Thanks for that In2Blue. I’ve got them working now.
Easy when you know how eh?
I have been following this posting for a while now. Similar with Moss’ posting. my face lighted up when entered ingot’s rainbow to mt4 system. i am not a day trader, just an average working joe trying to make extra bucks to keep up with the system. it seems lately in the past decade of my life i realized that my boss and those executives are getting higher and huger compensation while i myself and a bunch of my fellow middle classer are getting no where. so picked up trading ten years ago, however during the tenures it is not easy to have a full time job, kids and trading… so far i have not found the right system yet.
i hope your rainbow may hold some of answer to make any average joe a have a life and still keep the middle class status or maybe move up a notch… :D. Again Ingot and everyone in this post. thank you and keep up the good work.
As i seem to be finding my self to impatient to trade the longer time frames, I’ve been using the Rainbow on the shorter TF jumping from the 30min up to the 4 hr (and in between).
What I’ve noticed is that this gives excellent short term trades against the trend. Is it just me??
I netted 488 (9 trades) pips last week using the rainbow and spuds techniques but to trade against the trend. I’m a bit shocked still at how easy it appeared for newb like me to do it. Beginners luck??
Now having said that, i’m still waiting to see a great entry point to go on with the trend. Though I’m reluctant to go with too many pairs at the moment, and i think with this strat you need to observe alot of them.
Spud’s original method was meant to be used on the 1h time frame, and it used our threads and ropes, so I’m not that surprised that it is working for you. Trading against the trend is tricky though, and for sure there’s a reason that they say “The trend is your friend.”
Best of luck on shorter timeframes, but I hope the discussion in this thread will remain focused on longer ones. Signals have been sparse lately, hope you all have been practicing your fishing!
Hi cosgrove
Signals have been sparse lately, hope you all have been practicing your fishing!
I have done so much fishing lately the family is starting to complain hehehe. Still trying to find an indicator to back up the rope for entry/exit.
I guess you missed my suggestion a few posts back. I use Hull’s Moving Average for this. The 21 period seems to hug the trends and give some good indications of where they change.
Hi cgjedi
Yep got it now will take a look
thanks
Hi cgjedi - how is the summary sheet coming along - anything to share with your fellow rainbow disciples!
Long EUR/USD still running and i’ve used cosgroves partial profit taking approach for the short USD/CHF position i was in - am interested to see how it works out. Only other possibility i can see forming is a long EUR/CAD trade - the daily is starting to form a peak in oversold while the trend seems to be uppish (less clear on the weekly and monthly but monthly stochs are certainly roping upwards and weekly rainbow trend seems reasonable.
PS - i’m working on my golf rather than fishing. Pelican is going down
I am currently riding eur/chf up 100 pips and usd/cad up 53 pips. Not to shabby for 10 minutes a day.
I followed the rules back testing the GBP/JPY on the daily time frame and only going with the weekly trend-in that direction I would trade. Results were +3510 pips for year 2007. I went through each candle by hitting f12 on the keyboard. I had 9 wins and 6 losses. I did another thorough back test with the weekly time frame but instead going from 1 direction to the other. Results were +2942 pips for 2007. Now I’ll back test the year 2005 where it was a tough year for trend following systems. Where 2007 most trend following systems faired well. It’s looking good! Thank you, Ron
Hi fx
Could you put a chart up of GB/JP (2007 )showing your entry and exits
Why was my post deleted? Who’s responsible for this!
Unfortunately I’m going to have to leave. Someone deleted a post of mine without explanation. I don’t appreciate being censored. So until I get a public apology on this forum, I’m removing all my files, indicators and there will be no new updates.
Sorry. Get after whoever did this if you don’t like it.
Btw, no one has permission to repost my files or indicators on this web site.
I am new to trading and really like the sound of the Rainbow style. Please send me the techniques to this style of trading. <[email protected]>.
cgjedi,
Sorry that it happened to you. Babypips forums have some rules that aren’t really drilled into your head before you post (i.e. link rule) which I myself had to break to find out about it. At least they edited my post instead of deleting it so I could find out who did it.
My experience with the mods here has been pretty good, as long as you’re willing to play by their rules (which isn’t bad really), and I’m betting that you will get an explanation of what happened in a PM as to not derail the thread. The link to PMs is in a little box in the upper right corner of any thread you’re viewing (but you probably already knew that, sorry!)
casanova,
If you look back to post #111 ( 301 Moved Permanently ) you will see the basic rules for the system.
I read about the Rainbow Style and I am interested in learning about this method, could you please send me information on this style/technique of trading. I am still new here but have been reading and studying all the materials here and would wish to learn this method from you.
Thank you.
Are you sure one of your posts was deleted? Your post count says 12, and when you click on your screen name, one can select to view all posts by you, and it listed all 12…maybe your post got pushed onto a prior page? Or maybe you previewed your post and then forgot to click on submit?
Moderators: If a post gets deleted, does it reduce your post count too? Therefore his post count would have been 13?..(oooh lucky 13…bwa-ha-ha-ha (evil laugh))
Well, after just under 2 months of testing the rainbow strategy on a demo account, I thought i’d note down some thoughts and comments ahead of me going live with this method later this month. Ingot has obviously not posted for a while and cgjedi who was working on some good adaptations of the indicator has been forced to leave - but i’ll still be popping back to see how the thread is doing so hopefully people will keep posting!
[B][U]What have i learnt[/U][/B]
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This is a very good swing trading approach which keeps things relatively simple and helps to identify very high probability winning trades, BUT
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It will only work if you exercise a very high level of patience and self control! When trading forex, it is extremely tempting to be continually looking for potential trades. If you are using a different strategy, then frequent trading is fine. However, day trading the rainbow method means trades are much more seldom.
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To assist the method i think it is very important to have targets for profit taking and use a multiple lot strategy. Moving stops should also be considered (although I know Ingot doesn’t agree with this!) See Cosgroves earlier posts for details of his approach which I feel works well.
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Don’t search for potential trades where they don’t exist (see the details of my trades below!) This is a repeat of 2 but i think it is so important that it needs repeating. If you want to trade often then this method is not for you!
[B][U]How have i Performed[/U][/B]
Since Dec17th i’ve made 8 trades with 6 no loss and 2 that were stopped out (i use 200 pip stops). Of the 6 winners, 1 was for negligible profit, 1 was for around 100 pips (so less than risk taken) and 4 were for profit greater than risk staked.
I’m not posting full details (it’s not relevant and people don’t need to believe me if they don’t want to!). Basically, I have had 7% tax-free return (as would use a spread-betting account) in under 3 months which i am very happy with.
The key point is that the 2 losses were those where i entered through lack of patience - i.e. i found a trade where there wasn’t one!
[B][U]How I see this method working going forward[/U][/B]
My thinking is that you should concentrate on the majors and expect no more than 2-3 trades per-month. These would be trades where everything lined up well and therefore the success rate should be very high. With decent money management you could expect around 250 - 300 pips per trade and hence a very respectable pip total per year. This is certainly what i’ll be trying to do 
In summary then:
- small number of high probability trades
- disciplined money management for profit taking
- patience, patience, patience
Finally - as an aside - the current time is a good example of the need for patience. A quick scan of the different currency pairs shows masses of fishnetting - time to switch the computer off and play golf (or type out overly long messages on babypips!!)
Good luck
Great summary Grob, hope your USDCHF trade went well, I think I ended up pulling 1250 pips total with my 3 lots (about 2:1 reward:risk!).
Wonder if cgjedi’s situation ever got straitened out?
If you’ve read this entire thread, then you have all the information you need. There’s nothing else to “send” you. That’s what forums are for, to read things here, not e-mail stuff to everyone.
Go back to page one and read again. All the details of this strategy are right here.
Just keep following this thread for any updates and to read about others’ experiences using Ingot’s Rainbow.