hi, i have been reading about forex religiously for 4 months now, i haven't started trading live yet. i blew 5 demo accounts so far...hahaha
most systems (99%) that i have read about are based on technical analysis or price action. i came across a system that is based on fundamentals. i don't know the details because the owner of the system does not reveal ....here is a post i found where he explains a bit. I was wondering if anyone is familiar with such a system and where i could learn more about it. I am really interested because I have heard about the trader before and i heard his system is very accurate.
"Hi John
sorry for my one liner, i was replying from my pda. first of all, i want to clarify something I am not long or short on GBPUSD but when Mohamed said he wanted to short I said it is a bad idea because my system shows it is long BUT I am not in the trade because I only enter at optimal points.
About why I believe it is long. My model shows me that GBPUSD is mispriced by 1-2 cent (100-200 pips). I don't have graphs to show since my system is just fundamentals (i just use technical to find optimal entrance points).
Briefly, my system is a regression system where I used dimensional analysis (something i learned as an engineer) to come up with a relationship between price with several variables such as GDP, unemployment, S&P500, other indices for each country and several country specific variables (such as oil price for USDCAD). So each week I enter updated data, I use Bloomberg (not the website but the actual terminal at my b-school) to collect economic estimates from different economics at the end of the process I get a forecasted price. So if the actual price is at least 100 pips mispriced then I swicth to technical. In my technical I use modified monthly pivot points to enter my trades.
So as you see John, I cannot argue and prove my point using technical analysis of why i think it will still go up because your Elliot principle is different than my model. But still I really enjoy that skilled technical traders such as yourself and Mohamed are in the group and educating the rest with technical."
most systems (99%) that i have read about are based on technical analysis or price action. i came across a system that is based on fundamentals. i don't know the details because the owner of the system does not reveal ....here is a post i found where he explains a bit. I was wondering if anyone is familiar with such a system and where i could learn more about it. I am really interested because I have heard about the trader before and i heard his system is very accurate.
"Hi John
sorry for my one liner, i was replying from my pda. first of all, i want to clarify something I am not long or short on GBPUSD but when Mohamed said he wanted to short I said it is a bad idea because my system shows it is long BUT I am not in the trade because I only enter at optimal points.
About why I believe it is long. My model shows me that GBPUSD is mispriced by 1-2 cent (100-200 pips). I don't have graphs to show since my system is just fundamentals (i just use technical to find optimal entrance points).
Briefly, my system is a regression system where I used dimensional analysis (something i learned as an engineer) to come up with a relationship between price with several variables such as GDP, unemployment, S&P500, other indices for each country and several country specific variables (such as oil price for USDCAD). So each week I enter updated data, I use Bloomberg (not the website but the actual terminal at my b-school) to collect economic estimates from different economics at the end of the process I get a forecasted price. So if the actual price is at least 100 pips mispriced then I swicth to technical. In my technical I use modified monthly pivot points to enter my trades.
So as you see John, I cannot argue and prove my point using technical analysis of why i think it will still go up because your Elliot principle is different than my model. But still I really enjoy that skilled technical traders such as yourself and Mohamed are in the group and educating the rest with technical."
