OK, this is the bit I’m still working on. Figuring out when to enter a trade is the easy bit as far as my view is. How you manage a trade once you’re on is when the real work is involved. As I said the purpose of this system is to identify trades that have the potential to run on past our 10 pip take profit point. As discussed before, trading this style has the highest relative cost of trading of all the styles. Grabbing an extra 3 pips each winning trade can make a significant return. Let’s work though the math’s.
I’m making 5 trades a week 10 pip SL/TP, 0.7 pip cost per trade, 3 wins two losses. So I win 30 pips, lose 20 and have 3.5 pips yielding 6.5 pips or 65% of my initial risk. Now set the T/P target to 13 pips and plug in the values. I now win 39 pips loss 20 with still 3.5 pips to cover costs yielding 15.5 pips or 155 % of my initial risk. That’s double the return for only 3 pips more. Speculating is not about reading charts it’s about making money. You have understand how your plan generates money. It’s damn hard work but it is not a talent. It can be learnt through hard work and practice.
So for my initial trials I’m aiming at a 2:1 RR ratio or 20 pip TP. As normal I’ll manage each trade on its own merits and see if we can get a few trades out this week. Look forward to reporting some positive results.
Give it a go my friend. If it works and does the job you need it to do then you’re on a winner. What I got dishearten with MT4 was that it doesn’t store tick data. Any indicator you use has to do that for you. And the moment the data feed is disconnected so to the data. So I’ve moved to a third party. Forex is a business but and there are costs so I’m happy to incur this. Its a small price to pay.
All the best bro and thanks for sharing this link.
Thank you Daxter and Bobbi,
I will start demo trading this tomorrow
I am studying this stuff since yesterday, and my feeling is that tick chart gonna add more precision to trading than the usual time based chart,
I think having the hourly chart side by side with tickchart will help so that we dont get lost in the short term movement,
for now my rule will be if on the hourly it is below EMA20 I will only look for short and vice versa if its trending
and look for setup on low/high if its ranging
I took my entry on the close of the second candle to break the tight range with a stop set at 6 pips below the entry and profit target of 10 pips. I took my son to his nursery and returned to my profit target having been hit.
Nice start to the week.
Have a good one guys
Daxter
Incidentally, the long candle is the gap between closing down meta trader on Friday and opening it on Monday. This is the problem with using tick charts on MT4.
Here is a live trade I am currently in. Price has broken yesterdays high. I entered at 1.2821 with a profit target of 10 pips and a stop loss of 6 pips.
This thread has gone a bit quiet of late. I took two successful trades on Tuesday and opened a nice set up today, only to change my mind and cancel it. Needless to say, price moved significantly in my favour.
My advice to anyone trying to learn this method is to watch the first 6 minutes of the video I posted - time and time and time again. Allowing for a little poetic license, it seems to work.
Yes all is quite, seems you and I understand and see the charts differently from everybody else. That’s good!
For myself if I’m going to take the next step forward I need to spend more chart time and less chat time. I find it’s distracting me from my goals. And lets face it one has to give speculating your complete and undivided attention. So I’m restricting my forum activity here but then its more to monitor than input. Pity a few more couldn’t share their knowledge.
Got a gift but. Here is a fantastic trading platform to run your charts from. I just discovered it last week and current am using the 55 tick chart but branching out to other pairs. And it’s completely free.
I just came onto this tread and find it very interesting to learn about this method of trading. Can I check with u, when u say u r on ProRealTime with IC markets, do u mean the ctrader ecn? My reason for asking is bcos I am with IC markets as well (but I m on MT4), and I have check with them, they don’t know what is ProRealTime.
G’day bro. Yes, IC Markets is my broker and I trade with MT4. But that does not mean you “have” to use their charting software for market analysis. I trade off MT4 but all I’m interested in is the buy and sell button. ProRealTime is independent trading software that Bob Volman uses for this base methodology and since my system is built around it I though I would use it. But I have a few issues with it. The two most important are a) there is a monthly subscription (which I’m happy to pay if I get what it is I need) but far more importantly there is a difference in price feeds and tick volume to that of IC Markets and that’s no good. So if searching for other charting software this is the biggest consideration.
Not to worry, I have found a pretty good alternate. Actually its damn impressive. Head here and chech out this charting software.
The absolute best part is it’s completely free and the data feed is very impressive and matches IC Markets to the point. It’s only flaw is that you can’t trade live from it. But it’s easy to see what the developers are doing over at Protrader — professional trading platform | PFSOFT . I’ve been using it for only a week but very very happy.
So welcome to price action on the tick charts. Not much is out there about tick charts so I thought I would get a thread started. Now, I’m still very much struggling with this style but so far so good. It’s certainly preformed better than anything else I’ve tried. What I have provide is hopefully the foundations one needs to get going trading this way. This is the exact method I trade live, one pair, one trade, once a day, every day. But here’s where I get to cop out. This methodology of PA on Ticks is purely subjected. What I see is slightly different to good friend Daxter1962 (if you haven’t watch his YouTube video link please do). And we both will see it slightly different to you. So at the end of the day you have to make your own trading plan. These fundamentals should get you going but.
Best of luck in your journey my friend, we all learning so feel free to ask on anything you like. We’ll try our damn-est to help out.
Thanks for the info.However I am totally lost in the protrader. I have downloaded the protrader, but couldn’t find the tick chart. Any clue that where I can find out more on how to navigate the whole platform?
When you say that you trade off mt4, do u mean that u only use tick chart as a reference? Buy/Sell will still need to perform on the mt4? What if the price differs by a few pips? How do u manage this? Bcos our target profit is only like about 10pips.
What is the preferred time to trade using this method?
I have watched the video posted by Daxter1962, however it seems like the method is somehow different from your ‘box’ method. Unless I got it all wrong.
Sorry for so many questions, and thanks for your patience…
I have downloaded the protrader, but couldn’t find the tick chart.
Hoefully this screenshot shows where to go to get the different chart types including tick charts. You can also customize to whatever value you choose.
When you say that you trade off mt4, do u mean that u only use tick chart as a reference? Buy/Sell will still need to perform on the mt4?
Ok so IC Markets is my broker, I trade via their trade terminal. Here is where I manage my trades. So the only window I’m interested in is their trade window on MT4
What if the price differs by a few pips? How do u manage this?
ProTrader’s data feed is very very good. In-fact its amazing, tick volume is 2 to 3 times higher than IC Markets giving you a more complete picture of what the worlds trades are doing. Remember a brokers tick data is only as good as its liquidity providers. And the price is raw ecn and it doesn’t get much true than that. As for any differences, lucky we’re with IC markets. They too quote raw ecn prices so the price might vary by 1 or 2 points but that’s because of ProTrader’s superior data feed. And the variance last for milli-seconds. God hat to see what the variance might be to a dealing desk set-up.
What is the preferred time to trade using this method?
I have watched the video posted by Daxter1962, however it seems like the method is somehow different from your ‘box’ method. Unless I got it all wrong.
That’s the key bro, we all see the charts differently. Price Action is a subjective and discretionary trading system. So at the end of the day you and you along are responsible for your trading plan. It’s your vision and dream your building.
This thread I hope becomes a place where all those that practice PA on tick charts can come, meet and share their experiences. I hope I have been able to articulate enough information to help those in need get started.
All the best bro. Hope this has answered some questions
My PC crashed earlier in the week. Took it to be repaired and now have lost all 3 of my demo accounts and all that went with them. . . I will check out the links.
Thanks Bro
Oh and to cap off a good week, I came off my scooter and am now heavily bandaged up one side and feeling very sore.
I have downloaded the Protrader WEB, and spent some time searching but I cannot find how to download tick charts. Looking at your screenshot, my download may be missing some of the keys.
