Simple Trading Method with trader101
Tallman,
I know your idea is right. However I can't comment since you are using the Original Pairings. Currently, we are using the Universal Pairings now since we stopped all supports to the Original pairs some months ago and dedicated all resources to the Universal Pairings.
My suggestions is for you the rechannel your study to the Universal pairs then i could comment on your posts.
Anyways, I am impressed by your quest to fully understand this system. I always welcome technical questions good or bad. Rest assure questions like this will...
Hi Julius,
I am using Universal Pairs. That's why you can't see USDCAD - CADJPY (repel) and USDCAD - GBPUSD (attract). Isn't it the difference between universal and original pair is:
1) the introduction of NZDJPY and NZDUSD to replace CADJPY and USDCAD? This is due to NZD is more common among brokers.
2) reshuffle of buy/sell basket. Sells: AUDUSD, NZDJPY, GBPCHF, EURUSD, EURCHF, CHFJPY, USDJPY. Buys: USDCHF, EURGBP, NZDUSD, GBPUSD, EURJPY, AUDJPY, GBPJPY.
I attach one day IA of Universal Pairs in this post. I apologise if I got the concept wrong.
Hope you can point out if I am wrong. I am starting weekly IA soon so, if it is wrong I can correct my program asap.
Thanks.
Sorry my assumption of your pair usage was a mistake. I dont see anything wrong with your assumption of attract and repel. The only thing that i think wrong is the assumption that GJ and GU repel.
Actually GJ and GU attracts. In fact they are a part of the group we call the EXTREMES. the extremes are compose of 4 currency pairs. GU and GJ on one side and the EG and GC on the other sides.
They are being named extremes as these 4 pairs normally occupies the top 2 slots and the bottom 2 slots. Extremes is just a fancy name for actually GBP pairs...
Hope you don't mind I requote your statement. My intention is to clarify the system. I might missed something.
If possible, if you are able to review my charts above, please let me know how should I react if GU & GJ come together. What position should I take? In your previous attachment, you only mention they will eventually repel each other.
Thanks
- #2,789
- Jan 3, 2010 6:06pm Jan 3, 2010 6:06pm
- | Commercial User | Joined Dec 2006 | 2,911 Posts
The reason why I understand GU & GJ repel reaction is from one of your explanation previously. I am not sure whether that has been changed. Please allow me to reattach the same document I got from this thread on tandem trade.
Attachment
Hope you don't mind I requote your statement. My intention is to clarify the system. I might missed something.
If possible, if you are able to review my charts above, please let me know how should I react if GU & GJ come together. What position should I take? In your previous attachment, you only...
In that pairing the GU and GJ are not the same color, hence they repel. Unlike in the Universal pairing they are both green pairs. Hence they are attracted to each other.
That was the reason of my first statement that i was thinking you are using the Original pairings. Because they repel in the original but attract in the Universal.
Very important note...to everyone using this sytem. That post Tallman quoted is only good if you are using the Original Pairs. If you are now using the Universal Pairings those assumptions are not valid.
Phew!!! Hope my explanation clears things...You will eventually get it.
Julius
I've been following this system for a while now and I've been so close to feeling the light go off in my head, that it's been almost scary. It finally has, though, thanks to you Tallman. That sheet you created helped me see how these pairs move well enough that I have finally filled in the empty spaces. I now see what Julius has been trying to say. Is there any way you can give a brief guide on how you made that hour by hour sheet, so that I may create one of my own? Thank you Tallman for helping me see how this works and thank you Julius for creating...
I am glad to share and pleased that you understand. I am a practitioner of this system too. As Trader101 mentioned, we will explore more things eventually if we never gave up. I started to look at this so-called 'great system that gone extinct' on Dec last year and from my experience I think it is possible but the journey will be difficult. I understand the reason of frustration from a lot of people. They only want to drag and drop an indicator/EA onto a chart and make profit. Ya, they only want easy way out and this system (or forex in greater meaning) is not suitable for them.
I attached another illustration of basket trading and tandem trade for first week of 2010. Unfortunately I am on demo so, the pips I gained are nothing but data. I also found some limitations that need to be explored.
They are:
1) Basket trading draw down (you need bigger account but it is better to start with small lot size)
2) Close monitoring of market required as manual trading is required (the twist and turn of basket might happened during your sleep so you will miss them)
3) Unclear exit point requirement (I opened 14 shorts some time ago and it is under profit but it is quite difficult for all of the basket position to opposite switch so we have to decide when to close all positions because it will slowly drift back to original position if the market is not strong enough)
4) Spread loss (exotic pairs spread is costly)
Then again, tandem trades are relatively easier because you are concentrating on few pairs and can react faster than basket trading. As the lot size is bigger, you are expected to close them in few hours time.
For your question how to do spreadsheet, you have to do them manually if you are not familiar with programming. Yes, this system needs a lot of manual work.