MTF The Escalator to Pips Strategy | Page 4 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

MTF Stochastics into MTF Stoch Histogram 8 replies

MTF Channel Strategy 13 replies

MTF strategy 0 replies

Weighted Escalator - a weighted stoch system 51 replies

||AWE|| - Advanced Weighted Escalator - need YOUR help and input to make this better 3 replies

Attachments: MTF The Escalator to Pips Strategy
Exit Attachments

MTF The Escalator to Pips Strategy

  • #61
  • Sep 26, 2007 1:04pm Sep 26, 2007 1:04pm
Quoting legalindo
Hi Banzai:

First, sorry for my English, I speak spanish.

Thank you for share this great system.

I have a question about take profit leves, How do you mannage this leves with stoch bars strategy?

Thanks again.

legalindo
Quoting Spudfyre
I aim for 20 pips per day. That's about 400 pips a month.
I take profit at 7, 14 and 20 pips on my early trades in the day. In other words, I wait until I am up 20 pips and set my stop loss so I make 7 pips, then if I am up 30 pips my stop loss is 14 pips and then I decide to either grab my 20 pips or ride the market some more. When it is up 35 pips my stop is set so I take my 20 pips. I am going to trade 4-5 times a day so there is no need to try and capture all 20 pips in one shot, so I chase opportunity.

After that I trade for what I call my pip bank. The 20 pips a day is my core income. If I make 50 pips in a day, 30 pips go into my pip bank. This way, if I have a bad day, can't trade or decide not to trade I take it out of my pip bank.

My pip bank also lends me pips if I go negative. I have to pay my pip bank back on any pips I borrow.

That has worked for me very well, so thought I would share it.

Here it is.
  • #62
  • Sep 26, 2007 8:14pm Sep 26, 2007 8:14pm
Banzai,

To understand more about the Stoch Bars, just put them up side by side. As you can see, it's about the same. H4 is your TREND. In the above example, we have 3 chances to go LONG when %K crosses up %D.

Once again thank you for your indicator. I see that you are introducing the
%K and %D crosses in your explanation and I don't remember Spud using them to determine his trades... is this your own twist to the Spud method or did I miss something along the way?


Thanks
Unus pro omnibus, omnes pro uno
  • #63
  • Sep 26, 2007 8:19pm Sep 26, 2007 8:19pm
Looks like a great system. I was wondering if there is a specific entry strategy used with this system or do you just enter at market when the bars line up? Thanks for your help.
  • #64
  • Sep 26, 2007 9:01pm Sep 26, 2007 9:01pm
Quoting jelli
Looks like a great system. I was wondering if there is a specific entry strategy used with this system or do you just enter at market when the bars line up? Thanks for your help.
Jelli,

Welcome to this great thread. Spud has gone through a lot of work to explain his method...it is more that lining up the color of bars...I would suggest that ideally you go through all the posts or at least read Spud's posts (you can click on his name and there you will be able to select them). You will get a better feel for the method.

Good luck
Unus pro omnibus, omnes pro uno
  • #65
  • Sep 27, 2007 1:08pm Sep 27, 2007 1:08pm
I'm sorry for the simplistic question, I was just trying to keep it short. Having read through the thread and spud's article I realize of course there is much more to it than just ligning up the bars. My question is, when the indicators move to their most favorable positions (below 80 for shorting or moving above 20 for long), how do you determine the entry point? Is it when 4H crosses over (ie 80 for shorting, providing other stoch on the other time frames are favorable also), do you wait for the candle to close and then jump in at market or is there a better way. The reason I ask is that I've been testing the plan for a few days and I always seem to get in too early or too late.
Thanks again for your help... btw this is a great thread and everyone seems so helpful.

Jelli
(a newbie trying to figure things out)
  • #66
  • Sep 27, 2007 3:36pm Sep 27, 2007 3:36pm
Jelli,


No question is too simplistic....you would be surprised how helpful it can be for others to read what seems like a "simple question". Understanding the concept of Spud's method is the foundation for everything else. Discretion based on your own observation/experience/goals and temperament will determine the finer points of entries and exits. Yes, some will wait for a candle close others don't....some will wait for all of the stochs to converge and cross the 80/76.4 or the 20/23.6 other will go with 2 out of four stochs. Spud provided us with a conservative approach to MTF trading. He has expressed that his desire is to prove to beginners that you can make 20 pips/day by following his method. Oh by the way, I am still struggling with consistency and what occurs between my ears!

Good luck
Unus pro omnibus, omnes pro uno
  • #67
  • Sep 27, 2007 6:05pm Sep 27, 2007 6:05pm

try this but the value are seems to be diffrent...i wonder if anyone could fix this...and it just a digit and cant be use for backtesting...
use it if u like it...(its cool anyway)

Attached File(s)
File Type: mq4 DIGISTOCH.mq4   20 KB | 880 downloads
"Analysis Is Hard But Trade Is Easy"
  • #68
  • Sep 27, 2007 6:22pm Sep 27, 2007 6:22pm
I recall in Spud's writings, that he would enter before the candle closed, on occaision, if 3 of the 4 stoch's were in agreement AND the 4h was near the close, less than an hour, I think. He also referenced the 15 m chart as being used to time your entry and or exits to maximze your profits, but did say going back to the 15m was riskier and you could enter/exit too soon due to the whipsawing. Looking back to the 15 m once you've entered gives you a lot of short term "false" indications when the trend may stay in place for another hour or two or 4 or 6, whatever. He wrote of being in some trades for days for huge pips. I've been happy to exit usually around the 100 area.
  • #69
  • Sep 27, 2007 7:21pm Sep 27, 2007 7:21pm

colour stochastic isn't repaint if u not switch the time frame back and forth...

"Analysis Is Hard But Trade Is Easy"
  • #70
  • Sep 27, 2007 11:06pm Sep 27, 2007 11:06pm
Thanks all for the insights and comments... that really helped. I'm happy to report that I was able to capture 30pips shorting USDJPY today using Spud's method and looks like it could be setting up for more. Thanks again.

Jelli
(happy camper!)
  • #71
  • Edited 4:36pm Sep 29, 2007 6:27am | Edited 4:36pm
Hello,

Can someone please help me find an audio/email alert indicator for Spud's escalator method? I want to be alerted when:

1. One or all four stochs cross the over sold/bought
2. One or all four stochs are in an uptrend/downtrend
3. One or all four stochs are in a over sold/bought area

If I had to pick one, I would go for #1. It should also allow you to change the os/ob levels.

Thank you.
Unus pro omnibus, omnes pro uno
  • #72
  • Sep 29, 2007 6:29am Sep 29, 2007 6:29am
H4 are repainting and this will distrupt my trading discretion...
so to trade without fear i open 12 chart and put it like this...
look silly...lol...but repaint free guarantee...im not a programmer so what else can i do:
Attached Image (click to enlarge)
Click to Enlarge Name: solution.gif Size: 63 KB
"Analysis Is Hard But Trade Is Easy"
  • #73
  • Edited 2:40pm Sep 30, 2007 2:15pm | Edited 2:40pm
I don't understand how this chart setup gets you away from repainting (got it now ) ? Anyway what is the deal with repainting ? Unless you are desperately trying to backtest this system then yes it repaints but when you are trading at PRESENT there is no repainting. The 4H stoch bars shows you the CURRENT market (stochastic) behavior in a 15M chart view. And because there are 16 bars in 4H (when trading in 15M chart then 16*15= 240M = 4H) then of course the 4H changes a lot and when the 4H candle closes then 15M chart stoch bars have been repainted (kinda confusing talk i know )...

Se[v]eN: that is what you can do: no need for 4 charts per pair...just put all the bars in one chart and also put a MTF stochastic indicator next to the MTF stoch bars and when all the bars turn green or red you can momentarily check where the stoch lines really are.

I see what you mean by your clever invention having each TF in different window . But isn't that already a "repainted" version from the 15M chart. Then your 4H chart bars ONLY change colors after 4H period. This again means that you might miss some good trades when the 4H stoch are changing direction. Example: let's say
that 4H stoch bar is green and the the clock is 12.00. So the next bar comes at 16.00 correct ? but what if at 13.00 the trend is about to reverse ? Your 4H stoch bar won't show you that but what about 4H bar at your 15M chart ?

Anyway in my point of view and spudfyre's also i thing is the MAIN thing WHERE the stoch lines are and HOW they are reflecting the price. Stoch bar indicator is just a great colorful visual and i love it especially when i get an alert for that


To moneda:

the nr 1 and nr 3 request are the same basically in the alert point of view because when you want the alert for nr 3 it means that the alert sounds only when the stoch CROSSES to the OB or OS area.

Anyway i myself have tried and still trying to find an alert when ALL 4 stochs are cooperating but so far no luck. Praise the man who can code that
  • #74
  • Sep 30, 2007 2:50pm Sep 30, 2007 2:50pm
Lumesh,

#1 is when the stoch(s) is/are coming out of an over sold/bought

#3 is when the stoch(s) is/are going into an over sold/bought area and remain there until #1 is activated.

Does that make sense or am I being thick headed

Yes, I can not wait for a one of our experts to figure out how to code an alert inidicator that includes all four stochs....that would make my life much easier!

Thanks
Unus pro omnibus, omnes pro uno
  • #75
  • Sep 30, 2007 6:14pm Sep 30, 2007 6:14pm

im not a programmer so dont know how it was build...i trade this live!
so i fear something that i dont understand might occurs...
by doing that i felt more safe...also the 16 bar are force to repaint...
so when im doing live trade and all 16bar are repainting i look back a the bar that i enter trade...so what if it looks like a late entry after all 16 bar repainting?...CONFUSING !!!

one more thing...do u think its clever?...if it is than it cool

Quoting lumesh
I don't understand how this chart setup gets you away from repainting (got it now ) ? Anyway what is the deal with repainting ? Unless you are desperately trying to backtest this system then yes it repaints but when you are trading at PRESENT there is no repainting. The 4H stoch bars shows you the CURRENT market (stochastic) behavior in a 15M chart view. And because there are 16 bars in 4H (when trading in 15M chart then 16*15= 240M = 4H) then of course the 4H changes a lot and when the 4H candle closes then 15M chart stoch bars have been repainted (kinda confusing talk i know )...

Quoting lumesh

Se[v]eN: that is what you can do: no need for 4 charts per pair...just put all the bars in one chart and also put a MTF stochastic indicator next to the MTF stoch bars and when all the bars turn green or red you can momentarily check where the stoch lines really are.

I see what you mean by your clever invention having each TF in different window . But isn't that already a "repainted" version from the 15M chart. Then your 4H chart bars ONLY change colors after 4H period. This again means that you might miss some good trades when the 4H stoch are changing direction. Example: let's say
that 4H stoch bar is green and the the clock is 12.00. So the next bar comes at 16.00 correct ? but what if at 13.00 the trend is about to reverse ? Your 4H stoch bar won't show you that but what about 4H bar at your 15M chart ?

Anyway in my point of view and spudfyre's also i thing is the MAIN thing WHERE the stoch lines are and HOW they are reflecting the price. Stoch bar indicator is just a great colorful visual and i love it especially when i get an alert for that


To moneda:

the nr 1 and nr 3 request are the same basically in the alert point of view because when you want the alert for nr 3 it means that the alert sounds only when the stoch CROSSES to the OB or OS area.

Anyway i myself have tried and still trying to find an alert when ALL 4 stochs are cooperating but so far no luck. Praise the man who can code that
"Analysis Is Hard But Trade Is Easy"
  • #76
  • Oct 1, 2007 1:08am Oct 1, 2007 1:08am
Moneda:

ok then i got your first statement misunderstood


Se[v]eN:

if it makes you feel more safe then by all means use the chart setup you like

Also do you know any programmer ? The Indicator DIGISTOCH is also very good but the values are wrong because it uses close/close instead of high/low like the original indicator...Again it should be simple to change but i just DON'T know how to code

This indicator is even better than the stoch bars since it takes less space...

good trading to ya all !
  • #77
  • Oct 1, 2007 2:22pm Oct 1, 2007 2:22pm
I modified DigiStoch a little bit so you can choose mode sma, ema, smma, or lwma. And you get to choose high/low or close/close in the pricefield.
Attached File(s)
File Type: mq4 DIGISTOCH.mq4   20 KB | 1,464 downloads
  • #78
  • Oct 2, 2007 5:43am Oct 2, 2007 5:43am
Hi, i like the digistoch indicator great work.
As always i am continually looking to improve my trading the mtf stoch has been a good system for me but as i look deeper into it and also read many of the postings i saw something which may be worth exploring further. (It has already been mentiond and the thread indicator focuses on this. But i find the thread indicator/template difficult to trade with.)

I have found that when the 15min and 30min lines converge at the 50 line and moving in the same direction it provides many strong moves with a high probability of success (1hr also moving same way but not necessarily converging) i have traded 9 set ups now when this has happened and had 8 wins see attached. I was wondering if an alert could be incorporated into the digistoch or other stoch indicator to alert when this happens ie 15 and 30min both crossed 50line up also a arrow on the chart to show this with 1hr conf ie moving in agreement with option of 4hr perhaps have alook it seems to work well. If the 15min is way ahead of the 30 min and crosses some time ahead of 30 min then move is not strong in many cases
Attached Image
  • #79
  • Edited Oct 6, 2007 3:36pm Oct 5, 2007 11:46pm | Edited Oct 6, 2007 3:36pm
http://i43.photobucket.com/albums/e3...ochbars1-1.gif

I give you 4TFStochBars. 4TF = Four Time Frame. It's a little bit different from other Stoch bar indicator because this indi has only 2 colors and the formula is based on:
if (percentK>=percentD)
That's %K greater than or equal %D.

In addition, you get to change the bar symbol to any WingDings character. Sorry, no alert yet.
http://i43.photobucket.com/albums/e3.../Wingdings.png

Download @:
http://www.forexfactory.com/showpost...2&postcount=24
  • #80
  • Oct 6, 2007 10:32pm Oct 6, 2007 10:32pm
Banzai , Thank's for 4tfStochBar, look nice, will try it,

I made a stoch indicator base on M5 data.
By this indicator I know where is the exact Stoch position of the higher TF. The first version, using M1 base data, where need a lot of memory , so I made a new one using M5 data.

But too bad, this indicator often make my computer show message "windows virtual memory too minimum.." ( sort of this word)

May be the array operation wasn't correct, Could any body help me ?
Here is the picture of Spud indicator on the 3rd window.
And the Spud indicator.
Attached Image (click to enlarge)
Click to Enlarge Name: wont lie.gif Size: 18 KB
Attached File(s)
File Type: mq4 Spud ver2.0.mq4   5 KB | 1,008 downloads
0 traders viewing now