I just wrote out this entire system that has been successful for me but I just lost it somehow. Anyways, a picture is better anyway. Check it out. Here is the synopsis:
1) Wait for a strong trend with ema's all heading strong in one direction. No winding ema's. It's good if there is some nice separation between the 200 and the 41 ema's.
2) Wait for a countertrend "3" to show up that is above the 200 in an uptrend or below the 200 in a downtrend.
3) Enter only when the fisher bar closes with a lesser value than the previous once that "3" has shown itself. Please see the arrows on chart.
4) Exit when a "2" shows itself AND the fisher bar closes with a lesser value than the previous.
5) Stops may be set at the last high/low or at the 200 ema depending on how close you are to it.
I know the 3 level ZZ repaints, but if used in conjunction with the fisher, it puts you into a trade at a value level and it gets good results. It keeps you on the right side of trends, keeps your stop small and allows for some homerun trades. It can also be used on any timeframe. I wouldn't suggest anything smaller than 5 minute, however. Don't hesitate to ask if you have any questions as I wrote this rather quickly.
1) Wait for a strong trend with ema's all heading strong in one direction. No winding ema's. It's good if there is some nice separation between the 200 and the 41 ema's.
2) Wait for a countertrend "3" to show up that is above the 200 in an uptrend or below the 200 in a downtrend.
3) Enter only when the fisher bar closes with a lesser value than the previous once that "3" has shown itself. Please see the arrows on chart.
4) Exit when a "2" shows itself AND the fisher bar closes with a lesser value than the previous.
5) Stops may be set at the last high/low or at the 200 ema depending on how close you are to it.
I know the 3 level ZZ repaints, but if used in conjunction with the fisher, it puts you into a trade at a value level and it gets good results. It keeps you on the right side of trends, keeps your stop small and allows for some homerun trades. It can also be used on any timeframe. I wouldn't suggest anything smaller than 5 minute, however. Don't hesitate to ask if you have any questions as I wrote this rather quickly.
Attached Image (click to enlarge)
