The Kitty Minion Trader's Journal (A challenge journal)

[Imperator_Cat]

06.18.2020 Kitty Lesson: Wat haaaaapind? (What cats think after a trade)

Dear cats and hooman, on my previous post, I kitty touched on the diffewwent kinds of trades. Today imma tell you how kitty traders look at their trades.

The two ways to look at trades are as follows:
(1) Did we follow our rules / plans? Yis? GOOD Trade. Nyu? BAAD Trade.
(2) Did we make manni? Yis? PWAFFIT. Nyu? BOOBOO.

Combining the two classes, we can come up with 4 kinds of trades:
(1) GOOD PWAFFIT
(2) GOOD BOOBOO
(3) BAAD PWAFFIT
(4) BAAD BOOBOO

Normally, hoomans look at their trades this way:

The preponderance of profits or losses over compliance with rules is the exact reason why the failure rate of tradin’ the financial mawwkets is pwetty high! Why? Here’s our kitty take on it:

Lookin at pwaffits before rules results in 2 tragedies:
(1) BAAD + PWAFFIT = Yis yis!
Not followin’ rules and making money is a DANGEWWOUS COMBINATION
This kitty trader has some woids of wisdamm foww us:

Not following rules and making money is DANGEROUS because you did bad as a trader and made money which ENCOURAGES BAD TRADING HABITS.
When you don’t follow rules or plans and still make money, it gets you thinkin’ you can “outsmart” the market, that you can get away with being a sneaky kitten. You begin to mistake LUCK for SKILL. You begin to think “If itch stupid and it woiks, it ain’t stupid”.
But eventually, your luck runs out, and the mawwket catches on and makes you pay.

CURE: Journalize your trades so you can reflect if you havv followed your rules and systems: The least this could do is remind you that if you made manni on bad tradin’ habits is you are not skilled - you are just one lucky b@st@rd.

(2) GOOD + BOOBOO = Nyu nyu!
Takin a loss can hit you in the meow meow and hurt really bad.
When you follow your rules and still get kicked on the kitty head, it can be a devastating moment on your kitty confidence. You begin to QUESTION YOUR RULES, you begin to SYSTEM HOP, you HESITATE ON YOUR SETUPS, you CUT YOUR WINNERS.

CURE: On your trading journal, have a column for your “score” on complying with rules. Also review statistics on a LARGE sample of trades. Do not judge your system/ rules on just ONE BAD TRADE. You need a large sample o’ trades to let your EDGE play out (Law of Large Numbers)

That is not how our kitty mentors taught us. Our mentors taught us kitty traders to look at tings dis way:

We must prioritize followin’ our rules and systems over haww mats money we make. We must look at manni as a byproduct of good trading habits, not the other way around.
Here’s how to think and feel about it:
(1) GOOD PWAFFIT I followed my kitty rules and my edge played out on this trade so I made manni too!
(2) GOOD BOOBOO I followed my kitty rules and my edge will play out on my other trades so I can make money on other trades. I just need to stick to my risk management.
(3) BAAD PWAFFIT I failed to follow my rules. I made manni simply because trading is partly skill and partly luck. I am one lucky sneaky kitten. I must stick to my rules the next time.
(4) BAAD BOOBOO Bad dog! Hisss! Rawr!

Thanks foww readin.
Im cheerin’ foww all you kitty traders out there!

[Imperator_Cat]

06.19.2020 GBP/USD Long
GOOD PWAFFIT <---- New part of posts from here on

A. ) STRUCTURE / RANGE

This trade is an application of the concept of the “London Open Strategy”. Kitty identified the range of GBP/USD during the Asian Session as being from 1.24081 to 1.24349.
The range being a weenie 26 pips means that conditions are ideal foww the strategy coz we kitty know that periods of low volatility (tight ranges) are usually followed by periods of high volatility (wide ranges).

All wee gatta doo is wait for a breakout and a close above the range. Samtimes it will retest the barriers of the Asian session range, samtimes it wont.

B. ) BIAS
My bullish bias foww this trade came from the 1H timeframe.

As you can see, my strategy foww this trade is “countertrend” as price is still below the Kumo and Chikou Span was below the price line (generally beawwish bias).
I acted on a percieved disequilibrium brought about by the (1) flat Kijun Sen and (2) flat Senkou Span B - top of bearish Kumo)
A break of the Tenkan Sen reinforced this countertrend idea and showed the possibility of re establishing equilibrium by retracing to the Kijun Sen.

C. ) TRIGGER / EXECUTION
Drilling down on the 15m timeframe, we now move to the execution phase!
Knowing that price is inside the Kumo, we can (at best) gain a “moderate” quality signal (weaker than strong signal but stronger than weak signal).

We kitty got in on the trade when we saw that da pwice broke out of the top of the Asian Session range of 1.24081. Seeing that it was not retracing (though we were expecting an immediate test of the resistance turned support), we got in, set our TP, and set our SL.

We diddent put a high level for our TP coz wee are limited by the nature of the trade. We set our TP on the top end of the Kumo coz we know that the Kumo is in itself a measure of equilibrium and we might see it “cure” the disequilibrium we saw earlier. Price action might not be strong enaff to break the Kumo especially coz this is countertrend

For TLDR cats: Price inside Kumo = Play the “range” of the Kumo.

Moments later, TP was hit! Yipee!

Thank you, kitty god of the financial mawwkets!

[Imperator_Cat]

06.22.2020 EURJPY Long
BAAD PWAFFIT (But i feel like a Baad Booboo though )

A. ) STRUCTURE / RANGE

Kitty saw EURJPY was on a downtrend and given a wittle info on upcoming news to be pawesome, I tried to see if I could make a long trade. I didn’t think the news info would reverse the downtrend but I just saw it as a possible test of the resistance (top part) of the downtrendin’ channel price was on - from swing low to swing high.

B. ) BIAS
The main bias for this one was incoming news that I expected to be favorable to
Seein’ that the currency was on a downtrendin’ channel on da big pictuwwe and the currency was on the “upswing” on its downtrendin channel, I opted for a small scalp from where it wazz to the upper end of the downtrendin’ channel.

C. ) TRIGGER / EXECUTION
Drillin down to da 15m timeframe, I managed my execution and opened a long position on a breakout of the EMA144 (Doodle 1) Reinforcing this bullish thesis in the short term was the Tenkan Sen and Kijun Sen sloping upwards (Doodle 2)

Tenkan Sen and Kijun Sen were pointing upwards and confirmed a short term bullish bias. However, there were warning signs:
a.) Kijun Sen seemed a wee bit far from price and it may warrant some correction / consolidation
b.) Price was still inside a Kumo so expectations should be leveled
c.) Senkou Span B of the Kumo started flattening - a warning of either consolidation or correction (Doodle 3)

Kitty got off the trade as soon as price was hittin the EMA144 and the big picture trendline I drew earlier.

I did not use my usual triggers and was “late” on my entry (but early on my exit) (BOOBOO!) I managed the trade well (GOOOOD!) I made samm manni (GOOOOD!) I left laaaaatsa manni on the table by being out too eawwly coz I wazza jittery cat (BOOBOO!)

Here’s what happened:

Here’s what kitty missed:

Oopsie!
Eeeeeeeeek!

On a capital preservation standpoint, dis kitty trader did well and that is the moww important part. We can always trade better next time. Between getting hit with a loss and missing out on a gain, I’d choose to miss out. We got out alive and we can trade again next time. There will always be opportunities.

Good luck to us! Keep fightin’ and bitin’, kitty traders!
We will get 'em next time!

[Imperator_Cat]

06.25.2020 XTIUSD (West Texas Intermediate Crude Oil) Long
– NO TRADE –

This kitty has NO trade coz my weenie side got the best of me so this kitty chickened out. There’s a prettyful lesson in this though!

Yestewwday… ( all my twabbles seem so far awayy… )

I was observing XTI/USD

Kitty thought that the “disequilibrium” concept applied here.
On the 1H timeframe, kitty saw BOTH Kijun Sen and Senkou Span B (top part of a bearish Kumo) were at a state of “disequilibrium”. The concept of disequilibrium in the KittyMoku system (as discussed in my past post) is likened to a “divergence” and this disequilibrium is evident from a “flattening” of the Kijun Sen or Senkou Span B or both.
Kitty liked that both lines were flattening as can be seen on DOODLE A and DOODLE B and meant that the state of disequilibrium warranted a strong response in price.

There are two “cures” to disequilibrium: (1) Price CONSOLIDATES for Kijun Sen and Senkou Span B to “catch up” (shake off selling pressure / buying pressure as the case may be) or (2) Price CORRECTS and re-establishes equilibrium by movin’ towards or (hopefully touchin’) the flattenin’ parts of the KittyMoku System

With 2 parts tellin’ me that price was in disequilibrium, I was bettin on the CORRECTION CURE.

I was hopin price would bounce off the support I mawwked on DOODLE C.

Seein’ the Kijun Sen move a bit lower after DOODLE A and seeing price break the next support level at DOODLE D, kitty pulled out the pendin order above DOODLE C support. Kitty saw price try to take bakk DOODLE C resistance (previously support) and fail.

After the failed attempt, I saw it headed towards DOODLE D and called it quits. I kitty dropped the idea and marked it as a failed but not executed disequilibrium idea.

But as I look at it now, it cudda been a pawesome trade had I continued to watch that bounce off DOODLE D and the subsequent successful retaking of DOODLE C.
This trade idea (though not executed) is further proof for the efficacy of the “Disequilibrium play”.

Perhaps this setup is not as high risk - low reward as I thought. Perhaps it indeed is high probability?

In addition to trend followin’ ideas, kitty will keep a lookout for disequilibrium plays!

[ria_rose]

I’m not sure I understand the concept of disequilibrium you mentioned but I’m so happy that you seem to be doing great! I wonder what your discouraging colleagues will say about that! Hmp. Anyway, good luuuck! Keep it up! I’m always here! Haha.

[Imperator_Cat]

Halloo, my favorite hooman! Yeah, we always have doubters and haters but we won’t lettem discourage us! Jazz woik hawwd in silence and let your success doo da talking. hihi…
Thank you for the support! Im also hewwe if ya need a helpin’ paw!

Oooooh… lemme try to clear things up. The KittyMoku system has a concept of equilibrium. Price is said to be “in equilibrium” or where price “should be”.

Two parts of the KittyMoku system have a measure of where that “equilibrium” should be: (1) Kijun Sen - the blue squiggly line on my chawwts and (2) Senkou span B - Bottom part of a green Kumo/cloud or Top part of a red Kumo/cloud.

Price tends to kitty play above or below one or two of these equilibriums. When the price is on both equilibriums, we call it purrfect equilibrium as price is where “it should be” but this is kitty rare.

Most often, price tends to stalk one of the two equilibriums closely with the other just nearby. Equilibriums near current price is saying that while price is not “perfectly” where it should be, it is where it “should be” as long as it’s in the same ballpark area.

Our cause for concern is when the price is far away from one or two of the equilibriums. Think of it as a rubber band that holds both price and equilibrium price (where it should be) that can stretch both ways but once it gets stretched too far, will contract and pull price back towards equilibrium price.

Be wary as well when price is between two equilibriums (One above and one below). It tends to get choppy as both equilibriums try to pull price towards it.

I hope this kitty helps!

[Imperator_Cat]

07.06.2020 Update on the cat: Proof of life PLUS MORE (Kitty lesson for newbies)

Halloo! I am still alive! 9 lives, baby! Hihi… Sorry foww the busy schedules. I’ve been busy with my day job (yes kitty still gotta earn that kibble. Hihi) and I was also exerting extra effort on the local stock market. Imma trader at hawwt. Hihi… I made some spectacular trades on some over reactions on our local stock market so it took this kitty’s short attention span away from the fowwex mawwket.

Now for the lesson:
So here’s a quandary for about 90 purrcent of kitty traders out there: HOW DO YOU GROW A WEENIE SIZE ACCOUNT TO A MANAGERBEAR SIZE ACCOUNT?

Nope! The casino is nooooot the right answer!

Funny how many minions believe that takin biiig risks with their weenie accounts is the way to go.
No that is not the way our kitty mentors taught us!

Think of it this way. A small account will (purrcentage wise) generate a small amount of profits too! Afterall, the mawwkets are a percentage game.
I.E. Gain of 1% on a $100 account gets ya $1 while gain of 1% on a $1,000 account gets ya $ 10.

Most kitty traders would jazz think of trading accounts bein’ a source of funding for their day-to-day expenses. They are thinkin of puttin $100 and makin $50 but taking $10 to celebrate and grind that process over and over and over again. Sometimes, traders take out more than what gains they actually made tradin!
This practice severely slows down the process of growing your weenie size account to a managerbeaww size account! Instead of gettin’ big quickly so you can enjoy better returns, you end up nibbling on your gains and slowin’ down growth.

So… what if… you did the OPPOSITE?

What if instead of takin a wittle bit from your account every month, you instead added a wittle bit to help your account grow?

My wittle experiment on this weenie account has been goin on for more than 2 months (close to 3 owweady). During that time, we have made a growth of 28.81%. It is samtin pawesome and any kitty trader would be proud!

If this was some ordinary kitty trader’s account, he wudda been tempted to take out some of that 28% growth to celebrate or samtin!
Afterall, you woiked hawwd to earn that so you gatta get a piece of the pie. Right? Nyu! Stay focused on the goal, soldier!

But remembering the teachings of our wise mentors, we know that to succeed in this game, we gatta level up to the big league! To speed up our account growth, after 2 months, we are gonna add $100 to our account.

If this was a working cat’s account, surely by the time 2 months pass, you shudda scrounged up some coins to add to your account right? Coz we gatta trade towards that kitty freedom! Growing our account is paramount to trading bigger and better!
(Dun forget our 1% to 3% rule. ie The bigga the account, the bigga the risk tolerance)

Instead of nibblin’ away at our account balance and slowing down our journey to kitty freedom, we are gonna add bit by bit to this account to speed up our journey to kitty freedom!

[cashisking86]

Really enjoyed reading throught that! Great results in the time as well. Well done!

[Imperator_Cat]

Thank you vewwy mats! Kitty tries his kitty best.
I’m glad you enjoyed my work. I hope to be of help the cats and hoomans of babypips. Cheers!

[Imperator_Cat]

07.20.2020 Update on the cat PLUS a kitty lesson for kittens - Backtesting the kitty way

Halloo! This cat has been semi inactive on the fowwex and commodities mawwket coz of two kitty reasons: (1) His day job is kitty busy and demandin’ (2) The local stock exchange has been pawesomely ripe with opportunities and this kitty pounced on them! (Most of my tradin manni is on the local bourse) Kitty made manni manni manni!

Now for the kitty lesson: BACKTESTING

I can compare the concept of backtesting to the concept of family planning: Everyone talks about it, everyone says they know about it, everyone wants to do it, experts recommend it, most people say they do it, but… few ACTUALLY do it!
Backtesting is similarly comparable to family planning in a lot of ways but mainly because: You do this BEFORE things go down so you’re not caught off-guard with surprises and possible trouble.

So what exactly is backtesting?

Ehm… nyu. Back testing is NOT back scratching. Ahihihi…

Backtesting is simply USING your trading system, trade management, and risk management on PAST DATA so you can get an idea about its EDGE (probability of winning/losing) BEFORE using it on current data (or on live trades).

Why do kittens need to do this? Well, we always lick our kibble before we chomp it down because we wanna get an idea on how it tastes before chomping down a pawful. We wanna be sure that the kibble tastes great before gettin’ a bowl of kibble. In the same way, we wanna make sure that our systems work fairly well before we use em in real trades. Like a kitty armycat testing if his guns work well befoww goin to war!

So how do you go about with your backtesting? Call me old school but this kitty prefers samtin tangible. I know some people use fancy backtestin’ software but I prefer to do it the ol’ fashion way - Pen and paper!
Kitty science tells me writing things down can lead to better memory retention and allows you to better overcome a steep learning curve.
Also, the pwabblem I see with letting a software “run” or test your trading system and risk management then churn out results and statistics is that it leaves a massive gap on your results - YOU!

In the end, you are the kitty on the gun and YOU pull the trigger. No matter how well your buddy (the software) tests your guns and attest to its pawesomeness, only YOU can make it work because YOU are in charge of YOUR trades and YOUR account.

So how does dis kitty do it?
STEP 1: Define your rules. You need to have a set of rules for your trading system otherwise, your trades will be arbitrary and won’t be replicable. Remember that you are in this game for the long haul so you need a system that can churn out similar results in the long haul. Those rules have to be written down!

Here is my set o’ basic kitty rules.

You need to have at least a basic set of rules when and how to take trades, when to close them, and what things to avoid.
STEP 2: Open any tradin’/ chartin’ terminal which has access to past data on the tings you wanna trade (preferably your broker so you can famiwwiarize yourself with the interface as well)

STEP 3: Pick out the commodity/ies you wanna trade and open their charts in the timeframe/s you want to work on.
STEP 4: Drag the chart (the way a mamacat drags her kittens by the scruff) backwards by around several months (or if possible by a year).
Like dis:

STEP 5: Pretend that the PAST chart you’re lookin’ at is the CURRENT chart and you are gonna “take trades” on that chart and record them as they happen - Win or lose, no exceptions!
Here is a kitty template on how I envision a backtesting journal.

It has the basic rules of my system and it acts as a CHECKLIST and a RECORD of backtest trades
This one is for evaluating trading system edge and trade management rules and does not include position sizing. (Kitty was already good on that aspect and felt it unnecessary but you, oh dear kitten should include that)

From your chart that has moved back to the past, move ONE CANDLESTICK at a time by pressin the “right” cursor key on your keypad.

Yes my minion! You are sniffing the right cursor key!

You will then record trades that you would “take” based on your rules and manage your trade as if it were live with every move of the chart.
When you’re done, you will kitty havv samtin like this:

(Itch 11 PM where I am so I’m stoppin’ and callin’ it a night. hihi…)
I just love how Ichimoku weeds out low probability trades on its own. Combine that with a solid and strict risk management system and you are a pawesome kitty trader owweady!
You do this exercise of backtesting (daily if you have to) until you get that level of confidence you need to trust your system and you gain enough insight on how your system ticks and what needs more work with both you and your systems.
It is only by seeing how the tradin’ machine works on actual trades that we can figure out if it does its job and where we can tinker with the rules and systems on how and when we take trades.
From here, it’s review and reflection time foww kitty traders on how and where you can improve. If your system works, you should have a win rate of at least 51% (that should be your worst) to prove your system has an “edge”. On the other hand, you must have a net positive number of pips to prove your risk management works kitty fine.

Kitty experts say a 2:1 win loss ratio of pips is good but I figured itch a combination of win rate and positive expectancy (how much you win when you win vs how much you lose when you lose).

Your rules will CHANGE as you backtest it over and over. For example when I was a kitten and started tradin’ on the Kittymoku system, I had 3 basic rules. As i backtested, I figured more rules (I now have 5) and there are “sub rules” under them.
If you can read dis, you are pawesome!

Figure out what works, what doesn’t, and what can be better. Goolakk, my kitty trader minions!

[Imperator_Cat]

08.05.2020 Update on the cat PLUS a… Trade! (Pawesome!)

Halloo, hoomans and kitties of babypips!

It has been 43 long kitty days since this kitty actually put on a trade! (My order on 06/25 was not executed so it does not count!)

First, an update on the cat: In the past weeks, this kitty felt like Austin here:

Stress from work (which became more cumbersome), Stress and anxiety from the pandemic (thank the kitty gods my test turned up NEGATIVE for Covid), and to top it all off: I am currently working on an MBA (Masters in Business Administration). All those things took a toll on my… mojo…
With very little free time, I used what time I had to make some scalps on the local bourse and this kitty pretty much ditched the global market (in retrospect I shudda ditched the local bourse and picked the global market. Heeheehee).
But today, having executed a trade idea at last, this kitty feels like this!

Now for the story of the kitty trade!

AUD/USD Long - Good Pwaffit!

This trade is shuper schpeshal coz it is the first time I’ve used a wittle something I added to my process:
Here are my actual kitty notes. (Pwease dun laugh at my messy doodles. Hihihi)

A. ) STRUCTURE / RANGE
This kitty used basic support and resistance plotted by lookin at the price action (Please see doodles on doodle notebook.
Guide for the untrained kitty eye:

• Squiggly line = 4H price movement (close 'nuff!)
• Colored horizontal lines = support and resistance (Internet was choppy so I resorted to drawing schtuff instead of working on the charting that was takin fowwever to load)
• Line with arrow = projected path of price considerin’ my bias

If you think I shifted systems, you are kitty wrong. I simply added “sauce” to my usual juicy steak. In the end, the KittyMoku system calls the shots. The KittyMoku system remains as my big juicy steak! Hihihi…
Sauce sets the expectations on the steak but the steak is on its own to show its flavor!
Sauce adds conviction.

B. ) BIAS
This kitty trader stole a currency meter from a frenly hooman who does fundamental analysis. Using the matrix of STRONG, NEUTRAL, and WEAK currencies, this kitty then paired the STRONG currencies with the WEAK currencies for a more pronounced expected move. A wise old cat told me it would be wise to pair STRONG vs WEAK so that the “projected move” of each currency do not “offset” each other. After lookin’ at their kitty charts, I narrowed down my tawwgets to only 3 to decide on execution.

Dis kitty also used a makeshift “global portfolio” to determine global risk attitude to find which pair to trade. (Gween = Risk on!, Wed - Risk off!). Basically, the mawwket aims to invest on “risk” or “commodity currencies” when the indexes are kitty rising.

Important kitty note: When considerin’ multiple pairs for multiple positions, consider REDUNDANCY OF EXPOSURE (ie AUDUSD and AUDNZD results to double exposure to AUD. GBPUSD and USDCAD results to double exposure and contradictory exposure to USD.

C. ) TRIGGER / EXECUTION

This kitty used the Kijun Sen break signal of the KittyMoku system on the 4H. Kijun Sen break happens above the Kumo and both Chikou span and Kumo confirms bullishness but flat Kijun Sen may be a concern.
With a valid “high probability” trade (2 positive confirmations), I couldn’t let this trade go awayy but to respond to the threat of the flat Kijun Sen, I entered with only half my intended position and lowered my target to the near term resistance instead.

In retrospect, I sorta aimed for the low hanging fruit but cudda made bigga bucks aiming higher. Gain is gain and we will keep doin better next time.
The important thing here is… I got my mojo back and we made pwaffits!
Kitty did good!

[Imperator_Cat]

08.05.2020 Kitty reflection, review, and re-evaluation (RRR)

As I look at my kitty notes i wrote on the night of August 3, I got to thinkin’

Whatever happened to the “candidates” afterwards?

1. GBPNZD Long - Risk OFF

Considering we had the bias of going for “RISK ON” pairs, we avoided this particular “RISK OFF” pair so I can kitty tell that we made the right choice of trustin’ the currency strength matrix and the strong-weak pairing we had. Good!

2. AUDUSD Long - Risk ON

We bagged less than half of the total pip move thus far. Kitty minions are tellin me to hold out next time to maximize the trend and make more money. For now, gain is gain.

3. USDCAD Long - Risk ON

This is officially a DOTGA (Da One That Got Away)
I guess ya’ can’t bag em all! Hohoho…

Note to kitty self:

Dear kitty trader, you are pawesome. You added sauce to your steak! The new additional bias filter of the currency strength matrix is very handy when used with your trusty KittyMoku system. I know that capital preservation is the name of the game but in the end, you gatta have more skin in the game. Purrhaps you can be less of a weenie and instead of settin a fixed tawwget, hawabawwt puttin a trailin’ stop instead to maximize the pip move of a currency? Ride the twend till it bends? Purrhaps you can also reserve a tranche for another candidate. Nyu more DOTGAs. When you see it as a good trade based on your system’s rules, take a kitty bite! Chomp em down! You don’t exactly need to be rigid about the 1 purrcent rule. It can expand to 3 purrcent. You can do dis! Wuv, cat.

[Imperator_Cat]

08.10.2020 to 08.11.2020 EXECUTE ORDER 66!

The Kitty Empurror gave us THE order. Order 66 means we fight n attack!
So, this kitty went to war!

A. ) BIAS
Once agin, my helpful hooman friends provided a strong-weak matrix off of which I’d apply my system.

Matching strong currencies with weak currencies, this kitty has his kitty eyes on three tawwgets: EURUSD short, GBPUSD short, and AUDJPY long

B. ) STRUCTURE / RANGE
As this kitty investigated the charts of the candidates, this kitty applied the KittyMoku system and found the following observations:

I had found that in a risk off environment, the best candidate was EURUSD short and in a risk on environment, the candidate was AUDJPY

C. ) TRIGGER / EXECUTION

08.10 - Monday evenin’ around 9 PM as this kitty was snackin’ on Whiskas, I saw that there was uncertainty on the indices around the woild. Albeit being a mixed sentiment, I figured that there was a greater risk off sentiment as more indices were in the red. I then kitty aimed for the risk off candidate of EURUSD short

Our bias was derived from the 4H chart. The KittyMoku provided us with enough context for the trade:

• Tenkan Sen and Kijun Sen bearish cross above Kumo (weak sell), Chikou span in line with price (No confirmation. Worst quality signal with a red flag of a flat Kijun Sen which can limit downside.
• Impending Kumo twist (Possible strong sell signal)
• Watch price’s reaction to the bottom of the Kumo as price might not be strong enough to break it

The entry trigger was on the 1H chawwt. Itch the classing “Springboard” setup. Kitty figured that after breaking a key support level at the 1.175ish area, price will shoot for a lower low and beyond.

We set our stop losses initially to the Kijun Sen on the 4H. We set half of our position’s target profit right above the bottom boundary of the 4H Kumo and the other half to “wait and see” if price breaks the Kumo boundary or not.

RESULT: The followin mowwnin, we kitty made manni!
Our 1st tranche took pwaffits pawesomely! On the other paw, our 2nd tranche was manually closed when I saw (1) price was not breaking the bottom boundary of the 4H kumo and (2) Sentiment was changing - so does our bias!

Then, as we saw sentiment changing with the indices turnin’ green (Risk on), we took the chance to attack our alternative target - AUDJPY

08.11 - Right after closin’ our kitty trade on EURUSD

A. ) BIAS
Kitty observed the change in sentiment on the global indices. One look at the indices and itch unmistakably risk on: Time foww our risk on candidate to shine!

B. ) STRUCTURE / RANGE
Our bias was derived from the 4H chart. The KittyMoku provided us with enough context for the trade:

Unfortunately, there was a recent Tenkan Sen - Kijun Sen bearish cross that contradicts our bias. However, there was a newer signal - A Kijun Sen break that offsets the bearish signal earlier. There were red flags tho that indicated a limited upside (at least in the near term) - (1) Tenkan Sen was still below Kijun Sen and (2) Senkou Span B (Bottom of Kumo) Was flat and had a tendency to pull price towards its equilibrium

C. ) TRIGGER / EXECUTION

We put our kitty order on the break of a significant resistance at 76.11 and set our stops and limits. With the troublesome red flags we observed on the 4H chart, the position warranted that we watch this trade closely as it may have a limited upside. And we were kitty right!
The price failed to pump higher and was showing spiky behavior (lotsa long needles) so we closed it.

Moments later, we had a 2nd attempt and we kitty rode it again but seeing that the 4H Senkou Span B was still flat, we couldn’t establish confidence with the trade and when it showed spiky behavior again, we closed the trade again and continued working on our day job. Hihihi…

As the 2nd attempt to carve a higher high failed, I figured it would drop to the previous low again but I was kitty wrong! 76.11 actually held up! Who wudda kitty thought?

As it held 76.11 and eventually shot up, it was sooo tempting to catch that juicy ride up! However, this kitty still sees the flat Senkou Span B on the 4H and the Tenkan Sen is YET to bullishly crossover the Kijun Sen. Till then, we mast keep tabs on this little fella!

Another pawesome trade!

PS Watch AUDJPY for signal to go long again (as long as market sentiment stays the same) and watch EURUSD for signal to go short again (when sentiment shifts again)

This kitty trooper accomplished his mission and is gonna hit the sack owweady!

[Imperator_Cat]

08.25.2020 USD/CAD Long - GoodPwaffit!
Huwow. It’s been a while! Kitty has been busy indeed!

A. ) STRUCTURE / RANGE
Disequilibrium play. Dis kitty took advantage of a disequilibrium setup and took a trade right after price broke one of my EMAs (EMA 55). Kitty set a sell stop below EMA55 in the hope that it confirms the corrective disequilibrium play i was kitty hopin’ for. The source of the disequilibrium is the flat Kijun Sen and flat Senkou Span B. Pawesome thing is that both of the Kijun Sen and Senkou Span B are on the same(ish) price area.

Kitty note: Because “disequilibrium” is a “contrarian” approach, it is good to be prudent on these kinds o’ trades.

B. ) BIAS
Price was above the Kijun Sen and the Senkou Span B indicatin’ a disequilibrium play to the downside. Dis kitty bet on a correction play in response to the disequilibrium. (Remember that disequilibrium plays can be “cured” either by (1) Consolidation or by (2) Correction - I was hopin foww correction! )

C. ) TRIGGER / EXECUTION
After dis kitty set his sell stop, he went back to work n sipped kitty cool aid.
Moments later, kitty hit TP! Woot woot!

Slight overshoot (nah iwwaz a big overshoot) from the target but that is beyond this cat. Dis kitty is happy with the pips.

[ria_rose]

Looking great so far Imperator!

[Imperator_Cat]

Thank you foww the support, oh pawesomest hooman!

[ria_rose]

You were pretty quiet last week. I hope everything’s okay!

[Imperator_Cat]

Halloo, pawesome hooman! Yes, this kitty is fine, thank youu.

Dis kitty has been quite busy that this minion trader’s journal hasn’t moved a bit. ahehe…

Kitty tasks are quite time consuming so this cat has been busy. Here’s how I’ve prioritized em:
1st: Day job (Purrff I still gotta work for that kibble!)
2nd: Stocks trading (Made a pawesome bunch this month so far at about 1 month salary’s worth. This is still my first priority in investing and trading.)
3rd: Masters degree ( I may have bitten off more than I can chew. This eats up time and effort)
4th: Main forex and commodities account (Made some and lost some these past days. Markets are choppy yet pawesome!)
5th: Side project - Mini account (Kitty Minion Trader’s Journal) to prove kittens can make it. I’m sorry for not being so active! Plus the challenge account does not have access to all commodities I want. Sometimes the main account moves and the challenge account can’t access. Hehe…
6th: Studying a new (super secwet) concept on how ideas are generated. I’m working on what is dubbed as the “rocket science” of investing and so far, preliminary results are optimistic. I shall reveal more on it when I am satisfied with my work. If this succeeds, this will revolutionize idea generation. No more structures, biases, or wishful setups. Wish me luck on this!