I must say that as a true scalping method this approach is very consistent. Well done!!
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DislikedHello folks,
Real busy time for me at work...so I won't be posting much for a while but will be quietly trading. However, I have been up late at nights searching for a way to improve this approach. And here it is.
I've been quietly searching for a trend identification filter and x50 is now new and improved. The filter is called UT_Fast and it appears on the bottom of the chart. You can trade x50 as is or with this new approach. It takes a little longer to get into the trade, but wins more often and keeps you out of ranging markets. Isn't that what we all want.
I'm trading this on 5-3-3 and 14-3-3 stochs and the trend filter. MACD is gone because is it redundant. UT_Fast identifies the trend and stochs for entry. Only enter in direction of trend.
Comments? Can someone build this into an EA?
The folks who are testing the indicator...please put this on hold for now.
On the chart of GJ for today...all winners and if you must enter on a bullish candle for a buy and a bearish for a sell, the last trade would not have been taken.
Thanks
CanuckCTIgnored
DislikedI THINK? I understand your new indicator and how it works but not really 100%. Canuck, could you please give an explanation of how the UT operat
es and how you specifically use it. Thanks.Ignored
DislikedYou'll find some info on this indicator over on www.forex-tsd.com. I wish I could supply the exact link but I've yet to find out how to do that on FF! Maybe some kind soul could clue me in. I asked the admin. ages ago, but no reply as yet.
CheersIgnored
DislikedHi CanuckCT,
Am I correct in assuming that when green is above red on the UT_Fast that we're in an up trend and that the opposite is true for downtrend? Also, of what significance are the level lines on that indicator?
Thanks is advance and it's looking good!Ignored
DislikedYou'll find some info on this indicator over on www.forex-tsd.com. I wish I could supply the exact link but I've yet to find out how to do that on FF! Maybe some kind soul could clue me in. I asked the admin. ages ago, but no reply as yet.
CheersIgnored
DislikedHi psymantis,
That is correct. I believe above 23 and below 8 is the level for a strong trend reading (though I'm not sure that's how I will use it). Because x50 provides a lot of signals, the EA under construction is hyper-active. We are tinkering with using this as a filter to reduce the number of trades that it takes. Entry rules are as per post #1, except that it only takes the trades as per this filter. Think of it as providing the EA with a little discretion.
Some people trade the cross of this filter and I think it's a pretty good indicator to help identify sideways markets that you might want to avoid. I'm still testing, but it seems like it will have some merit.
Original x50 still intact but the idea is to use an indicator for the alert that conditions exist and then glance at the trend...and make a decision. I will share indicator when it's ready, still a few issues to sort out.
See chart below...all of x50 rules met....macd crossed zero, both stochs toght together and below 50 and AS confirms. But as might be expected on Sunday night the markets ranging and this trade is a pass. Sometimes GBPCHF trades quite nicely in the Asian session and would want to take those trades.
As with any indicator, when the trend is changing they lag a bit so following these rules you will miss some trades. But there is always opportunity for re-entry later and you could of course ignore the trend filter all together.
Cheers,
CanuckCTIgnored
DislikedHere is an example of how the filter would be sucessful in an EA. It would filter a bunch of trades and accept the trades that fire once a trend sets in.
Cheers,
CanuckCTIgnored
DislikedHi CanuckCT,
Following the rules, doesn't the entry for the Long trade you marked in red should have been taken 3 candles earlier? All the rules including the new UT were met. Am I right ?
BR
Dani MIgnored
DislikedHi All,
I have been live trading the X50 method for 10 days now and I wanted to share my experience.
As Canuck mentioned already the X50 is really “reactive”. i.e. you get a lot of signals. However a high percentage is fake signals.
Version 2 of the method seems to add an indicator to avoid false setups.
I’m personally doing 2 thinks to filter out signals.
First I added an EMA 60. Rule are,
Take long trade only when price is above EMA
Take short trade only when price is below EMA
Second I added the “wave”. It comes from Raghee Horner's book. The wave is basically 3 EMA 34, on the close, high and low.
Avoid entering a trade when price is in the wave and/or wave is flat.
Give it a try and may be people developing the indicator and EA could benefit from these.
Good trading to all of you.
DidsIgnored
QuoteDislikedI would like to learn more about the tweaks you are using with the X50 system. Would you be able to share the "wave" indicator that you added to your chart or point me in the direction where I could obtain it.
DislikedHi deang001
FWIW I took exactly the same trade you described in #177 - exited for the reason you did, and then watched as more and more pips developed. Not complaining though.
My thanks to Canuck for developing this excellent strategy, which I use for the first 2/3 hours of the Europe/London open with considerable sucess.
Now, if only we could find the perfect exit............that to me is the Holy Grail!!Ignored