If you can't read thru this entire thread, go back to at least about post #1186 & read forward from there.
There are VP 'haters' and VP 'lovers'. You'll figure out who's who "pretty quickly".
BeachBum said it right - VP is like a chainsaw... a very powerful & dangerous tool - that can also be very useful if you know how to use it.
Have a look at the 3 attached charts.
Visit traderplanet.com if you haven't already. There is 'tons' of VP info there,along with plenty of other stuff too.
Especially check out the "VP User Series"...Ignored
I assume you are still around
I see your point about the NI flagging good trades and frequently when looking at those charts but I have a few points that may be worth remembering
- you entry assumes open at the next bar but given the Forex markets is a 24 hr market your slippage could be quite large
- If I understand correctly your Risk is +/-20 pips above/below the High/Low of the analysis bar. Surely this could mean taking quite a large risk e,g 200+ pips, for a gain of 100 pips (your target I think?)
- given the above, accurate backtesting entails looking at the intraday action at the time you would have taken the trade, for FX my understanding is that EOD is 18:30 est time(correct me if I am wrong) , so by the time you download data and analyse the market could have moved a lot
I wouldn't just trade off the NI alone and I am not suggesting you would either but these points should be remembered when looking at your charts.
I do like the looks of the third strategy you mentioned in the VP newsletter, do you still trade it?
Interested in opening a dialogue to discuss VP, pm me if interested