The finest in trend trading

[IronHeart]

My understanding is that with the 2 candle cbl a close beyond the cbl is not required. An entry can be made as soon as pa crosses the line. But with the 1 candle cbl a close beyond the cbl is required as well as a smaller candle body.
Please correct me if I’m wrong. Of course the other requirements must be met as well.

This is what I thought too…until Graviton corrected me otherwise.

Having done some testing though, it makes sense, as a lot of the time wicks tend to put me in a trade which I would rather not be in.

[Hencruz]

I have been going through this thread for over three days and all i can say is a big thank you to tymen 1. please can anybody show me where i can get the pdf of this tymen’s lesson(on what page is the pdf for this lesson located)? thanks;);)

[Merchantprince]

I have been going through this thread for over three days and all i can say is a big thank you to tymen 1. please can anybody show me where i can get the pdf of this tymen’s lesson? thanks;);)

Visit the chat site set up for discussion of this system at: [B]BB DNA Chat[/B]

One the left hand column of the first page you’ll find three downloads of PDF documents covering the essentials of Tymen’s lessons so far.

[Graviton]

Looks just like me MP. Good Work!

[Graviton]

Speaking of tricky entries, this is the post I was referring to when regard to beehjae’s comments about the difficulties he is facing with bubbles, sausages and no-trade areas.

I would ask people to determine entry points using strict BB DNA rules on this TF alone. It raises yet again the issue some people have with BB DNA, which is that it does not get you into trends.

I’ll repeat this post here so you don’t have to search for it.

Please review Tymen’s exact words on this to be clear. Tymen said his method “works on all time frames”. He simply doesn’t recommend using it to try to scalp lower timeframes because he doesn’t believe there are enough pips between the CBL entry and TP1 to cover the spread and make it worthwhile. I completely agree with that.

But you have a different situation here. You aren’t trying to scalp lower timeframes, you are trying to catch a good retracement to enter what you think is a strong sustained trend. For that specific situation, I exclusively use Tymen’s CBL, either 1 or 2 candle which ever works first to catch the best retracement possible with the best entry possible on a lower TF. I’ll drop down looking for entries, 30M, 15M, 5M. If you are just a little patient you can usually get a 15M retracement entry, and 5M entries come around quite often. The advantage of doing it this way is the stop required for entry on the lower TF’s is small compared with the very long BB walk you hope to catch. Even if you get stopped out once or twice trying to gain entry, the risk is very small vs. the huge reward you can gain if you can get entry.

It’s a very tricky trade and one you should practice many times in a test demo before trying it in your good demo or live trading. A 15M TF entry early one morning in just this kind of trade ran all day and yielded my best all time pips for any single trade. Note that nothing I’ve said here violates any of Tymen’s rules, to the best of my knowledge. It’s just business.

[Graviton]

I like it. Although there is another avatar which would be emminently suitable.

“I promise not to ask any more questions, Graviton, honest I won’t!”

LOL, now I can’t decide Ask all the questions you like Hachiko. If I can’t answer, I’m sure there is someone here who can. Your questions and the answers to them help everyone here, including me.

Happy Trading

[Graviton]

This is what I thought too…until Graviton corrected me otherwise.

Having done some testing though, it makes sense, as a lot of the time wicks tend to put me in a trade which I would rather not be in.

Perhaps I mis-spoke on this. I always want to see a candle close before I take it as a signal. I too have been burned way too many times when I “jump the gun” and enter on what turns out to be a long wick that just screams (after the fact), Do Not Enter Here. That is a general rule that applies to all candlestick trading to my knowledge. No candle is a signal until it has closed. Someone correct me if I’m wrong. It almost happened, once :rolleyes:

[Graviton]

Whenever the mid bb is quite steep, as this is, it has the momentum to keep going in the direction of the trend. That should be a signal to exercise caution about entering a counter trend trade. I recall posting a chart similar to this one as it was happening, but Tymen said he didn’t think it would be good for a ct trade because of the steepness of the mid bb. He was absolutely correct. The pa made a quick return to the trend and did not get even halfway to the mid line. The lesson I learned was to be aware of the steepness of the mid line.

This chart just looks like we’d be trading against the trend to me. I’d guess the price action would be down on the TF above this one too, given the extended downtrend. Generally there could be many small retracements on a BB walk like this, but only one of the many would not return to the main trend, So I’d just look at entering against the main price action trend during a BB walk as a low probability trade. That’s just the way I’m looking at it.

[didilut]

Hello everybody, I just found a nice link, to discover the functions of Metatrader.
I am sorry it is in French, but I’m sure Google will help you
Have fun:)
Didier

Toutes les astuces de MT4 ! - Forum Forex

[didilut]

[QUOTE = gregart; 190008] Salut a tous,

Pour Ceux Qui n’ont Pas Assez de place sur Leur Écran, Comme moi, JE Trouvé CET Indicateur Avec de nombreux Contextes, verser sur soi s’enfoncer LEURS Yeux d’Autres TF. J’Ai multiples demandé au Propriétaire trop Ajouter le Bollinger sur Elle, qui en découlent. Si Vous AVEZ Problème des Nations Unies pour L’installation, JE Peux Modèle lun. zz verser.

Factory [url = stratman mini chart indicator @ Forex Factory Stratman] mini tableau Indicateur @ [Forex / url]

cheers

Greg

[IMG] http://i837.photobucket.com/albums/zz293/gregart17/MTFtymen.jpg [/ IMG] [/ QUOTE]

Je n’arrive Pas un installateur les indics tu Québec comme le propose gentiment, Peux tu me Donner des Nations Unies coup de main et me confirmateur qu’il DANS Bien Vont: expert / témoin …
Merci d’avance
Cordialement, Didier

[Graviton]

My understanding is that with the 2 candle cbl a close beyond the cbl is not required. An entry can be made as soon as pa crosses the line. But with the 1 candle cbl a close beyond the cbl is required as well as a smaller candle body.
Please correct me if I’m wrong. Of course the other requirements must be met as well.

PTB, I was re-reading Tymen’s instructions on this. It seems that we might all be correct. That is, for the 2 candle CBL, you wait until the close of the signal candle, but it doesn’t matter if it closes above or below the CBL line, as long as it has penetrated the CBL line, you enter on the open of the next candle.

When Tymen get’s back we can ask for clarification if need be. In the meantime, Master Tang, Kockneerebel what is your understanding please?

[amosfella]

I may be wrong here, but I thought that Tymen said that one could enter right as the candle crossed the CBL, or wait till the candle closed, but with whatever you chose to do to be perfectly consistent…

[Master_Tang]

I’ll have to look for it, but I’m pretty sure Tymen’s favored method is to look for a close of the candle past the cbl.

It has to do with momentum of price.

Knckneerebel posted a pretty cool check list for the cbl. I’ll dig that up too:)

[Master_Tang]

Finding these was s lot like looking for a needle in a haystack:p

Here’s Tymens’ latest greatest on the cbl.

OK, lets take a [U]long [/U]entry.
We have an extreme candle from which we extend the CBL.

[B]We look for …[/B]

1. a close [U]above [/U]this CBL.
   This means that the price action has momentum in the up (long) direction.

2. This [U]same [/U]candle must be smaller than the extreme candle.

Now if the close is above the CBL, does this mean that the whole candle must be above the CBL?
NO.
The open and the low can be on the other side of the CBL.
That is not a problem.

[B]The easiest way to see this is to understand the logic…[/B]

1. Close above CBL means momentum in the trade.

2. Smaller candle suggests that we are at a turning point rather than in the middle of a full on breakout.

In summary, it does [U]not matter[/U] where the smaller candle is, as long as the close is [U]above [/U]the CBL in an [U]up (long)[/U] trade. (momentum).

The rest of the candle can be on the moon for all we care!!

So, in your diagram, assuming [U]going up (long), [/U]your smaller candle has its close on the [U]wrong side[/U] (below) of the CBL.
This is no good!!

Hope this helps.

And here’s Knockneerebel’s summarization in the form of a checklist.
It nicely sums up the cbl rules for both applications.

Great work Tymen, thank you. Just a couple of clarification questions if I may.

1. Do the rules operate as a check list ? ie. once the condition is met it remains valid

a) Candle passes through BB - [B]Check[/B]

b) CBL drawn from High or Low of that candle or any subsequent extreme candle. High or Low CBL remains valid until new high or low made—[B]Check[/B]

c) Opposite BB contracts - [B]Check[/B]

d) Candle closes through and / or remains through CBL - [B]Check[/B]

e) if level BB enter trade on open of next candle -[B]Check[/B]

f) if Bubble or sausage and candle body smaller than body of extreme candle -[B]Check[/B] enter Trade on open of next candle

2. Is the extreme candle body classified as the candle where the CBL is taken or an following extreme candle with a larger/smaller body that did not produce a valid CBL

[Master_Tang]

I’ve personally been using the closed candle method. It seems to have been a bit more reliable for me.

[paulmccarthy]

Hi All
Suffering from Tymen withdrawal symptoms at the moment!. I agree with amosfella. The latest post from Master Tang states the criteria for entry into a bubble or sausage BB pattern. If we are using the 2 CBL strategy in a level or squeeze BB area for entry we can either wait for the close of the candle past the CBL OR enter when it closes past the candle BUT you must be consistent. Please feel free to correct me if I m wrong.
Cheers

[Graviton]

Hi All
Suffering from Tymen withdrawal symptoms at the moment!. I agree with amosfella. The latest post from Master Tang states the criteria for entry into a bubble or sausage BB pattern. If we are using the 2 CBL strategy in a level or squeeze BB area for entry we can either wait for the close of the candle past the CBL OR enter when it closes past the candle BUT you must be consistent. Please feel free to correct me if I m wrong.
Cheers

I think you’ve got it. I just always enter on the close of the candle, or really the open of the following, so I don’t get burned entering on a long wick in a reversal. But Tymen allowed some flexibility as long as we were consistent.

I’m thinking Tymen will be back in a week or so. At least everyone had lots of time to practice his CBL’s.

[PTB]

It appears that both of Master Tang’s examples above are referring to a 1 candle cbl entry. They both refer to a smaller candle requirement [U]after[/U] the extreme candle. (Please correct if I am wrong.) In that case a close [U]is[/U] required.
But a 2 candle cbl entry is what I am unsure of. In a 2 candle cbl we look at the previous candle to decide where to draw the cbl. Whether the [U]previous[/U] candle has a larger or smaller body than the extreme candle determines where we draw the cbl. My memory is that no close past the cbl is required before entry…although I find it to be much safer if I do wait for a close. But there are times when the candle passing through the cbl is quite large, and to wait until it closes means a substantial number of pips lost…and a much larger stop loss since the stop would be at the extreme of the candle.
I remember reading that Tymen preferred the 2 candle cbl, so if we can find exactly how he uses is we can benefit from his extensive experience.

[kockneerebel]

It appears that both of Master Tang’s examples above are referring to a 1 candle cbl entry. They both refer to a smaller candle requirement [U]after[/U] the extreme candle. (Please correct if I am wrong.) In that case a close [U]is[/U] required.
But a 2 candle cbl entry is what I am unsure of. In a 2 candle cbl we look at the previous candle to decide where to draw the cbl. Whether the [U]previous[/U] candle has a larger or smaller body than the extreme candle determines where we draw the cbl. My memory is that no close past the cbl is required before entry…although I find it to be much safer if I do wait for a close. But there are times when the candle passing through the cbl is quite large, and to wait until it closes means a substantial number of pips lost…and a much larger stop loss since the stop would be at the extreme of the candle.
I remember reading that Tymen preferred the 2 candle cbl, so if we can find exactly how he uses is we can benefit from his extensive experience.

It is my understanding, with the 2 CBL method, that a trade may be entered on the open of the candle after the CBL is breached. It is safer if the close is also through the CBL. I Look for the candle that breaches the CBL to close positive in the direction of the trade. So if the trade is long and the CBL is breached but the close is below the CBL, I will only take the trade if the candle closes higher than the open

[Master_Tang]

Here is Tymen’s answer to the closed candle/wick question when asked about it after he introduced the 2 candle cbl.

You have a choice here!!

Enter upon close only
or
Enter as soon as price action touches the CBL.

Whichever choice you make, be consistent.

Here’s a link to the page.

http://forums.babypips.com/newbie-island/32400-finest-trend-trading-156.html