Kudzu's ROCK climbing FX method

I like anything Stochastic and any combination thereof. You will find that learning to use mutliple Stochastics both within the same Time Frame and across two or more Time Frames is very helpful to gauging trend reversals, price exhaustion and continuation of a trend.

I will be real simple with this method at the start.
attached is a template

Kuduz's ROcK climbing stands for

R williams
Oscillator
c=with
K line Stochastics

entry:
cross of %R with 100%K line (aqua)
and
cross of RSI lines
and
convergence of multiple Stochastic lines

good = <25 or >75
better = <10 or >90
best = <5 or >95

exit:
when the 25 Stochastic line crosses and turns the other way
or
when the 100 %K lines cross the 10 or 90 line
or
whenever you got the pips you want (best to aim for 5 to 30)

so i like rock climbing im with you

thanks for posting

regards lodol

hello kudzufx

I like the setting very much specially the %R

it gives really perfekt early entry...

i looked also on bigger timeframes ......seems the same

but i couldnt see anything what could give a idea of how strong the move will be

very often very early entry -----filterd with the rsi very good,
...this shows all the time a little move in the direction...

but too much whipsaw entries and i cant see any information which entry could be a continuating one...

maybe i miss something

please continue with your explanation

regards lodol

about the whipsaw

I often find myself getting out of a trade at break even or a small loss when I see the %R turn back toward %0 (or %100). I consider these to just be test trades.

I have alot on my plate right now with my other business so I don't have much spare time. I have just enough spare time to enter my trades, but not to notate charts for this thread. I will post as I have time. I like to be able to post examples that are clear. That takes some time on my part, but I will be back here in week or so.

What has been helpful to me is to identify common patterns of how the %R crosses 100 line. You'll be surprise to see how often these patterns repeat themselves on a daily or 2 day basis on the M5 chart. As you learn to recognize these your brain will automatically filter out what right now looks like a bunch of zig zags.

It is especailly a solid entry when the %R crosses the 100 line on both the M5 and M15 within the same 15 minute time period.

Just a reminder - we are not necessarily looking to ride every 100 or 200 pip move, but to indentify those entries which will do two things:

1) a low draw down (not more than 20 pips max)

2) a entry that rides a group of candles stronly heading in the same direction for at least 20 to 30 pips (could be more, but with more movement comes more risk)


When I have time I will post a couple of classic patterns that usually make for a good entry.


.

Well Kudz,

Wanted to be the first to congratulate you on your new thread. I'll be following. Best of luck big guy. Big E

By "convergence of multiple stochastic lines", do you mean they are all together or do you mean they are moving in the same direction?

it's cooooll...
can anyone make EA for this system?
so we can backtest, optimized or change the EA for improvement.
i think this is a great system.

yeah, good question. Convergence can have a couple of different connotations in our business. I mean it here in the sense that the 100K line and the lesser stochs meet below 10 or above 90. They do not always "converge" as in run seamlessly together, but I have noticed that when there is definitive point of price exhaustion the 100K line and its lesser stochs tend to hang around together for a little while at least.

I believe the reason this happens is that when the most recent closes in the 100K line's equation and the most recent closes in the lesser stochs' equations fall or rise to a precipitous point their internal averaging is naturally "weighted" toward a quasi-parity with each other. That's yada yada for saying these lines "converge" because the newest price action has pushed them closer to each other.

At that point, but not always, is an opportunity to at least catch a few pips with minimal draw down. I hate draw down. I hate it with a passion.

hi
i didn´t get the point of momentum which you start to explain
in the stochastic secrets thread with the 49 and 99 %W snf the 14 .3.3 stoch

thanks for show some light on this

regards

lodol

Look forward to reading more Kudzu

i'm working on how to better define and express entry / exit rules.

as with many trading methods there is sort of a "no man's land" in how multiple indicators work with each other


just thot i'd let you all know why i haven't posted

also -tied up with end of year stuff
hope to be back soon