KAS Trading Journal

now at -90 to -100 pip loss. Still open. The 15m chart still do not cross down.

Following the Rule, closing the trade with -93 pip loss. Good that this is still demo (if live I don't know whether can handle this type of loss).

Now, I am waiting for a cross down in 30m chart for SELL entry.

IMO, I can and should have close and also open, when there is confirmation of 15m chart had the cross down just now. Price move downward more than 50 pip.

Ok, again following the Rule (is it ?), the 15m chart the blue line is below the red line, in 30m chart the blue line is about to cross the red line (the rule says it must cross and the blue line must be below the red line).

The 5m chart has mad a little peak and start pointing downward again.

Entry SELL at the current bar as shown. (This is a test)

Now, I am playing like Live, price looks like hesitate to move down further.

Close with 8 pip profit here.

Turn out I should follow the Rule, seconds later, just few seconds later, the price move down -

Re enter after blue making a bit of peak and retrace down, but closing did not follow the rule, just scalping, because moves hesitantly. Close with 10 pip profit.

This trading system still produces profit overall (despite having -93 pip loss just now - rule of exit to be considered later)

190408

Analysis of Losing trade of -93 pip with KAS721C System.

1) It is a fact that the trade is following the Rule stipulated and there is nothing wrong with the entry rule, ie. BUY entry when there is dip and reverse following the main direction of 5m, 15m and 30m chart.

2) What I think the failure is because of the Exit signal or the other reverse or SELL entry rule after the BUY entry rule.

3) What I am going to do is to define a new Exit Rule that will ensure that we have minimum losses.

4) Before that, let's look for the Old Exit Rule - we have to close the trade only after the crossing down of 7/21 in 15m chart and in fact that was really happen to us in this -93 pip loss. That's is too late. Even this trading system is profitable so far based on the Rules, but taking a -93 pip loss is not acceptable to me.

4) New Exit Rule : (Refer to attached chart - 5m and 1m chart)

a) After the BUY entry, which is at 5m we immediately open the 1m chart.
b) Look for the crossing down of 7/21 (the counter signal).
c) If the 7/21 crossing down in 1m chart happen 3 times at around the bar that we took the BUY entry, CLOSE the trade. As simple as that, not one cross, not two, but the third one. We can look for Re-Entry based on the Entry Rule as stipulated before.

Analysis of BEST Entry.


Let me re-write the New Rule for KAS721C Trading System.

BUY Entry Rule: (Reverse for SELL entry)

1) First look for 30m and 15m chart. If it is trending upward, ie. the Blue line (7 LWMA) is above the Red line (21 LWMA), then look at 5m chart.

2) If the 5m chart already trending upward, ie, the blue line is also pointing upward together with the red line - we wait.

3) Once there is a dip of the blue line OR the blue line about to cross or touch the Red line than we GET READY.

4) The moment the Blue Line pointing upward again or 'KISS' and reverse the direction following the main trend direction, we wait for the Bar to close.

5) We put our BUY entry at the open of the following Bar.

6) BEST(or Undisputable) entry would be when we open the 1m chart and at that point there is 7/21 crossing up also happening. OR, we can wait for the 7/21 crossing up before putting our BUY entry. (Refer to attachment to get visual understanding)

Exit/Stop Loss Rule : (for BUY entry, reverse for SELL entry)

1) The moment we enter the trade, open the 1m chart and look for counter signal, ie., 7/21 crossing down.

2) Close the trade when there are 3 x 7/21 crossing down happen in 1m chart.

Take Profit Rule :

1) No strictly defined Take Profit rule yet - but few options available.
2) To me, if u are scared that your 50 - 60 pip is being taken away - take it.
3) OR when u see the start of blue line dipping towards the Red line in 5m chart. (U can look for Re Entry later)
3) OR when u see the price bar has crossed BELOW the blue line in 5m chart.
4) OR look for the bar that has the biggest GAP between the blue line and the open price of the bar and then Take Profit at the closing price of the bar.

Refer to the 2 attachment from the previous post and this post attachments - there are 5m, 15m and 1m chart showing the BEST SELL Entry signal.

Backtesting the KAS721C new rule :

Attached is the 30m and the 15m chart.

We see both blue line and red line are pointing upward in both charts.

Now, switch to 5m chart and 1m chart.

We see that in 5m chart, there is a dip and reverse of the blue line now pointing to the same direction as the red line.

Switch to 1m chart, there is a 7/21 cross up just happen.

No doubt, at the yellow line of the 1m chart, this is the POINT OF BEST BUY ENTRY.

Backtesting #2 - example of Perfect congruent - beginning of a downtrend - the BEST SELL Entry.

First, always look at the 30m chart, the blue line is below the red line, pointing flat. Suddenly, both the blue line and the red line are pointing downward.

Second, Switch to 15m chart, a cross down just happen.

Third, switch to 5m chart, a cross down also just happen.

Fourth, switch to 1m chart - a cross down has happened the previous bar, so it is THE BEST SELL ENTRY at any point on this price bar (1m chart), indicated by the yellow vertical line - the bar after the cross in 1m chart.

210408

First trade of the day following the rule.

Attached are the charts of 30m then 15m.

now,the 5m and 1m chart.

In 1m chart, there is slight dip (or may be not),but there is a bearish bar, followed by Bull Bar, entry at the current Bull bar.

Had to be AFPC, looks like the Market is ranging -

30m (about to downtrend), 15m and 5m downtrend.

Put a SL at -10 pip of the last swing low at 207.34

Hit the SL for -70 pip loss.

AFPC just now.

30m and 15m chart right now - both show strong downward trend.

Current 5m and 1m chart - also showing strong downward trend.

What I am doing right now is to Wait for blue line in 5m chart to make a peak around the Red line and then reverse to the main trend downward and hopefully to see at that time the 1m chart shows a 7/21 crossing down where I will put up my SELL Entry.