Bollinger Bands + MACD + Heikin-Ashi =$$$?

Hi. I am using Bollinger Bands set at 20,2 , MACD at 12, 26, 9 and Heikan-Ashi on the 1 min charts to signal buys and sells in the EUR/USD market and I have been able to make consistent, but small profits (8-10 pips) a turn. Does anyone have an opinion on the using these indicators and should I increase my profits by increasing my contract sizes or should I look for a longer term system? Also why do I never hear about Heikan-Ashi here or anywhere else?

Ok so this is purely an unscientific response to your question. Been looking around several currency pairs and again I’m no expert but this indicator looks better on higher time frames such as H4 and D. You could conceivably make a good profit by using just this but I would have several other indicators to justify taking profit or bailing out. PSAR is agreeable with this.

So you think I could could profit more if I use the same set up on 3hour (oanda doesnt have a 4H chart) I would be really worried to hold a position over many days. My account size would not allow me to ride the waves. I am trading mini-contracts.

I don’t like PSAR, I never had good experience using it.

Do you think I could throw in RSI? What would the setting be?

What settings are you using?

I am using Bollinger Bands set at 20,2 , MACD at 12, 26, 9 and Heikan-Ashi on the 1 min charts to signal buys and sells in the EUR/USD .

My signals are when trend hits the top or bottom band, reverses and CLOSES. I buy or sell in the direction on the new trend. I use the same signal liquidate my previous position.

I don’t have great results using RSI. That’s just my opinion and could work for others. I just don’t care to use it. I use Bill Williams Accelerator Oscillator with a Stoch 5,3,3 overlaid. It seems useful so far until something else comes into fashion. You’ll get 101 different opinions on this site. None of which are true. You find the one that works for you. But you know this already!
As far as keeping positions several days, I can empathise. However, the penchant for making more profit increases, as you know. I use incremental stops usually previous days low. Sometimes you get stopped out and then trend continues on its merry way. Dems de brakes.
Thanks for sharing this on Heiken Ashi. I’m gonna demo it for a few weeks.

Good luck to you.
S.

I don’t like PSAR, I never had good experience using it.

PSAR works very well on higher time frames: 3 hour and up. Catch a trend using bollinger bands. On uptrend, when first dot appears OUTSIDE the band take a position. Sell when upper dot appears either outside or inside BB. Now, here’s the kicker As you know PSAR can be tricky because in most cases it will appear and stop you out early in continuing trend. So, you can use daily pivot points to determine support and resistance. Does this thoroughly blow your mind?

Anyone up to posting some screenshots of your setups?

[What setting do you use for PSAR? On 4 hr chart all of mine that should be outside appears inside band. My settings: Band 10,20, PSAR 0,02, 0,02, 0,2. Thanks.

Neznau,
So, those are the correct settings. Now here’s the kicker. No reason why you can’t take a position inside the bands on 4 H. Just be sure you can justify taking that position. Here is a shot of my screen with Heiken Ashi…something I’ve been using for a day just to see. It’s another embellishment…looks like Japanese candy.
So, according to this chart I took a position at .9440 and held til .9660. See what I mean. Does it always go this wonderfully? Of course not…but I hope you get the idea.
Cheers mate!
S.


Sorry, I am not that SMART. I am just a lowly cook:)

No seriously, I subscribe to the KISS theory, but I will run your setup on a demo acct and try to figure out what you mean. (I am better interactively) Like I said before, I am scared of take a long term position so I shy away from 3H+ charts. But, if this technique helps anyone else out there, it is all good.

Pivot points are good; let me see if my technique for them is something that you would agree with, as it clearly seems that you know more than I do about Forex in general. I SET the Pivots on the DAY chart, but USE them on the 5 MIN or 1 MIN chart as a WARNING that things might get hairy close to the lines and I will liquidate a little before those lines are reached. But most of the time I lose pips because I liquidate to early.

I am an ex-online poker player, (damn the government for tacking on a anti-gambling bill to a port security bill) and when I played poker, I would wiling play a limit lower than my bankroll allowed because I knew I could win, even if my winnings were lower than I might win at a higher limit if those winnings were not as sure. I dont know if that way of thinking works in Forex.

Never play a suited Queen and Ten preflop.

Yeschef,

I put this chart up for Neznau…but I’m just the lowly cook too. Hey, we can all learn something from each other, no? This forum is HIGHLY invaluable. I’ve learned so much here in the last few months. I can tell you that some of the guys here: daedulus, tonymand, dpaterson have some real gut material to share. They are demonstrably the best here for me right now.
And I will not lie, I am still demo trading and I will until I GET it! I don’t care how long it takes. My goal is to triple my demo account. So far I’ve lost a few sheckels. I’m determined and motivated. That’s the skinny on me.
I like your description of your poker playing fiasco.
Carry on dude.
S.

I tried using your PSAR over my regular setup and it tended to get me in trades late, but it also gave me the confidence to stick to a position longer so I did make more pips. I dont know if the lateness into trades means the rest of my system is off, but thanks for the idea.

You should try live trading, I dont think you can really learn the psychological part from trading on paper. Real money makes a helluva difference, but I dont know if that is my poker background sneaking in again.

-J

Yup, that’s what everyone says. Live trading is the shizzle! You can’t trade emotionally with a demo account, although you should see me! I’m the real McCoy. I FEEL like my life depends on it. I’m scaring myself:eek:

Trading scares you? And you are a cook? :slight_smile:

How about 3 six tops just walked in 20 minutes to close, already 10 dupes in the weeds and your garde manger just lost his fingernail somewhere in the frisse?