THE JOY OF CANDLESTICK TRADING - Part 2

[DodgeV83]

Many thanks also to the creators of Babypips; it provides a beautiful forum, what a way to get an education. It is truly a small world, Tymen in Australia, Muthusai in India, DodgeV83 in the US, Vulcanclassic in the Caribbeans and I write from West Africa. Peace to you all. Can�t wait for tonight when I can settle down to go through the PDF copy.

Thank you for the kind words King.

Let us know if you have any questions!

[DodgeV83]

Been studying and practicing the Tymen’s method for the last month. I love the system and when you find a pattern that fits you can’t go wrong. But these patterns are very rare that fit all the criteria. Trading 7am to 12pm EST and finding one good pattern with proper BBs is a needle in a haystack. Find myself taking trades when the BB are less than ideal and most times I will be lucky to get 10 pips out of the trade.

A common problem is by the time the pattern is formed price is already at the middle BB. I find myself wanting to start a trade before the candle is done just to catch some more pips and of course that is just dangerous.

I am using GFT 360 with time frames between 20m to 1hour. Thursday, Friday and MondayI have found one trade that fits, looking at 8 pairs. Also been looking at the Australian/Tokyo Session trading as well.

Edit: of course after I posted this I found a perfect gbp/usd to trade to get into, made 25 pips.

A good method to practice your chart recognition, is to pick a pair, back up in the charts a few days, and move foward one candle at a time. This is how I backtest/practice the strategy. Most of my new videos employ this method. In the videos I usually choose the 20minute timeframe for this, as patterns appear more frequently in this time frame. Here is an example:

YouTube - September 23 2009 Tymen Trade

Sometimes it can take a while to find a good pattern (the longest I’ve gone is 1 day chart time), but remember you are only looking at one pair on one time frame. I have 54 charts open for review at all times. If you look at the charts at least once every 20 minutes, you’ll find some good opportunities.

[DodgeV83]

Sorry for all the posts, but I’m the only one awake right now

I’ve been re-thinking the chat room idea. Here are some limitations of a chat room:

1. We are all in drastically different time-frames.

2. We will all need to be logged-in at the same time to get any use of it.

3. There are relatively few of us (I think!)

I have a chat server setup which doesn’t require a client, meaning you can login easily from the web, or using a downloadable client similar to AIM/Yahoo, etc.

Is this really the best route? The main goal here is to alert others of good candlestick patterns. There have been many comments about not being able to find good patterns and I’m looking to solve this.

Maybe it will be better to setup something with e-mail notification?

We can start a new thread called “Tymen Pattern Recognition” under the The Analyst Arena: Fundamental & Technical Analysis of Forex Markets area of Babypips. If anyone wants an e-mail notification when a new post is made, they can subscribe to the thread.

My phone beeps whenever I receive a new e-mail. I don’t know about you guys, but I wouldn’t mind getting an e-mail saying “get ready to short EUR/USD, evening star approaching”

P.S. If you have unlimited text messaging, you could even use your cell phone sms gateway as the e-mail address, meaning you would get an immediate text whenever a new post is made :eek:

Thoughts?

[amosfella]

@DodgeV83

Sorry for all the posts, but I’m the only one awake right now

I’ve been re-thinking the chat room idea. Here are some limitations of a chat room:

1. We are all in drastically different time-frames.

2. We will all need to be logged-in at the same time to get any use of it.

3. There are relatively few of us (I think!)

I have a chat server setup which doesn’t require a client, meaning you can login easily from the web, or using a downloadable client similar to AIM/Yahoo, etc.

Is this really the best route? The main goal here is to alert others of good candlestick patterns. There have been many comments about not being able to find good patterns and I’m looking to solve this.

Maybe it will be better to setup something with e-mail notification?

We can start a new thread called “Tymen Pattern Recognition” under the The Analyst Arena: Fundamental & Technical Analysis of Forex Markets area of Babypips. If anyone wants an e-mail notification when a new post is made, they can subscribe to the thread.

My phone beeps whenever I receive a new e-mail. I don’t know about you guys, but I wouldn’t mind getting an e-mail saying “get ready to short EUR/USD, evening star approaching”

P.S. If you have unlimited text messaging, you could even use your cell phone sms gateway as the e-mail address, meaning you would get an immediate text whenever a new post is made :eek:

Thoughts?

Twitter???

[DodgeV83]

@amosfella

Twitter???

That could work! If that’s a medium we can all agree to use, it would be perfect.

[muthusai2000]

That could work! If that’s a medium we can all agree to use, it would be perfect.

I am really curious how many are actually following this thread. I understand not everyone posts. However, by looking at the number of views generated for this thread, it looks like it is a hugely popular thread in babypips. I really wish people who are just following this thread just say “hello”. Just curious lol…

Dodge you are not the only one who is awake !! I prefer yahoo messenger.

Regards,
Muthu.

[DodgeV83]

@amosfella

Twitter???

After doing some research on Twitter, I’m not sure if it would work for a large international audience. It seems to rely primarily on cell phone text messages, which won’t be cheap depending on which country you are from.

I honestly don’t know how twitter works? If we all join the same Group (does it have groups?) will we all get the update, or do we all have to “follow” each other first?

My 100th post woho!

[amosfella]

We would have to follow each other. I never post with a cell. I just use the computer…

[Aariff]

hello all specially to dodge, muthu and amosfella…guess only we 4 are watching this thread now.

i use to be busy during morning time because of my office work and i watch forex only early morning and night time.

its 12.45 am here and i just reading all the post from morning.

Its a nice idea from dodge to start a thread for pattern alerts. i use to be online almost 18 hours for a day. i check my mail often, i could say my mail box will be open all the time but i can trade only during night times at my hoem not from my workplace.

i am comfortable with it, let me know others choice also.

[Aariff]

@DodgeV83

After doing some research on Twitter, I’m not sure if it would work for a large international audience. It seems to rely primarily on cell phone text messages, which won’t be cheap depending on which country you are from.

I honestly don’t know how twitter works? If we all join the same Group (does it have groups?) will we all get the update, or do we all have to “follow” each other first?

My 100th post woho!

Really in india we dont have twitter, i should admit i dont know about twitter at all. first time am getting this word here. am i right muthu? do we have anything like that in chennai?

[DodgeV83]

@amosfella

We would have to follow each other. I never post with a cell. I just use the computer…

So if we have 20 people in this thread who want to use Twitter to update, every person would have to follow every other person? Then if a 21st person wanted to join, we wouldn’t get any updates from them until we specifically go into our settings and click “follow” on their name?

Seems like a high barrier to entry for our purposes, especially considering I would like to make it as easy as possible for new traders and any lurkers in this thread to contribute.

Is my understanding correct?

[amosfella]

something like that… You could try a group on yahoo, but it’s delayed…

[muthusai2000]

Hey guys, anyone here besides me using FXCM on a Micro account? FXCM Micro accounts can’t trade with MT4 and I’m unable to employ STARC bands and customizable time periods in Trading Station (only periods applicable to Tymen are 5m, 15m, 30m, 1H).

So I am going to try and use MT4 to set everything up. Have we decided the best setting for the STARC bands in MT4? There was a controversy a few pages back regarding their lagging on the initial setting. Have you guys made it work?

I’d like to use Dealbook, but I’m happy with my broker and don’t know of any way to get Dealbook 360 without a trial account and I don’t want to lie to Tymen’s broker contact, pretending I’m going to sign up with them.

Hi,

In starc band settings by changing value of parameter Shift to Zero, we were able to solve the problem of starc band lagging. Initially the starcs were moving once every 5m, now by changing this setting it moved with every tick. So you can use the starc with this changed setting. I am not sure if there are any further problems. I remember Dodge mentioning about shift in/by one candle of starcs after i posted the solution. I asked him about it and there is no reply as yet. I will wait for Dodge to have a say on this.

Regards,

Muthu.
Chennai.
India.

***This thread has reached 150 pages ***

[DodgeV83]

@Aariff

hello all specially to dodge, muthu and amosfella…guess only we 4 are watching this thread now.

i use to be busy during morning time because of my office work and i watch forex only early morning and night time.

its 12.45 am here and i just reading all the post from morning.

Its a nice idea from dodge to start a thread for pattern alerts. i use to be online almost 18 hours for a day. i check my mail often, i could say my mail box will be open all the time but i can trade only during night times at my hoem not from my workplace.

i am comfortable with it, let me know others choice also.

Hello Aariff!

Ideally I would like a system that both allows for e-mail notifications AND e-mail postings. A Google Group would do this I think, and I can easily setup an e-mail server for this.

I’d like to keep it simple to start, I think we can get more participants with a new “Tymen Pattern Recognition” thread than by asking everyone to sign up for and download Yahoo Instant Messenger, register a Twitter account, or provide their personal e-mail addresses

[Aariff]

yes dodge,

i would agree with it. i am active very much with my gmail.

others need to confirm.

[muthusai2000]

@Aariff

Really in india we dont have twitter, i should admit i dont know about twitter at all. first time am getting this word here. am i right muthu? do we have anything like that in chennai?

Aariff,

Twitter is fast becoming famous in India too. Just few weeks back our Minister of State for Exernal Affairs Mr. Tharoor was caught on the wrong foot Twitterring…

Muthu.

[DodgeV83]

Hi,

In starc band settings by changing value of parameter Shift to Zero, we were able to solve the problem of starc band lagging. Initially the starcs were moving once every 5m, now by changing this setting it moved with every tick. So you can use the starc with this changed setting. I am not sure if there are any further problems. I remember Dodge mentioning about shift in/by one candle of starcs after i posted the solution. I asked him about it and there is no reply as yet. I will wait for Dodge to have a say on this.

Regards,

Muthu.
Chennai.
India.

***This thread has reached 150 pages ***

I’ll leave it for you guys to decide.

Here are the Starcs on MT4 with the default settings we’ve been using, shift=1. This updates once every 5 minutes.

Here are the Starcs on MT4 with the shift = 0. This updates with every tick.

Here are the Starcs from GFT.

[Aariff]

Can anyone tell me, how to use this strategy during economic news.

in my experience i have seen pips movement greater than 100 in 5 mins (gbpjpy does it at times…dangerous pair…i have lost many in it)

so before we recognise the pattern and enter or wait for starc band, it finishes up everything. so how to play during those time or we need to stay back is it?

[Jack_B_PIP]

@DodgeV83

Hello Aariff!

Ideally I would like a system that both allows for e-mail notifications AND e-mail postings. A Google Group would do this I think, and I can easily setup an e-mail server for this.

I’d like to keep it simple to start, I think we can get more participants with a new “Tymen Pattern Recognition” thread than by asking everyone to sign up for and download Yahoo Instant Messenger, register a Twitter account, or provide their personal e-mail addresses

Personally I like the “Tymen Pattern Recognition” thread idea. Trying to get everyone at the same time will really be a chanlege. Most days I can only trady from 8pm - 11pm New York time. Getting twitters though out the day would not work for me as I would not be able to act on them. Being able to check the thread at the times I can trade would be great.

Thanks

[DodgeV83]

Same images cropped for easier viewing: