Histogram Trading

I'm not sure if this has been considered before but take look and tell me what you think. I'll post the trades as they develope.

Back tomorrow.....

I've tried a few times but can't open the file - seems corrupt - can you repost ? Thanks

I have the same problem opening the file.

Not sure what the problem could be. It's a regular Word 2002 file. Here it is again...

Corrupt here also

I was able to load it with word 2004

Here is a copy I saved, maybe it will open

Hmmm...I downloaded the first doc no problem. I cut and pasted my original Word file onto a blank Word page and re-saved it. Try this one.

The doc is good

Downloaded the original and had no problem in opening in word 2002

Look forward to seeing your results of the demo testing

Can open the new file now - thanks

OK:

For today's close, the green line, the hist still ticked up. Need to wait for a hist tick down and place an order at the low of the previous day's low for a short entry.

Take note:

The monthly is approaching good resistance and the MACD is showing some bearish divergence from the recent double top. Tops and bottoms can be choppy before they actually are tops or bottoms so...we'll see how this turns out.

Hey palmer Thanks for sharing this simple and effective strategy.

I tried it on daily USD/JPY and it seems to work well.

Any thoughts.

Haven't looked a the USDJPY yet. I want to iron out the kinks on one pair first and still work on the method. But if it looks good to you, demo it for a while and see how it works out. This is a work in progress but I'd like the entries/exits to be based just on the histogram and price action. No stochs, rsi, ma's....as simple as possible. I'm looking for a method in addition to my usual trading around S/R levels and Fib #s.

Looks like a possible short entry order may be setting up for the GBPUSD at today's close, we'll see. I'm going to do some looking back to see where probable re-entries can be taken within a strong trend. Such as in a strong uptrend when price makes a lower high but the histogram, still ticks up. Re-enter with an order at yesterday's high or two days ago?? Charts Charts Charts....

Great systems. Nicely thinking out of the box.

Here are my backtesting results of this method on D1 GBPUSD for 2006 with 90% modelquality (Metaquotes data).

I had nevertheless a slight variation. Instead of basing the SL of the Low/high of the previous day, I had a Trailing Stop of 100 pips and a Takeprofit of 200 pips.

I didn't do that because I think I am cleverer then you, but only because it is easier to program.

Well dip me in hog slop and butter me with strawberry jam. Fukinagashi, looks good man. Yeah, that stop thing was on my mind also and yesterday's bar range was the main reason. There is a sell signal according to the 5pm EST (USA) close that just closed about 30 min ago, see the red arrow on the histogram. So, I've got a sell stop in at yesterday's low at 1.9644 with a stop loss at 1.9830... The dotted yellow line is the current bar forming. Yup, wow, a 186 pip stop. This is where your MM rules come into play. If there is a wide range then consider a smaller lot size to trade with. Otherwise trade what you can 'tolerate'.

Fukinagashi: I agree the EA aspect of having a set TP and SL, easier to code. Will you be running a live demo test of it? Thanks for posting your results.

Aye, the EA just opened a trade on my system:

sellstop 1.9645 SL 1.9833 TP 1.9445 (actual price 1.9675 Fozzy Method went short as well at midnight, so we'll see).

You already hit 1.9645? My low for the 'new day' is only 1.9666...

nevermind...your EA is waiting for the sell at 1.9645..too much hog slop.

Sold at the low at 1.9644. Moved the SL down to the high of the previous bar at 1.9729, the same day of the sell. Dashed yellow line is the entry day.

Time to just wait and see.