Yes of course, Its just that JW answered it. I only need the K to cross to extreme levels.
hi been scrolling through 30 pages to find this answer !!! I thought i had worked it out but the stochastic in this picture are red and black!! purple and black are the EMAS right??? so⌠please confirmâŚWe wait for the RED line to go above 80 then cross below the black line. We enter then.
if someone could confirm this i would really appreciate it
many thanks
jw1981, further to the above, I reviewed my Fib Extension logic and it appears to be on target. Since my back-testing platform doesnât inherently support a Fib Extension tool (or Fib Extension functions), I had to program this myself. To be sure that I was doing it correctly, I used the following link as a reference:
Fibonacci Extensions | How to Calculate Fibonacci Extensions For Stocks
The one thing I needed to tweak slightly was obtaining the most recent HIGH (for Shorts), and the most recent LOW (for Longs), where either occurs prior to the EMA Crossunder or EMA Crossover, as a basis for calculating the Fib extension values. Even with these tweak refinements, the Simulation is still coming out the same.
So, going to a chart (and pardon the mess on it), looking at the 1/21/2014 AUDUSD Short below, I created a horizontal maroon line for the HIGH and a lime green line for the LOW, used to calculate Fib extensions. Although the entire trade is not pictured here, it turns into a big loser (not shown on this graph), and I notated the âlowest price during the tradeâ on the viewable portion of this chart. Given the huge delta between HIGH and LOW values, the Fib Extensions are not pictured in the graph as Fib 100% would be well below the âlowest price during tradeâ price. Hence, I fail to see why you would think that this trade moves to BE at any point during this trade, since Fib 100% would occur at the Short entry point minus (HIGH minus LOW); hence, this Fib 100% level doesnât appear on this chart.
Am I missing something with my grasp of Fib Extension calculations?
1/21/2014 AUDUSD Short:
Hows that so ?
No this is not right at all Dough. The 100% extension in the picture you shared IS THE LIME GREEN LINE ON THE CHART.
So when price moves below the green line, stops move to break even.
What 127.2 extension means is: Add 27.2% of the move from high to low.
161.8: Add 61.8% of the move from high to low.
200: Add 100% of the move from high to low.
And so onâŚ
What are you talking about? EMA means exponential moving averages. They are visible on the actual chart.
Stochastic is an oscillator below. the chart.
You need to look for the K% line. This is the one you follow.
By the way you donât have to read 30 pages to find the answer to this. Just Google Stochastic Oscillator 
EUR/USD a possibility?
Yes, it explains it now.
Thank you.
Really? I Also uses MT4 and I got a clear signal on the AUD/JPY which unfortunately, lead to a death trap. Fortunately for me, Iâve locked my position using a Sell order just before the massive downtrend. Currently waiting for the best time to close both orders
Hey wanna ask yâall, Is it just me or does most AUD pairs are ****ty when it comes to using this Philipâs strategy? Iâve been checking the various charts for a few months back and find that trading the AUD is not really a good option. What do you think Philip?
I use these settings that Philip said to use in the above post and I got no signal for AUD trades other day.
This strategy is not the holy grail and it also will take a lot of time it seems to get signals. I will be releasing the EA for this strategy soon. The EA shows profits but trades based on 5 years ago when I backtested show only a few trades per currency pair. My focus has shifted to price action now. This is a great long term strategy but it will take a long time for a trade. I have the time so price action will be becoming my focus.
At least you got the chance to get into sell order. I had been losing 1k pips for that signal.
T.T
Hello everyone, so here it is⌠an automated system for this strategy with a few options in case one wants to play around. I tried my best to do break-evens but with some brokers I have tested, it threw an error which the trade wouldnât modify at all causing loss in the end. This is a broker issue and beyond my control. Please change the .txt to .mq4 after you download, then throw it into the experts folder and finally, restart metatrader. Any bugs, or questions, please let me know. Thanks
I donât think its true. I think youâre judgement is affected by the current losing AUD trade. We will not win them all.
Agreed - you canât really pass judgement on Currency pairs until you have at least traded this system for a couple of months.
I was on the losing end of the recent AUDUSD and AUDJPY trades but I just wrote them off as âthe cost of doing businessâ.
If we won every time trading would get very boring (though spending the money would make up for it 
)
Youâll have to excuse my knowledge of explicit Fib retracements and extensions, since I never have used them directly in my discretionary trading.
So Philip, just to be crystal clear on this, all Fib Extension calculations then are based off the respective LOW (for Shorts) and HIGH (for Longs), and not the point of trade entry then? If so, Iâll make corrections this evening, and re-run Simulation.
Thanks.
Yes Basically In a short: The high is point 0 and the Low is the 100% point of the move.
So when we say a 127.2 extension. It means calculating 27.2% of the move and Subtracting it from the 100% point. The result would be the 127.2 extension.
When we say 161.8, It is adding 61.8% of the move and subtracting it from the 100% area.
So letâs say AUDUSD fell from a high of 0.9500 to a low of 0.9400. This is a 100-pip move. The 127.2 extension would be (0.9400-0.00272)= 0.93728. So a close below 0.93728 would have us move stops to 0.9400.
In buys, we take the measure of the move and ADD it to the 100% point. So if AUDUSD moves up from 0.9400 to 0.9500, the 0.94 becomes the 0 and the 0.95 becomes the 100 level extension. This is a 100 pip move
To calculate the 127.2 extension we add 27% of the move to the 100 level extension.
27.2% of the move= 100 pips (the length of the movement from low to high)*0.272= 27.2 pips.
Add 27.2 pips to the high (100 point extension)= 0.9500+0.00272= 0.95272.
I hope this makes it clear.
[QUOTE=âPhilipPirrip;692699â] Yes Basically In a short: The high is point 0 and the Low is the 100% point of the move. So when we say a 127.2 extension. It means calculating 27.2% of the move and Subtracting it from the 100% point. The result would be the 127.2 extension. When we say 161.8, It is adding 61.8% of the move and subtracting it from the 100% area. So letâs say AUDUSD fell from a high of 0.9500 to a low of 0.9400. This is a 100-pip move. The 127.2 extension would be (0.9400-0.00272)= 0.93728. So a close below 0.93728 would have us move stops to 0.9400. In buys, we take the measure of the move and ADD it to the 100% point. So if AUDUSD moves up from 0.9400 to 0.9500, the 0.94 becomes the 0 and the 0.95 becomes the 100 level extension. This is a 100 pip move To calculate the 127.2 extension we add 27% of the move to the 100 level extension. 27.2% of the move= 100 pips (the length of the movement from low to high)*0.272= 27.2 pips. Add 27.2 pips to the high (100 point extension)= 0.9500+0.00272= 0.95272. I hope this makes it clear.[/QUOTE]
It helps to know which swing your trading. A high to you is a low to me.
Understanding where your are, is probably most important.
And you must know what youâre after. âMaking moneyâ is not the answer.