[B]Advanced level 3 - Chart 5 [/B] >>>
By tymen1 at 2008-11-13
2 things to note on this chart…
We have set the PCI stop loss at 1.1870 at the bottom of the chart.
It is 3 pips below the lowest of the 3 green soldiers.
You will see it again on the [U]main chart[/U] in a later post.
Our candle where we entered looked good.
But it is now being outdone by a new red candle that is going even lower.
Yes, waiting would have gotten us a better price.
Never mind. 
[B]Advanced level 3 - Chart 6 [/B] >>>
By tymen1 at 2008-11-13
And a still lower candle!!
Our long entry was not so good after all. :o :o :o
The black arrow shows our entry candle B1
[B]Advanced level 3 - Chart 7 [/B] >>>
By tymen1 at 2008-11-13
A look again at the [U]main chart [/U]to see the current state of the price action.
The black arrow shows the bottom candle wick of the 3 green soldiers and the PCI stop loss 3 pips away.
[B]Advanced level 3 - Chart 8[/B] >>>
By tymen1 at 2008-11-13
Back to the 5 minute chart…
Our horror red candle has turned green and we now have another green candle that has shot right up past the upper starc band to touch the upper Bollinger band.
We exit here, that is we sell, and the price is 45
So now we have…
Exit minus Entry…
that is 45 - 31 = 14 pips.
[B]For 2 amounts, that is 28 pips[/B]
[B]Advanced level 3 - Chart 9 [/B] >>>
By tymen1 at 2008-11-13
I missed this potential good entry because I am preoccupied with the screen printing work.
The starc bands are going steeply up now.
It may be difficult to get another good entry.
[B]Advanced level 3 - Chart 10 [/B] >>>
By tymen1 at 2008-11-13
Ahhhh…
But the price action came down again with a red candle.
Hence we did a 1 amount entry (buy) at 46
Again the entry line is above the candle bottom because of the 4 pips spread.
[B]Advanced level 3 - Chart 11[/B] >>>
By tymen1 at 2008-11-13
Here the red candle really dropped and the price action came close to the bottom starc band.
So we entered the 2nd amount.
The 1st amount was B2a at 46
The 2nd amount was B2b at 34
The computer averaged the two buy amounts to 40
[B]Advanced level 3 - Chart 12[/B] >>>
By tymen1 at 2008-11-13
A couple of candles later and the price action is shooting up again.
A nice green candle passing thro both the upper starc band and the upper Bollinger band !! 
So we exit (sell) the 2 amounts at 57
We now have…
Exit minus Entry
that is 57 - 40 = 17 pips.
[B]For 2 amounts that is 34 pips.[/B]
[B]Advanced level 3 - Chart 13 - Final [/B] >>>
By tymen1 at 2008-11-13
Here we have the main chart again so we can see the state of the price action.
I am going to finish this trade at this point.
You could go on buying and selling for much longer yet to get more pips.
But that is not the purpose here.
It is rather, to teach the principle of the operation.
[U]At this point then, we remove the PCI stop loss.[/U]
Everything is now off the chart.
[B]The total pips is 28 + 34 = 62 pips.[/B]
[B]Accomplished in 1 hour.
That, at a one standard lot, is good money.[/B]
[B]END OF TRADE[/B]
[B]STATISTICS[/B]
[U]The Strategy[/U]
[B]Advanced level[/B]
Full Starc band trade.
1st amount - 5 mini lots.
2nd amount - 5 mini lots.
[U]The trade[/U]
USD/JPY
35 minute candlestick main chart with Bollinger bands added.
5 minute Starc band chart with Bollinger bands added.
3 Green Soldiers pattern.
Program used - GFT Dealbook.
Magnification - 72
Long trade.
[U]Times[/U]
London open.
New York begins to open.
Traded at…
Perth � 8.15 pm.
GMT � 0.15 pm.
New York � 8.15 am
Los Angeles � 5.15 am.
Sydney � 10.15 am.
[U]The Figures[/U]
B1 = 1.1931
S1 = 1.1945
2 amounts = 28 pips.
B2 = 1.1940
S2 = 1.1957
2 amounts = 34 pips.
Total = 62 pips.
Compare with Basic level : 22 pips.
PCI - 1.1870
Risk/Reward = Irrelevant - trade was never under any threat.
[B]That now completes the formal education of candlestick trading on this thread.
I now invite final posts and questions :[/B]
Tymen,
First let me congratulate you on this mammoth undertaking. A truly enlightening read.
I have followed this thread for many weeks now and now feel ready to start trading using it.
I do however have a couple of questions:
It seems to me that the use of the starc band lines is really rather more of a guide as opposed to hard and fast rule. For example when the band is rising or dropping steeply and you are looking for an entry point, anything around the middle band seems acceptable (as opposed to touching or even piercing the outer bands). Would you agree?
Could you give us an idea of how successful this sytem is? For example out of 100 trades following the advanced level, how many trades would you expect to make say 10 pips or more from?
That’s all for now.
I look forward to hearing what you have for us next year.
Enjoy your break and take care my friend.
Mickey.
Thank you tymen for your work!
I started demotrading this strategy a few weeks before and I am really happy with it.
Thank you for the compliments [B]Mickeyl177[/B].
[B]I must say that now that the work is complete, I feel that a great weight has been taken off my shoulders.
I had a really good sleep last night…[/B]
I have followed this thread for many weeks now and now feel ready to start trading using it.
I never know who has been reading my thread!!
I do however have a couple of questions:
- It seems to me that the use of the starc band lines is really rather more of a guide as opposed to hard and fast rule. For example when the band is rising or dropping steeply and you are looking for an entry point, anything around the middle band seems acceptable (as opposed to touching or even piercing the outer bands). Would you agree?
You are exactly correct in saying that the starc bands operate more as a guide.
In fact you can be downright clumsy in your entries.
A little care with the exit, and you still get a profit!!
But, of course, the best pips are gained when you enter and exit at the extreme points of the starc bands.
Nevertheless, it takes some experience before you can judge [U]when and if [/U]the price action is about to touch those extreme points.
The advantage of the Basic/Intermediate levels is that you can set your take-profit and PCI stop loss after you get your first amount and then leave the computer.
You cannot leave the computer with the Advanced level.
- Could you give us an idea of how successful this sytem is? For example out of 100 trades following the advanced level, how many trades would you expect to make say 10 pips or more from?
This is a difficult question to answer - there are so many factors.
You may hit a series of really bad trades.
You may have little experience in using the starc bands.
Did you have enough sleep?
Have you picked a good pattern or did you pick a dud?
My presentation may help as a guide…
While doing these Advanced trades I had to simultaneously…
Print screen and send to Microsoft Paint.
Edit, resize and save the file to a folder.
Send the saved file to Image Shack.
Then post the stuff on this forum.
With a lot of that going on while doing the trade, I found it hard to enter and exit properly on the Intermediate and Advanced levels.
Even so I found it just so easy to make more than 10 pips.
The entries and exits were just so casual.
And then on the Basic level, you get 10 pips immediately with the 1st amount.
So to give a final answer, on the Advanced level…
… assuming you are picking quality patterns with the Bollinger bands going in the right direction
then…
there is no reason why not [U]all of your 100 trades[/U] would exceed 10 pips.
Enjoy your break and take care my friend.
Mickey
Thank you.
All the best SimplexX.
Thank you for your work in producing the PDF.
I will be making special mention of you in the closing credits.
Thanks so much for this thread tymen. It has to be the single most educative material on FOREX i have read in my early days of learning to trade successfully.
I havnt contributed that much but i have been reading for a while (Before 100 pages) I dont think there has been a day that i havnt checked for updates from you on here.
Once again thanks for this massive informative thread, i wish you didnt have to go on holiday but i know summer is on its way in Perth, its taking its time to get here this year but :mad:
Have a good break
Cheers Damo
Thanks for a great thread, I’m sure many has learnt alot from your teachings.
Tymen,
Absolutely fantastic thread and excellent material. Great work and effort that you have put in here. A must read for any candlestick junkies out there.
I hope that even when the thread is closed, it can still be viewed? Am I right on this, as I for one would find it useful to open up and review some of your previous examples?
Thanks, well done, and enjoy your well earned rest.
Cheers
boca
Yes,absolutely.
Just click on the search tab and you will find this thread.
All stuff is stored permanently on Babypips.
Lets here it for Tymen.
Pip pip hooray!!!
Pip pip hooray!!!
Pip pip hooray!!!
