Don’t confuse age with experience. Then again: maybe the two are inextricably linked!!! LOL!!!
The other side of the coin!
We seen the missed 550 pips when settling for
a paltry 50 pips
Look at screenshot below
I just about managed my 50 pips with little sign of
more to come
Just explain your trade (merely for the sake of interest)???
Are you trying to follow @The_Baller’s strategy??? If so are you not supposed to have that cloud thingy on your charts???
They’re all usually history within 3 years.
No cloud required. Chikou Span alone does the job nicely.
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Oh. Just remember seeing something that you posted somewhere at the top of your thread where that yellow line thingy comes out of the cloud and then you go with it. Something like that.
Ambiguity
No I’m not emulating The Baller’s strategy, at least not at the moment.
but regarding the cloud I have hit upon a problem
Price below is reacting clearly to 20 SMA indicating Long
but at the same time broken through and retested Cloud
indicating short
but it previously respected 20 after breaking through cloud.
The cloud is not helping, the word nebulous comes to mind,
clouding the truth
Now let’s see what happens when we scrap the cloud
Now the ambiguity is gone, we see two bounces off 20, the
current bounce supported by Stochastics
The less indicators the better!
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Oh. No. I was replying to @The_Baller’s post above and referring to his thread. Sorry for the confusion.
Strategy #2 Clarification
There really is nothing original here
My recent Long trade won the 50 pips before stalling.
A possible problem is that price didn’t close outside
of BB
We note the setup at the top of BB, this was fully qualifying
and went on for around 600 pips
So rules would be
- Candle closes outside BB then forms reversal pattern
- Supported by Stochastics
- Reversal Pattern forms at the level of prior S/R ( this is
where Chikou Span really scores as we see, it just gives
such clarity whereas the cloud merely clouded the issue,
which is probably why its called a cloud
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Hey.
Thanks for the clarification.
As I say: was just curious is all.
Not sure how that Chikou Span thingy is helping though. I just called it up again (using a demo from @The_Baller’s broker) and that thing seems to lag terribly.
Anyway. Let me not get too involved here. Nowhere near my style of trading so I’ll leave it to the experts.
It’s meant to lag 26 days behind price action. If its below price you can assume its a downtrend and if its above price you can assume its an uptrend - then you can filter this with your own analysis to confirm.
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And therein lies, quite possibly, its one and only shortcoming!!! LOL!!! As it pertains to me anyway.
I know several traders that simply go short if the Chikou Spa is below price and long if its above price, on the daily chart.
But that all comes down to your capital and risk tolerance.
A lot of the time the problem is the trader in question wants to go in at a certain position size, thinking he only needs a certain amount of pips for a good day.
But he also doesn’t want to risk that much - that means he must place his stop a certain distance away.
We all know what happens next, he gets stopped out.
Something has to change to stay in the trade.
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Weekly Time Frame
After a good week last week, my three open
trades are in DD and broken through the
20 that they were supposed to be respecting
Only one of these three setups is supported by
the Weekly TF. that would seem to be the
stronger of the three positions
we’ll see
Damage Limitations
I closed my EURNZD trade because it closed conspicuously
below the 20. I lost 40 pips in order to prevent a potential
major loss
but today it is moving up again and it might close back up
above 20
Was I right or wrong to close the trade?
When is the tipping point, the point of no return?
You can allow hundreds of pips leeway only to find price
has actually reversed on you
Or, like Big E you can get out as soon as things start
to look bad, with a view to re entry if price returns
to the desired direction
So there will be many small losses, a policy of
damage limitation
I think it has merit providing it is not merely a knee jerk policy
governed by panic attack
Maybe, if you close when price closes beyond the respective MA
that it was supposed to be respecting but evidently no longer is,
then re enter if price closes back again beyond the MA in the
original direction
another possibility is my excellent trend strength indicator
if one of the thee lines changes colour at close of candle, it
is a very bad sign, and that could be the indication to get out
especially if price has closed beyond the respective MA
or just allowing plenty of leeway to even beyond next weekly S/R
might result in a very high win rate.
In the end both approaches might yield similar pippage and the
most important thing is to remain systematic
I am familiar with a popular thread on forex factory based on one of Big E’s trading strategies.
One option would be to follow his guidance and get out quick but place a stop order to get back in if price resumes in that direction.
I wrestle with this constantly.
Good luck!
KC
Big E’s system was transported to this forum by
Johnny Kannoo. It really helped a lot of traders
I think this is the name of the game, more or less
what its all about
the following sc speak volumes
In the first I got out 40 pip loss which would now be -140 pips
loss and rising
in the second sc I think I am down about 140 pips but stayed in
in anticipation of price bouncing off 50
about the Stop order suggestion, yes you can do that, but as
Ive gravitated back to D1 I would rather wait to see what
the candle pattern looks like, rather than have trade triggered
prematurely
All this talk of Big E is quite nostalgic and I remember
so many expressing hearttfelt appreciation, often post humously.
I’ve been looking at comparing Big E’s TDI signal with my colour
Stochastic and there is no comparison
It wins most of the time, but one of the best filters is set a modest
50 pip TP on D1
Rather than HS candles I would prefer to be selective and look
for a convincing reversal candlestick pattern ie engulfing
and inviolably only enter if signal candle is the right colour
There are losers but you can be selective, the two sc’s show
the two levels of selectivity
an engulfing pattern out off and back into BB, along with
decisive cross of green over red TDI will normally deliver
on your 50 pip TP
This is just a variation on my existing Strategy #2
Truthfully, I don’t believe strategies get any better than
illustrated below
It has regard for S/R
Classic reversal pattern, out and in BB
Critically, reversing from prior support zone
It should be good for 50 pips
I’m not saying I’ve found the HG, just that it
probably won’t get any better than this, and spending
several more years seeking a vastly better system
must surely be an exercise in futility
I may become a better trader, but its highly
unlikely success will depend on a better strategy
Stochastic what Stochastic?
I bailed out of EURNZD for -40 pip loss and price
would have inflicted a further -140 pip loss.
Price was bouncing nicely off 20 so it seemed
a good place to enter. especially with a cross
of stochastic
but not reaching Level 10!
not sufficiently oversold as we see price continuing
to move down accordingly
Only later when stochastic does cross after hitting 10
does price moves up
Worth making a note of this!
