I know it can't be this easy... No name yet

Hello,

First let me make sure everyone understands:
1) I am a newbie, been trading only about a year
2) I have blown a number of account
3) I have no idea what I'm doing
4) I change trading methods on a daily system
5) I am looking for "my" holy grail
6) I only like to trade on a daily basis, scalping drives me crazy
7) My middle name is "impatient greedy bastard"

So why am I doing this? I want to record my trades as I "pretend" to develop a method that will allow me to trade full time. I am not really sure I have anything that would be interesting to anyone, or is anywhere near a "real" trading method. All I know is that when I look at it, on any pair, I see which way to trade, when I should get in and when I should get out. Am I successful 100%, absolutely not!!!! But I can tell you that I'm kept out of more bad trades, then good ones (does that make sense).

My initial goal of this thread is to trade just a couple of pairs for the month of December (in demo mode), recording my moves, testing out different MM. Since I'm trading off of the Day charts I don't expect to have but only a couple of trades in the month, though I will be in trades probably for 7-15 days at a time.

This is a really basic method that uses one indicator (HMA Modified) to show trend direction, and two other (Goldminer2 & RSI Custom) to show entry and exit points. The reality is one indicator (HMA Modified) could be used to take trades, I just still can't believe this and need other indicators to make me feel good about my trade decisions. What I think I found is the two other indicator help me get in at a better position to survive margin draw-down that comes with daily systems. I guess we will all see if this is actually true.

Now, as much as I'd like to say I spend hours determining the appropriated combination of indicators, blah blah blah, I didn't come up with this method. A FFF (Forex Forum Friend) suggested a scalping method which I immediately applied to the daily. I did modify it a little, added the HMA, deleted an indicator I didn't feel did anything, and here we are. I don't have a name for it - many viewers here can help develop one.

I have no MM or EA for this yet. If this proves to be successful, I will move it to the System Forum and let the masses disect it, change it, fight over it, EA it to death (while I trade it as it is and make a lot of pips).

I have attached a chart that will be the start of this thread. I'm sure you will all see how to trade this, but I will provide the method and template so thoughs that want to follow along can. Please do not take my trades as signals for you to trade - let me remind you I have blown a number of "live" account already! I took this trade at 4:00pm CST and as you can see it went right away in my favor. It is now 7:00pm and its still in my favor plus $38(Since it's sunday it will take a while for this trade to really get going).

I am leaving for dinner soon so I will put my method of trading in another entry later tonight. I hope others will come along for this ride, all comments are welcome.

Here is another trade I took at 4:00 CST based upon the '___________" method. The prefered entry would have been Fridays Daily bar, but I think it's still save to enter a sell trade today. At this time I'm still in the plus, $70.

Again I will post all necessary indicators, template and current rules later tonight - hopefully I can still say all is going well at that time.

Mitch

Ok,

So the HMA Modified shows you the trend (up and down). Most important is to catch the trend color as early as possible - you will never catch it on the first bar, but you should easy be able to catch it on either two or three. You enter based upon the the two lower indicators ( Goldmine & RSI ). So here is how I work the method:

HMA turns from green to red, if the Goldminer is Red and the RSI is Red or Yellow, I take the trade - SELL

HMA turns from red to green, if Goldminer is Green and RSI is Green or Yellow, I take the Trade - BUY

Once in a trade if the HMA changes color, I exit the trade.

You will also notice yellow arrows on the chart - these are Bykov indicators. This was part of the scalping system that this methode originate from. Though they are not an intregal part of the method, they do indicate exception trades, so if I'm in a trade and one appears - great. If I'm not in a trade and one appears, regardless of the direction, I take the trade in it's directions and prepare to get out of the trade by the end of the day.

Though I have no specific historic backtesting, I'm really looking to applied forward testing (that's what this is all about), I believe that most trade will last between 7 and 15 days and should earn between 500 and 1500 pips per trade.

Well that it's, like I said I know it can't be that easy, over the next month we'll see if this is something that is worth the long term test.

If you're interested in following along, I'll be happy to provide the indicators and template - just give a yell.

First day has ended and both EURUSD and GBPUSD are in profit but the lower indicators are showing counter trending so I'm going to take profit from both and get out of those trades. Total profits $580 - so far so good!

I took one new trade - EURCAD. The HMA is showing a down trend and I have a Red/Yelllow combo in my lower indicators. What I like about this trade is I also got a bykov arrow pointing down. I expect trade to to go in my favor by about 250 pips.

One of the issues I'm seeing is that the Goldminer indicator repaints. I don't know if this will really hurt me in the long run - must keep an eye on this as we go.

Though I'm really trying to trade only once a day, I will take a look at things later in the evening (arounf 11:00pm CST) to see if any think has changed and a good trade presents itself.

Good pips to all.
Mitch

I decided to take another trade, this one is a bit of a test to see how well I can jump into a trade when the trend has been previously establish by 3 or 4 bars. The reason I'm taking this trade is because of the double red bars in the lower indicators following a downward Bykov arrow. My confidence is pretty high that this will end in positive pips ( hopefully around 150 by the end of day tomorrow), then again this is my method, if I'm not positive who is.

I mess up today, I had two trades in play (EURCAD and USDJPY) and I cancelled out the EURCAD. It was moving in the wrong direction (-$100) but I should have held on to it, I will keep on eye on it and report it's ultimate success or failure.

My current open trade, USDJPY, which was a test of entering into a trade a few bars after the initial signal, also didn't respond as expected but it's still in play. It's currently -$27, not bad and all indicators still show a downward trend (see chart). Hopefully we will see this go in our tomorrow.

Nothing new today, so that's it till tomorrow.

Mitch

I got the goldminer free with one of the many EAs I've bought and since canned. I cant remember which one.

Todder,

I also got it as a bonus to one of the hundreds of scam EA I have purchased. I really like it but it does repaint (though it repaints usually at the end of the trend).

I only had 1 open trade overnight, USDJPY, and it had no real movement, The signal is still to go short so I'm hanging on to it for now.

When I was reviewing charts I notice that I never should have gotten out of GBPUSD, so I re-entered it as it's still showing a sell signal. I have also placed trades on the following pairs, most after the initial signal has been given (I'm still testing this method out).

Were still up for the week, I will put together a summation at the end of the week.

You really have to start here. It sounds cute, but it's actually the true begining of when the 1st of
the "ah-ha'" moments will start to happen to you. This is a good thing.

Make the conscious effort to realise that this is where you are in your progress and are aiming to improve.
It's almost like when people get religion and slowly start to begin to understand spiritual things on a deeper level.

Larry Flynt, publisher of hustler magazine and and some other pretty good smut, became a born again christian,
started having all kinds of ah-ha moments, but then abandoned the journey when he was shot and paralyzed.
Some time later in an interview, when asked what happened, he told the reporter," I thought I was talking to GOD.
So I took some LIBRIUM and it all went away. I'm okay now."

My primary point is: Don't abandon the journey. Don't take the Librium. Let the voices speak.
Allow the ah-ha momenets in your trading to take you from here to the next stop along the way.

My other point is: read Hustler magazine while you trade. It's good for you.

Look, this trader is obviously bullish on the US Dollar pairs.

You could even write an EA script based on this indicator alone.

AH-HA ! There goes another one of those moments....

I took another look at the my recent buys and notice that the HMA indicator changed on AUDUSD. It was green at the new bar, but now is red indicating a downward trend. I closed out this trade at -$50. I will have to keep a watch out for this, it might mean we have to wait a little bit past the new daily bar before actually making the trade.

The rest of the trades are moving along nicely.

I just had an AH-HA moment. Why am I doing looking at these charts when I can be doing other thing, oh ya $$$$$. As far as the the lovely young lady, well she's are new poster girl.

thanks toshi

My trades did well overnight, see chart for update. Hope these number hold by end of day. I just realized that maybe I should have some stop loss on each trade, though it would have to be something like large number - especially for these trades where I'm entering in after the start of the trend.

Can't compain about today numbers, though there wasn't much movement from this morning. I have attached a chart of each of the open pairs, thankfully all in positive numbers. All pairs are still showing good downward trends so we will keep them open till at least tomorrow morning considering tomorrows Non-Farm Report (though this being a day method and pairs we have open it might not matter).

Going forward I'm just going to list my buys so we can keep a running total, not sure if seeing the chart is really necessary. I would go through all the pairs that you broker offers because I saw a number of good signals that I decided not to take - don't need to over buy at this point.

Mitch

Hi Mitch,

I am somewhat conservative and plan to try your system in the following manner.

I will wait until the goldmine and rsi change color and not trade until that bar has completed. I will then place a buy stop at the high of the completed bar plus 1 pip plus spread. My stop loss will be 10-20 pips below the recent swing low. The reverse for shorts except the spread does not have to be accounted for.

2% of account MM and if the stop is too far.....NO TRADE. No more than 10% of the account at risk at any one time. Once I am in profit by about .5 ATR I will aggressively move my stop to both preserve profit and to allow more trades if I was at the 10% limit.

Jim

I forgot.....no jumping in in the middle of a trend. If I miss the first day the goldmine and rsi both show a trade....NO TRADE!!

Jim,

I like your conservative approach to this method, and I glad your going to give it a try. I'm still trying to make sure I'm getting the signals right, then I will work on MM. Please keep posting, I'm sure I'm going to learn a lot from your approach. I agree with only taking first signal trades, though I'm doing well with my open trades that were all place in mid-trend.

Just to get you fully up to date, I am up $429 on closed trades this week, and $470 up on open trade (all sells with downward trend signals currently).

By the way can I ask which broker you are using.

Mitch

I'm noticing once agian that the HMA repainting. On CHFJPY at 4:00 it gave a red line signal, then around 4:40 it turned green and now at 5:03 it's back to red. As I've mention before this is something I'm going to keep an eye on, my guy tells me that we might have to give it an hour to settle. In my excited state that I was trading against the trend I closed that trade at -$16.00. Oh well, that's what this is all about, learning!

There were setups on USD/CAD but the stop was 680 pips away. Too rich for my blood.

Eur?Chf signaled short but is in a short term up trend. I will wait until it turns north.

USD/CHF shows possibly a double top but I am not willing to short a strong $ yet. The $ is still perceived a a safe haven so any shorts should be quick in and out IMHO.

AUD/JPY has been ranging but might be worth a quick short. Personally, I will wait until it breaks out of it's range. Stop would be 478 pips away which for me is too much for a quick short.

I think this system will start showing some decent setups next week. We are just in the middle of a cycle on most pairs now. The HMA is short enough so that it will recycle fairly quickly.

Sooooo....no trades for me tonight with this system.

I trade with MB Trading. I keep a seperate, small account to live test ideas. I can trade as little as 10 cent pips with them.

Could you show your wins/losses in pips. It is more meaningful to me.