just a warning… FXCM not very good for data feed. always hitting my stop loss when i use their demo account. i even compare to new broker alpari uk and the prices are different many many times i couldnt believe it.
maybe you should do the studies and statistic again using better broker, just my idea though, good work overall
hitting your stop loss is not representative of the viability of their data. I selected FXCM because it was the only retail feed I have so other people on this board could replicate the findings. Also due to the over the counter nature of spot forex brokers will have different prices. No real exchange and independent brokerage houses causes this disparities and causing non uniform price.
okay okay, never claim to be an expert! just sharing my experiences. still strugglnig to understand what this thread is helping for new traders like me. like… can you just summarise the point so i can make sense of it all???
At its core it means 2 things. Always trade with a large RR ratio 3:1 or better. Its better to buy on weakness and sell on strength when stalking an entry.
but i was reading carefully… you said you dont alway use large RR ratio, so why not listen your own advice??? i think that my main confusion. i use sotchastic 14,3,3 to buy oversold and sell overbought, i think thats same thing, so i agree there.
i found the part you said, in case nobody believe me lol
First, indicators are always lagging, so that means that you also have to use other sources to accomplish what you want at the moment. Sometimes you may want a quick scalp , other times you may want a day trade. Having said that, you need to use an arsenal of info and different tactics, all this is not learned in a few months etcs.
Why don’t I always use big RR ratios? Because I tune my exits based on my entry strategy and what is optimal for each specific setup, market context and overall system statistics. Just because its a positive expectancy does not mean its optimal. For traders who do not have positive expectancy models or strategies this is a better road for them. If you have something that has positive expectancy and have been collecting data based on their system, this may be suboptimal and end up costing them money. It could even take a positive expectancy model and turn it negative.
If you were collecting specific data on your set ups and systems then you would know exactly how to tweak your system to different market contexts and environments. You probably wouldn’t need this thread. Because your already profitable. If you’re not profitable then taking these ideas are much more beneficial to you. Not to be harsh, but that means your model is broken. If you understood how to monitor and tweak your systems and doing the type of studies I have shown above, but specifically to your system. You would have already fixed your broken system and again. Not need this thread.
i just think it would be more helpful to new trader like me if you just share how you are trading and what you do to make profits. like… the statistic are impressive but then you say you dont trade this way??? so pretty hardto want to use the statistics when the real money is doing what you are doing. i dont know, i just feel like someone selling me something fancy, then i open the box and what actually getting is kinda crap.
Nice work! I’ll subscribe and follow along it’s all interesting.
I am sorry you feel my work is crap. Thats just too bad. If you feel that way at least don’t detract from others who are enjoying my content. I didn’t say I don’t do things this way, i said i don’t ALWAYS do things this way. I adapt to current market conditions, if you don’t know how to adapt then you should probably stick to something rigid. Its less complicated that way for the beginner.
You’re basically saying, you want to learn to do exactly what I am doing and hand you everything on a silver platter. Classic newbie. Even if I did, you probably wouldn’t be able to copy me and be successful anyway. Not to mention the fact that its not something I want to do. I am showing you how to do your own homework, and build your own trading systems and methods. It would be completely based on your understanding of the market and how you want to trade. This is the true grail in my opinion.
Lets put it this way, I am driving an F1 car and showing you the simple book for rules of the road and which pedal is for the gas and which is for the brakes so you can get your drivers license. You want me to show you how to drive my F1 car on the circuit, when you can’t even drive down to the shop and back again in a family car. My car is tuned to my weight, my height, my driving style. I know how to adjust the car to current temperatures, track conditions, etc. None of that is going to help you. You would be better off buying a bicycle.
okay what i meant wasnt that your work is crap! i was just comparing my feeling to the disappointment of false advertisings. yes the fault is mine for not knowing how to use the statistics… thats why i keep asking for help!! you keep saying “you can use this to help you” but i just dont understand how to do that.
and yes! of course i want to be the F1 car driver… that why i come here to learn to be the best. what kind of performance do you get mr.F1 driver?? also don’t need to buy a bicycle, own 3 already 
Great thread, caused by two people.
MeiHua, your knowledge and research is brilliant, such research is the foundation of any good method of trading, Aquapip, your questioning is reflective of all us newbies’ questions and our lack of knowledge, so thank you both for your patience.
Well said and to the point
i know it just my frustration talking, but im starting to believe maybe it all (the statistics/charts/etc) just meant to confuse new people while he laugh at us or something. he’s soooo great F1 trader but apparently im too dumb to learn it i guess…
sorry guys im just getting kind of upset about not getting this stuff… grrrr:mad:
You really think I am wasting my time arguing you in my thread to laugh behind a computer screen. If i want to have a laugh i will go to the bar with my friends. Seriously. I put a lot of work doing the research and posting it here. It is not something I am doing for my own good, I already know how to do this type of research in the first place. That is why I understand every bit of it. I am doing it to show the people here at babypips how to do the one thing that I fully believe can help people make the turn to profitability. That is simply doing their own homework, understanding how to determine if certain things have a positive expectancy or not. Avoid the tools that don’t, embrace the tools that do.
I understand your frustration but again. Please do not corrupt my thread and keep derailing it just to express your anger. I feel like I have made my ideas clear and concise. I have explained in 2 easy to understand sentences what to do with the information provided and make it actionable in post #44. If that wasn’t enough then please take it somewhere else. You will not find the easy solution here, I am just trying to be a signpost on the journey that says, look this direction.
You still have to take the steps yourself, you have only joined babypips this month. You’re expecting to completely understand or at least have me explain to you what took me years to develop. Isn’t that a bit presumptuous on your part? Then to try to insult me that I am here to toy with the community and imply that I am doing this with harmful intent.
This is a repository for my knowledge and understanding and sharing it with this community. If you have legitimate questions then I surely have entertained them all day. But its becoming more a troll like environment which I am just not going to condone when you admit blatantly your frustrations are causing you to spam my thread.
you are right and i apologize for my frustrations, i will move on to some other threads that i find more helpful. dont stop with your work, i can tell it will help someone, just not me! :24:
Ignore all the trolling and continue your thread. I’m learning from you and trying to catch how to integrate it in my trading.
Great thread, I’m an avid reader. Please don’t be detailed or put off by aquapip - it was just Akeakamai mucking about again so don’t think his posts representative of the rest of us!
Ditto what ST said above, I’ve been across your thread since it began. Akeakamai (johncarpainter, aquapip, Ak3) is just a failed trader who now looks for enjoyment in trolling others. It’s pathetic… and shouldn’t impact this thread
Thank you very much MeiHua for sharing the result of your research.
Please keep doing it as often as you have some time to spare. It’s very valuable information for lots of people.
As for the beginners not seeing the value, remember that the best forex traders are “invisible”, unknown to the masses because they are just too busy living their life off the profits and they will stay invisible always. Having one around that also shares his homework is invaluable.
MeiHua, I think there is a third statement that needs to be added to your findings: do your homework and you’ll see the obvious and discover what pro traders already know. The data is the same for everyone!