Part of the game is learning to trust your setups, and having confidence.
Anyway, this system has been updated with a divergence tool that automatically finds divergence and lets you know where the long or short trade is, and also a pivot tool. The pivots are very good.
As with all indicators, this divergence finder only does half the job. You have to do the other half, by weeding out the good signals it gives you from the bad.
The number 1 way to do this is with the MACD. I can't stress enough how important it is to see the MACD move very close to the zero line before entering a trade.
If buying, you should see -60 or greater on the MACD. RSI should be at +50 or greater.
If selling, you should see +60 or less on MACD. RSI should be less than 50.
If RSI has hit 70+ or 30-, ie overbought or oversold level just before you got your signal, this is a bonus. Its not totally neccessary, but at least it should indicate having come close to those levels.
The Div finder tool will pick up almost all important intraday moves either on the 30 min chart or the hourly chart. Sometimes one will miss it, but the other picks it up, between the two of them, they get all the moves. Mostly the 30 min chart is better at finding intraday stuff. Go smaller than the 30 min at your own risk.
Settings for the DIV finder should be changed. It has some fib numbers on it, replace them with standard numbers:
12, 26, 9. (though if you download the template and put it on your chart it may load with the correct numbers, just check the readout)
Anyway looking forward to next week and finding some great setups. Tommorow should be wild. Must tread cautiously, but if I find anything good I will post.
Template should look like the screenshot.
Nice that you realized the high risk issue, Iīm going through the same thing. The problem by risking too much is that after some loses you start doubting on your system and it affects your confidence, even if you try something new. I believe that the secret is taking it serious no matter how big is your account, sometimes we could say : "oh itīs only 100 bucks anyway.." but if we canīt preserve that 100$ how could we do it better with 100.000$ ??
Thatīs a pretty nice system you developed, stick with it long enough and work on your MM.
Iīll do the same..
Good Luck man.
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