4 Hour Strategy (MACD)

Sold the EU at 3690 on a lower timeframe signal. $ fundamental strength and rhythm in line. +30 on one, rest at b/e

Cable tanking, 200 locked in

EU stop at 3620 with +70 locked in. I'll close that out today if not stopped out to not hold over the weekend.

GBP stop moved to 5650 with +300 locked in. Will hold that over the weekend floating + 80...

With all the markets pulling back I closed out the cable trade for 310 pips to avoid a gap open on Sunday evening.

Nice week for about 400 pips.

How I count pips:

I go in a market with the mentality of taking quick profits on 1/3 of the position or 1/2 of the position and let the remaining ride. Either way the pip $ value is the same for the fraction of the lots. So 1.5 lots is three 0.5 lots or 0.9 lots are three 0.3 lots.

If I go in with 1.0 lot and take out 20 pips on 0.5 lots and 20 pips out on the remaining 0.5 lots that is a total of 40 pips.

At 0.9 lots and 10, 20, 30 that is a total of 60 pips.

How to use a larger stop on an entry and not kill your account?

Simple: use a smaller leverage to let the market breathe. If you want to use a 40 pip stop instead of a 20 pip, lower your lot size on entry. Go in with a 0.5 position with a 40 pip stop instead of a 1.0 lot size and a 20 pip stop. It's all about staying power. Yes, % return on your account is important but so is staying power = more winners vs. losers = let the $ come slowly and your winning positions gradually outnumber losing positions = go in with a lower lot size and a larger, breatheable stop so even if you get stopped out the $ loss is the same as the larger lot size.


Have a good weekend.....

What is that indicator you guys have on the bottom of the charts with red and yellow bars?...what are they for?

thx

Big P:

That's the 8 21 Gap indicator that was put together. What happens is when the price action pulls away from the 8EMA by a certain amount, price action tends to stall or come back to the 8 to fill the gap. The yellow bars show when there is a gap forming. It's a head's up more or less to tell you that a retrace or pause in the market might be coming up soon.

Take a look at the vertical white lines on the chart here and see what happens with price and the 8 EMA.

Check out the website and click on the Plan415 link.

The new BullBearSlideV1 indicator is described more on page 1460 on the thread.

watching...

Long the Swissie at 1.0718. Took out 20 on one position moments ago, still holding two.


There is a lot of info in the website about the shorter timeframe possibilities for entries when the 4hr is showing a possible trend continuation signal.

Click on the Plan415 link for more info.

There is a 5min thread here on the FF where that method is discussed at length. For the 1hr info on the website, please take the time to go over that info if you decide to go that route. But, as Phillip has stated in the past...let's keep this thread as close as possible to the 4hr methodology and signals.

There are numerous possibilities on the shorter timeframes to get in early on the 4hr signals...trendline breaks, support or resistance breaks, etc. It's a matter of seeing what works best for you and studying the past setups where this occurred. There is a year's worth of 1hr and 4hr charts to download on the website and makes notes on too...Practice Charts

I modified the BullBearSlide indicator to paint a gray bar instead of leaving it black since it can be hard to see the last bar of the chart.

Any thoughts???

Hello Palmer and everyone,

Sorry for the "long" absence of mine. I am very busy with "other" commitment for the last few months but I always remember you guys.

I only watch this pair for 2 reasons:-
1) Its the only pair I considered myself "expert" with (according to myself)
and...............
2) I'm not interested with any other pair (they will make me headache)

So, here we go:-

Watch the rectangular area @ H4 as the price still get support of Daily TL which I keep for quite a longggggggggggggg....time already. Based on indicators (news are not considered) and longer term TF (D1 + W1), the market is still down trending.

I'm considering that the price will break below and go downward to Price Wave 1.3550 per H4 and a potential of reaching as low as fib 38.6% per D1 in the medium term.

Hope this helps and cheers.

p/s-don't worry about my Stochastic+momentum indys. They are my favourite indys. I still use macd in my backup chart as well...

Hey oRANGE.

Good seeing you again. The rhythm with the EU for the past few weeks was great, this is the area where I live. Last week was a 400 pip week with the re-entry on the cable trade. Right now I see a momentum shift with all four majors so sitting tight.

I've been struggling with my $$$ management lately. I took on the AUD/USD yesterday and it went up to +26 real quick and then turned around and became a 60 pip loss. On the other hand when I take a quick profit by closing half of my position and moving my stop to BE than I tend to miss out on big runs. Do you set a target for when to close a portion of your position or just wing it? My last 5 or so trades went up 20+ pips just to turn around and become losers so now I am highly considering taking a small profit and going to BE from now on. I just hate missing that 200+pip gain because I went to BE and got taken out by a few pips

Topgun

I think the gray would look much better. It almost looks like something is missing when it is black. This is a very nice indicator so thanks for all your efforts. For some reason when I downloaded your indicator it was not saving as an MQL4 file so I had to rename it from PHP to a MQL4. Once you get your indicator working the way you want do you think you could code it to send an alert when it goes from gray to Red or from gray to Green?

Topgun

Yeah. It is always great to see some old friends here.

Based on lower TFs (H4-H1-M15), seems to me that this pair have a little bullish sentiment for now. The previous support TL is still holding strong and watching the next sell signal nearby 50sma @ H4.

Cheers.

Agree oRange..

With the BullBearSlide indicator it's a lot easier, for me at least, to take a quick glance at the 4 majors to see that the rhythm is paused or a TC is forming. I may change the color to blue instead of gray for an 'obvious' different color...

That's great, Palmer! I was about to post you a PM about this problem. I had difficoulties to recognize last bars status/colour. Could you stick in here the latest ver. of the indicator? Thank you in advance.
-Bart.

Will do, I'll post it later this evening.

Just a quick note: Remember that the Gap indicator and the BullBearSlide are only visual representations of what the moving averages are doing so they are not really new 'indicators', just another way to look at them. The BullBearSlide does look at the MACD to see if it > or < zero and it does seem to show the rhythm well.

Any thoughts or criticisms are welcome as usual..

OK:

Here's v2.0 for the BullBearSlide indicator. It paints a blue bar instead of a null or black bar so you can 'see' it better...

Thanks Palmer

Mike

Hi Palmer,

May I know where can I find more information on how to use this bullbearslide indicator? I tried downloading your indicator but did not see the complete picture you posted. I am still trying to read throughout this thread but am now at pages 45. Would you be able to tell me which page to go to for more info on this indicator? Many thanks in advance!

sfox...

Here's the info from the original post on page 1460...

OK....

BullBearSlideV1.0

Here's the logic:

- A red bar (look for short entries) is drawn when the MACD is below the zero line AND the 8ema is less than the 21ema AND the 21ema is less than the 89sma AND the 8ema is less than the 89sma AND the current high is less than the 21ema.

- A green bar (look for long entries)is just the opposite....AND the current low is greater than the 21ema.

- A blue bar is drawn when one, out of all, of these conditions are not met...Oddly enough, this might be the most important...here's why:

When there is no bar draw this can mean that there is no rhtyhm = the moving averages are not lining up per the method OR this might be a break in the current rhythm where a trend continuation is developing.

Chart 1
Look at the current run and the break in the red color bars, between the red vertical lines. This is a break in the rhythm where a re-entry could be developing. At the end of the chart you see no bars being drawn (black) because price is continually above the 21.

Chart 2
Between the red lines, lots of black and a few blips of red and green here. The moving averages are not lining up per the rhythm yet. This is where you sit on your hands.

How do you determine if one of these first red or green bars is the start of the rhythm???? Take a look at the one MACD level that is plotted, +/- .15
For the most part, it looks like when a new green/red bar is shown AND the MACD level is greater than .15 (with a green bar drawn for the BullBearSlide) or the MACD level is less than -.15 (with a red bar drawn for the BullBearSlide)...things might be a little more 'valid' for a probable start of a new trend developing.

This is pretty much the same as the RhythmStrength indicator that owenkenobi posted some time ago, see the website for more, but draws a bar for this. I'm a visual person and it's easier for me to see it vs. think about it.

This should work for both 4 digit and 5 digit brokers. Again, it's Version 1.0 so let me know what you think...

If for some reason the plotted bars look thin, select the indicator and set the width to 3...

Edit: The +/- .15 level for the MACD applies to the EURUSD...need to look back at other pairs to see if that level shows the same.