Bollinger band trading with MAs

Hahhahaha.I wont mind fed-ex or DHL or UPS Fuller ESB to you:D:D:D
Thanx.

Always playing around… currently on 1 & 4h charts. LWMA 2 & 4 High/ Low (green) and 8 & 10 High/Low (red). Plus 20:2 boll.

Are you just focusing on MA crossovers with those two charts?

i like the 8 and 10 LWMAs, makes a nice channel, but now its just tooooo many lines lol

No taking trades back to the center ground when PA steps outside both highs or lows. Tricky bit is correctly identifying the highest high and lowest low. :smiley:

it looks like you could simply enter on the wicks out of the LWMAs and counter trend trade back to the center of the channel then, like on E/U since were on a down trend it looks like we could enter short every time price wicks to the 8 high LWMA (vice versa for a long trend) and, the 20:2 boll helps establish trending and ranging markets. think im gonna have to try this sometime :stuck_out_tongue:

Even when PA steps outside the High/ Low LWMA’s when with the trend the bottom of the move can be lower so its tricky finding the true bottom. When PA steps up against the trend and goes outside the High/ Lows LWMA’s its a safer trade.

When with the trend its helpful to look at the next longer TF chart and so on in order to find if PA has stepped outside the High/ Low LWMA’s on that chart or the next i.e. if trading the 4h you would look to the day or week etc. Another way to trade the High/ Low LWMA’s is to wait for the daily close of the candle outside the High/ Low LWMA’s. The new daily candle will usually trade back partially or fully across the tunnel. This is how I prefer to trade and why I use the daily TF and look to where PA is at on the weekly and monthly for a high probability trade. Take a look at GU on the daily, weekly and monthly now. PA is outside the daily and weekly LWMA’s so I will be looking for a retrace into the tunnel early next week. I estimate equilibrium to be 1.6080 on both the daily and weekly chart (4 LWMA close).

you could wait a long time for price to be at or beyond lwma on a monthly. So I’m thinking that time frame is more to get an idea of direction.

Well I’m on a borrowed computer but still not trading. Let that be a lesson to everyone. Make backups of the data on your computers. Often.

Haha.What happened to your computer?

Hard disk crash! It was a Dell and we had trouble with those at work. I should have known! Dude youre gettin a Dell, hmmmph!

I like Robert’s new trading idea but had just thought up a briliant trading idea of my own too. And didn’t even get a chance to backtest it before the crash. :frowning:

Hi TalonD,
I am so sorry to learn about this crash.I don’t have Dell.I am using HP laptop.I am just thing about getting a desktop next week.I may buy HP as well. Do have back up for the data in the computer?

Robert’s system is good. That is what happens when you are dealing with honest and experienced trader."He who walks with the wise shall be wise."
When next you want to buy computer,try HP.I don’t have issue since i have been using it.

Mike I meant still trade the new daily candle each day but that its prudent to look to the weekly and monthly candle to get an idea of the bigger picture given that PA will trade back and forth across all TF LWMA High/ Low tunnels.

I would think it’s a higher probabily trade if weekly & monthly are are in the right position but I get what you’re saying. You can still trade it anyway on the daily.

Don’t know if you took a look at my email? or what you think of my idea?

computer: may not be a disk crash after all. I can boot up and save data. Doing that now. but Windows freezes up after a few minutes. Boot to safe mode works though. Maybe a corrupted registry. After backups, I’m going to reinstall Windows. Then back to trading ! :smiley:

It sounds very much like what we are doing with MMTT in Rui’s thread, but obviously we’re using the 2-period MAs on the daily, then dropping down to the 5m chart to look for those Higher Lows and Lower Highs.

And, yes, I do find it tricky to correctly identify those HLs and LHs, but look to what we’ve learned in this thread and Tymen’s JOCT to try and incorporate both Bollinger band and candlestick analysis into my decision making.

(I also have the 3/5/7/11 LWMAs on all my charts from trying Talon’s 1H mid-boll crossover strat, but progress there has been hampered by my trying to determine additional signals to help know when the MAs are truly crossing the mid boll, rather than just snaking along it sideways and then moving back.)

RC
Why do you use so many LWMAs trading this way? What do the shorter MAs tell you that the longer ones dont?

I have settled on a 20:2 boll and a 5:1 boll on one chart. A 20:2 boll, a high low 2 period MA and and 2 20 period MAs (one is offset to point at short trends) on another chart. I also have a bare chart that I look at to keep all those lines in perspective.

I have been trading back to the center of the channels created by all these lines and doing quite well. As you said picking the lowest low or highest high is the trick. I look up a few time frames and see if price is near any of my 20:2 boll lines for a clue. This works down to a 5 min charts as long as you keep an eye on the longer TF charts and dont buck the trend to much;)

TalonD,

Sorry about the problems. You might try an Interrupt Controller test. I’m having similar problems on one of my computers and it’s doing the same thing. The motherboard is failing at the interrupt controller. Tigerdirect or Newegg will get you back in a hurry. While you’re at it get a Seagate backup drive for about a C note.

Good Luck,:slight_smile:

Johnny

I’ve kind of moved away from the 1h strat. Time constraints, difficulty catching the signals, etc. Moving more towards R.C’s daily and mmtt etc. that line of thinking. I still think the 1H is good if it’s done right. And here’s a slightly different way of looking at it.
open up a 15m chart, zoom it out as far as you can and put up an 80 period bollinger. Look at price crossing the center bollinger. rather than MAs crossing. Another thing, if you watch this long enough you start to recognize when price is moving away from the outer bollinger at a sharp angle, it’s more likely to be a real reversal vs. when it is moving away from outer bolling and a not so sharp angle. Kind of subjective.

Once I get my PC back in good shape and backtest my latest greatest daily TF idea, If it turns out to be a winner, I’ll share it here.

Yes had a good look Mike, seems like a good idea. One of my lads had the same problem with a hard disk and had to reinstall the hard drive software.

Good question. I suppose the answer is I’m working the longer TF charts and want a moderately slow indicator to check direction and a faster one to catch the pips. A tunnel within a tunnel. Works on all TF’s though.

See attached. Might need to expand to 200-500%.

Got my first win with my new daily strat this moring. (was able to get to my Oanda account on the borrowed computer)
Was I lucky? or was I good? :smiley:

Is this the… dare I say it… San Graal? Who knows… Time will tell…