Attachments: Traffic Light System

Traffic Light System

#341
Feb 9, 2009 10:33am Feb 9, 2009 10:33am

Jnita
| Joined Jun 2008 | Status: Trader | 1,486 Posts

Quoting mitchp

Disliked

Unfortunately I have taken such a beating these last couple weeks (all because I didn't stick with my trades and let the huge draw-down get to me) I didn't stick with them - when will I ever learn....

Ignored

Mitch,

All of us do it - the not sticking to our own rules. I think that you do have a good system. I have been monitoring your system and I used the bull-bear power indicator with it - as you will see, it colaborates the RSI, it also looks good (I'll attach a image). I agree with your idea to make more use of the CCI.

J

Attached Image

#342
Feb 9, 2009 10:48am Feb 9, 2009 10:48am

fugly
| Joined Aug 2007 | Status: Trader | 889 Posts

hey mitch

i think its a great method I'm sure we'll see it evolve as the thread rolls along.

personally i think you did the correct thing by exiting your trades today. I'm absolutely sure it was the right thing to do the draw down was quite large and you had several open positions. If you had stuck to it and it had'nt turned around you might not have been able to live to fight another day ..... so to speak.

A really great and i mean a really exceptional trader once told me "money missed is better than money lost"

I kinda agree with him. Thats why I think you were right in doing what you did.

Have you thought about what would have happened if you hadnt cut your trades and they continued to go south?

#343
Feb 9, 2009 11:28am Feb 9, 2009 11:28am

mitchp
| Joined Jul 2007 | Status: Trader | 262 Posts

Quoting fugly

Disliked

hey mitch

i think its a great method I'm sure we'll see it evolve as the thread rolls along.

personally i think you did the correct thing by exiting your trades today. I'm absolutely sure it was the right thing to do the draw down was quite large and you had several open positions. If you had stuck to it and it had'nt turned around you might not have been able to live to fight another day ..... so to speak.

A really great and i mean a really exceptional trader once told me "money missed is better than money lost"

I kinda agree with him....

Ignored

Not sure how low they went and if I would have had the margin to cover, so I'm ok with it right now. I should be able to get back into a couple trades either today or tomorrow. I'm going to slow it down a bit and hopefully make nice controlled jumps in my equity. It was a fun few weeks when I took the account from $300 to $6500, but I now know that that was a lot of luck.

Mitch

#344
Feb 9, 2009 12:18pm Feb 9, 2009 12:18pm

JHoffmann
| Joined Dec 2008 | Status: Trader | 7 Posts

Hi Mitch,

I want to thank you for this system as it has been very successful for me for the past couple of weeks.

I wanted to ask how you're trading the system since I noticed you're chart has changed quite a bit from the initial post and post #332. When I look at the chart in #332, it seems that if you had taken trade on 03 Feb, you would be + 600-700 pips. Are you trading signals each day or only on Sunday's? I also don't understand the two different arrows you have on your plots.

Thanks,
-Jim

#345
Feb 9, 2009 2:02pm Feb 9, 2009 2:02pm

FxCba
| Joined Feb 2009 | Status: Trader | 286 Posts

Hello
It's me again

Now i'm working on exits
My question is according to last long entry signal, system is still long? or there's an exit advise already?
Thank you

#346
Feb 9, 2009 2:15pm Feb 9, 2009 2:15pm

guillo
| Joined Mar 2006 | Status: Trader | 31 Posts

Long EUR/CHF, 150 pips SL.

Attached Image (click to enlarge)

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Name: Trade.PNG
Size: 23 KB

#347
Feb 9, 2009 2:37pm Feb 9, 2009 2:37pm

JHoffmann
| Joined Dec 2008 | Status: Trader | 7 Posts

Hi FxCba,

If you're asking me, I will be home in a few hours and will check the signal to see if it is still active. I usually sell on the first Red from the HMA although I reserve the right to get back in if the HMA re-paints and everything lines up green again.

-JH

#348
Feb 9, 2009 4:42pm Feb 9, 2009 4:42pm

mitchp
| Joined Jul 2007 | Status: Trader | 262 Posts

Quoting JHoffmann

Disliked

Hi Mitch,

I want to thank you for this system as it has been very successful for me for the past couple of weeks.

I wanted to ask how you're trading the system since I noticed you're chart has changed quite a bit from the initial post and post #332. When I look at the chart in #332, it seems that if you had taken trade on 03 Feb, you would be + 600-700 pips. Are you trading signals each day or only on Sunday's? I also don't understand the two different arrows you have on your plots.

Thanks,
-Jim

Ignored

Jim,

I will be posting a new chart tonight and explain how I'm looking at things now. Really, not much has changed, I just added CCI. I will also explain my new trading strategy,I had to get away from the Sunday to Friday only method.

Mitch

#349
Feb 9, 2009 6:23pm Feb 9, 2009 6:23pm

nubchai
| Joined Jan 2008 | Status: Trader | 750 Posts

I got side tracked testing a couple of other systems. But I think the Traffic Light system has a lot of merit.

For my trading style I think I'll look at setting a reasonable TP and closing trades when I hit it. Also maybe trading fewer pairs that I know better and controlling DD that way.

Sandy

#350
Feb 9, 2009 9:47pm Feb 9, 2009 9:47pm

JHoffmann
| Joined Dec 2008 | Status: Trader | 7 Posts

We should title this trade Full-Circle.

EURUSD -
I posted previously the entry point was 1.2827 with a worst case exit of 1.3000 on the 4:00 Central Time Zone. We then had a short signal on the next 4 hour bar (8:00) with an open bar price of 1.3003. As i'm typing the price is....drum roll....1.2826

-Jim

#351
Feb 9, 2009 9:49pm Feb 9, 2009 9:49pm

mitchp
| Joined Jul 2007 | Status: Trader | 262 Posts

I got an idea while reading the Daily Fozzy. I really like the idea of a RSI overlayed on it's RSI. Of what I've seen it really give a great signal that works really well with this method. But what I'd like to see is an indicator that displays bars - Red if MA is greater than RSI, Yellow if they are equal, and Green is RSI is greater than MA. Any takers?

Mitch

#352
Feb 9, 2009 10:04pm Feb 9, 2009 10:04pm

prelude
| Joined Jan 2009 | Status: Trader | 11 Posts

Hey, just tried this method and here's my feedback...

Initial try, i used this on a cross-currency pair (CHFJPY) on a daily TF. All signs said sell (red HMA, red goldminer, yellow RSI custom). So just like OP said, i went in for the sell (this was around 23:24). Just came back home to check the update, and I was down $1,000; the most i've lost so far in my newborn hobby!
I have to put some of the blame on my timing however, as I think I entered too late.

Next try, I just went short on EURUSD, and i'll post my results next day (should i choose to stop my order there)

But, I'm still looking to take advantage of timing, so, next time I'll place a new order on market open (that's around 5:00AM EST right?)

#353
Feb 10, 2009 11:00am Feb 10, 2009 11:00am

guillo
| Joined Mar 2006 | Status: Trader | 31 Posts

Quoting guillo

Disliked

Long EUR/CHF, 150 pips SL.

Ignored

Stopped out, looking forward for the next trade.

#354
Edited Feb 11, 2009 7:44pm Feb 10, 2009 8:35pm | Edited Feb 11, 2009 7:44pm

mitchp
| Joined Jul 2007 | Status: Trader | 262 Posts

Hello All,

Wouldn't you know that the minute I put this system up on FF, all my trades take a dive. So i'm fighting my way back up one trade at a time right now. Now I still believe in this method but I'm looking at the charts in a little different way. Once I truely feel that this new way is better, I will post it. In the mean time, here is what I would have done if I had the equity:

Update
GBPCHF - Sell @ 1.6826 +164 pips
USDSGD - Buy @ 1.5096 -28 pips
CHFJPY - Sell @77.91 +7 pips
USDJPY - Sell @ 90.39 +32 pips
EURJPY - Sell @116.45 +27 pips
GBPUSD - Sell @1.4509 +131 pips
AUDUSD - Sell @ .6555 -11 pips
USDCAD - Buy @ 1.2430 -29 pips
AUDJPY - Sell @59.22 +6 pips
GBPJPY - Sell @131.15 +157 pips Total = +456

Now in normal times I wouldn't necessarily take all of these but for laughs...

Mitch

#355
Feb 16, 2009 12:09am Feb 16, 2009 12:09am

tcmm
| Commercial User | Joined Nov 2006 | 1,023 Posts

Look at the chart. Added some rules.

Attached Image (click to enlarge)

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Name: 1000.gif
Size: 52 KB

My Email For Help: [email protected]

#356
Feb 16, 2009 9:01am Feb 16, 2009 9:01am

DirkH143
| Joined Sep 2008 | Status: Trader | 650 Posts

Quoting tcmm

Disliked

Look at the chart. Added some rules.

Ignored

Question?
Why do you put the RSI in the charts? You can see clearly that the underlying indicator already tells you the same than the RSI? Doesn't this just overloads the picture?

D.
PS: What are those added rules?

#357
Feb 16, 2009 2:41pm Feb 16, 2009 2:41pm

tcmm
| Commercial User | Joined Nov 2006 | 1,023 Posts

Quoting DirkH143

Disliked

Question?
Why do you put the RSI in the charts? You can see clearly that the underlying indicator already tells you the same than the RSI? Doesn't this just overloads the picture?

D.
PS: What are those added rules?

Ignored

It kind of gives you a direction ahead of time Like over bought and over sold, before it changes colour, a little extra Radar you might say. I use also a 4 RSI for Over bought and sold.