Trading Made Simple

Hi Big Emm,

Thanks for doing such summary. It is very helpful for us rookies to go through during the weekends.
Can I also ask for your kind favor to compare Big E's method with Medhi's? And the different TDIs the two use.

Also, the pros and cons of the two methods...

Much appreciated.

Regards,
WF

About lagging indicators:
There is nothing wrong in using technical indicators which are lagging so long as you know how to read the price action and apply just a few simple PA rules and let the TDI confirms the setup when trading this 5-Method.
Read this thread on regular basis and keep up to date with the developments.

Busting 5 Price Action Trading Myths
Today we are busting 5 of the biggest price action and indicator myths that have been around for years and that most traders just accept for a fact. Is price action really better than indicators, is price action leading and an easy way to read charts and price action is not a system, are among the myths we will discuss in the following article. Be aware, if you are a price action fanatic, you might be in for a real shock.

#1 Price action is better than indicators
There are two types of traders: the ones who think that indicators are the greatest thing in the world and traders who think indicators are the pure evil and just none sense and an invention to scam innocent traders.
The truth is both groups have neither understood what indicators nor what price action are. If a trader says that indicators are better, or worse than price action, he doesn’t know his craft.
Indicators and price are the EXACT same thing. Indicators just take what you see on your price charts, apply a formula to it and transform it into bars, graphs or other visual objects. A trader who thinks that price is superior to indicators has not understood this simple concept.


#2 Price action is leading, not lagging like indicators
Another myth is that price is leading and indicators are lagging. In other words, traders believe that indicators just describe the past, whereas price can provide information about what is going to happen in the future. Again, this is another none sense statement made by uneducated traders.
Both price action and indicators show the past and what has already happened. Think about it: everything on the left is the past and the white space on the right shows the limitless possibilities what could happen. When you see a pinbar, an engulfing bar, swing highs and lows or any other price formation or interpretation, it HAS ALREADY HAPPENED. To think that there is anything leading about such things is just pure ignorance. The same is true for indicators. Indicators just take what you see on your charts and apply a formula to it.
Price action and indicators are both lagging, but it doesn’t matter. As a trader, you don’t have to predict the future. You just have to find something that you can use to create an edge.


#3 Price action is objective, easy to follow and simple
‘Keeping it simple’ and ‘price action’ are used as synonyms among traders because they believe that price action is not discretionary and the signals are clear cut and obvious. Again, they couldn’t be further from the truth.
Candle size, the ratio of body and wicks, the position of the candle and the wicks, the ratio of the candles between each other and the development of candle size are just a few parameters that make it obvious that price action is not the easy way out for losing traders who don’t want to put in the work.
Price action is highly subjective and trading price action is even more discretionary than trading with indicators. Traders blank out this fact because they are looking for shortcuts which don’t exist.


#4 Price action charts are clean. Indicators are messy
This is one of the most favorite quotes of ‘trading gurus’ who are selling price action methods because they want to make traders believe that indicators are just cluttering your charts and hiding what is important. To stress their point, they will use screenshots of charts full of arbitrarily picked indicators.
In the end, it comes down to what you are comfortable with. Maybe you feel lost looking at a blank price chart without lines. Some traders need additional information and you require the guidance of pivots, moving averages, MACD or Stochastics; and there is nothing wrong about it. Remember, advertisers have used this slogan for years to trick help-seeking traders into believing that they have found a way to show them how to make money in an easy way.

#5 Price action is not a system. Price action IS the market
This brings us back to point #1: price and indicators are the SAME thing. Indicators don’t use random numbers to plot some curves on your charts; indicators use what you see on your chart and transform it into a visual manifestation.
Price action is just a ‘trading system’ like anything else. At some point, some smart marketers had the idea to pick random names for certain formations such as support and resistance, pinbars, Fibonacci, Elliot waves, harmonic patterns and then align examples of how they could be used to predict what is going to happen next.
Again, it does not mean that price action is bad or that it does not work, but you have to understand that price action is nothing special. Price action and indicators are the SAME thing.

Conclusion: Accept that price action and indicators are the same
We can’t stress this enough. Don’t fall for the smart marketing tricks of ‘trading gurus’ who promise you the easy and ‘real’ way to make money in trading. Just because price is located above your indicator windows, it does not mean that it is superior to it.
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Hope this post / webpage will stop this nonsence that TDI is lagging and Price Action is the way to go.

BigE used both, so should you.

thanks for this guide. which tdi version would your recommend for backtesting?

If you want to trade the system of the dead OP (RIP) just follow his posts. Emmanuell7788 is the highjacker and destroyer of this thread who cant trade the system. He unrespect the wishes of dead and uses the unmoderated, popular thread for promotion of his private clubs. Dont belive him. Hes lying for years about opening his own thread because everbody would see the scam. Be safe newbies, follow the facts.


Have a nice weekend.

Thank you for such a well constructed, informative post Tekkies.

Who's developments, emmanuel? Your's?

This method has been already developed by BigE. It does not need any further development.
Post#7577 For those newbies go to www.babypips.com and learn about basic forex principals..

Why do you keep on harping about Craig Harris Stochastics Method. The two metodes are not the same.
Always check the #1- Price Action first, then #2- TDI Post#3142.
By BigE in this thread:
Post#1 "The key to this method is the Traders Dynamic Index indicator for entries and exits."
Post#119 "On this method the TDI is King. All trades are signaled by it as well as exits... "

Again from Craig Harris Stochastics Method
Are you really doing what BigE asked in this post supplied by you or are you flooding it with non relate topic's aka your agenda?
Big E wanted us to build this TMS thread together... Post#4,432

Find it source amusement that you comply two pdf's and how your post's over the years time after time contradict those two pdf's
Best of Big E Parts 1 and 2 are in this post Post#76,986

Your recommendations?
Again why included Craig Harris Stochastics thread. The two metodes are not the same.
It really seems you are trying your utmost best to confuse members so that they have to ask you for advice how to trade TMS

On this I agree with you.
If you are overwhelmed (information overload) by the number of posts and the loads of information and variations shared by other traders here, the best thing to do is to stop reading and go back to the basics what Big E mentioned in his 463 posts in this thread and 861 posts in the CHS thread. First you learn and master the 5-Method first before you start add your own tweaks and make a new ‘system’.

TMS 5-Method is the simplest trend trading method here in Forex Factory and it works in all timeframes because there is a trend in every timeframe and we trade the trend of the moment.

Are you giving the member's change to do this?
Read and study Big E's original posts and his training charts. Give yourself a chance to trade this method in 2018.

Jester not my work, only copied to TMS

The important fact is, that it has more value than a load of multiple posts. Specifically designed to confuse new traders. And that you have some principles.

Why it is so important that you all must read all the OP's posts here in FF starting with in the old thread.

The OP shared several methods in the old thread title Craig Harris Stochastic Method. That title was not his choice because when he started that thread it was for trading GBPUSD M15 trading. But when he regularly made reference to Craig Harris trading, videos, workshops, etc. that thread title we change by FF Admin. and moved to the Commercial forum for obvious reason that it was promoting Craig Harris and also Dean Malone CompassFx.

If you read all the posts in the Craig Harris Stochastic thread, the OP shared other two other methods - 5-Method and 21/233 Method Post#3018, Post#4104,

After months of postings and answering many frequently asked questions FAQs, the OP decided to start a new thread back in the Trading System forum and he made the jump to this new Trading Made Simple thread on 26 April 2011. . Post#4432 is very simple English that the 5-Method discussions continues in this TMS thread.

It is very clear that he mentioned in Post#5, that in this new thread we discuss only the 5-Method.

For those who trades M15, that old thread has some good example how the OP traded M15 with both the 5-Method and the 21/233 Method. In my experience, both the methods works and you need discipline to trade them and make money.

So for the one like Tekkies who has reading and comprehension deficiency, I hope the above explains why some of my posts referring back to the old thread title Craig Harris Stochastics .... The thread title is misleading many people because in that same thread are several trading methods shared by the OP. How the 5-Method started is all in that old thread. That so simple the OP took the Synergy system and remove some things to make it simple for himself.

I know many people tried his 5-Method mentioned in this thread and are not able to make money despite trying for 1 to 2 years. I see many members here tried for few months and then hop onto other threads looking for a winning system here n FF. This is evidence that many members tried but could not trade the way the OP traded ... i.e. aggressive reversal entries using the APB candle 1 and 2. This is a serious problem here because most people could not identify price action reversal at key support / resistance. We see a few members posting here often and they post only winning trades. Some do not even trade this method but make all kinds of allegations about me and what I do here. I have been here for more than 6 years and I have seen all that have happened here longer than most members trading TMS 5-Method.

Tekkies not only copy and pasted the OP old posts ,he plagiarized the OP posts every word and made them look like he wrote them himself.

My message to all people reading this thread is to follow this post and read all of the OP post here in FF and get to know the OP. When he started in 2008 as a newbie trader like all if us at one point in time and learn how he evolved as a trader from 2009 till 2010 until the time he start this TMS thread. You must know him, his lifestyle and his trading style especially his money and risk management. He traded with 2 to 5 standard lots with his $10k account. He treated that $10k account as money he would take to Las Vegas (post#557). When he traded with large standard lots, then you should know why he would exit his trades when price pulled back 15 to 20pips only when he was monitoring his trades... otherwise he would used a Stop Loss.

How many of you trade with real money using 2 to 5 standard lots in one single entry? That's very high risk.

You read a lot of bullshit posts by this dubious member name Malony who obviously is not a trader yet, he cannot trade and surely he is not trading TMS 5-Method.
He is a master at making allegations every week whenever I post in this thread. He keep on repeating that I lied about starting a new thread because he is dying for a new thread so that he can learn new things because he has not developed his own winning trading system that fit him. He is too lazy to read all the OPs post and he is obviously too lazy to read all my posts here in this thread and also in the other two TMS system threads -
https://www.forexfactory.com/showthread.php?t=345586
https://www.forexfactory.com/showthread.php?t=327972

The OP died in 2012, its time for you all to read and learn and understand what trading made simple is about. You then move one and develop your own winning systems that fits you and you only. I have done my own develpments, so have many other members who work closely with me and develop their own systems and they are no longer posting in this Comedy Thread. This is now your Comedy Thread and we can all read for some entertainment.

Good luck folks.

and don't forget one other thing which I mentioned in many of my old posts ---- the Average Weekly Range using 52 weeks.
target 40%, 60% and 100% of the AWR 52 weeks. Always measure that from the last swing high/low and not from the Week Open.
in strong trending week, the target can be 120% AWR 52, this is where the exhaustion occurs by end of week, Friday.

most weekly swig high / low is between the 60% to 100% range and the correction 'reversal' can be traded on weekly basis.
you need to pay attention to the intra-week swings - using the APB/HA and the 5EMA,Typical Price, Shift+3 is important.

This is a very good example that Tekkies is plagiarizing others by copy and paste of their work.

Nothing he wrote in his post are his own work and words... even the spelling mistakes...LOL.

use the TDI_RT (realtime version)

see this post for download:
https://www.forexfactory.com/showthr...71#post6625171

when you use this TDI version, then your study of the OP training charts it will be correct what he said in his training charts actually refers to the TDI RT version and not his TDI Red Green which repaints all bars in history.

Now you ask the right question and you will learn why those people who tried to learn from the OP's training charts and then tried to trade like him using the TDI Red Green and have many losing trades and not able to make money.

Tekkies,
Obviously you do not read well. You did not learn because reading and understanding skills are both very lacking. You have a mental blockage in your brain like the plague in your blood arteries that caused your high blood pressure.

Big E only shared his technical trading methodology. The 5-Method is simple and that is the core methodology I trade with.

Two important things which Big E did not share.

1) He did not share his Money Management strategy other than treating his money like money he would take to Las Vegas.

2) He did not share anything on Trading Psychology and on Mental Strategies.

What I shared with members here is to help them develop other entry and exit strategies like using Multi-Lot entry and exits, Multiple Entries Multiple Exits to improve their trading profits and bottom line.

In the trading psychology part, it is very difficult to talk about in written forums. It is more effective when members can talk to one another in person about their trading psychology issues.
The other way is I share with people the books I read and make reference to those books like the ones below.

Good luck , you need this much more because you trade with TDI cross only.

Looks like you hit a nerve Tekkies.

As predicted here

Watch your backs guys

No, he didn't hit any of my nerve.

I have some good old habits which I can repeat one thousand times when I feel it is necessary.

Medhi' Method#1 works well in strong price trends and when the Stochastics (14,3,3) is above the overbought or below the oversold and the TDI cross or bounce. Usually those set-ups are good for 2 to 3 candles run only
That is the reason why he would trade in the morning when D1 candle open and close his trade by end-of-day.

By the way, we are not allow to mention Medhi because he is now w commercial member and FF Admin may think we are promoting his commercial stuff.

No problem. Of course you can, as you are posting on a dead persons thread and there is no one to moderate it.

By now, you have become obvious despite yourself.

This is great news. Why? Because the more you posts you produce, the more evidence there is of what your agenda is here.

Should have written in the previous post right at bottom.

"Now emmanuel is going to make it personal. Attack the poster and not the context of what have been posted."

Shame on you emmanuel.

It is a shame FF Admin don't take a more active role in policing this thread.

Hey, emmanuel why are you posted in the "Comedy Thread"?
It seems you like to read your own post's for some entertainment, which indicate that none of your post's must be taken seriously.

As mentioned before emmanuel your post's contradict them-self's on a regular base.

By the way emmanuel "develpments" correctly spelled is "developments"