Acceleration/Deceleration Technical Indicator Journal | Forex Factory

Options

Permalinks
Print Thread

Similar Threads

EA based on Velocity/Acceleration 1 reply

Kumo Twist Acceleration: simple and profitable strategy 282 replies

Anyone heard of Break acceleration system from japan 5 replies

Stochastic Acceleration System 2 replies

Momentum and Acceleration 4 replies

Attachments: Acceleration/Deceleration Technical Indicator Journal
Exit Attachments

Acceleration/Deceleration Technical Indicator Journal

  • #1
  • First Post: Mar 21, 2009 8:18pm Mar 21, 2009 8:18pm
This is to journal how I can use AC in my day to day trades. I trade EUR/USD using the five minute chart for entry, trading the New York session close, and London session open.

I will post the chart images when I open a position, then another when the position is closed.

Quote
"Acceleration/Deceleration Technical Indicator (AC) measures acceleration and deceleration of the current driving force. This indicator will change direction before any changes in the driving force, which, it its turn, will change its direction before the price. If you realize that Acceleration/Deceleration is a signal of an earlier warning, it gives you evident advantages.

The nought line is basically the spot where the driving force is at balance with the acceleration. If Acceleration/Deceleration is higher than nought, then it is usually easier for the acceleration to continue the upward movement (and vice versa in cases when it is below nought). Unlike in case with Awesome Oscillator, it is not regarded as a signal when the nought line is crossed. The only thing that needs to be done to control the market and make decisions is to watch for changes in color. To save yourself serious reflections, you must remember: you can not buy with the help of Acceleration/Deceleration, when the current column is colored red, and you can not sell, when the current column is colored green.

If you enter the market in the direction of the driving force (the indicator is higher than nought, when buying, or it is lower than nought, when selling), then you need only two green columns to buy (two red columns to sell). If the driving force is directed against the position to be opened (indicator below nought for buying, or higher than nought for selling), a confirmation is needed, hence, an additional column is required. In this case the indicator is to show three red columns over the nought line for a short position and three green columns below the nought line for a long position."

(*Source: http://ta.mql4.com/indicators/bills/...n_deceleration)
  • #2
  • Mar 22, 2009 8:05pm Mar 22, 2009 8:05pm
opened short at 1.3628, with 13-pip limit stop above recent swing hi
Attached Image (click to enlarge)
Click to Enlarge Name: mar232pm.jpg Size: 140 KB
  • #3
  • Mar 22, 2009 8:23pm Mar 22, 2009 8:23pm
limit buy stop hit. short closed.
Attached Image (click to enlarge)
Click to Enlarge Name: 23mar2.21pm.jpg Size: 135 KB
  • #4
  • Mar 23, 2009 5:21pm Mar 23, 2009 5:21pm
opened long at 1.3623. initial stop set on swing low below pivot point. initial target mr1.
Attached Image (click to enlarge)
Click to Enlarge Name: 24mar11.19am.jpg Size: 121 KB
  • #5
  • Mar 23, 2009 7:42pm Mar 23, 2009 7:42pm
eur long closed at 1.3660, limit sell order hit. +37pips.
eur went down to pivot earlier, but i chose not to close this position as AC turned from red to green before price broke one pip below today's pivot.
Attached Image (click to enlarge)
Click to Enlarge Name: 1.3660.jpg Size: 123 KB
  • #6
  • Mar 23, 2009 8:57pm Mar 23, 2009 8:57pm
opened gbpjpy long at 143.38. price was at MR3 forming doji. initial stop set one pip below doji at MR3. Target initially set where AC forms second red bar above zero.
Attached Image (click to enlarge)
Click to Enlarge Name: 24mar2.42pm.gif Size: 16 KB
  • #7
  • Mar 23, 2009 9:19pm Mar 23, 2009 9:19pm
hey kyuzo...I am a big Bill Williams fan.

Personally, based on the AC, I don't know how you figured your initial entry a safe entry. The 2nd entry signaled would have been much safer....Momentum going up just a few bars before the big run.

Also the trade in your 1st or 2nd post, based on everything I know about AC, I don't know why you took that trade.

Have you read his books?

Quoting kyuzo
opened gbpjpy long at 143.38. price was at MR3 forming doji. initial stop set one pip below doji at MR3. Target initially set where AC forms second red bar above zero.
"Keep your eyes on the helpers" - Mr. Rogers
  • #8
  • Mar 23, 2009 9:32pm Mar 23, 2009 9:32pm
gbpjpy long TP at 143.68
Attached Image (click to enlarge)
Click to Enlarge Name: 24mar3.30pm.gif Size: 15 KB
  • #9
  • Mar 23, 2009 9:46pm Mar 23, 2009 9:46pm
hi damonl,

I mainly trade using price action around pivot points--going long or short after price confirms a certain level. If ac confirms the move, well and good. If not, and price moves against me, I pay tuition for that trading lesson and move on to the next trade.

The first trade I posted was a bum trade. I'd appreciate it if you can point out how I would have done the trade better, or how to use AC to make better trades?

Thanks!

Quoting damonl
hey kyuzo...I am a big Bill Williams fan.

Personally, based on the AC, I don't know how you figured your initial entry a safe entry. The 2nd entry signaled would have been much safer....Momentum going up just a few bars before the big run.

Also the trade in your 1st or 2nd post, based on everything I know about AC, I don't know why you took that trade.

Have you read his books?
  • #10
  • Mar 23, 2009 9:57pm Mar 23, 2009 9:57pm
Quoting kyuzo
gbpjpy long TP at 143.68
hi kyuzo,

Been lookin at your chart on post #8, showing 2 red histogram below zero. BUT you initiated a BUY. Appears to conflict.(also refers to post#1 the conceptual statement)
Correct me If I'm wrong.
  • #11
  • Mar 23, 2009 10:25pm Mar 23, 2009 10:25pm
Buying below 0 is okay, but when he entered momentum was down and would have been better short for a few bars. Later, while still below 0 momentum was up and it would have been the proper long entry.

Quoting Satni
hi kyuzo,

Been lookin at your chart on post #8, showing 2 red histogram below zero. BUT you initiated a BUY. Appears to conflict.(also refers to post#1 the conceptual statement)
Correct me If I'm wrong.
"Keep your eyes on the helpers" - Mr. Rogers
  • #12
  • Mar 23, 2009 10:34pm Mar 23, 2009 10:34pm
Quoting damonl
Buying below 0 is okay, but when he entered momentum was down and would have been better short for a few bars. Later, while still below 0 momentum was up and it would have been the proper long entry.
Yup, that's true damoni
Probably, a naked person passes by and he misses the color. huhu
God bless you!
  • #13
  • Mar 24, 2009 12:23am Mar 24, 2009 12:23am
thanks for the input.

I did read williams' trading chaos, but not his other book (New Trading Dimensions: How to Profit from Chaos in Stocks, Bonds, and Commodities). I found this indicator with mt4, googled how to use it, and am now testing how I might profit from it.

i'll get me a copy of that other book (New Trading Dimensions: How to Profit from Chaos in Stocks, Bonds, and Commodities) and see how to use this indicator better.

cheers!
  • #14
  • Edited 4:20pm Mar 24, 2009 4:13pm | Edited 4:20pm
opened gbpjpy short 143.58. price moved below signal candle, ac three red bars. initial stop set at 143.82.
Attached Image (click to enlarge)
Click to Enlarge Name: 25mar1008am.gif Size: 16 KB
  • #15
  • Mar 24, 2009 4:45pm Mar 24, 2009 4:45pm
gbpjpy long stopped out at 143.82
  • #16
  • Mar 24, 2009 4:59pm Mar 24, 2009 4:59pm
Just using the AC alone, I would not have entered short here bacause to me momentum looks up.

series of lower highs and high AC value above 0 exceeded last high AC value above 0. All these things tell me bullish.

Hope this helps....

sorry..series of higher lows
"Keep your eyes on the helpers" - Mr. Rogers
  • #17
  • Mar 24, 2009 5:09pm Mar 24, 2009 5:09pm
I hope this is helpful to you.

Attached Image (click to enlarge)
Click to Enlarge Name: gj.gif Size: 21 KB
"Keep your eyes on the helpers" - Mr. Rogers
  • #18
  • Mar 26, 2009 4:25pm Mar 26, 2009 4:25pm
this indicator doesn't sit well with how i trade. i am going to stop posting to this thread as i am not going to use ac anymore. thanks for stopping by.
  • #19
  • Last Post: May 3, 2010 4:10pm May 3, 2010 4:10pm
I understand how everybody is saying how to use this indicator but I find in combination with stoch. oscillator and the zero point macd that the ac gives early and true divergence, so with all three indicators giving different divergence at different times I get more entry's that work for me. Look for divergence as you would on macd the highs and the lows.
0 traders viewing now