The DIBS Method... No Free Lunch continues
if you traded the DIBS method according to the rules, you should have two free trades going short on GBPUSD starting from the end of last week... big tank on the GBPUSD adding monster profits on these free trades
Pred
Darn it. The one night in a long time that I can catch the Open(s) I miss out I some good DIBS. Well, its still early.
I hope some body caught these.
I wish I didn't miss this one back on Aug. 4, I'd be up 1300 pips now.
You can ask here.
thanks!!
you know how j16 states if the break of the pin doesn't occur w/in the day following it is no longer a valid pin for a break? does that apply to crown's DIB's? i.e., if there is no break in the following hour ... do we keep our eye on things for the next couple of hours during the relevant trading hours time frame? also, crown mentioned adding weekly open/close for additional weight ... are you doing this? in my back-testing, it seems that daily was sufficient, but i still respect your thoughts on this ... if i simply missed a post somewhere addressing my questions, please feel free to smack me and direct me there.
see you back at j16 ...
Jaroo, would you have traded those two IBs against the rules - both moved well, but in the "wrong" direction. I wonder whether there was another "filter" in those two cases that would have prompted the "opposite" decision?..
It looks tempting but no I woudn't. Stick to the rules my friend. Keeping constistent is part of the plan. We won't catch all of the big moves, but will catch enough.
OK, how about UJ?
IB formed shortly after 0000GMT (they often do with J crosses, as PC mentioned too) - but it looks as if it could go either way (well, EJ was going down this morning, but the move seems to be over...)
Hi Forex007
I hope you don't mind me also responding to your question to Jaroo.
Peter seems to take most of his trades in the direction of a longer trend according to his analysis, His is looking to build a large position of "risk free" trades in that direction using dibs as a entry method.
This concept affords some tremondous returns over time relative to his risk.
If I could ramble a bit, It is like purchasing a bunch of call options in oil over several months, or a yearly time period; when oil takes off, you see huge returns.
You can do this in other markets you want to build your structure in.
Peter stick to the majors. He has good reasons to do so.
The power of using dibs instead of options is you do not need to pay for the options, You can get in building your structure with all these little "Free Trade" position the dibs method gives you.
The whole concept is actually very stable if a trader thinks it through and is willing to trade with such a long term objective in mind.
So can I ramble some more?
If a trader has determined to build one of these structures with a longer term goal, only taking trades in the direction of the long term trend. He will see x losses out of y trades, to take a trade in the wrong direction is risking throwing away money for a position the he does not even want to be in and at the same time taking money away from the amount he has set aside to risk building the position he does want, the one with the best risk/reward.
Oops. I am rambling to much, maybee it will help others reading this thread,
Best regards
Dale
Indeed i am, its up 280 pips atm, about +20% of my account
