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Roadmap - A Way To Read Markets

  • #4,921
  • Edited 1:52am Jan 1, 2022 1:09am | Edited 1:52am
Quoting livetolove03
{quote} Thank you for your advice. I think the hardest thing is to realize when the market is ranging and avoid to trade. Your profit during backtest should come from your 11 years experience, not only the rules. It is not easy to get 45% during 2 months. One thing, I can't not make the RSI work properly in backtest EA. Do you thing RSI is important rule/filter? I mean the average of RSI at higher timeframe is fluctuated normally. Its happy to hear you have been in Vietnam. I live in Sai Gon.
Yes indeed. Often times i would start loosing several trades before i took a step back and realized i was in the beginning of a range and shouldn't be trading the road map. Unfortunately for me it wasn't until the last 2 years when everything just clicked. I had to hunker down go dark and just take the time to study the charts and react on what i see. I currently avg about 10%/week over 3 days usually. I might be able to avg more but for now i just enjoy the free time.

I have had some issues with using the composite RSI in back testing as well. One thing you can do is is increase the number of bars under the indicator inputs.. I have mine set to 15000. Worst case scenario you can use F12 in meta trader. its not the best as the composite RSI often moves after a large swing. This post may help. Aside from that when i use Soft4fx i have to generate charts for the higher time frames since that's where the data comes from. I Have to have the 4H(240min), D1 (1440min), and W1(10080min) generated.

I think RSI is very important for starting out. It really helps you stay in strong trends. However i often don't even look at RSI until i see a setup on the carts these days. If you look closely you should be able to get a good idea of the trend based on how the moving averages start to open then spread out further from price. Once price gets far out it slows down and starts closing the gap. Also note the swing distances over time. As the trend is petering out the swings get smaller and the time to make a swing is often longer. If you look at the entry on the image above on 12.22.2021 At 17:00 you can see that this is the last real swing and price never really came out of that range until the next day around 15:00. All price before then was consistently making new highs indicating a nice strong trend.

Wow how about that. I usually stay at a friends just across from the Bitexco tower or over in district 7. I have traveled all over the world for work and Vietnam is the only place i have returned to because of the friends I made. Absolutely the nicest people. I usually go over there mid November and leave mid December. However i haven't been since 2019 due to COVID. When i make it back out there i will have to message you
  • #4,922
  • Edited 5:27pm Jan 1, 2022 10:15am | Edited 5:27pm
Happy new year everyone,

This is my first post on FF, just to say thank you to Laura. I am excited and agree with what she wrote in the Journal.

By the way, I haven't been trading with Roadmap but did some backtest. using only the M5 chart with limited money management and TP/Sl rules. After 15 trades, 1 month and risking only 0.5% per trade was up 12%. Oke, 15 trades is a very small number, I need to work more. but I haven't got good results like this before.
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  • #4,923
  • Jan 9, 2022 11:27pm Jan 9, 2022 11:27pm
Quoting ChubbyWookie
{quote} Yes indeed. Often times i would start loosing several trades before i took a step back and realized i was in the beginning of a range and shouldn't be trading the road map. Unfortunately for me it wasn't until the last 2 years when everything just clicked. I had to hunker down go dark and just take the time to study the charts and react on what i see. I currently avg about 10%/week over 3 days usually. I might be able to avg more but for now i just enjoy the free time. I have had some issues with using the composite RSI in back testing as...
Happy new year @ChubbyWookie and all,
Thank you for your help though in the first day of new year.
Sorry for my late reply, something happen made me busy.
Hope you could upload more setup for study when you have time.
Bitexco tower and district 7 also familiar locations for me. I live in the district near by District 7. It is my pleasure to meet you when you back here.
Take care till you come back, covid is unpredictable at all.
  • #4,924
  • Jan 10, 2022 12:02am Jan 10, 2022 12:02am
Quoting ChubbyWookie
{quote} Yes indeed. Often times i would start loosing several trades before i took a step back and realized i was in the beginning of a range and shouldn't be trading the road map. Unfortunately for me it wasn't until the last 2 years when everything just clicked. I had to hunker down go dark and just take the time to study the charts and react on what i see. I currently avg about 10%/week over 3 days usually. I might be able to avg more but for now i just enjoy the free time. I have had some issues with using the composite RSI in back testing as...
Hi @Chubby,
I'm digging LaraT and your posts.
Hope to get your advice when I read all post.
Back to 2020, I see you trade many pairs include minor pairs. However, recently your posts mostly EU and GU.
10% profit per week is very impressive. Could you explain: Which pair you trade most? . Do you use other strategy? How is your risk per trade?
  • #4,925
  • Jan 10, 2022 10:04am Jan 10, 2022 10:04am
Didn't trade today but thought I would post up a Dow chart, for today -UK time, to give an example of Laura's strategy re Roadmap and potential rewards of close study of such charts.
Maybe a couple of losers on that chart as well as bigger gainers?
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every Saint has a past. Every Sinner has a Future
  • #4,926
  • Jan 10, 2022 10:18am Jan 10, 2022 10:18am
Quoting ChubbyWookie
Haven't been trading but did some sim for about 2 hours tonight using only the M5 chart with limited money management and TP/Sl rules. I feel quite lost without my higher time frames. But wont complain to much. After 60 trades, 2 months and risking only 1% per trade was up 45% If money management was applied it would be much higher. Have a great Holidays everyone. {image}
Chubby - would you mind telling me how you managed to sim previous trades in MetaTrader?
  • #4,927
  • Edited Jan 11, 2022 2:46am Jan 10, 2022 3:50pm | Edited Jan 11, 2022 2:46am
Quoting ChubbyWookie
{quote} Good question. Unfortunately I don't recall 100% as I was expecting more people would be interested in making 20+%/month and i must have put in at least an additional 70 hours of various rules in simulation since then. Moreover im pretty sure the rules below are correct Requirements for longs (shorts are the opposite and RSI must be 40 or less) - Basic road map rules - Price to pull back into or slightly below 8EMA Channel - Stochastic crosses below mid line (If its below 20 you might want to wait for it to come back above 20) - Price goes...
Hi CW

Hope you are keeping well :-)

Definitely interested in making those kind of returns. I'm in the process of reviewing the entire thread as I am definitely missing something. So it may take me a while to get to the back testing. Until then, I look forward to more posts from you.

Take care
  • #4,928
  • Jan 11, 2022 5:28am Jan 11, 2022 5:28am
A loser for this morning on the Dax. Yes, you will see that if I stayed at my desk until my usual 10am I would have had a reasonable session. BUT Mrs Turnip ordered me to accompany her on a shopping trip to get the groceries and a few puppy related items such as a new lead and a lot of dog food.
( When we got home we found that our pup had chewed one of the wife's slippers).
Other than that - Laura's 'Roadmap' still rocks.
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every Saint has a past. Every Sinner has a Future
  • #4,929
  • Edited Jan 12, 2022 4:16am Jan 11, 2022 5:25pm | Edited Jan 12, 2022 4:16am
Quoting livetolove03
{quote} Hi @Chubby, I'm digging LaraT and your posts. Hope to get your advice when I read all post. Back to 2020, I see you trade many pairs include minor pairs. However, recently your posts mostly EU and GU. 10% profit per week is very impressive. Could you explain: Which pair you trade most? . Do you use other strategy? How is your risk per trade?
My risk is the same as explained here. I will at no time risk more than 3%. So i may enter a single trade at 3% or i may split up trades and entries to total 3%. As my account decreases or increases i will adjust risk

I trade pretty much anything. Today i traded GU, Gold and oil. However i do like EU since you can use USDX to help line up trades with a higher probability (Fractal Disparity)

I do trade outside the basic roadmap rules. Im not sure its much of a strategy as much as just trading Price action. The Roadmap really helps me enter in trending markets which are often continuation trades for me

Please don't hesitate to post your trades
  • #4,930
  • Jan 11, 2022 5:43pm Jan 11, 2022 5:43pm
Quoting tradeChaser
{quote} Chubby - would you mind telling me how you managed to sim previous trades in MetaTrader?
I dont recall the exact rules but i think this is pretty close. I use Soft4X as the simulator. Here is the link to how i would normally manage risk
  • #4,931
  • Jan 11, 2022 5:46pm Jan 11, 2022 5:46pm
Quoting sr2
{quote} Hi CW Hope you are keeping well :-) Definitely interested in making those kind of returns. I'm in the process of reviewing the entire thread as I am definitely missing something. So it may take me a while to get to the back testing. Until then, I look forward to more posts from you. Take care
Don't hesitate to post your trades winning or loosing (even if its in a simulator) and maybe we can see whats going on
  • #4,932
  • Edited 6:46pm Jan 12, 2022 6:17pm | Edited 6:46pm
Wowsers what a day. I only traded GU, Look at that trend!!! I entered twice on GU the 1st time i got stopped out. Second one was good to the top at 1.3700. Thats 5:1. Also check out how beautifully EU held the previous week open then popped (about 10:1). Several others were real nice. I think oil, USD/CHF, AU, UJ, USDX, Really just anything with a USD in it

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  • #4,933
  • Jan 13, 2022 3:41am Jan 13, 2022 3:41am
Few setups today. Only took GU and closed just under 3:1. Done for the week and going back to bed. Have a great week everyone. GU may pop up tp 1.37500 but looks like we already have divergence on H1 so i will take what i got and run... Well sleep
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  • #4,934
  • Jan 14, 2022 8:11am Jan 14, 2022 8:11am
Quoting ChubbyWookie
Few setups today. Only took GU and closed just under 3:1. Done for the week and going back to bed. Have a great week everyone. GU may pop up tp 1.37500 but looks like we already have divergence on H1 so i will take what i got and run... Well sleep {image}
Hi Chubby, congratulation to your winning trade on GU. I really like it.
Could you explain in more detail, what did you consider before entering in this trade? Was it a bounce from SMA200, price above SMA200 on M5, M15, M30, H1, H4 and CompRSI around 80? What else?
Thank you and successful trading!
  • #4,935
  • Jan 14, 2022 5:16pm Jan 14, 2022 5:16pm
Quoting H0nZ4
{quote} Hi Chubby, congratulation to your winning trade on GU. I really like it. Could you explain in more detail, what did you consider before entering in this trade? Was it a bounce from SMA200, price above SMA200 on M5, M15, M30, H1, H4 and CompRSI around 80? What else? Thank you and successful trading!
Pretty much the the basics lined up with the roadmap rules. RSI above 60, price above multiple timeframes 200SMA. If i trade off the m5 then im looking for price to be above m5,m15,H1 or m1,m5,m15 at a minimum

What i see
- Massive up trend. See the D1 and H1 charts. Its ridiculous
- EUR/GPB its still going sideways which means Euro and Pound are both strong compared to the US dollar. If you dont have USDX you can use USD/CHF as its fairly close representation of USDX
- Closes above 1.3700 with multiple retest
- Bounce off the m5 200SMA
- Price has a nice pull back into support followed buy a bullish candle pattern back into 8EMA band
- Bullish stochastic divergence on m5 and m15


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  • #4,936
  • Jan 17, 2022 6:58am Jan 17, 2022 6:58am
Quoting ChubbyWookie
{quote} Pretty much the the basics lined up with the roadmap rules. RSI above 60, price above multiple timeframes 200SMA. If i trade off the m5 then im looking for price to be above m5,m15,H1 or m1,m5,m15 at a minimum What i see - Massive up trend. See the D1 and H1 charts. Its ridiculous - EUR/GPB its still going sideways which means Euro and Pound are both strong compared to the US dollar. If you dont have USDX you can use USD/CHF as its fairly close representation of USDX - Closes above 1.3700 with multiple retest - Bounce off the m5 200SMA -...
Wow! What an excellent analysis! It is certainly wise to watch several timeframes at a time.
However, even if I managed to enter this trade, I would probably have trouble finding the right time to exit.
  • #4,937
  • Jan 17, 2022 11:04am Jan 17, 2022 11:04am
Quoting H0nZ4
{quote} Wow! What an excellent analysis! It is certainly wise to watch several timeframes at a time. However, even if I managed to enter this trade, I would probably have trouble finding the right time to exit.

Yes being able to watch multiple time frames helps quite significantly for me. However its not a necessity.

Determining where to close your trade is probably even harder than opening the trade. To make it simple you may choose to close all at a specific RR like 1.5 or 2.0. You can even close 80% at 1.5 and let the rest run while moving stop to BE. I typically just look left at where price was last. In the image i attached below you can see where price may stop (Numbers 1,2,3,4). However price cut through 1,2 and 3 without hesitation. When it gets to 4 price comes to a halt. It doesn't mean it will reverse or retrace but its enough to warn me and not be surprised by a retrace. Where will it retrace to? I would think "A" then 3,2 and 1. In this case we hit 3 and price stops. Notice this is the first place in which price enters back into the 8EMA channels and gives us a bearish candle pattern giving us a nice possible entry short. If we enter short where may price stop? I see A,a, and 4. Where would you look for price to stop after 4????? What are your next possible entries??/
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  • #4,938
  • Jan 18, 2022 10:48am Jan 18, 2022 10:48am
One loss and one win. Closed out 2nd trade at 3.8:1 so with one loss thats 2.8:1 for the day. EU also produced some entries

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  • #4,939
  • Feb 1, 2022 5:18am Feb 1, 2022 5:18am
Quoting ChubbyWookie
{quote} My risk is the same as explained here. I will at no time risk more than 3%. So i may enter a single trade at 3% or i may split up trades and entries to total 3%. As my account decreases or increases i will adjust risk I trade pretty much anything. Today i traded GU, Gold and oil. However i do like EU since you can use USDX to help line up trades with a higher probability (Fractal Disparity)...
Hi Chubby,
Today is 1st "Tet" Lunar New Year.
My first trade in 2022.
My entry rule referred from your rules.
I don't use Composite RSI since I can't make it work in backtest, and I entry when candle cross back EMA high/low for buy/sell, instead of "back to channel".
Green pips for everyone.
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  • #4,940
  • Feb 1, 2022 11:30am Feb 1, 2022 11:30am
Quoting livetolove03
{quote} Hi Chubby, Today is 1st "Tet" Lunar New Year. My first trade in 2022. My entry rule referred from your rules. I don't use Composite RSI since I can't make it work in backtest, and I entry when candle cross back EMA high/low for buy/sell, instead of "back to channel". Green pips for everyone. {image}
Yes indeed I have already received my lucky money from friends and family. New year, new triumphs my friend!

If you happen to be using Soft4x i may be able to help you with composite RSI. It's definitely not a must have but sometimes nice to have

What a superb trade. I was eyeing EUR/USD and GPB/USD. Ended up taking GPB/USD due to it having a little bit more wiggle room to the previous days high when compared to EUR/USD. Check out the confluences between EUR/USD, EUR/GBP, GPB/USD and USDX. Its difficult to watch in real time and don't try to overload yourself. But if you look at it at the end of the day its pretty cool all the confluences.

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