Disliked........Please reply as I really look forward to hearing what you think to my ideas.........Ignored
I don’t think discretion is necessarily the product of emtions like fear, but conversely I don’t believe that emotions, inaccuracy, or irrationality caused by "discretion" can improve one’s result. See also my comments on EAs early in post #34. Like you, I’m definitely in favor of mechanical, and preferably automated, trading systems.
Re time frames, see the second paragraph of post #34. I share your enthusiasm for more rapid transaction volume, but in my experience the higher relative costs, and the greater amount of noise, are both significant barriers. By costs I mean that a 4 pip spread in a 100 pip move (i.e. –4% expectancy) is 5 times easier to overcome than a 4 pip spread in a 20 pip move (–20% expectancy). Who would want to play a casino game where the house edge is 20%?
There’s also the idea that catching a single 100 pip move is just as profitable as catching five 20 pip moves, and it allows greater margin for error with timing – in the lower timeframes, every pip becomes more crucial. Anyway, I’m not saying that shorter timeframes couldn’t be profitable, but I believe it would require more skill and ingenuity in picking low risk trades, and then exiting with profits intact. Directional confirmation (e.g. the backing of longer term trends) would likely help improve probabilities, in this regard.
Anyway, just my 2 pips worth. The thread in Ademac’s link is definitely worth a read, IMHO.
David