We now turn to the 5 minute starc band chart >>>
By tymen1 at 2009-04-21
Everything of importance is on the chart.
It explains itself.
[B]Lets see what happens after short entry[/B] >>>
By tymen1 at 2009-04-21
The price action drops firmly.
Because we are on a roll, we do not exit at the first of the candles that touches the lower 1.0 line.
At this point we can clearly see that the starc bands are well and truely sloping downwards and so we stay in the trade.
Exit is guaged by the main chart and the 5 minute chart.
Even if you got out too early, you would still have made a fine profit. 
[B]Here is how it all looks on the main chart[/B] >>>
By tymen1 at 2009-04-21
A terrific trade all round!!
Well you could include it in your examples from now on since it’s not irrelevant as you has mentioned before
[B]Now I quote your from the past thread post number 350:[/B]
At this point I am researching a solution to the problem of risk/reward ratio.
It is nice to keep clipping 10 pips off every trade, but sooner or later there is a loss, and if this loss amounts to more that 10 pips because of the stoploss position, we are trading negatively.
The reward always needs to be greater than the risk - at least 1:1.
[I][B]That’s what I wanted to get straight, now I’ll see in your examples how you apply this statement.[/B][/I]
On Monday, I will post again several charts that will lead to conclusions and further learning.
As well as this, I need to show an intermediate KC entry method that will bring even better entries.
Also my take on adding to positions to maximize our entry advantage.
All this will help to lead to a conclusion to solve the risk/reward problem.
We have much more to discover!!
Thank you for your answers, you couldn’t be more clear!! :eek:
Bye
I think I know what you are getting at.
In the Basic level the risk/reward problem has been solved by using a multiple amount strategy.
By starting out with 2 amounts, closing one early, then resetting the stoploss to breakeven, we are actually creating more winning trades than losing ones.
[B]Thus we improve the win/loss ratio.[/B]
Then the risk/reward is set such that the following equation holds true…
win/loss x reward/risk > 1
The second strategy with the Basic level opens with 1 amount, then a 2nd amount 10 pips later. The stoploss is moved to 1st amount entry point.
What happens then is that we go for a target profit with 2 amounts but hit the stoploss with only 1 amount.
[B]In this way we improve the risk/reward ratio.[/B]
In the Advanced level we trade with 2 amounts all the way.
But the trade is carefully co-ordinated to stay within the Starc bands and rarely comes near the stoploss which is away from the starc bands.
By having complete control here over the entry and exit points, the trade is rarely under any threat from the stop loss.
We, therefore, improve our win/loss ratio.
The risk/reward is improved by entering/exiting several times to gain more pips while keeping the risk constant.
Alternatively, we travel a good distance on the starc bands to gain many pips.
To conclude, I am not so interested in risk/reward anymore.
It is solved using the strategies we use.
It is just a statistical figure.
What is far more important is our success rate.
If this is good, then the occasional loss will not matter.
Ok Tymen thank you for your complete answer that’s what I wanted to know.
I keep asking and asking and questioning not because I have something against it, but because I want to improve and clarify all my doubts, as I said before, I’m profitable with this method but not as much as I want, and all because of my mistakes, but I’m improving everyday.
You know I barely have a loss but when I have it happens to be a huge one, well not that huge but it takes away the pips from three or four winning trades.
Just for curiosity since all that really concerns you is the win/loss ratio, do you have a record of it?.
Regards.
I do win most of my trades as you can see from my posts. 
But a record, not one that can be compared with.
You see, it depends on which trades you enter, and which pairs you trade.
If you estimate a pattern wrongly, it will also affect your result.
Too much of this is subjective.
You may enter trades that I would not enter and you may do good trades in currency pairs that I do not trade at all.
You know I barely have a loss but when I have it happens to be a huge one, well not that huge but it takes away the pips from three or four winning trades.
That is far too much.
We will have to look at that.
The risk/reward ratio is at least 1:1
4 trades a day seems good and you should win all 4 of them.
If not, trade until the net result is 4 winning trades.
[B]The following trade demonstrates that it can take time before your suitable entry is found [/B] >>>
By tymen1 at 2009-04-27
The following 25 minute main chart of the Cable shows an evening star in a dangerous position - because the BB are expanding rapidly.
Nevertheless, we look and dare a trade. (going short).
[B]So lets turn to the 5 minute Starc band chart…[/B]
[B]Here is the 5 minute chart of the Cable [/B] >>>
By tymen1 at 2009-04-27
The entry candle is shown and since we are going short, it takes about half an hour before the price action hits the upper 0.7 line.
It then takes only 10 minutes (2 of 5 minute candles) before the price action hits the lower 1.0 line and we collect our profit.
[B]So patience with this method is very important!![/B] 
Tymen1 Sir,
I read your pdf. I would say it is a complete bouncer, even faster than Bret Lee’s delivery, a snorter.
I could not make out anything outta it, especially the whole entry/exit parts. I would be going through the last thread aka Part 1. If time permits would be writing another pdf for the system.
Sorry, I have no idea what you are talking about.
I am Australian, who is Bret Lee?
If you do not like candlesticks, then choose another strategy that suits your personality.
Tymen1 Sir
Bret Lee is an Australian fast bowler. Looks like you dont watch cricket.
What am saying is the entries are difficult to understand after reading the pdf, it says something about blue dots and lillac dots. Also, I think trading based on candlesticks is the best rather than some dumb indicator.
Sorry Tymen…I respect what you do, and your contributions are always good,but I could not understand that PDF either…I do read the candlesticks, but in a very simple way…
Hi Vicky,
I am a candlestick trader and I can say personally that Tymen’s method provides a much more efficient way of trading candlesticks: better entries, lower risks, more profitable trades. The STARC indicators is far from DUMB. I would suggest you either spend more time going through the material, as I had to do, or if you are comfortable trading candles without the indicators, stick with that.
Bank!
What am saying is the entries are difficult to understand after reading the pdf, it says something about blue dots and lillac dots.
Hi justlearning and vicky_ag,
I got in this method no more than tree weeks ago, and when I read the PDF the first time I was definitely confused. But now I see how important it is!
The equivocal, in my opinion, is that the PDF is NOT a manual of the Tymen method; it is a synthesis of it.
I read the PDF first, like you did, and I didn’t understand it, like you did
Tymen suggests to read the first thread from post 1420 to the end. There it is the real manual. Then the PDF is the synthesis; then this new thread is the new evolution…
I know that reading 600 posts takes a lot of time (10 days to me), but it is there that you get really into the method. And I suggest you to do it, because this method really works!
Ciao
Bank,
Now you are making me feel like a politician/celebrity. I thought being misquoted again and again was part of their job profile.
So, ppl once in for all,
[B]I am not condeming Tymen’s method. I definitely agree with him that it is better to trade on candlesticks rather than any [U]dumb[/U] indicator like MACD or MA(totally personal opinion). My initial post referred to the difficulty in understanding the pdf. It is quite impossible to understand entry and exits after reading that pdf. [/B]
Thanks to maravizzo and justlearning, atleast they got the point I was trying to make.
[B]OK, what is it exactly that you do not understand about the exit and entry points?[/B]
I need to know clearly so that in my 2nd edition (coming soon) I can modify the work so that it is easier to understand.
Some of the entry/exit techniques have changed since that PDF was written.
I make no apology for changes, this thread is evolving but it is now virtually complete and few new changes are expected.
The method is now working as well as can be expected.
Further tweaking will not improve its efficiency.
For now, for the Advanced level, it is very important that you see how the entries and exits are done on this thread.
It is the latest and most accurate.
Thats why I give many examples.
The intermediate entries are the same as the Advanced level, so again, look on this thread.
The exits on all 3 levels are managed by observation of the main chart.
When the trend you entered on starts to reverse, it is time to finish up.
In the Advanced level, you may get several entries/exits before that finish up time.
The new edition will delete the Intermediate version.
I find it to be redundant.
There will be a Basic level using a main chart only, and an Advanced level using the starc bands on a 5 minute chart.
Hello tymen1
Thank you for sharing your knowledge and experiences.
I am new in this forum, but this is one thread I will certainly follow.
Wynn128