I’m wondering if an alternative - that isn’t indicator based - would be using the simple Count Back Line method Tymen describes in his naked trend trading thread. I realize he will be adding more details to it next week (undoubtedly to make it more efficient), but just looking at it so far I wonder if it’s something we could use for MMTT.
He starts explaining it here, but I’ve also compiled his relevant posts as a PDF that I’ve attached to my post here.
Rather than taking an entry off the 5m chart, what do you think of taking a CBL entry off the 15m chart, which is a TF that might fit the daytrading scale of MMTT? I don’t know if it would work with a 15m or 30m or 60m, etc TF but perhaps I’ll try it out.
Well, I’m convinced now more than ever that trading off the 5m charts just does not work - too many whipsaws and fakeouts. But I do like Tymen’s CBL entry method for daytrading either MMTT or RCarter’s strategy (trading outside the extremes of daily averages back in towards the channel). But I will try using only the 15m charts from now on.
I’m also putting a text label on all my charts indicating whether - and to what degree - a trend may be occurring on the weekly and daily chart for a given pair. I think perhaps it’s a good idea to stay out of trading against those larger TF trends with MMTT. Such a consideration would have kept us out of GU short entirely today, for example, where the daily trend is currently strong upwards and we lost several trades.
I’ve been making some pretty good pips looking at the hour chart, then going to the 15 minute chart and entering trades on minor retracements of the general direction.
this is something i have noticed too, you may be very correct in what you say but then again seeing rui has had some success with his system its very hard to say if trading the 5min makes sense or not
I’ve always held the belief that it takes a special type of trader to be really successful off 5m and 1m charts. I tried and I am not one of them although I’m sure there are plenty who are successful. I do like to manage my trades through 15m charts but all my entries are based on 4h or daily charts.
well you guys are correct… 5min sucks… in the % of the trades you win.
but it allow us to enter earlier and with smaller SL… yes it give a lot of fakeouts before that big move but if you learn how to cut those losing trades very small and learn to have the discipline to let the good ones go really far… you can get a very profitable tool against the market.
lets see this matematical example:
1- a system with a accuracy of 80% and a rr ratio of 1:1
risking 1$ per trade you will win 80$ and lose 20$, so the final balance is 60$
2-a system with a accuracy of 50% and a rr ratio of 1:3
-risking 1$ per trade you will win 150$ and lose 50$, so the final balance is 100$.
i know the egsample no 1 is more atractive because it allow us to have a less emotional stress, but the no 2 is what suits me better… and i believe that in the long run is more profitable.
and more important for all the trades that i lose only about 10% of them hit my initial SL… the others i close it with very small losses.
just today i got 7 losses and 4 wins. and one single win had pay for all the losses the other wins were my profits…they were very small profits because i close them at london close instead of let them run, but the point is i loss more trades than i win, but i made more money than i lose… and that´s my only goal
That would be great if MMTT could get wins 50% of the time but, as we’ve seen, it can lead to many bad trades over a good stretch of the time. I would like to hear more about the indicator you’ve attached and how you are using it. Is this the filter we’ve been looking for?
i put it in the 5m chart with the settings that i´ve posted and them i enter when it shows a lower high. for egsample the indicator gets yeallow and above the price, them i wait for a retrace when it turns green and bellow the price and them when it turns yeallow and above the price again i enter at the close of that candle.
them i change to 15min chart and i use it as my SL…
it is a good filter and it is good to manage the trades
i have only trade with this last wednesday with great results, last thursday with ugly results but no one should had trade in that day any way and then today with the results that i told you.
but today if i had follow the system and let the wins run and track them with the 15min dots i would be made 7% profits… but i told you why i close those trades to soon… emotions had kick.
but this is a good way of spotting higher lows and lower highs and the 15min dots are great for trade mangements.
i´m still doing higherlows and lower highs entrys and i think i finally solve the “when to close the trade” problem
this indicator is a very good indicator but is nothing more than a normal bolinger band.
it only shows the out line of the BB. when BB is pointing down the dots go above the candles and when BB is pointing up the dots are below the candles.
but it is nothing more than a normal BB with 10:1 settings. is only a different perspective to them and i think a very good perspective
if you put a normal BB on it you´ll see what i mean
