Walk the Talk from a fun loving discretionary trader

This thread is my own trading journal. I will be sharing here whatever tools and ideas I find useful for my actual live or demo trading of any asset.
But my main focus will be on curating contents from the observations and experience of OHLC traders who I believe have genuine interest in sharing their knowledge rather than attracting followers or would-be customers.

In many ways, you can consider it as an addition to my thread for retirees looking for income and elderlies wanting to keep their brains occupied and active.

https://www.forexfactory.com/thread/...r-traders-with

Having acquired the trading skills by intensive practice and live trading, I am essentially a discretionary trader using a Single Screen populated by MTF OHLC indicators to get information but not any trading entry signals. I strictly follow my own brain that provides me signals to enter or not.

TE explorer set up by me reflects transactions which I want to trade or the ones that I don't want to do because it satisfies my emotions goading "to sell low and buy high"

https://www.cnbc.com/2016/04/26/inve...s-impulse.html

Besides I want to get to know how fast or slow mean-reversion will be like for a particular asset (symbol).

For the time being , I am using DAX and Dow Jones indices for trading.

I will mainly be curating content posted by experienced traders to learn from their observations rather than promote anyone or myself.
I will not be answering any post.

I am both a spot and options trader. So I will be sharing my observations about Open Interest as well.

In General, I try to find out from experienced traders what are volatile and active tims for trading DAX or WS30?

Hours: Which hours ? Is it Open and Close hours, overlap of UK, US , or opening or closing hours of options market open and close hours?.
Week Days: Like for today is Friday. It behaves different from Monday or Tuesday or other week days.
Which months? Quarterly closing, or seasonals like Summer and Winter, etc.
Pre-pubic holidays days?
Post- public holidays day?
Pre- News times - which regular economic release news events really move market?
Post-New times - which one of the news events generate more volatiliy?

Brixen replied on Correlation

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And on good times to trade

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WEEKEND BLUES

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NEWS TRADING

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WAVES...CYCLES

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Courtsey George AUS, who believes "the Master is Right. Learners can't be other than followers" has provided a pdf link to explain Waves in a very lucid manner.

Attached File
https://cdn-assets.faireconomy.media...attach/pdf.gif Five_Waves_to_Financial_Freedom (1).pdf 4.7 MB | 1,871 download
I am a discretionary trader who trades for the day . I have to fish for myself.

Today being Thursday I just took a glance at PutCall ratio of Open Interrest for ODAX options to get some clue about where the prices might move today.


Does not look like there are any particular significant positions to fight for between sellers of Calls and sellers of Puts.

Between strike price of 13900 to 13600 Put option sellers are getting tough time. Even though options are closing in Feb and March, they are getting the right message.
By today, they are likely to liquidate their Put options.
The possibility of Dax remaining flat until the options market remains open tonite is quite strong.

We can check next week if today's price volatility has affected change in Put/Call ratio sentiment.
Price range likely: 13400 to 13 700.

The strike price of 13000 strike price in March has astounding Put to Call ratio of 7.513. The expectation is the market will boom.
So Put options sellers find 13000 level lucrative

Looks like my brain is doing something right.
Just set up TE and here is the performance. For statistics you can go to my TE by clicking the graph.

Now that the options market has closed, the range expected is between 13600.

J FRIDAY FUNDA of DAX - January 22, 2021

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Friday Funda - January 29, 2021

GROW LIKE A VINE TREE

As a trader you can't grow like a tree. You can't afford to. You have to grow like a vine plant. https://youtu.be/nazns18E9rI

How do I go about selecting instrument or symbol for trading?

Why I chose wall street 30 symbol: ws 30 as a CFD candidate.for trading on MT4?

Goal:

60% gain probability in a month
15% max drawdown if liquidated by timeline and not by SL
Strictly use Time metrics to plot exit with or without gain.
Use single symbol for specialisation

Criteria;

High volume
High price volatility in pips/points/$ticks terms (twice of GBPJPY the fx instrument I am quite familiar with)
Total trading costs including ask-bid spreads and commission not more than 2% of ADR
Intra-day active trading with no more than 4 hours of screen time
Margin not more than 5%
ADR Pip value in dollar terms at least 20% of margin

Why WS30?

The margin is 5% or around $1,800 per contract (tied to index value of 33,000 ) and $1 per pip value.gain
ADR is 350 in a day, far more than any of forex volatile pairs.
Spreads plus commission are 4 points for two way transaction. About 1.5% of ADR.
Hot hours: 1 hour after weekly open on Monday, and 30m prior to Frankfurt trading hour open and 30m prior to open of NY even though the trading goes on for 23 hours.

Entry triggers

Fundamental - News and/or Momentum emanating from hot hours indicated.

Are you also willing to share whats your strategy for trading WS30? And what are your results so far?

In discretionary trading, you have to pursue any strategy you like.
You can view my TE and try to learn from it . All data is open to pubic, including results.

Today's Trading Range for WS30.
Has the top for Asian session reached?
If yes, this is the trading plot

Dear Simnz,
I cannot find this symbol in either Pepperstone nor AXiTrader.
Would you please tell me which platform offers this instrument?
Thanking you most sincerely,
Hercs.

My platform is Darwinex. But you can find it on all platform. It is Dow Jones 30 index. Brokers use their own symbol for this.

Latest update. Top reached in Asian and early Europe session was +100 pips more.

[quote=simnz;13386012]How do I go about selecting instrument or symbol for trading? Spreads plus commission are 4 points for two way transaction. About 1.5% of ADR.

Bid/ask spread represents the cost to a trader, in addition, to trading commissions.
Suppose a frequent trader can always trade CFDs at bid/ask spreads of 1.00
Scalp trades will cost 2 pips on both sides plus commission. Roughly 4 pips per trade involving entry and exit.
If Scalp trades result in a gain of 20 pips for every trade, then 4 pips mean 20% of the gains will be meeting the broker fees and spreads.

For positional trades lasting a day your gains have to be compared with Average daily Range of the symbol.
WS30 . And for trades for more than overnight it attracts swap rates.

FF has a lot of ADR indicators available. You can take an average of 5 or 10 for calculation.

Thank you, I eventually worked it out via Google.
I have been trading US30 for years now and I agree with you that in terms of volatility nothing beats it.
Your times of trading that you mentioned, does not correspond with my experience, but I constructed a template especially to confirm that.
Do remember that US30 is linked to Chicago though, hence the best runs come at 09h30 EST.
London open is better for me than Frankfurt, but I will now pay more attention to that aswell.
Best wishes to you.
Hercs.

Can you please share your template for trading hours? I will also try those hours.

Your observation of US 30 link to Chicago is something I was not aware of . Thank you.
This information is valued by scalp traders.

14,000 Barrier broken.
Will Dax and WS30 move in tandem?
Has 95% correlation finally got restored?




Boom returns to bust Call sellers.

This is for the OHLC based trading pads. You have to search FF or Google to locate indicators. Please don't ask for them. Thank you.