7R ok why did you hold that long?
Target? Where and why is Target?
Target? Where and why is Target?
FREE Double Top/Bottom Indicator - Very Good Edge
- #84
- Dec 14, 2017 9:22am Dec 14, 2017 9:22am
All 10 copies sold! The coupon is now deactivated. A big thank you to all who purchased the Double Top/Bottom Alerter! You will not regret the purchase
Hi Mike,
Very good business. Congratulation!
Good trade.
{quote} Great work
Those people who bought the alerter-tool yesterday and use it with default configuration (>=M30) today became the following two signals.
Double Tops on GBPUSD and EURUSD:
The trades gave good profits:
I don't sell rubbish. And I don't hide losing trades on historic chart areas. All users of the FREE indi see the good and the bad trades with the indicator on historic charts. They can also do forward tests in the strategy tester of MT4. Then they decide to buy the Alerter-Tool. That's fair business.
- #89
- Edited Dec 16, 2017 12:23am Dec 15, 2017 3:56am | Edited Dec 16, 2017 12:23am
Before I will publish my new FREE service Double Top/Bottom Signals Via Telegram With Voting next week I will write a detailed article about how to select the best double tops/bottoms during the weekend.
The experienced traders will know how to defiine the best signals. But the less experienced traders will have a better understanding of how to filter the signals so that they can choose only the best ones.
I will now give a preview of the content of the new article. The following screenshot shows two good signals on Crude Oil which could be traded without hesitance.
But what makes those signals good? Of course it's not the result of the signals! It's the position of the signals which makes them good
If you draw a trend line then you will see that the double bottom is a perfect trend continuation double bottom:
A good target for this double bottom could be the upper boundary of the trend channel. You can get the channel of the trend if you copy the trend line and then move the copied line parallel to the original trend line. The copied line should touch the recent high of the preceding move.
As labeled in the following screenshot the price level where the copied line is touched could be a good first (or final) profit target for the long trade:
The position of the double top is good because we saw a climactic price move before the double top occurred. The climactic price move induces a lot of long traders from the herd into the market. The smart money (as a market maker) automatically gets heavily short as you will see later. Also the climactic upward move creates enough space to the rising trend line. The rising trend line can be used as a profit target:
The following screenshot shows the chart from the view point of the actions of the market marker (smart money). The actions of the market maker are the contrary of the actions of the majority of the herd. If the majority of the herd is buying then the market maker is selling and vice versa. If you understand the following chart then you can better select the best signals:
Explanation of the points in above chart:
1) Price is in downward trend. Market maker is buying and gives parts of the short position back to the herd, with profit (profit release phase)
2) Market maker is selling. Market maker is re-accumulating the short position (re-accumulation phase).
3) Market maker makes final profits from the short position (profit release phase). Market maker has no short position left.
4) Market maker starts accumulating a long position. The herd is still selling. (accumulation phase)
5) Further accumulation of long position by the market maker. (accumulation phase)
6) Final accumulation of long position by the market maker. Fast reversal of the trend. (accumulation phase)
7) Market maker takes profit -> sells to the herd, the herd is buying (profit release phase)
8) Further profit taking by the market maker. Long position of the market maker gets smaller (profit release phase)
9) Re-accumulation by the market maker. Market maker fills long position -> detect with the double bottom signal (re-accumulation phase)
10) Further profit taking by the market maker. Long position of the market maker is now completely sold to the herd (profit release phase)
11) Market maker starts accumulating a short position. (accumulation phase)
12) Market maker accumulates more short orders (accumulation phase)
13) Final accumulation of short position -> fake breakout and fast reversal -> detected as double top (accumulation phase)
14) Market maker buys back parts of the short position with profits. The herd is selling to the market maker. (profit release phase)
15) Re-accumulation by the market maker. Fills the short position again. (re-accumulation phase)
16) Final profit release phase. Short position is now completely sold to the herd (profit release phase)
17) Market maker starts building a long position (accumulation phase)
18) Market maker adds to the long position (accumulation phase)
19) Final accumulation then fast reversal (accumulation phase)
20) Market maker takes profits -> herd is buying, market maker is selling to them with profit (profit release phase)
Because of the explanations it is obvious that the double bottom is perfectly in synch with the cycle of the market maker. If a double top signal would have occurred within the area of the double bottom then this double top would have had a low probability of success. The reason is that the market maker has recently started an upward cycle and that there is only a low probability that the market maker already changed from net long to net short in such a short period of time. Therefore the market maker is most probably still net long and will drive the price further upwards.
The double top signal which was detected by the indicator has a high probability and a big profit potential because the preceding climactic price action gives a hint that the market maker can't have a big remaining long position and most probably already got net short.
Here the link to the FREE Double Top/Bottom Indicator
The experienced traders will know how to defiine the best signals. But the less experienced traders will have a better understanding of how to filter the signals so that they can choose only the best ones.
I will now give a preview of the content of the new article. The following screenshot shows two good signals on Crude Oil which could be traded without hesitance.
But what makes those signals good? Of course it's not the result of the signals! It's the position of the signals which makes them good
If you draw a trend line then you will see that the double bottom is a perfect trend continuation double bottom:
A good target for this double bottom could be the upper boundary of the trend channel. You can get the channel of the trend if you copy the trend line and then move the copied line parallel to the original trend line. The copied line should touch the recent high of the preceding move.
As labeled in the following screenshot the price level where the copied line is touched could be a good first (or final) profit target for the long trade:
The position of the double top is good because we saw a climactic price move before the double top occurred. The climactic price move induces a lot of long traders from the herd into the market. The smart money (as a market maker) automatically gets heavily short as you will see later. Also the climactic upward move creates enough space to the rising trend line. The rising trend line can be used as a profit target:
The following screenshot shows the chart from the view point of the actions of the market marker (smart money). The actions of the market maker are the contrary of the actions of the majority of the herd. If the majority of the herd is buying then the market maker is selling and vice versa. If you understand the following chart then you can better select the best signals:
Explanation of the points in above chart:
1) Price is in downward trend. Market maker is buying and gives parts of the short position back to the herd, with profit (profit release phase)
2) Market maker is selling. Market maker is re-accumulating the short position (re-accumulation phase).
3) Market maker makes final profits from the short position (profit release phase). Market maker has no short position left.
4) Market maker starts accumulating a long position. The herd is still selling. (accumulation phase)
5) Further accumulation of long position by the market maker. (accumulation phase)
6) Final accumulation of long position by the market maker. Fast reversal of the trend. (accumulation phase)
7) Market maker takes profit -> sells to the herd, the herd is buying (profit release phase)
8) Further profit taking by the market maker. Long position of the market maker gets smaller (profit release phase)
9) Re-accumulation by the market maker. Market maker fills long position -> detect with the double bottom signal (re-accumulation phase)
10) Further profit taking by the market maker. Long position of the market maker is now completely sold to the herd (profit release phase)
11) Market maker starts accumulating a short position. (accumulation phase)
12) Market maker accumulates more short orders (accumulation phase)
13) Final accumulation of short position -> fake breakout and fast reversal -> detected as double top (accumulation phase)
14) Market maker buys back parts of the short position with profits. The herd is selling to the market maker. (profit release phase)
15) Re-accumulation by the market maker. Fills the short position again. (re-accumulation phase)
16) Final profit release phase. Short position is now completely sold to the herd (profit release phase)
17) Market maker starts building a long position (accumulation phase)
18) Market maker adds to the long position (accumulation phase)
19) Final accumulation then fast reversal (accumulation phase)
20) Market maker takes profits -> herd is buying, market maker is selling to them with profit (profit release phase)
Because of the explanations it is obvious that the double bottom is perfectly in synch with the cycle of the market maker. If a double top signal would have occurred within the area of the double bottom then this double top would have had a low probability of success. The reason is that the market maker has recently started an upward cycle and that there is only a low probability that the market maker already changed from net long to net short in such a short period of time. Therefore the market maker is most probably still net long and will drive the price further upwards.
The double top signal which was detected by the indicator has a high probability and a big profit potential because the preceding climactic price action gives a hint that the market maker can't have a big remaining long position and most probably already got net short.
Here the link to the FREE Double Top/Bottom Indicator
- #90
- Edited 8:41am Dec 15, 2017 8:19am | Edited 8:41am
Here is an actual real-chart example of a bad double top which I explained in the post above.
Such double tops should not be traded. Never trade against a peak!
The sharp reversal which formed a V was the beginning of a new upward cycle of the market maker. It needs time and a big move for the market maker to transition from net long to net short. The upward move was not big enough to get the market maker from net long to net short. The downward move which gave the double top signal was a final stop hunt (re-accumulation of long position) by the smart money before the profit-phase resumed:
The same is true for the double bottom labeled in the following screenshot. There was an inverted V which tells us that a new downward cycle of the market maker started. The double bottom signal came too early. The move which created the double bottom signal was a stop-hunt before the profit-phase resumed:
Do you remember the double top on GBPUSD which I posted yesterday. This double top was better because it was not directly against a V and the preceding upward move gave room for a big downward move:
I assume these examples highlight the difference between good and bad trend reversal signals.
Such double tops should not be traded. Never trade against a peak!
The sharp reversal which formed a V was the beginning of a new upward cycle of the market maker. It needs time and a big move for the market maker to transition from net long to net short. The upward move was not big enough to get the market maker from net long to net short. The downward move which gave the double top signal was a final stop hunt (re-accumulation of long position) by the smart money before the profit-phase resumed:
The same is true for the double bottom labeled in the following screenshot. There was an inverted V which tells us that a new downward cycle of the market maker started. The double bottom signal came too early. The move which created the double bottom signal was a stop-hunt before the profit-phase resumed:
Do you remember the double top on GBPUSD which I posted yesterday. This double top was better because it was not directly against a V and the preceding upward move gave room for a big downward move:
I assume these examples highlight the difference between good and bad trend reversal signals.
Mike, I am trading with the Double Top/Bottom indicator for 2 days and am amazed at how well the indicator works. My respects and many thanks. The PTS-Alerter is looking for the signals for me.
I hope that we will get a lot of fellow traders into the telegram group starting with next week where we can have fruitful discussions of the signals. If enough people join then this will be a great learning environment.
The indicator is good. Our brains will boost the results even more
{quote} Thank you Robin for you kind words! This is really nice to hear
Greets / LG
Rob
Do you remember these two signals which I posted some days ago:
If you would have hold both trades 5 days then both signals would have produced 31R:
But that's not all. If we look at the bigger picture of the Daily timeframe then we see that the rising trend line is already broken which gives a lot of free space to the downside.
If we look on the chart in greater detail then we can see that a bearish divergence developed on the Daily timeframe. This added to the probability that this trend reversal could break the rising trend line.
Now imagine how big these trades can get if free space 1 or even free space 2 are reached.
Such things as analyzing the bigger picture can only be done with our eyes. Then we can see the value of a signal in relation to the bigger picture.
If you would have hold both trades 5 days then both signals would have produced 31R:
But that's not all. If we look at the bigger picture of the Daily timeframe then we see that the rising trend line is already broken which gives a lot of free space to the downside.
If we look on the chart in greater detail then we can see that a bearish divergence developed on the Daily timeframe. This added to the probability that this trend reversal could break the rising trend line.
Now imagine how big these trades can get if free space 1 or even free space 2 are reached.
Such things as analyzing the bigger picture can only be done with our eyes. Then we can see the value of a signal in relation to the bigger picture.
- #95
- Edited 7:04am Dec 16, 2017 6:46am | Edited 7:04am
You can trade such divergences on the Daily timeframe with signals on lower timeframes in direction of the divergence with minimal effort.
After you spot a divergence on the Daily timeframe you can configure the Alerter-Tool as shown in the following screenshot. Enable only short-alerts, for the instrument GBPNZD and only for the timeframes M5 to H4:
Then the dashboard of ther Alerter-Tool will look like this:
The Alerter-Tool then will check the instrument for double tops on the timeframes M5 to H4 every second and will alert you via MT4, E-mail and Push-Notifications.
Here the link to the Free Indicator and the Alerter-Tool
After you spot a divergence on the Daily timeframe you can configure the Alerter-Tool as shown in the following screenshot. Enable only short-alerts, for the instrument GBPNZD and only for the timeframes M5 to H4:
Then the dashboard of ther Alerter-Tool will look like this:
The Alerter-Tool then will check the instrument for double tops on the timeframes M5 to H4 every second and will alert you via MT4, E-mail and Push-Notifications.
Here the link to the Free Indicator and the Alerter-Tool
FX Mike - purchased my copy of the alerter. Seems a bit high on PC usage. Will have to watch that. But I love what I see thus far and it could be a great addition to an EA I am working on that is not posted on FF yet. Perhaps something we can collaborate on?
thank you for the purchase!
Please configure MT4 to allow a maximum of 1000 candles (or try some more if you need to see more candles) on the chart and your PC usage problems should be gone:
I think you need to restart MT4 after that.
Best regards
Mike Semlitsch
- #99
- Edited 6:10am Dec 17, 2017 5:38am | Edited 6:10am
The following screenshot shows the bearish divergence on GBPNZD on the timeframe D1:
As I described in the posts above you can trade such divergences with the Double Top/Bottom Alerter with nearly zero effort.
The following video shows all double top signals of the timeframes H4 to M5 which were automatically detected in the chart area of the divergence on the Daily timeframe.
H4 -> no signal
H1 -> no signal
M30 -> 1 good signal
M15 -> 1 extremely good signal, 1 losing signal
M5 -> 2 extremely good signals
The alerter does the hard work and checks the chart every second. In the moment when a signal occurs you will get alerted via MT4, E-Mail and Push-Notifications.
Here the link to the FREE Double Top/Bottom Indicator
As I described in the posts above you can trade such divergences with the Double Top/Bottom Alerter with nearly zero effort.
The following video shows all double top signals of the timeframes H4 to M5 which were automatically detected in the chart area of the divergence on the Daily timeframe.
H4 -> no signal
H1 -> no signal
M30 -> 1 good signal
M15 -> 1 extremely good signal, 1 losing signal
M5 -> 2 extremely good signals
Inserted Video
The alerter does the hard work and checks the chart every second. In the moment when a signal occurs you will get alerted via MT4, E-Mail and Push-Notifications.
Here the link to the FREE Double Top/Bottom Indicator
- #100
- Dec 18, 2017 1:57am Dec 18, 2017 1:57am
A double bottom signal was alerted on EURAUD H1 on Friday. Didn't want to enter before the weekend. Made an entry today at a better price.
It's a good risk/reward trade. Independent of the result of this trade, such trades make very much sense.
It's a good risk/reward trade. Independent of the result of this trade, such trades make very much sense.