THE JOY OF CANDLESTICK TRADING - a Learning Experience

[TheRumpledOne]

See that last H1 CANDLE.

It would have been GREEN at 199.50 and had you entered LONG with the candle color, you could have made 25 pips or more EVEN USING A FIXED SPREAD BROKER.

THEN, PRICE reversed and you could have entered SHORT at 188.25 and made almost 75 pips.

NO SQUIGGLY LINE INDICATORS WERE USED.

NO CANDLESTICK PATTERNS WERE USED.

JUST USED HORIZONTAL LINES AND CANDLE COLOR.

[VulcanClassic]

Good, your finally TEACHING something, but go do it on YOUR thread.

[pablopluto]

To [B]SimplexX [/B]:

I have set up your indicator “modified starc bands” on a 5 minute chart.

The pink lines are your indicator and the green ones are mine.

In conclusion, I feel that your indicator as it stands is too wide.
It needs to be narrowed so that price extremes pass thro the lines.

My own version is better than the original because it goes either up or down, with no level bands.

It would be nice to have the bands indicate the exact tops and bottoms or near to…but I realise that such a venture is a near impossibility.

Before you do an expert advisor on the Advanced level herein, please note that this level is in for modification.
The simplification that will follow will make your programming much easier.

Here you are using a very reactive BB’s and if the bands tell the bottoms/tops the price would never go outside of the BB. It would touch and bounce back. So why would you want to see a price extreme break out of the bands. I think his set up shows a smooth trend and doesnt show the resistence to price direction. Who’s is better is debateable as to what your looking to trade.

[TheRumpledOne]

Trade had a potential of 100 pips now.

[TheRumpledOne]

Good, your finally TEACHING something, but go do it on YOUR thread.

Let me teach you something else…

YOU’RE is a contraction of YOU ARE not to be confused with the possessive YOUR.

[VulcanClassic]

[U]You’re[/U] correct. Now please go away.

[pablopluto]

Thank you for your post [B]Pablopluto[/B].

Yes, from experience, I know you are quite correct about stocks not having the same hours, not as liquid etc etc.
Stock trading here in Australia is long trading - no shorts.

And I have no doubt that forex trading is more convenient because of these factors - trading both myself I should be aware of this.

Nevertheless, stocks are more volatile than forex and this is something I experience.
Sometimes I “scalp” (short term really) but it is more swing trading around 1/2days. (very short these days because everything is going down).

Because of the volatility I do make a lot more than I would with the equivalent fund delivery into forex.
Coupled with this, the regulation is an advantage.

In a way, it is hard for me to pick a choice - stocks are safer but forex, with its short trading facility, allows for a more consistant income.

If you are at all interested, I made a thread about this matter in a discussion with Rhodytrader some time ago.
Here it is :

http://forums.babypips.com/newbie-island/8071-forex-vs-stocktrading.html

Stock are more volitile but not all brokers offer leverage. Which when you know your right that comes in handy. Stocks arent safer ask anyone in the states that has stock in AIG. Fund delivery is physical trading. You can trade stocks from a computer just as in forex without a delivery. Stocks arent safer because as an investment they dont have definate stop losses. if they cant unload it your stuck with it. Also corporate practices dont have to pay dividends or allow you to buy more or sell stocks. You can be voted out of a stock at a price you may not want.

[tymen1]

Here you are using a very reactive BB’s and if the bands tell the bottoms/tops the price would never go outside of the BB. It would touch and bounce back. So why would you want to see a price extreme break out of the bands. I think his set up shows a smooth trend and doesnt show the resistence to price direction. Who’s is better is debateable as to what your looking to trade.

Sorry Pablopluto, I think you may have misunderstood.

The bands are not Bollinger bands, they are derivatives of Starc bands.

What we are trying to accomplish is effectively very difficult to do, that is pick tops and bottoms on a 5 minute chart.

The chart is a random 5 min, I did not pick anything in particular.

The original Starc bands are quite good when you add a few rules.
We are here attempting to improve on the original.

I am trying to set up the indicator so that price action which passes thro the bands is indicative of a price extreme.

It is difficult, I know, but [B]SimplexX [/B]is an expert programmer.
You can see that from the way his program is written and the speed at which he produced it.

He is a great asset to this thread and I trust he will be able to help further.

[TheRumpledOne]

"IF A WISE MAN SPEAKS FOOLISHNESS, IT IS STILL FOOLISHNESS.

IF A FOOL SPEAKS THE TRUTH IT IS STILL THE TRUTH".

I found a STARC BANDS indicator and created a TRO MULTI METER STARC so I can know where price is on all the time frames WITHOUT having to have multiple charts.

What are the parameters that you are using, Tymen?

And where’s the Starc MT4 indicator you are using?

[pablopluto]

Sorry Pablopluto, I think you may have misunderstood.

The bands are not Bollinger bands, they are derivatives of Starc bands.

What we are trying to accomplish is effectively very difficult to do, that is pick tops and bottoms on a 5 minute chart.

The chart is a random 5 min, I did not pick anything in particular.

The original Starc bands are quite good when you add a few rules.
We are here attempting to improve on the original.

I am trying to set up the indicator so that price action which passes thro the bands is indicative of a price extreme.

It is difficult, I know, but [B]SimplexX [/B]is an expert programmer.
You can see that from the way his program is written and the speed at which he produced it.

He is a great asset to this thread and I trust he will be able to help further.

I missunderstood

[Pipcrawler]

Ok, so I’m chilling this morning, having a fun time trading this volatile market when I get an email bringing me to this thread - distracting me from pulling in pips…

I am not amused.

Why is there arguing? Can we not be professional and just “agree to disagree,” wish each other well, and go back to focusing on our own strategies???

(Oh look at that, I just missed another 50 pips in U/J because of this… someone is getting banned today!! hehehe jk…no one is getting banned…right now )

Seriously, this forum is made to facilitate sharing ideas, learning, and throwing around a joke here and there. Also, this forum (and the internet) is open to everyone, so if you put yourself out there be ready for positive AND negative interactions. This brings on debates, which is good because I believe “questioning” is a way to learn and create new ideas, but there are times when there just isn’t a “right” answer. This is especially true in trading. Trading is a mixture of math, human emotion (both logical and illogical), geopolitical events, the economy, weather, risk management, whatever…

which means, what works for one trader may not work for another. We all have different views and perceptions. So, what’s the point of trying so hard to prove or disprove the validity of one’s own or another’s strategy? I could poke holes on some strategies that I see on this forum, but that just tells me it won’t work for me but probably kicks butt for that other guy.

So, let’s just kiss, make up, and move on. And if we can’t do that and I see more personal attacks, then I’ll tell my mods to have free reign with the ban button (they love the ban button), regardless of how many posts a user may have.

Sorry to end this on a negative tone, but I just saw I missed out on about 50 more pips… oh well…let’s get back to getting pips! good luck everyone!

[TheRumpledOne]

Ok, so I’m chilling this morning, having a fun time trading this volatile market when I get an email bringing me to this thread - distracting me from pulling in pips…

I am not amused.

Why is there arguing? Can we not be professional and just “agree to disagree,” wish each other well, and go back to focusing on our own strategies???

(Oh look at that, I just missed another 50 pips in U/J because of this… someone is getting banned today!! hehehe jk…no one is getting banned…right now )

Seriously, this forum is made to facilitate sharing ideas, learning, and throwing around a joke here and there. Also, this forum (and the internet) is open to everyone, so if you put yourself out there be ready for positive AND negative interactions. This brings on debates, which is good because I believe “questioning” is a way to learn and create new ideas, but there are times when there just isn’t a “right” answer. This is especially true in trading. Trading is a mixture of math, human emotion (both logical and illogical), geopolitical events, the economy, weather, risk management, whatever…

which means, what works for one trader may not work for another. We all have different views and perceptions. So, what’s the point of trying so hard to prove or disprove the validity of one’s own or another’s strategy? I could poke holes on some strategies that I see on this forum, but that just tells me it won’t work for me but probably kicks butt for that other guy.

So, let’s just kiss, make up, and move on. And if we can’t do that and I see more personal attacks, then I’ll tell my mods to have free reign with the ban button (they love the ban button), regardless of how many posts a user may have.

Sorry to end this on a negative tone, but I just saw I missed out on about 50 more pips… oh well…let’s get back to getting pips! good luck everyone!

Thanks Pipcrawler. I appreciate your levelheadedness.

[tymen1]

to Pablopluto ;

I appreciate your commentary on the stockmarket.

Some things you say are a little different here in Australia.

The main message I want to make here is that, despite all the seeming advantages of forex, the stock market does have its strengths.

And I continue to do much better there than if I had all my money in forex.

Now if others prefer forex, thats good for them.

Some time ago, I switched all my funds to trade forex.
But my income was drastically reduced.
So I switched back to the stock market.

This is my personal experience.

I continue to work with forex, but in a minor way, and that is why I have such time to post on a thread.

[simplexX]

Tymen, thank you very much for your feedback. I will try to improve my work as much as I can but looking at your Extreme_Starc_Bands tells me that there is not much left to optimize. But I hang in there

I also want to thank you for your trust and support. I am very happy to make a contribution

I read that you are working on an improved version of the advanced level and I am really looking forward to it.

[Pipcrawler]

Back to Forex talk

[Turtleboy]

…man, feels like a battle ground in here! All the dead bodies everywhere (deleted messages)

anywhoo…

Cant wait to see tymens NEW AND IMPROVED method.
great job buddy, keep fighting the good fight.

[Sweet_Pip]

to Pablopluto ;

I appreciate your commentary on the stockmarket.

Some things you say are a little different here in Australia.

The main message I want to make here is that, despite all the seeming advantages of forex, the stock market does have its strengths.

And I continue to do much better there than if I had all my money in forex.

Now if others prefer forex, thats good for them.

Some time ago, I switched all my funds to trade forex.
But my income was drastically reduced.
So I switched back to the stock market.

This is my personal experience.

I continue to work with forex, but in a minor way, and that is why I have such time to post on a thread.

Sorry, but suddenly I find it a little difficult to use/believe in a system for a market that the author couldn’t “make it” in…:eek:

[daydreamer65]

Sorry, but suddenly I find it a little difficult to use/believe in a system for a market that the author couldn’t “make it” in…:eek:

On the contrary I find Tymen’s statement honest & refreshing in
a business where BS & scamming are second nature.

Also if you re-read the statement he does not state he couldn’t “make it”

“Some time ago, I switched all my funds to trade forex.
But my income was drastically reduced.
So I switched back to the stock market.”

I read that to mean he can make a lot more money at stocks than
forex.

[Sweet_Pip]

On the contrary I find Tymen’s statement honest & refreshing in
a business where BS & scamming are second nature.

Also if you re-read the statement he does not state he couldn’t “make it”

“Some time ago, I switched all my funds to trade forex.
But my income was drastically reduced.
So I switched back to the stock market.”

I read that to mean he can make a lot more money at stocks than
forex.

Sure, glad he’s honest (some thousand posts later), but if he was a doctor, and admittedly just barely passed, or specialized in another area than what I needed, then I’d want another doctor

Some systems/traders just don’t transfer as well as others…so why teach a method that will earn a drastically reduced income from what one could earn?

Surely this should be made aware to new traders in this forum who might think otherwise …no?

[pablopluto]

to Pablopluto ;

I appreciate your commentary on the stockmarket.

Some things you say are a little different here in Australia.

The main message I want to make here is that, despite all the seeming advantages of forex, the stock market does have its strengths.

And I continue to do much better there than if I had all my money in forex.

Now if others prefer forex, thats good for them.

Some time ago, I switched all my funds to trade forex.
But my income was drastically reduced.
So I switched back to the stock market.

This is my personal experience.

I continue to work with forex, but in a minor way, and that is why I have such time to post on a thread.

The rules are different here and if people can only buy will make a market go up. I might look into trading in Oz. weigh it out and decide whether to stab at it.