and the previous candles before it.

In this case, we see that the volume inside this candle is much greater than the previous candle.
However, the amount moved ( the body ) is much smaller as compared to the previous candle
How is it possible that it has a larger volume, but its body is smaller? Where is the money going to?

The money is going bearish, which is why it did not go up more, even though there is more volumes, but instead it goes up less.
Therefore, this is actually a bearish signal.

Another few examples:

Much higher volumes than previous candle, but the price isnt moving further down as compared to the previous candle!

Hope this helps,
Nasdin

Volumes comparison 1.JPG86×533 11.1 KB

70

If you can recognize greatness, this is one right here. This knowledge is gold and can prevent you from taking losing trades.

71

I don’t have enough words to express my gratitude. This information is invaluable.
May my one million thanks become green pips for you.

Thank You!! :60:

72

[B]What to do if you are late to check the charts[/B]

If you are less than 1 hour late.
Check as per normal:

For example:
8 am 4hr bar closed ( It is now 12pm)

However, you came to the charts late at 12.30pm.
Just check as per normal
8 + 3 hours = 11am ( check the 11am 1hr candle)
8 +3.30 = 11.30am ( Check the 11.30 30 min candle)
8 +3.45 = 11.45am ( check the 11.45am 15 min candle)

Just see as per normal.

[B]What to do if you missed your entry?[/B]
Sometimes when you come late, the current candle has already exceeded your entry level.

In this case, you may have to wait for price to come back to your entry level or you can wait for the hourly candle to close, see next step:

[B]What to do if you are more than 1 hour late and you missed your entry?[/B]

I shall explain using this example:
You came at 1pm
It was a valid entry back at 12pm but you missed it and now price is beyond the entry level.
You can now either wait for price to come back [B]OR[/B]

Look at the 1hr close of the 12pm 1hr candle ( no longer 11am)
Look at the 12.30pm candle 30 min chart
Look at 12.45pm candle. 15 min chart

So, what we’ve done here is that we are now looking at the 12pm 1hr candle( we added 1 hour)
If we are 2 hours late, we can add 2 hours and check the candles.

Only do this, if it was a valid signal and you missed your entry.

[B]What you can do if you are more than 1 hour late into the chart but it was an invalid signal[/B]

In this case, you have the privilege of doing what mudbloodz says, you can keep checking the candles until they all line up.

For example: @ 12pm
8am 4hr candle bull
11am 1 hr candle bull
11.30am 30 min candle bear
11.45am 15 min candle bull

In this case, we cannot enter as it is an invalid entry, but we cannot purposely wait 1 hour to make ourselves late to see that whether we can get another entry:

You waited for the 1hour close and now it is 1pm
8am 4hr candle bull
12 pm 1hr candle bull
12.30 pm 30 min candle bull
12.45 pm 15 min candle bull.

In this case, by waiting for them to line up, you can also get another entry despite previously being an invalid trade.

Hope this helps(somehow)
Nasdin

73

[B]QUESTION 4[/B]

Doji --> see volumes if there is any increase in volume between this doji and the previous candle.
Check the volumes section on what to do.

However, if there is no problem with volumes --> see CCI pattern.
If it is a spinning top, just take the colour of the almost pin bar as per normal if there is no problem with volumes.

Only dojis and really protruding almost pin bars will you then have to check for CCI.

[B]Question 5[/B]

If CCI is diverging against you, you will have to trade from a fibonacci retracement instead of using a sell stop/buy stop.
You will have to draw fibonacci retracement either on the candle itself or on the current wave ( depending on the situation) then place a sell limit/ buy limit at the 50/61.8 retracement.

[B]Question 6[/B]

Yes, TP, SL, is all done on 1hr chart.
This is actually a 1hr system but using 4hr chart to check for overall direction.

[B]Question 7[/B]

Trailing stop is not on auto.
We trail whenever a new retracement/corrective wave forms and when fib is measured on it, the 200th level of that wave surpasses our TP location.
And yes, we are manually shifting our SL via the method explained in the guide to trail our position.

74

Thanks mate!

75

I’m slowing getting into this… :slight_smile:

But the CCI indicator still confuses me, can someone explain how you use it? For divergence and identifying overbought/oversold.

Thanks.

76

You use CCI for hidden divergence/ divergence and the CCI pattern(green is over/under red) to check whether momentum is on your side.

Nasdin

77

Thanks Nasdin,

But in the CCI we have a lot of lines, so we need to have all over/under or just the majority of lines?

Regards.