It would certainly be useful to have his input. That was very good advice you gave me today Billser. I'm very new to this. Can I ask you do you always check several TFs before entering and if so which ones apart from the daily ?
It would certainly be useful to have his input. That was very good advice you gave me today Billser. I'm very new to this. Can I ask you do you always check several TFs before entering and if so which ones apart from the daily ?
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Hi Bundubill,
I'm also new and what helped me out a lot was the below thread. James16 group. It's long but you will get the idea.
Hi Everyone I am new to this group but am familar with trading moving averages to a point. This looks like a great system even in the ranging markets it's true that profits could be made from what I was noticing it looks like if you were to put a stop about say 25 pips above where the 100 day moving average is that it would not get hit 80% of the time. But i think you would have to enter right on the cross to make sure you catch a positive trade. But as far as the exit strategy maybe a trailing stop could work...
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Joined Mar 2007
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Status: Jacko Trooper
|771 Posts
I think this is a good time to test the strength of this system during whipsaws, coz this is what is happening now. On 30m, we had 2 crosses down already, but because RVI is over 0, not a good place to enter.
I think we have to add to this system strong S/R levels and see how the market behaves around them, if it runs or ranges, and this is also how we can avoid whipsaws better.
I noticed earlier in this thread that the originator tbwss1234 said that during tha asian session he used the 1HR chart because it was so choppy and maybe that is the best TF for us to use in the current conditions
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Joined Mar 2007
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Status: Jacko Trooper
|771 Posts
How is everyone trading this strategy?
I try to keep it simple. If 9Sma crosses 100 Sma to the upside, and RVI100 is above 0, I go long. Opposite for short. I also look at the angle of both 9 and 100sma and follow my instincts. Besides this, I am aware of the S/R levels and try not to enter close to one.
Anyway, during trending periods, this strategy work damn well.
I would like to know how are u people trading using the 125+/- channel.
I have followed this thread as I will any that I have an interest in it contents.
What has happened to the founder of the thread? This method will catch
some very nice moves & can keep you out of the range & chop chop whipsaws. I trade a similar method that I put together a couple of yrs ago &
have good success with it.
Maybe the founder of the thread will return & keep adding his results & ideas
as this is a really nice simple method.
Yeah I saw that cross. I didn't go for it because the stochs on the IH and 30M were both deep into oversold. I'm new to this and I don't know if I should be taking any notice of the stochs because the originator of the system didn't mention them as a filter. Has anybody got any views on this ?
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Joined Mar 2007
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Status: Jacko Trooper
|771 Posts
well, one way would be to use RVI 100 as a filter. When u get a short cross, check if RVI 100 is under 0 level on a M30 chart. If yes, its quite safe to enter the trade. Same idea for the long.
However, recently it seems that all the good crosses offered a few pips, 50 - 100, then the market reversed completely, so consider also using some TPs. Also, sometimes waiting for the cross can get u in the trade quite late. When u see price crossing down 100 sma and u are sure of a potential sell off, by using oher indicators, jump in and dont wait for the 9sma to cross, because by then the trade may be almost finished. This is rather aggressive approach, but looks like the market is a little choppy these days.
Just my 2 cents. Anyone got other good inputs here?
I have followed this thread as I will any that I have an interest in it contents.
What has happened to the founder of the thread? This method will catch
some very nice moves & can keep you out of the range & chop chop whipsaws. I trade a similar method that I put together a couple of yrs ago &
have good success with it.
Maybe the founder of the thread will return & keep adding his results & ideas
as this is a really nice simple method.
AceTrader
Ignored
well Ace trader, nice to have a professional around here. Could you be so kind to share some ideas of improving this wonderful method with us? Thanks.
well, one way would be to use RVI 100 as a filter. When u get a short cross, check if RVI 100 is under 0 level on a M30 chart. If yes, its quite safe to enter the trade. Same idea for the long.
However, recently it seems that all the good crosses offered a few pips, 50 - 100, then the market reversed completely, so consider also using some TPs. Also, sometimes waiting for the cross can get u in the trade quite late. When u see price crossing down 100 sma and u are sure of a potential sell off, by using oher indicators, jump in and dont wait for the 9sma to cross, because by then the trade may be almost finished. This is rather aggressive approach, but looks like the market is a little choppy these days.
Just my 2 cents. Anyone got other good inputs here?
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Thanks that's very helpful. Does that use of the RVI as a substitute for stochs apply to most systems or is it specifically for this one ?
Thanks that's very helpful. Does that use of the RVI as a substitute for stochs apply to most systems or is it specifically for this one ?
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I didnt try using it on other strategies, but it acts very well as a filter for this strategy, so I think u should use it with confidence. Also, do some backtesting with it, see how it filters bad entries.
Maybe add RSI @14 or 21 along with MACD @5,13,1. I am not trading this
method, but just gave it a look see with the above indicators & it looks good.
Price action is what really counts as we all know. Adding the pivots might be
a good idea as well.
I have been using the MACD with settings 12,26 and 9 as a filter to this system with great success the last two weeks. I only enter the trade when both indicators (MA's of Eagle Crossover and MACD) points in the same direction. Exit when one of the indicators turns around.
It seems to keep you out of the market when risky and ensure that you will be in when the big moves in GBP/JPY comes along. When in the market, I log in every hour to see if one of the indicators have perhaps turned and signal an exit.
Comments will be appreciated.
That's interesting. Do you mean you exit if the 9ma starts to turn down even if it's the topside of the 100ma ? And if you do that don't you miss some of the big moves or do you getback in again when it if it turns up ?
Yes Bundubill, the MACD will sometimes require you to exit from a buy when the MA's are still bullish or from a sell when the MA's are still bearish. So yes, you could miss out on some parts of big moves before the MACD prompts you to re-enter. Generally though, the MACD gives the signal to re-enter in time. On the other hand it gives a valuable early warning to exit when the market turns against you.
Eagle Method MA Crossover System
