DeMark TDST Trading

I welcome you Maq as one of the traders who have benefitted immensely from foggytrader's method and he has been answering all my questions to help me understand it. If you are looking for a nmethod to enter low risk trades with an opportunity to bigger profits, in my opinion this is it.

Hi Foggytrader, I've been keeping up with your thread since you bega it. I'm a big fan of all of Demark's systems, and I'll be starting to get used to this one very soon, after I read his second book. I'm really interested in the money management you've been talking about, risking 2% to gain 7%. Would you be able to elaborate on the math (number of lots, stop loss and profit target) for that particular MM strategy? Thanks.


Paul

Thanks for your interest Paul,

My MM idea is basically this, when I get a bounce/failure of a TDST level and it agree's with my long-term analysis I enter according to the normal rules using the same stoploss rule however I risk 2% instead as 1%.

The 2% is split into two different units each risking 1%. The first unit has a target of 2%, once this is reached I move the second unit to breakeven and it has a target of 5%. Obviously the number of lots depends on the size of your account but I am currently testing scripts to enter the trade at a click of a button, so everything will be done automatically.

It is in the early stages but so far it looks promissing, I am going to forward test it on all my live signals for the rest of this year then go live with this particular MM in January.

Just to let everyone know and in case anyone has been using my analysis, I have been busy today so have stayed out of the markets but I will do some analysis tonight and will be trading as usual for the rest of the week.

Cheers
Foggytrader

AUDUSD

Although the bulls are in control on both the daily and weekly timeframe I still see the posting of a bearish outside bar formation 3 weeks ago as a possible sign that the bears are becoming more involved here. In addition, as I have posted several times, the latest currency research report from Morgan Stanely points out that the Aussie Dollar is 40% overvalued against its American counterpart. Therefore while the high of the formation holds at 0.9405 I will continue to look for opportunities to go short.





Cheers
Foggytrader

EURGBP

Since we breached the lower BAT support level I was looking for us to make some bullish thrusts which we did and on Friday we closed below the low of the final thrust bar which is the signal to go short. Therefore I will now be looking for opportunities to go short until either we remove Fridays high to a close or we reach the TDST support level of 0.8901.



Cheers
Foggytrader

EURJPY

Developments over the past few weeks have re-asserted the bear to this market. Following the breach of the lower BAT support and the close below the TDST support we have seen a bear squeeze which is a worrying sign for the bulls. I am now waiting for a close below Fridays bullish thrust at 132.50 as a signal to attempt some shorts. Ths strategy will hold true until we remove the 9th bars low at 135.18 to a close.



Cheers
Foggytrader

EURUSD

Currently I don't really see much on offer here in either direction. I am currently waiting for a close below the last weekly bullish thrusts low at 1.4829 to begin looking for short opportunities to target the daily BAT support level at 1.4492.





Cheers
Foggytrader

GBPCHF

As anyone following this thread will know, I was long at 1.6490 following the 9th bar of a TD Buy Setup but closed out for a small profit following a bearish close on Thursday. Obviously now it looks like a bad move but it seemed the right decision at the time. Nevertheless, along with the EURGBP setup which is the opposite mirror to this one, I really like how this pair is setting up. I am currently looking for more opportunities to go long targeting the 1.7720 bull target level. This strategy will hold until Fridays low at 1.6525 is removed to a close or we go beyond the trend breakout point at 1.7109.



Cheers
Foggytrader

GBPJPY

Interesting developments here over the past few sessions. We had an accelerated move to test the daily TDST support level at 141.53 and posted a bounce candle formation. Following that formation we have witnessed a fast bear squeeze which is a worrying development for the bulls. Although we have closed above the 60 day SMA again I am happy to attempt some small shorts should this level (147.04) be removed to a close. If this does not materialise I will look to sell a failure of the TDST resistance at 150.29.



I have attached a weekly chart to highlight some developments. We did close above the last bearish thrusts high last week. However, I still think the bulls need to recapture the 150.35 level to a weekly close to have a chance. With the daily TDST resistance level being at 150.29 it looks like this would be the ideal level to sell a failure should we get to that level again.



Cheers
Foggytrader

GBPUSD

We have been bouncing off the SMA levels for a while now and I see these as the key levels to the market. I am waiting now for the removal of these levels to a close or the recapture of Fridays bearish thrusts high before I get involved.



Cheers
Foggytrader

USDCAD

While the bullish outside bars low of 1.0416 holds to the close I am still happy to look for long positions at current levels. We have TDST support and resistance levels on the daily chart close by so this market is far from decided but full of opportunity.



Cheers
Foggytrader

USDJPY

I thought we would have to wait for longer to get a BAT breach on this pair but we are moving ever closer following the moves towards the back end of last week. Friday also saw a close above the TDST resistance level of 90.39 which is a significant breakthrough for the bulls. I am now waiting for a breach of the upper BAT level at 91.46 before I become involved here at which point I will likely look for shorts as we remain bearish on the weekly chart.



Cheers
Foggytrader

EURGBP

Just had a failure candle on the 5 minute chart, 15 minute chart and we are also around the TDST resistance on the 1 hour chart at 0.9056.





Cheers
Foggytrader

EURGBP

All the probabilities are stacking up here for a short as illustrated by the charts below. Short at 0.9052 stoploss at 0.9069.







Cheers
Foggytrader

EURGBP

Well, although the probabilities were stacking up this one has been stopped. I will continue to look for opportunities to short this market.



Cheers
Foggytrader

We have just made a nice bounce from the TDSt support level, had to enter this one manually as price was close to the entry following the candle close, but in any case, I got in at the correct 1.0533 with a stop at 1.0508.



Cheers
Foggytrader

USDCAD - Forward Testing MM

I am going to try where possible to post my new MM idea which I am forward testing on a demo account. I have a script now so everything is automatically entered. I obviously enter on my live accounts first then switch to the demo but hopefully I will catch them all.

Here is the first one, account size is £9811.20, entry is at 1.0533 stoploss at 1.0508 both units are 0.68 lots 1% each. First target is 1.0586 (1%), second target is 1.0661 (5%). I will keep you updated.



Cheers
Foggytrader

USDCAD

Tough morning, two stop outs so far, only -42 pips though which can easily be made up. I will keep looking for opportunities to go long here.



Cheers
Foggytrader

GBPCHF

Well, here goes again, so far this morning two of my pairs have produced stop outs so lets see how this one fairs. We had a bounce from the TDST support from Friday at 1.6625, following this we didn't close below the low of the breach candle therefore the orders were held and are now triggered.

Off out with the dog, none of my other pairs are anywhere near TDST levels, time for some fresh air...



Cheers
Foggytrader

GBPCHF - Forward Testing MM

Sorry, forgot to post earlier, got this one with the new MM script. Hope this helps people understand what I am meaning.



Cheers
Foggytrader