Purpose For This Thread
I developed an automated trading strategy based almost entirely on James16 ideas.
While it's already quite good, I seek James16 and others input to make it better.
Thus this thread will journal the progress in developing and testing this strategy.
Anyone else is welcome to follow and offer ideas or ask questions.
Background of My Journey So Far
The rest of this post is based on James16 comments of the challenge of determining
a students "level" of knowledge and progress in trading. Hopefully, this will assist
him and others to give me advice that fits my level of understanding.
About me: I am a net break even trader off and on for over 25 years. In the past,
I learned and tried just about every trading technique and software or technology
that you can imagine. From TradeStation to Neural Networks and everything
in between. Most of my profitable trades were using options on futures. I also
built Forex automated systems that would profit for a couple months and then
start losing. As a software engineer, I even built my own automated trading platform
from scratch that runs on tick data to try intraday and high frequency trading. I
spent years on every technique for intraday and HFT and but nothing when testing
it live was really profitable. Later I studied in depth on Forex news and built
automated ways of trading the news. None of them resulted in exciting
results either.
Interestingly, I failed many, many times to figure out how to automate drawing S/R
lines to remove the inherent subjectivity but to no avail.
Eureka With James16 Videos
I truly felt my eyes opened for the first time when watching James16 videos on
price action particularly on support and resistance. Now, using his ideas, it became
clear how to automate finding correct support and resistance. And I succeeded!
Early Results From Historically Testing James16 Ideas
Now, in just several few days, I put together a new automated trading strategy
based on James16 ideas using pin bar and outside bar as entries and trailing
a stop behind the significant S/R, "pivot zones". And it's fabulous so far! Already,
out of the gate, it's amazing. The yearly returns without compounding are
"staggering" just as James16 said they would be. And it works fabulously on
every Forex single symbol pair.
Wow!
These early results prove to me that James16 has the correct understanding of
S/R. Also it shows that this is highly predictable and consistent price action. So
now I'm committed to growing in my learning of the James16 approach and
welcome and seek input from James or others who are experienced.
Areas For Improvement And Discussion
The main area where the automated strategy needs improvement is during range
trading markets. So that will be a topic of this thread.
Also, there are obviously more signals for entry than just pin bar, and outside bars.
James16 mentions "2 bar pin bars", among others. So I want to add all of these
to the strategy to catch even more trend reversals.
"Treat Trading as a Business" - James16
For the record, I agree. I will follow James16 advice to "paper trade", then trade
small, and only fund when successful at each stage. As an automated trader,
my first step prior to those is coding and testing the trading rules along with
learning the James16 approach.
The next post will contain charts and description of the strategy at this stage
of development.
I developed an automated trading strategy based almost entirely on James16 ideas.
While it's already quite good, I seek James16 and others input to make it better.
Thus this thread will journal the progress in developing and testing this strategy.
Anyone else is welcome to follow and offer ideas or ask questions.
Background of My Journey So Far
The rest of this post is based on James16 comments of the challenge of determining
a students "level" of knowledge and progress in trading. Hopefully, this will assist
him and others to give me advice that fits my level of understanding.
About me: I am a net break even trader off and on for over 25 years. In the past,
I learned and tried just about every trading technique and software or technology
that you can imagine. From TradeStation to Neural Networks and everything
in between. Most of my profitable trades were using options on futures. I also
built Forex automated systems that would profit for a couple months and then
start losing. As a software engineer, I even built my own automated trading platform
from scratch that runs on tick data to try intraday and high frequency trading. I
spent years on every technique for intraday and HFT and but nothing when testing
it live was really profitable. Later I studied in depth on Forex news and built
automated ways of trading the news. None of them resulted in exciting
results either.
Interestingly, I failed many, many times to figure out how to automate drawing S/R
lines to remove the inherent subjectivity but to no avail.
Eureka With James16 Videos
I truly felt my eyes opened for the first time when watching James16 videos on
price action particularly on support and resistance. Now, using his ideas, it became
clear how to automate finding correct support and resistance. And I succeeded!
Early Results From Historically Testing James16 Ideas
Now, in just several few days, I put together a new automated trading strategy
based on James16 ideas using pin bar and outside bar as entries and trailing
a stop behind the significant S/R, "pivot zones". And it's fabulous so far! Already,
out of the gate, it's amazing. The yearly returns without compounding are
"staggering" just as James16 said they would be. And it works fabulously on
every Forex single symbol pair.
Wow!
These early results prove to me that James16 has the correct understanding of
S/R. Also it shows that this is highly predictable and consistent price action. So
now I'm committed to growing in my learning of the James16 approach and
welcome and seek input from James or others who are experienced.
Areas For Improvement And Discussion
The main area where the automated strategy needs improvement is during range
trading markets. So that will be a topic of this thread.
Also, there are obviously more signals for entry than just pin bar, and outside bars.
James16 mentions "2 bar pin bars", among others. So I want to add all of these
to the strategy to catch even more trend reversals.
"Treat Trading as a Business" - James16
For the record, I agree. I will follow James16 advice to "paper trade", then trade
small, and only fund when successful at each stage. As an automated trader,
my first step prior to those is coding and testing the trading rules along with
learning the James16 approach.
The next post will contain charts and description of the strategy at this stage
of development.