Tymen gave you a great answer on the entry here saying that there was no entry since the body of the entry candle was non-existent, and it was all wick, but I wanted to add something that I have found helpful.
If the extreme candle goes from the mid bol band to touch either side of the squeeze, I do not enter. The cbl turns out too close to the bottom or top of the squeeze.
If you took the chart you used, and cut your time frame down to the 30 minute chart, you would have seen that both the hour, and the thirty minute charts were in a squeeze.
You had several possible entry points based on that, with an EXCELLENT entry for a buy coming not soon after.
Iāll post a chart later to show you what I mean:)
If you took the chart you used, and cut your time frame down to the 30 minute chart, you would have seen that both the hour, and the thirty minute charts were in a squeeze.
You had several possible entry points based on that, with an EXCELLENT entry for a buy coming not soon after.
Iāll post a chart later to show you what I mean:)
Cheers![/QUOTE]
Hello Master Tang, the wise among the wise ā¦:rolleyes:
Thank you to analyze my graph, I appreciate your point and I agree that there was certainly a good entry of 30 min graph.
I try to limit myself to graph 1H and 4H because I can not stay the day before my screen.
Still Iām happy with your comment, and I thank you for posting a graph corresponding to squeeze in 30 minutes so I can still see something new, and learn, still learning and still learn and listen, feedback from the most seasoned traders.
Thank you very much, and again apologize for my poor English:o
Use the one and four hour, but if you see a trade setting up on the one hour, you could swap to the thirty minute just to confirm, or find a better entry.
Not to mention the better trades Iāve had doing this have been when the 30M, 1H, and 4H have all been in a squeeze, and on the same side of the bol. Itās rare, but seems to be more than worth waiting for.
I do agree with you on the longer time frames to set up trades. Last thing I want to do is be married to my computer screen;)
Not to argue but I just did a real hard look at the one minute charts. They have large pip movements up and down and it would be real hard to devise a exit using your rules. Price action is just all over the place compared to half the action on a 2 min. chart. I use the 2 min. chart for entry and let the higher tf guide the exit. You gain pips on entry using a 20 min chart compared to the 1 hr or 4hr chart. I do the same thing by using the 2 min is all.
I maintain that to get sufficient pips you need to stick above 20min.
The higher timeframes are slower trading but you get better results.
If I may, let me make two suggestions to reduce the initial risk of the multi lot strategy. First, if it turns out to be a sustained trend, you will have several lots on, so you should reduce your lot size by about 1/2 to 1/4 your normal trade size. Thatās why I suggest not having a lot over 1% of your trading capital. You will actually be trading 5% with 5 lots on any sustained trend.
Second, you can delay putting on the 2nd lot, treating the trade as a single lot trade until the first lot either returns a nice profit or covers the stop loss risk of the second lot. So if say you are trading 20 pip increments, trail the stop on the first lot past the BE point until you have the stop on the first lot locking in 20 pips profit. Now when you put the second lot on with a 20 pip SL, there will be no risk. The worst the trade can do is break even. Moving up then with 20 pip increments as usual, the additional lots will only be put on as more profit accumulates by moving up stop losses, so there will be no risk in the remainder of the trade.
This method works best on time frames of 1H and above where the trends are sustained long enough to get the multiple lots on. For entries on shorter TFās you may want to to use a different strategy.
Use the one and four hour, but if you see a trade setting up on the one hour, you could swap to the thirty minute just to confirm, or find a better entry.
Not to mention the better trades Iāve had doing this have been when the 30M, 1H, and 4H have all been in a squeeze, and on the same side of the bol. Itās rare, but seems to be more than worth waiting for.
I do agree with you on the longer time frames to set up trades. Last thing I want to do is be married to my computer screen;)[/QUOTE]
Thank you for your prompt response.
I understand that youāre right, and I still open my mind to watch for confirmation, the lower TF.:o
I am convinced that your wife is happy that you did not marry your computer screen.
Enjoy your weekend, I hope the sun will never let you
Cordially:)
You read is a real pleasure and I thank you for that, because I understand when I open a position based on tp 25 pips, I have to wait to have earned twice to get my Be that guarantees me a tp 25 pips, and only after opening a second batch.
Am I right?, Thank you in advance.
And in any case, thank you for your contribution and sharing your experience, which opens new horizons for many of us, me especially, it is pleasant to learn, even at my age ā¦
Cordially
GFT is quite progressive.
They know that they are competing with other brokers and if they get the hint that something is better on another broker site, I donāt think that they will leave it alone for long.
It is my experience that they have compulsory updates fairly often.
I thank you for this input - it is making my work so much easier!!
The above is the standard multiple contract approach.
Moving up then with 20 pip increments as usual, the additional lots will only be put on as more profit accumulates by moving up stop losses, so there will be no risk in the remainder of the trade.
ā¦
So I see that you are manually trailing your contracts by putting the stop loss exactly 1 entry (20 pips) behind the latest entry - makes good sense.
I have worked out an additional approach for the macro method to allow your winners to run and cut your losses short.
I am now not far away from designing the final multiple entry method - yet to work out what are the best pip entries - 20, 25, 30 pips or otherwise.
[B]Didilut [/B]has shown an interesting trade in one of his posts on this thread with 25 pip increments with a total of 1100 pips won.
I know that the poster [B]Cdawg [/B]was using 50 pips increments with lock in stop losses for the pair GBP/JPY with dramatic results.
econd, you can delay putting on the 2nd lot, ā¦ So if say you are trading 20 pip increments, trail the stop on the first lot past the BE point until you have the stop on the first lot locking in 20 pips profit. Now when you put the second lot on with a 20 pip SL, there will be no risk. The worst the trade can do is break even.
To put this another way, This is a way to increase your trade size without increasing your risk. Canāt argue with that:D
This will have the affect of using compounding in the most aggressive way with the least amount of risk and drawdown. I trade this concept with a few technical differences and I think it is hands down the most effective thing you can do to quickly grow a small account, or maintain a steady level of growth on a large account.
Thanks for sharing some great info Tyman, Graviton and everyone else.
Welcome for the first time to this thread, [B]Shr1k[/B].
I still remember when you first joined this forum, you were still very green, with many questions, but now you have obviously grown into a strong and successful trader.
ā¦I think it is hands down the most effective thing you can do to quickly grow a small account, or maintain a steady level of growth on a large account.
Thank you for this encouragement.
I am using all the information I can get to develop the new multiple contract approach for the GFT platform.
Yes, that is exactly correct. However, if you put the second lot on with a Stop of 25 pips, and have 25 pips profit locked in with your stop loss on the first lot, you probably donāt really want to let price go all the way back down to Break Even and stop out on both lots with no pips for your effort. If it gets down to where you only have +5 to +10 pips profit on both lots combined, I would manually exit the trade for a small profit. This helps my Win/Loss ratio which I track the most closely of all measures of my trading success. I check it at each days end.
Friday was a choppy market and the pairs I was trading had no nice long sustained trends. I was not able to get a single multiple lot trade on, but I made 65 pips 5, 10 and 15 pips at a time just trading a single lot and exiting for profit when I could. It takes practice to be able to switch your thinking from big pips to small pips and then back to big pips, but that is adapting your trading to the market conditions at the time rather than trying to force a big pip trade out of a choppy market that is not offering one. For me, itās easy to recognize when the market is offering me big pips, itās just obvious. The hard part for me is to switch to small pips when the big pip opportunities just arenāt there. Itās best if your method encodes the switch from big pips to small pips in your trading plan. If in doubt, go for small pips. They are almost always there.
Save the big gun of the 5 lot for the perfect opportunity to use it. I only see that perfect opportunity once or twice a week, certainly not every day and very rarely two days in a row. The rest of the time I console myself with small pips and wait for the obvious 5 lot trading opportunity. I believe the main problem some people have with 5 lot is having the patience to wait for the perfect opportunity that only occurs about once or twice a week to pull the trigger on the 5 lot. That is, they try to trade every entry as a 5 lot entry, and the vast majority of good entries are not a 5 lot opportunity. This is basically a form of over trading that can be effectively addressed in your trading plan. You do have a trading plan, right? Practice makes perfect
Tymen, you are correct that you would have a loss, but looking at Gravitonās post above, the bold font says to stop the trade out manually before it goes back to the b/e point on the first trade.
Somewhere around +16 or +17 pips from the initial entry would probably be the manual exit point.
Tymen, I had set default rights on the whiteboard back to āReviewerā rather than āCollaboratorā. That was a mistake on my part. Now the whiteboard should be set open for everyoneās use to import media and make universal edits and annotations.
Yes, everyone is correct. The way you diagrammed the first two lot entries was just the way I explained it in my original post in my thread. In that case, as you correctly calculated, risk never exceeds the 25 pip initial stop loss value, but that risk is carried on the second lot and exists until the third lot is put on and/or the stop losses are adjusted up on the first and second lots.
Since some were having problems with this method, usually related to trying to trade 5 lot in a pair/market that is not trending in a sustained way, I suggested an alternative that NB has used successfully. That is to let the 1st lot run, in this case, a full 50 pips up adjusting the stop loss up as it goes to lock in what ever profit the market offers, and only when 25 pips of profit are locked in (a +50 pip move on the first lot with 25 pips of locked in profit and still 25 pips of stop loss on the first lot), put on the second lot with a 25 pip stop loss.
This method takes the risk out of the trade as soon as the second lot is on and in case of a quick retracement, makes Break Even the worst case outcome once 2 lots are on. After doing this sort of thing many times, I have learned to put the second lot on just a little faster if the trend is very strong and sustained and put the second lot on much slower if the market is choppy or the trend seems a little weak. If the trend fails before I can get the second lot on, I early exit for the most pips I can get and move on. That is the case 4 out of 5 trades I enter and that I donāt exit quickly because I messed up the entry. I also mess up a lot of entries, about 25%, and have to exit right after I tried to enter :o
As I said once before, itās probably not optimum, but it serves me well. I take lots of very small entry losses of 5 to 10 pips on bad entries, about 25% of all trades. I make lots of medium sized small pip wins, 5 to 20 pips on about 60 % of trades, and on the rest I make bigger pips of 25 to 250, and sometimes more on multiple lots.
Iām not sure if I explained this well at all, but if anything is still unclear Iāll work harder at clarifying my explanation
Iāve FINALLY reached the stage where I no longer to wish to āchop and changeā from what works for me nor do I need to āprove a pointā anymore. Itās quite boring actually but apparantely itās āthe place to beā!!! LOL!!!
The above being said: ājust for funā I monitor this thread as often as possible and, up until now, have had nothing worthwhile to contribute. HOWEVER: this morning I feel that I MAY have something worthwhile to contribute regarding multiple entries (or āpyramidingā as it is commonly known).
First (and stating the obvious): your BE point (when using multiple entries) is the AVERAGE price of all of your entry prices. Tymen is quite correct in noting that BE on those two entreis (in the example) is NOT the BE point of the FIRST entry but is rather the MIDPOINT of the two entries.
Second and as to HOW FAR each new entry should be from the previous one: what about using a percentage of Wilderās ATR(Period) to determine the next entry price??? At least this way your new entries are taking volatility into account and are not simply chosen on a static āone size hopefully fits allā approach???
I have finally caught up, kinda feel like Iām jumping on the bandwagon here! Only wish I had caught this thread early on and had a chance to participate in what seems to have been quite an incredible journey. Tymen I love the way you way you taught us a comprehensive indicator based system only to show us how inefficient and unwieldy those type of systems can be, genius! It satiated my curiosity of such systems and left my mind free to focus on the ānakedā system. Looking forward to market open now to demo the pants of this system and then having the opportunity to discuss with everyone in the chat and whiteboard rooms where it all went wrong!
Many many thanks to Tymen and all the fantastic crew of contributors to this amazing thread, I look forward to being able to add what I can here.
