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EUR/GBP Trendmagic System

  • #3,121
  • Jun 25, 2009 7:50am Jun 25, 2009 7:50am
I agree, I cannot get the stochs bars to work properly .. only a few random bars show up, most of the space is black.

Quoting FXreds
Thanks Notch,

Got the settings as per Paulus post, but still don't see things lining up clearly. As per Paulus settings I have used the following

5
3
3
60
40

MA Type 0
Type Price 0

Colours
None
Blue
Red

Are you getting matching red to red and blue to blue with HV ? Mine is not giving clear signal.

Cheers.


PLEASE REFER TO PAULUS'S POST FOR SETTINGS ETC.

DEVASTATINGLY GOOD.
[/quote]
******************* I'd rather make money than be right.
  • #3,122
  • Jun 25, 2009 7:51am Jun 25, 2009 7:51am
Quoting FXreds
Hey Notch,
Would you mind posting a chart and confirm settings. I have loaded the stochastic bars and run with HV, but don't see the combo of them clearly.
Yeah, I wouldn't mind seeing what HIS chart looks like too...
  • #3,123
  • Jun 25, 2009 7:52am Jun 25, 2009 7:52am
Suspect it should read:

Colours
None

Red

Blue
  • #3,124
  • Jun 25, 2009 7:55am Jun 25, 2009 7:55am
Quoting enewbold
Yeah, I wouldn't mind seeing what HIS chart looks like too...

Do you know what...just forget that I mentioned it. It's all there in Paulus's post. Settings, TF examples.
  • #3,125
  • Jun 25, 2009 7:57am Jun 25, 2009 7:57am
Thanks Notch,

Don't have that match on EU, think Redhouse may have answered above, colour settings may not be in order.

Will try again,

Cheers.


When the HV is red and the stoc turns red sell and vice versa. Like just now on the eurusd at HV blue and stoc is blue. 1.39111.[/quote]
  • #3,126
  • Jun 25, 2009 8:06am Jun 25, 2009 8:06am
Apologies for the confusion Notch. Have it now, colour settings were wrong. At first glance I certainly see what you mean. Cheers.

Thanks Redhouse for solving problem with colour settings.

Do you know what...just forget that I mentioned it. It's all there in Paulus's post. Settings, TF examples.[/quote]
  • #3,127
  • Jun 25, 2009 8:12am Jun 25, 2009 8:12am
Quoting Gleneagles
Any suggestions or thoughts would be appreciated. Is it a matter of luck that a good trade is noticed or just sheer patience and perseverance?
I trade on average 4-5 hours a day.

It is pointless and soul-destroying sitting with your nose against the monitor for 18 hours a day. I trade 2-3 hours during LDN session and at times 1-2 hours during the US session. I am lucky that I live in a timezone that covers the " best " trading times.

By only targeting a fixed and limited trading window, it helps to stay focused.

In addition, I only trade 4 days a week during one month, the next month I trade 5 days a week and take a week of. I want to extend my " shelf life " as a trader!

If you target your trading times, pick 1-2 pairs only to trade, you will find that it is easy to focus and not miss good trading opportunities.

Sure, a bit of luck does not do any harm but to be successful in trading, you have to treat it like a business or a valuable job.

Wow, I am starting to sound like those improve-your-golf-handicap, lower-your-cholesterol, become-a-better person courses!

In any case, it works for me.[/quote]

Good stuff here. Very 'Tony Robbins" like.

Very good post and excellent trading methodology displayed throughout postings.

It has been stated on many occassions the best time perios to trade are in essence the Asian/London and London/U.S. overlapping periods. This is due to the excellent liquidity and volatility present during those times.

Makes no sense at all to sit there for 8-12 hours trying to figure out what suits you. The best times are already set and accomodate traders virtually anywhere in the world.

Tighten those mast sheets lines me maties.
  • #3,128
  • Jun 25, 2009 8:14am Jun 25, 2009 8:14am
Notch
After the 2 colours line up, do you take the trade as soon as this occurs or wait until the bar completes. I ask this because I have noticed that as the bars are building they can and do change colour - which is to be expected.

I think the colours are correct as posted by Paulus. This is opposite to the default
  • #3,129
  • Jun 25, 2009 8:20am Jun 25, 2009 8:20am
OK, I have posted a few trades I have taken over a few different days in this thread, more postings than I have made in 2 years on these boards. I have been profitable and doubled my measly micro account from $10 to $25 (I only use this account for testing, so please don’t flame me on how it isn’t enough capital, blah blah.)
I can say that if one has the fortitude and time to watch the 1m and/or 5m charts using the original system as stated by Paulus using TG’s single time frame indicator with confirmations using her MTF indicator with trend magic for sliding stops you will make a consistent profit, but like Edge and others have mentioned this is a swing strategy. If you want to scalp it is possible using all these same indicators, but you need a hard set take profit of 5-10pips and a broker that doesn’t mind not holding onto positions, my test one doesn’t so I am lucky. However you WILL have losses, albeit small ones if you follow the rules.

I however have decided to move onto the 1H timeframe, it suits my life a bit more, with two kids running around to entertain, sitting in front of a monitor all day is not an option. This system is very viable on the longer timeframes, and even more so with TG’s more sensitive single time frame indicator which gets you into a trend on average a bar earlier. Looking back and watching this going forward one could easily take out 50pips per pair (on average) daily without much sweat, and if you want to manage the trades, 100 pip runs are fairly normal on most pairs.

I have decided to stick with the longer time frames, and may continue to post some trades here if it is not objected too, unless some of you other longer time frame people want to start a separate thread. I want to say this again, stick with this system and you will make a profit, but you have to manage the trade, make sure it is within the rules, not just that all the colors line up. Paulus gave us a good set of rules, TudorGirl gave us some very solid indicators to go along with those rules, Edge and others have given everyone solid ideas to go along with all of them, there is no reason why anyone should not be able to pull profits out of all of this in the long run, not every trade will be a winner (yes this is the second time I have said this) and you have to mentally just deal with that, it is part of the business, if you want to win every trade find another game to play, this isn’t it.
  • #3,130
  • Jun 25, 2009 8:22am Jun 25, 2009 8:22am
Quoting scartree
Notch
After the 2 colours line up, do you take the trade as soon as this occurs or wait until the bar completes. I ask this because I have noticed that as the bars are building they can and do change colour - which is to be expected.

I think the colours are correct as posted by Paulus. This is opposite to the default

You need to watch it for a day or two in order to get a feel for entries.
  • #3,131
  • Jun 25, 2009 8:34am Jun 25, 2009 8:34am
nuancom, how do you make the 5o EMA change colour with the direction?
I presume it is not a standard moving average within MT4?
thanks
Ian


Quoting nuancom
yes its agood indi see how good it match my 50 ema
  • #3,132
  • Jun 25, 2009 8:40am Jun 25, 2009 8:40am
Pretty good +10 setups for those looking at that plan.

Going to explore that 'stoch' Notch mentioned.

Regards.
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  • #3,133
  • Jun 25, 2009 8:47am Jun 25, 2009 8:47am
Quoting Gleneagles
Swiss Central Bank spend billions today to weaken the Swissy by intervening in the market.

You are ruining their efforts!!!

Good luck with the trade, it is vastly overbought and Central Bank will have to trade with chocolates and watches for next few weeks.

Couldn't fight the entire Swiss Central Bank. I am not George Soros (yet!!!)

Stopped out for +30 on my USDCHF H1 short.

Anne
  • #3,134
  • Jun 25, 2009 8:47am Jun 25, 2009 8:47am
Quoting Edgetrader
Pretty good +10 setups for those looking at that plan.

Going to explore that 'stoch' Notch mentioned.

Regards.


While going after +10 I guess you use bigger lots. How far will you have a position moving against you before you take a loss ?

Also do you enter on closed candles or as soon as TRIX ticked over itīs zero line ? On my platform the E/U trade would have been triggered one candle too late and would not have reached +10.
  • #3,135
  • Jun 25, 2009 8:53am Jun 25, 2009 8:53am
Quoting iansr1
nuancom, how do you make the 5o EMA change colour with the direction?
I presume it is not a standard moving average within MT4?
thanks
Ian
look your pm
  • #3,136
  • Jun 25, 2009 9:10am Jun 25, 2009 9:10am
Quoting DanFX
While going after +10 I guess you use bigger lots. How far will you have a position moving against you before you take a loss ?

Also do you enter on closed candles or as soon as TRIX ticked over itīs zero line ? On my platform the E/U trade would have been triggered one candle too late and would not have reached +10.
The 'trix' is the trigger and the 14WMA works well as a buffer SL area. On a 5M chart, it is difficult to have a patently mechanical SL as if you wait for a close below the MA for a hard SL you can be waiting quite a while.

Yes, I do trade a tad larger lots size in scalping. It is pure probability theory trading. The indi's used on the MT4 platform are generating a very good w/l ratio though so is a pretty viable plan.

Even at 4 mini lots on a 3k account, the results are quite good from a daily perspective. The goal is to be in and out quickly and be done for the day. In two weeks, this little plan has never had you trading more than 2 hours, and account goals have been reached in as little as 16 minutes.

Now, take a look at the previous chart shot once more. Notice how these four (4) pairs will run very close to one another. Need to develop some anticipatory feel for what PA is doing. There is no such thing as a pure mechanical plan that is 100% accurate. The GU, and AU had already triggered and the GY and EU are, from a probability standpoint, poised to follow along. That is the hard part I suppose.

In reality, you can simply wait until a TRIX cross confirms the strength and trade at that point with relative confidence in the +10 plan. A perfect example is that EU you are referring to. You might have wanted to wait for a perfect entry as you did. If you held the trade as per plan, your +10 would have been achieved absent a small retrace.

Thus the HA candles seemingly have value as they never closed short during this last move. A scalping plan is going to generate a losing trade that exceeds the value of a winning trade. Just part of trading that methodology. As mentioned, you need faith in the indi's and some decent oscillating PA which we have in abundance this morning.

Regards.
  • #3,137
  • Jun 25, 2009 9:18am Jun 25, 2009 9:18am
Hey Nuancom how do you get your 50ma to change colour?.That is cool.
Quoting nuancom
look your pm
  • #3,138
  • Jun 25, 2009 9:32am Jun 25, 2009 9:32am
Quoting Edgetrader
In reality, you can simply wait until a TRIX cross confirms the strength and trade at that point with relative confidence in the +10 plan. A perfect example is that EU you are referring to. You might have wanted to wait for a perfect entry as you did. If you held the trade as per plan, your +10 would have been achieved absent a small retrace.

Thus the HA candles seemingly have value as they never closed short during this last move. A scalping plan is going to generate a losing trade that exceeds the value of a winning trade. Just part of trading...
So if I understand it right, you might jump in a trade BEFORE a candle is closed when u see some PA developing ??

I really want to master this plan as it could suit me quite well ( as soon as consistently profitable )
I like the idea of trading few hrs. a day and get gone with 30-50 pips and a 2 - 3% account increase .

Unfortunatly everything i tried failled in the long run so i want to focus on ONE plan , stick to it and master it and i feel this could be the right one.
Thatīs why iīm asking every detail iīm not sure about.
  • #3,139
  • Jun 25, 2009 9:53am Jun 25, 2009 9:53am
Quoting TudorGirl
Couldn't fight the entire Swiss Central Bank. I am not George Soros (yet!!!)

Stopped out for +30 on my USDCHF H1 short.

Anne

Anne 30 Switzerland 0

" Never let the past hold the future to ransom "
  • #3,140
  • Jun 25, 2009 9:57am Jun 25, 2009 9:57am
Quoting DanFX
So if I understand it right, you might jump in a trade BEFORE a candle is closed when u see some PA developing ??

I really want to master this plan as it could suit me quite well ( as soon as consistently profitable )
I like the idea of trading few hrs. a day and get gone with 30-50 pips and a 2 - 3% account increase .

Unfortunately everything i tried failed in the long run so i want to focus on ONE plan , stick to it and master it and i feel this could be the right one.
Thatīs why iīm asking every detail iīm not sure about.
Unfortunately, that is true. Waiting on a HA candle to close can be a pretty wide range depending on pair traded, PA at the time, and time of day trading. However, it is not too difficult to observe a bit of PA, look at another pair or two to gage the overall bias and have a go at it. Going after +10's is pretty simple. Bare in mind, going after +5's with a bit more zest is almost a no brainer, but once you are comfortable and consistent with 10's then the 5's become almost effortless.

Consistent with a few of my postings, I do not trade a MT4 platform live, nor do I trade candlesticks. What I have been trying to do is adapt a scalping method based on Paul and Anne's work here and modify it a bit so as some folks can utilize it on a MT4 to achieve consistent trading op's during higher volatility time periods.

There is no doubt that has been accomplished. There are a sufficient number of postings and chart shots to afford the method a bit of merit.

As your goal is to find some method that provides consistency in your trading efforts, the 5M is a good start. Paul will finish the 1M materials soon and you will then have another option to explore. I too will be in the arena hacking and chopping at the enemy to conquer that battle also.

Give us two more weeks, trade the setups as set forth, and have some good discipline and we are going to come out on the other side of the desert unscathed. A bit more patience is all everyone needs here. Another little trick is to watch the MA itself when entering a trade. When it bends down, PA is short. Bending up the PA is long. I know everyone knows this but all this 'tiny' nuances matter when scalping. They HELP a trader and these are really basic indi deals.

New chart shows 3 out of 4 short trades already complete and 'sell stop' in place on the 'beast' in case he wants to follow. Very good setups and follow-through though.

Regards.
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