EUR/GBP Trendmagic System

Sounds like preparations are being made for their comeback. Have to inform all the fans and wait with interest!

it seems quite a few people like this system. will check it out.

hi nisha, may I ask, are you using this system?

thanks.

I will surely post some charts during the weekend, am already exhausted today, no more trading as my target has already been achieved long back. its advisable to stop trading now as the stress test results will be out and weekend profit taking will change the outlook.

i have incorporated TM in my strategy and use it basically to reconfirm, and to use it as stop loss marker.

dont go by % of wins, each trader is different and needs to find whats suits him best.

nisha

i am using this as a confirmation along with my system. i find it safe and has been good system as long as u stick to the basics and the rule.

hi indrek

how are u, are u still posting on FF, i used to follow ur views

Hi Nisha,

I am fine, thanks. Hope everything is OK with you and your trading also?
I have been around in FF all the time. It is good to keep an eye on some threads to find good ideas and pieces of the puzzle.

With TM being my best bet London time I am demoing Phillip Nel's 5 m intra-day system. 12pm est till 4pm. Having good success with it along with small sl's.

Trading w/TM has been more lucrative using TRIX 3 and 1 settings. If it agrees with the direction of the move above/below 0, long or short, I take the next candle after the initial color change and invest at the open, if not I wait for the close and next open. More often than not it is an earlier winner. This revelation came from posts here.

subscribed

Please post any charts showing how you use TM

I will post charts using just the original system and I will try to update the 1st page today with the use of the SL using TM

I will also show an entry using TM that DOES avoid more false signals in flat market conditions

signals for Friday produced

EURUSD - +26+79-13+33 = +125

EURGBP - -19 +76+18 = +75

The hi lo range of eurgbp yest from 8am till close was around 120pips using TM sliding stop we captured 76 pips

Using TM changing colour for the SL EURUSD would of only produced 98 pips and EURGBP +67

More importantly is the fact we now have a mechanical format for following our profits with a sliding stop using TM.

Cheers

Paulus

I'm glad that you here, again !
I want to ask you two questions, please.
See the screenshot please.
Thank you

Thanks for your recent posts Paulus they are much appreciated, and to the other posts clearing up the issue of all the other indicators, I will scrape all of those now and look forward to testing this in its original state next week

This post and your previous post sounds exactly like what I am after, the UK opening time frame suits us here in Australia and I also like to chase 15-25 pips a day.

Could you please post some example charts showing entries and exits using trix and TM combination.

Also are you trading EURUSD or other pairs?

Thanks

vasi,

Please have a look at post #270: http://www.forexfactory.com/showpost...&postcount=270

Specifically, have a look at the second chart, as it is more zoomed in and clearer than the first one. You will notice that Paul moves his stop to the previous horizontal TM level, not the one that is directly below. I can't remember if he has mentioned it previously, but somewhere is this thread the thought ran through that when the TM stays horizontal for too long, you use the current TM line for your exit (Paul, can you confirm that?). That would explain why the second chart displays an exit signal at the 158.10 level. Note, however, that all the previous SL levels were put in place using the previous horizontal TM level. I have attached an example of EG.

As for the second chart, I'm afraid to tell you that you have not been paying close attention. This is not to insult you, but rather to draw light to the fact that you absolutely have to be focused when dealing with FX. This applies to trading as well as reading FF. Those trades where whipsaws because they occurred during the Asian session (please see the attached image with a blue box around the Asian session). Paul, in his first post, had a link to post #414 in which he lays out how to use the system that he uses. He also has a neat little indicator, called 'ant-GUBreakout' which draws a box around a certain session (in this case, the Asian one, but you can program it to draw a box around any session) so that you know to avoid setups that take place during market hours during which there is minimal volatility. Here is the link to post #414: http://www.forexfactory.com/showpost...&postcount=414
Download the indis and the template. And please make an effort to read the thread and stay focused. Whipsaws are unavoidable = you can't filter out everything, but we can make an effort to minimize them by avoiding the Asian session.

Paul, if there is anything I've missed, please tell us.

A few posts back, I promised to unveil my findings about the indicators presented on this thread. The reason that I started testing them was because there were so many of them that I couldn't decide which ones to keep and which ones to scrap. I didn't test each and every one of them - some of them were scrapped immediately and some of them I haven't had the time to test, yet. Here are the conclusions for the ones that I did test.

1) TudorGirl Vorticity - one of the main concerns with using this indicator is that it repaints. OK, you say. Let it repaint. But it turns out that TG Vorticity gives the same exact signal as Technique Scalping (fxfariz) with the setting 8. Given that Technique Scalping is displayed using histograms, it would make more sense to use that instead of Vorticity because it allows one to eyeball the indicator and determine whether it is about to change direction soon. When the histograms are at a high level, one can be fairly certain that a change in direction will take several bars. No such thing is visible on the Vorticity indicator. Conclusion: scrap TG Vorticity.

2) Technique Scalping, also known as fxfarix, FisherTransform (FT on the chart) - I will now refer to it as TS. Just like the previous indicator, this indicator is a repainter. As I played around with it, I decided that using the setting 8 was asking for trouble since it was repainting up to 3 previous bars. The setting 8 gave off so many signals that I decided on using setting 50. This proved to be more reliable way of using the indicator. Although it repaints, it would change color less often, resulting in less whipsaws.

However, I was interested whether TS could be used with another indicator presented on this thread to filter and/or confirm some of those signals. I played around with a lot of them and discovered an interesting thing: QQE set at 7 (with level 50) was giving the same signals that TS set at 50! I quickly turned on my strategy tester to see whether QQE was a repainter, but it wasn't. If you compare those two, you will notice that QQE (7) and TS (50) aren't exactly identical, but they are very similar.

Have a look at the chart attached. You will notice that the differences between those two are measurable in around 3-4 bars. This means that the differences between those two can be attributed to TS's rapainting issue.
Conclusion: scrap TS.

3) QQE (Quantitative and Qualitative Estimation) and HG-STF (single timeframe).
Early on, I was looking for something to aid me in using the HG-STF indicator. Don't get me wrong - I like the original settings and all, but my curiosity drove me to testing. I was also keen on getting rid of some of the indicators that I had downloaded. I'm not a fan of using 56 indicators on one chart but since they had already been posted on this thread, I decided to look into them, especially as Edgetrader was using so many of them successfully.

I wanted to find a way to put a number on the HG indicator - to quantify it so that I would know whether it was about to cross over into buy, sell or neutral. The original HG indicator only has colors, no histograms or values to tell you whether a blue bar is really bullish or about to cross down into bearish territory. I wanted to find something that would help me with that. Since I had already compared HG to ST to find a way to filter trades, I knew that there was a slim chance of using QQE to quantify HG. I placed the HG indicator next to the QQE set at 7 and to my surprise, that was exactly what I had been looking for! Please take a look at the attached chart where I have laid QQE over HG. QQE isn't perfect - the crossover up and below the 50 level is not 100% in line with HG STF, but it's very close to it. In fact, my tests have shown that it so accurate that I'm whenever I'm using HG STF, I plot QQE on it.

PS!
I posted this info because I thought it could be useful for some, especially as the repainting indicators are concerned. What you do with them is up to you. If you want to know what goes on behind the scenes of the QQE indicator, just google 'qqe indicator' and you'll get a pretty good idea of that.

Super-informative post Bug - much thanks. I'm going to try overlapping the QQE for the same reason you chose it to compliment the HG-STF.
Thanks.

Hi All

as promised, showing you the charts, they are really self explanatory, and i use pivots to take off part of my profits off the table and part let it run its course.

I usually use pivots to target my TP's and usually keep them 5 pips above or below TP depending on my short and long trades. For long trades i usually keep them 5 pips below resistance and for short trades keep them 5 pips above support.

if you want to ask me any query, pls do so.

My targets are really small per day and i usually stop trading once i get my 2% and anything above it is bonus.

BTW, i usually setup my charts 1 hr before london open and take signals . I avoid the US open time as lots of news and whipsaws are dime a dozen. Keep your targets to the minimum in the 5 min charts, dont expect to hit home runs everyday, try to target 25-30 pips at a time. usually once a trend is set, you can expect higher profits.

forgot to add the USD index chart, if you notice, it mirrors the EUR/USD chart to the PIP. So having a eye on it can be good for your trades.

Just a brief info about using pivots, if you are using 5 min time frame, do add weekly and monthly pivots also as they act as very strong support and resistance.

Usually 80% of the time, if in a downtrend, once price is below Daily Pivot, it goes to S1 - 90% of the times, to S2 - 60% of the time and S3 - 25% of the time. This is what i have noticed in general. its vice versa for uptrend.

Wherever you get a daily pivot and weekly or monthly pivot overlap,price stalls and reverses from those points very hard, so keep a eye.

Thats it from me, i dont wanna post too many things here and confuse,simple is best.

See you all on monday, have a good weekend.

Nisha

vasi please see chart below for the answer on the stop loss..in you 2nd chart the signals are valid BUT happened by the look of it in the Asian session we need volatility trade this in the session of UK open which is 8am GMT and 10pm GMT..that we we get uk and us forget Asian and Frankfurt... no volatility no movement no pips

The 1st signal would of lost but the 2nd signal would of broken even as the initial stop loss is placed at swing low then moved up as the TM moves up but always always one level lower

P

Seems you covered it

never trade Asian session and your SL starts at swing low or high depending if its a short or a long and then moves up with TM you are always 1 level behind with your SL and your SL is always placed on the prior horizontal..

It gives the trade breathing space and also allows you to slide the stop ..the neat thing about TM is when the price takes a breath and goes side way the TM goes flat..

Paulus