Trend Trading All Pairs

MktScape...

Most of the time I would not do a trade unless I could monitor it to some extent. I have been stopped out more times than not at the London open so I'm really not comfortable not monitoring the intra-day trade.

I'm in the US and in eastern time so the London open is at 2am where I am so it makes it difficult to trade because you really need to see that open and see the sentiment. It is, as Hector explains in the videos, the largest forex market.

Just to give you an idea where my head was at with this trade...I also work a full time job and had been busier than normal this week which caused me to miss some market action. EUR/USD had been in a downtrend on the 4H and had solid breakout of the countertrend on the 1H trigger chart. I saw the retracement back to the 00 of the 1.3700 level and that was also a fib line and recent support as well. So I thought my chances might be good that that level would hold and the downtrend continue. I placed the trade with a stop above the 1.3700 level and a target at the next 00 level of 1.3600. I go into these trades that I don't monitor with the idea that I'm giving up these pips.

I would say that if you are placing an intra day trade and can't monitor the trade somewhat then it is best not to place it unless you are comfortable with getting stopped out on it.

I have not been able to keep up with this thread this week so I have some catching up to do but I noticed that EntropyLad has posted a motivational poster and I would like to post my own. Since trend trading requires patience and waiting for the correct time I think this is appropriate.

Don't forget that studies have shown that staring at breasts will increase your life by 5 years so it stands to reason that staring at ugly girls will decrease your life by 5 years. If they are twins then it will decrease your life by 10 years.

If you don't believe me this has been proven by science and posted previously in this thread by EntropyLad.

You wouldn't say that if you saw the "twins".

MktScape....
I work a full time job too and I feel your pain. What I do is set my alarm for the London open...not every day but maybe a couple times a week to see if I can get some trades going. If there is nothing then I go back to bed. I will always come home from work and take a nap immediately.

I guess what I'm saying is you may have to suffer a bit and work it out until you can manage to go full time. Where there is a will there is a way and you just have to think how you can work it out. That's what I'm doing. For now it's sort of like having 2 jobs. At least with this job if you are really dead tired you can always opt not to go in.

Do you drink coffee? I live off coffee...I love it. So pour yourself a cup of coffee and count your pips and understand that you are sacrificing for a reason.

I'll be they can cook though.

Maybe...but could you keep it down?

Entropy = Entropylad.

I am retiring the "entropylad" name for the more succint "entropy".

For those that have a full time job...

Has anyone seen the module in hectors new course? the one about s/r trading on daily charts? He basically uses the same chart (daily) both for setups and triggers. He states that its probably the most feasable for a trader who currently has a full time job.

Im in a way "fortunate" since im currently out of work and on governmental support (urghh) so im leveraging this fact to study and trade all day long each day. So for most unemployed who simply "live" of the government and waist money....to me its a blessing and a huge oportunity to learn to fish for the rest of my life from trading which is the goal.

However, when I go back to work again (if not full time trading by then...) I will be focusing mostly on daily charts, applying hectors module.

At the same time, like jim (james16) said to me personally, dont limit yourself to fx, spread out into commods and futures if possible so that I have more options when it comes to trading purely from daily timeframes.

I hope this helps. It did for me

Pip

PIPALICIOUS and PID Dawg are both right.

I will only add this: You can also trade the LOB trades during london open. You only need to be awake for 2hrs(2am to 4am US est time). Most LOB trades moves at the minimum 1 vs 2 risk/reward(of course, you have to take ADR and RN into account.)

Also, most LOB completes their final price target by 8am - 9am US est time..which is 1pm - 2pm LONdon time.

So, you can just wake up at 2am US est - 4am US est, place your LOB trade and break it down to automatically offload 1/2 of your position at 1 vs 1; and the remaining 1/2 at ADR +/- 20 pips PT then just go to sleep immediately after placing the trade. You've set the trade to manage itself. Place your trades and go back to sleep and the let 1st PT and 2nd PT deal with itself while you sleep.

Actually, I think that is delicious:Setup the LOB(between 2am and 4am)...go back to sleep...wake up again at 8am or 9am to head to work, take a quick look at your trade station and see that you've been making pips while you sleep, turn around, slap your girl's behind and get a solid quickie --the ole in and out action; Grab breakfast and head straight to work. hahahaha.

LOB is the fastest pips in the universe...well....and "blend the news" trade.

And there is always a minimum of TWO every week. (last week gave us 4. gbp/chf, gbp/cad, eur/aud, eur/cad.)

FOR THOSE INTERESTED IN lob trades, here is a primer:

http://www.forexfactory.com/showpost...postcount=2997


P.S. entropylad = entropy. retiring the "entropylad" name for the more succint "entropy"

That is deep, bro. That is deep. Never thought of it that way...hmmm...if staring at ugly girls decrease your life by 5 years...making love to an ugly one will...hey! wait a minute!....

You mentioned something thats been on my mind for a while...

Id like to know if theres any program/software that can vinculate automatically to an mt4 platform (for example).

The idea is basically to preprogram it so that it will take out X lots at Y price, move stop to B.E + spread automatically and close out the remaining at the last TP...

I dont think mt4 can do this....does anyone know of something that works along these lines?

I think it could reduce screen time a lot for those who work. Also it goes along the lines of what entropy says about "pre-setting" LOB trades and going to bed again...

Cheers.

If you go to the programming section and ask someone in that forum they might be able to come up with something like that, it would have to be some kind of EA but I am sure someone would like to play with that idea.

--NM

Good point NM,

I think its an excellent concept and it has been in my head for some time.

It would definetly reduce screen time for those working and also its good if for any reason you leave your station and price shoots past your tp1 without having closed x lots on time.

I´ll let you guys know once i find something.

Cheers.

You should never make love to ugly women but if you do it's probably because you are drinking and she looks pretty even though she isn't so it breaks even.

I like this idea of being awake...at least half awake to place the trade and then set your SL and TP parameters. This seems to have worked the best for me. Perhaps I'm kidding myself but it seems so.

My wife would be pretty angry if I smacked her in the ass at 5:00am and tried to get a "solid quickie". I would advise anyone to skip that part and go straight to the breakfast. Don't wake a tiger!!

I'm not familiar so much with this "blend the news" trade however. Is this something that I missed in Hectors course? What chapter? Where can I find more?

I was wondering why your posts went down to 3. I like the name change. For some reason I always slipped on the "L".

The name is very cerebral. I think you must do something related to physics or something like that...engineer of some sort...something to do with thermodynamics or mechanics. Am I right?

My two cents to this conversation about getting up at night for LOB's and then going for the job in the morning.
This is what a friend of mine told me once, when I asked him a similar question (he is a doctor).
It is actually quite unhealthy and a recipy for getting a heart attack sooner or later, because your body never can fully rest during deep sleep (since you interrupt the deep sleep). Then add to that unhealthy eating habits and stress at work... then you can already reserve a bed in hospital.
Sleep, especially the deep sleep is one of the most important things for the body to recover from the stress you have during the day.
Just a thought...

Let me get this straight:

Let say, for the sake of example, this is your trade:

SHORT POSITION:


Entry Price: 1.4000
SL = 1.4050
1st PT = 1.3050
2nd PT = 1.3000

So, your question now is how can i place this order in such a way that when the 1st PT of 1.3050 is reached, the SL gets automatically moved to BE + 1 (1.3999) while i ride the rest of my trade to 1.3000(2nd PT) without being around to actively monitor the trade?

I am sure some EA can do this. If you dont have an EA, well, here is your solution: It requires a combination of OCO, OCA, and OTO types of orders.

OCO: Order Cancel Other Others. These are the type of orders where one order getting triggered cancels another order or two or three other orders.
OCA:Order Cancel ALL Orders. These are the types of orders where one order getting triggered cancels all other pending orders on that specific currency pair. Every last pending order. A universal kill switch.
OTO: Order Triggers Other Orders. These are orders that when they are triggered, they automatically makes other pending orders active and ready to be triggered.

An OCO order can also be an OTO order, that is, an OCO order getting triggered can be used to make other orders to become active and ready to be triggered when price reaches their levels. Essentially, you are making other orders wait for the primary order. If the primary order doesnt get triggered, all other secondary orders wont be triggered. Regardless of whether the secondary orders are standard buy or sell, or they are other OCO orders themselves or OCA orders. You can set an OCO orders to trigger other OCO.
But one thing though, is that you cannot coupled an OCA orders to anything because OCA orders kills every pending orders. OCA is a universal kill switch.

You can couple an OCO order to another regular, standard order or an OCO order or an OCA order like a chain reaction...this is the case when an OCO order is triggered, this makes active another OCO orders or an OCA orders. Essentially, you OTO an OCO to an OCO or an OCO is OTO to another OCA.

For the situation you describe, you will need four orders(oco, oto, oca, and regular standard order type) types to be placed with lots sizes in multiples.

#1. One order is straight up 2 Lots of SHORT order at 1.4000(without a SL or PT.). Just place 2 lots of short order at 1.4000.

#2. Another order is a primary OCO coupled to an OCA order set to OTO another secondary OCO order. Is that confusing? Let me try and break it down. That means the 2nd, secondary OCO is only active to be triggered after the first, primary OCO has been triggered, but the OCA is directly coupled to the OCO--which means that when the primary OCO gets triggered, it kills the OCA, but simultaneously activates the secondary OCO. Making some sense? And if the OCA gets triggered first, it kills all pending others on that specific currency pair. Every last one of them. This is the setup:
1 lot LONG order at 1.3050 = this will serve as the 1st PT where 1/2 of your order is closed out, since you are shorting 2 lots at 1.4000, 1 lot will be closed out here. This order is then linked ala OCO to a
2 lots OCA long order at 1.4050 = this is the SL, just in case the 1st PT(of 1.3050) wasnt reached before the SL(1.4050) was reached, and since the SL is 2 lots OCA order that will cancel out all other pending orders because OCA is a universal kill switch.
the secondary OCO orders(that is attached OTO to the primary OCO orders) is simply 1 lot LONG at 1.3999 and 1 lot LONG at 1.3000 = these two forms your BE + 1 and your final PT.

I am guessing that must be very confusing...let us see how this plays out.

There are three scenarios. a losing trade(scenario A), a 1/2 winning trade(scenario B), a full winning trade(scenario C).

Let take scenario #A.
You enter a trade short(SELL) with 2 lots at 1.4000, and the trade moves against you without even reaching your 1st PT of 1.3050; it kept going until it gets to 1.4050 by which your OCA BUY order of 2 lots at 1.4050 kicks in, cancelling out your initial SELL 2 lots and shutting down all other pending orders. Essentially, like a regular SL. 2 lots cancels out 2 lots. All others shuts down. Just like a regular SL.

Scenario #B.

#B. Your short order of 2 lots at 1.4000 keeps going until it reaches your 1st PT at 1.3050, then price action turns back towards 1.4000. That is a possible scenario...now, when price hits 1.3050 before heading back to 1.4000...when price hits 1.3050 your OCO order of BUY 1 lot at 1.3050 kicks in, closing out 1/2 of your position(since you short with 2 lots), since this order is a OCO...this will automatically cancels out the pending BUY 2 lots order OCA at 1.4050(your SL..described in scenario #A), and since this same OCO order at 1.3050 is also OTO to a secondary OCO(buy 1 lot at 1.3999{be + 1} and buy 1 lot at 1.3000{final PT}), this will then make active this secondary OCO order to pending BUY 1 lot at 1.3999 = which is your BE + 1. So, just in case price moves back to 1.3999, this pending secondary OCO order will be triggered closing you out at BE + 1. Your situation in this case will be a BUY 1 lot pending order at BE + 1(1.9999) and a BUY 1lot pending order at 1.3000 set to OCO. Which means, which ever one of these two(1.3999 or 1.3000) get hits first will cancel the other one out. So, if price then moves all the way back to 1.3999 the BUY 1 lot will be triggered which automatically means the closing out of your remaining short position at BE + 1 with no pending orders left. Get it?

Scenario # C

Your short order of 2 lots at 1.4000 hits 1.3050 and then continues to 1.3000. In this case, you will close out 1/2 = 1 lot at 1.3050, also cancelling out the pending 2 lots OCA order at 1.4050(SL), and then automatically activates the OCO buy 1 lot 1.3999 and buy 1 lot 1.3000; and when price finally hits 1.3000, your second buy 1 lot will automatically close you out completely out of the trade. And since it is an OCO order, the pending 1 lot at at 1.3999(BE + 1) will be cancelled too.

Get it?

This requires brokers with OCO, OCA, OTO order capabilities like INTERACTIVe brokers or FOREX.COM, i think java-based brokers seems to have this versatile capabilities.

Otherwise, get an EA to do it for you.

Custos, are you serious?

Medical doctors and nurses endure varying work shifts with rotating sleep patterns...they seem okay to me...especially during their training in medical school and internship...M.Ds experience little sleep time.

Special Forces soldiers are trained not to experience deep sleep because an enemy can sneak in on you and kill you any time. Even in their sleep they are always partially aware of their environment. When you are going to spend months deep behind enemy lines..you dont have the luxury of deep sleep behind enemy lines. Too dangerous. They seems fine.

Immigrant families work long hours with multiple shifts and different combination of jobs...day and night and on weekend to make ends meet and provide for their family. They dont sleep.

The major traders and investment heads at BIG banks like GOLDMAN SACHS dont have time to really sleep. They work in excess of 80 hours a week. Theirs is not a 9-5 job

Do people even sleep in japan? lol. They work long hours in japan. South Korea has the highest work hours on the planet. They work like animals.

http://en.wikipedia.org/wiki/File:Ye..._time_2004.jpg

Their life expectancy is not bad at all. But traditional asian food is not loaded with british/american junk food...and they drink all those herbal teas and exercise. Sleep is important, but i think fatty foods and lack of exercise will kill you long before less than 4hrs of sleep per day.

BUT I AGREE WITH YOU ABOUT DIET AND EXERCISE. i exercise nearly everyday and eat healthy meals. But...sleep is overrated in my opinion, 4 to 5hr is enough. I will sleep when i am dead.

BUT EACH TO HIS OWN.

blend the news trade is chapter 5 of hector OLD course.

http://www.forexfactory.com/showpost...postcount=3513

i am relegated back to "junior member" since i obtained a new name "entropy"....so my postings are put on moderation...again!

yes, my college training was in the hard sciences.

at 8am or 9am in the morning, your wife wont oblige you?

Well, they've deleted my 'entropy" id because they claim i am using multiple usernames. So...i anybody that attempts to change or start over with a new username because they dont like their old ones is guilty of some crime of "multiple usernames"?

What a bunch of retards, these administrators are.

Entropy's TT rules

Reviewed danUk thread. Comparing his trade post with my charts. Nice work he does there. Spent some time looking through charts for touch trades...and i think i have a roughly good idea of what i plan to spend the rest of my demo touch trades doing:

Here is what my experimental style is going to be(probably too conservative for some people).

Anyways, here are the tentative rules:

#1. Look for slanted trendline and 3 SMA alignment to determine trend direction on WEEKLY, DAILY, H4.

#2. Look for pristine, clear, solid, horizontal S/R consolidation sitting obviously at RN levels. Ignore all other levels and consolidations, regardless of how good looking.

#3. Look for one of these exact FIB levels(38, 50, 61) closely sitting within a range of +/- 15 pips from that RN and S/R consolidation. It must not be more than +/- 15 pips. No deviation. The tighter the better.

#4. Any random price action consolidation right in front of expected entry point must be at least 30 pips away from entry. Again, no deviation.

#5. And any breakout from that consolidation in rule #4 must take at least TWO candlesticks to reach expected entry point, otherwise, the momentum is too high when the distance between consolidation and entry is covered in just one single candle move.

#6. Entry point is +/- 5 pips off that RN. SL = -20 to -25 pips away from entry or behind the next minor S/R level on 1/4th or 1/8th time frame of where the setup was found. 1st PT = +20 to +25 pips away from entry.

#7. The distance between retracement low/high and entry point must be at least 100 pips. No deviation.

#8. Avoid any trade that sets you against recent slanted trendline breaks as these breaks may spur slanted trendline collapse momentum moves.

#9. Avoid red-labeled and orange-labeled news by at least 2hrs. Avoid INTEREST RATE DAYS.

#10. Avoid bank holidays.

As per CUSTOS suggestion in this post(check link below), i have modified the entry rule. Thanks for the suggestion.
http://www.forexfactory.com/showpost...postcount=3781