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  • #561
  • Edited 1:47pm Aug 3, 2010 1:21pm | Edited 1:47pm
hii sorry for the late join

but these are the trades i would go in

i would diversify at trade 7 but.... because this is back testing, i really have no idea what i would do in a live environment.
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  • #562
  • Aug 3, 2010 4:59pm Aug 3, 2010 4:59pm
Hi Graeme,
I hope i am not too late to submit this.
I started on it yesterday but only got back to it this morning.
Firstly i would like to say that this is a difficult task to try and stay truthful and honest with ones self after the fact.
i am takig the approach at the moment of 1 trade only annd move stop to BE after X pips of profit.
as i said it is ard to be totally honest after the fact, but here goes.

trades 1, 5, 7, 11, 12 all survive till i decide i might diversify after 2 strong push's up.
so surviving in the end might be 1 and 5,
with 7, 11, diversified, 12 at BE, and 17, 18, and 20 still going.

it seems like a lot of trades, bt there are onl 2 losses, but a far few BE.

cheers
Geoff
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  • #563
  • Aug 3, 2010 8:34pm Aug 3, 2010 8:34pm
Quoting EllisEdi
Given :

1. We enter 2 positions at each arrow
2. Both position -100 pips hard stop loss
3. 1 position closed @ 1:1 and the remaining position let it run with SL still at -100


I closed all Short positions at the X because price had broken a previous High. The Long position f2 is still open at the end of this chart.

Total Pips made 1708.

I appreciate all the time you are taking with this.
Good.

Spaced out focal interpretation. Taking lesser trades, even though you miss few golden opportunities by purposefully waiting it out you still make 1900+ profit for 2 months.

Lesser entries is always always better.

Sincerely,

Graeme
  • #564
  • Aug 3, 2010 8:48pm Aug 3, 2010 8:48pm
Quoting willhuang
hii sorry for the late join

but these are the trades i would go in

i would diversify at trade 7 but.... because this is back testing, i really have no idea what i would do in a live environment.
Thank you for your chart, willhuang

There is nothing wrong with using indicators.

I understand what you are looking at but may I advise you that indicators are meant to be taken as reference only. Indicators should not be telling you when to enter, price should be telling you when to enter. I know this is said alot in the forum and never explained properly.

Just for fun, delete everything and just draw lines as you wish. Trendlines, range, s/r comes from your own personal focal interpretation, there is no right or wrong. Please give it a go.

Sincerely,

Graeme
  • #565
  • Aug 3, 2010 8:52pm Aug 3, 2010 8:52pm
Quoting geoffrod
Hi Graeme,
I hope i am not too late to submit this.
I started on it yesterday but only got back to it this morning.
Firstly i would like to say that this is a difficult task to try and stay truthful and honest with ones self after the fact.
i am takig the approach at the moment of 1 trade only annd move stop to BE after X pips of profit.
as i said it is ard to be totally honest after the fact, but here goes.

trades 1, 5, 7, 11, 12 all survive till i decide i might diversify after 2 strong push's up.
so surviving in the end might be 1 and 5,
with...

Thank you Geoff for the chart.

I looked at it closely and I could be wrong to say this but your entries have a certain mechanical feeling to them. Would I be confusing you to advise that your participation to be more fluid with the flow and live trading would be more random.

May I also suggest opening 2 positions at every entry and keeping both -100 and closing 1 at 1:1. Just try it for fun. Bigger drawdowns/losses in the short term but exponentially better in the long run.

Sincerely,

Graeme
  • #566
  • Aug 3, 2010 8:54pm Aug 3, 2010 8:54pm
Good morning all

Thank you for the participation of 2nd chart.

Just like to say thank you to all.

I would like to address all readers, chonghm & charlton charts are not wrong but I thought I could give both gents some personal recommendation through pm which I have done.

Please do not hold any negative views on their integrity as they are both capable traders.

Sincerely,

Graeme
  • #567
  • Aug 3, 2010 9:03pm Aug 3, 2010 9:03pm
Conclusion:

I hope all readers have noticed/learnt something from the past 5-7 pages.

The most important lesson is to have lesser trades in a sense.

Once I know that my scouts/positions on higher timeframe is getting larger in growth, I would zoom into smaller timeframe to add more positions while the movement of price is in my favor.

I can see many of the traders actually notice how beneficial NOT to overtrade. But..

When you start live trading...

Can you actually wait it out? Weeks?
How do you stop yourself from trading?
One of the first emotional hurdles everyone will come across

But I know everyone will be a bigger person.


Sincerely,

Graeme
  • #568
  • Aug 3, 2010 10:06pm Aug 3, 2010 10:06pm
Hi Graeme,
as you know i for one am gaining a lot from participation in this thread, for that i thank you.

as for my trading looking mechanical, that would be a fair asumption, my trading up to now has been to use a stable stationary device to enter trades, it got me into trades without fuss, and helped me minimise my risk, but i see it now as a step, to get to the point i am now, a point where you see the power of participating over the loooonng term, for growth, thinking about it and how you would handle it is one thing, experiencing it is a totally different kettle of fish.
the next step was to see first hand how not just in your own examples, but my own real trading,the difference it can make to the bottom line when you become a "selective participater", this is something i will be working hard to achieve.

Now to the qestion at hand.
how will i stop myself from trading?????
one way would be i cant trade if i dont sit infront of my screen watching every tick as it happens????
maybe a set routine of checking charts, setting alerts annd taking trades, and walking away???

cheers
Geoff
  • #569
  • Aug 3, 2010 10:12pm Aug 3, 2010 10:12pm
Hi Graeme,

The quality of your thread is shown by the fact that I have yet to read any negative posts.!! Great work. I am really learning a lot.

I've almost caught up but I thought I would post my take on the homework lesson before proceeding further so that I wasn't influenced by others.

All the best
Michael
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  • #570
  • Aug 3, 2010 10:24pm Aug 3, 2010 10:24pm
Quoting geoffrod
Hi Graeme,
as you know i for one am gaining a lot from participation in this thread, for that i thank you.

as for my trading looking mechanical, that would be a fair asumption, my trading up to now has been to use a stable stationary device to enter trades, it got me into trades without fuss, and helped me minimise my risk, but i see it now as a step, to get to the point i am now, a point where you see the power of participating over the loooonng term, for growth, thinking about it and how you would handle it is one thing, experiencing it is a...
Excellent.

Spot on. Traders experience large drawdowns from unnecessary overexposure. You can still take things slower slower, and still acieve profitable trading.

In regards to your entries, im not implying they are incorrect but for myself personally I do not have 'anything' that tells me to enter. Im sure you will find success with your own personal interpretation with entries because we go through different doors now but we will meet sooner or later at the final door of profit.

Sincerely,

Graeme
  • #571
  • Aug 3, 2010 10:29pm Aug 3, 2010 10:29pm
Quoting wooli
Hi Graeme,

The quality of your thread is shown by the fact that I have yet to read any negative posts.!! Great work. I am really learning a lot.

I've almost caught up but I thought I would post my take on the homework lesson before proceeding further so that I wasn't influenced by others.

All the best
Michael
Thank you for chart.

Good.

Nice spaced out interpretation. Clean and simple but still achieving the result.

Good area to diversify, you could also do it earlier or later. Different results slightly however same in the long run.

Taking 11, 12 trades over 2,3 months. Good spacing.

When your scout is growing in profit, take this inside information to lower timeframe and milk it even further with tighter entries as you now know that the deck is full of high 10 cards.

Sincerely,

Graeme
  • #572
  • Aug 3, 2010 10:58pm Aug 3, 2010 10:58pm
Quoting pipEASY
Excellent.

Spot on. Traders experience large drawdowns from unnecessary overexposure. You can still take things slower slower, and still acieve profitable trading.

In regards to your entries, im not implying they are incorrect but for myself personally I do not have 'anything' that tells me to enter. Im sure you will find success with your own personal interpretation with entries because we go through different doors now but we will meet sooner or later at the final door of profit.

Sincerely,

Graeme
Graeme,
Its cool, i didn't take it that way.
it is juust something i see now, where as before i wasn't looking to be able to see it.

i look forward to walking thru that final door.

cheers
geoff
  • #573
  • Aug 4, 2010 1:44am Aug 4, 2010 1:44am
this time with just trend lines, sr, round numbers
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up arrow is buy
down is sell
x is diversify

im totally new to this haha but i am so glad i read this whole thread. i really appreciate all your teachings. hopefully one day i will be as good as you
  • #574
  • Aug 4, 2010 2:28am Aug 4, 2010 2:28am
Hi Graeme,

Like you, I have been trading the Asian session and trying your 3x20 exercise on 5m to 30m charts. (Not with much success yet but I'll get there)

Generally, I've noticed that there is often not much volatility (or momentum?) till just before the London open I have placed some trades early in the Asian session which didn't reach the 20p target or get stopped out until the London session.

By this time I assume you have finished placing your trades for the day.

You also stated early in your thread that you prefer to watch the actual market movements on 5min chart as these are movements that are actually happening in real time.

When you are watching a recently placed position on the 5m chart during the Asian session, how due you judge the trade momentum?

Do you use pre-defined S/R points to cut a trade short or perhaps a certain amount of time or perhaps a combination of both?

Any pearls of wisdom greatly appreciated,

Michael
  • #575
  • Aug 4, 2010 3:25am Aug 4, 2010 3:25am
Quoting willhuang
this time with just trend lines, sr, round numbers
Attachment
up arrow is buy
down is sell
x is diversify

im totally new to this haha but i am so glad i read this whole thread. i really appreciate all your teachings. hopefully one day i will be as good as you
Good. Much much better.

Hope you also feel the difference.

Clearer interpretation and well spaced out entries.

Good.

Sincerely,

Graeme
  • #576
  • Edited 4:13am Aug 4, 2010 4:00am | Edited 4:13am
Quoting wooli
Hi Graeme,

Like you, I have been trading the Asian session and trying your 3x20 exercise on 5m to 30m charts. (Not with much success yet but I'll get there)

Generally, I've noticed that there is often not much volatility (or momentum?) till just before the London open I have placed some trades early in the Asian session which didn't reach the 20p target or get stopped out until the London session.

By this time I assume you have finished placing your trades for the day.

You also stated early in your thread that you prefer to watch the actual...
Good evening, Michael

Good question. When I zoom into smaller timeframe for precision entries, i use mainly one hour. I consider one hour still too fast for me. After entry I scan the 5minute chart as I consider this real time.

I use mini s/r in my focal interpretation when im looking at 5minute chart. For me momentum is simply long bodied candles in a row heading in one direction. I would consider price stalled when dojis, opposite coloured candle start to form 3,5 or more. These stalls usually happen at pivots, or .00 areas. Im interested in price that punctures through these zones very easily. Then you know you are piggyback riding all the others.

Edit: Your x3 take 20 exercise will improve greatly if you first, watch the price come from a s/r and then enter with the flow. Price coming from above .00 then enter sell at next .00, price coming from below .00 then enter buy at next .00. Some stalls around .00 can fluctuate more than 20 pips = then you should realize that you too should be looking at price that punctures these areas with ease. One of the related discoveries


Sincerely,

Graeme
  • #577
  • Aug 4, 2010 4:26am Aug 4, 2010 4:26am
Quoting pipEASY
Good evening, Michael

Good question. When I zoom into smaller timeframe for precision entries, i use mainly one hour. I consider one hour still too fast for me. After entry I scan the 5minute chart as I consider this real time.

I use mini s/r in my focal interpretation when im looking at 5minute chart. For me momentum is simply long bodied candles in a row heading in one direction. I would consider price stalled when dojis, opposite coloured candle start to form 3,5 or more. These stalls usually happen at pivots, or .00 areas. Im interested...
So Graeme,

If you enter a trade and it stalls will you always exit and minimise your losses or would you sometimes leave say a 15p stop-loss in case it did take off in the predicted direction?

Thanks,

Michael
  • #578
  • Aug 4, 2010 4:37am Aug 4, 2010 4:37am
Quoting wooli
So Graeme,

If you enter a trade and it stalls will you always exit and minimise your losses or would you sometimes leave say a 15p stop-loss in case it did take off in the predicted direction?

Thanks,

Michael
Good question,

If I know that something has gone wrong at -4 pips I would exit with -4 pips. I will never place a hard stop loss at -25pips and tell myself to wait and see.

When i mention piggyback, imagine yourself jumping on a moving train. When you use momentum your entry should be almost instantly in profit.

If price stalls when I enter, I will close out and change to other pair of currency. I will not sit there and try again, that is over exposure.

However, if it does work out, I will move s/l to be and then enter again at next s/r (but not always cause I know that this is overexposure and there might be a golden entry happening in other charts).

I would rarely do 3 entries per day for same curerncy pair but sometimes I do when I see eye-popping momentum; something like single 30 pip 5min candle.

Edit: With enough practice you can be a successful 5min momentum scalper. Im not recommending this type of trading but what im implying is with that much upskill in focal interpretation anything becomes deadly in your hands.

Sincerely,

Graeme
  • #579
  • Aug 4, 2010 6:11am Aug 4, 2010 6:11am
Graeme a big thanks for posts #576 and #578, it helps tremendously. If I may ask --- so when u enter the first trade of the day you find there's no momentum you immediately exit and then look at another pair? Or will you look for an entry again later in the day for the same pair? Reason I ask is some days just seem very hard for example 16th Jun on GU.

Could you advice what entries you would have made on that day for the GU? The yellow line on the chart was the asian open. Whenever price used to get above the yellow line and appear to breakout i would buy and get stopped out. Then it would go back below the asian open and when it appeared to breakout to the short side i would sell and once again get stopped out.

If you could advice the entries you would have taken for this day it would be a great help.

thx very much
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  • #580
  • Aug 4, 2010 7:23am Aug 4, 2010 7:23am
Hi,
I have been reading your posts (still not all of them, only 5 pages) and it sounded really simple (as you said) and in the same time a lot of profit, less stress (compared to intraday trading) and more time to spend with my family and on my job. So I decided to back test this method:
I used EUR/USD daily chart with a reference to a weekly chart. I started from 2001.01.01. and ended up with 2003.12.31. That is three years total, what is enough to say if the system is profitable or not (i presume). I entered only once per day when I saw a good opportunity. Each time I put a stop loss of 100 pips. I moved to BE when price moved at least 60-100 (and not in the same day of opening the position). All entries were opened 1hr before the Tokyo session. I made bundles of appr. 6 positions. when I saw that trend is about to change on a daily chart, I would close 2 positions, and if it happens on a weekly chart, than I would close two more positions from the last bundle. I would leave 1-2 positions from bundle to be closed by price movement (if it comes to that).
So here are my results:
3 years
107 positions.
+10530 pips from 24 closed positions that made profit
-3500 pips from 35 triggered S/L at -100
0 pips from 39 more triggered S/L at BE

total 7030 pips from all closed positions

17474 pips if I closed 9 positions that stayed open even after 3 years (3 would be soon closed, 3 would stay open for at least a year, and 3 would be open even today)

TOTAL (if all positions were closed): 24504

biggest draw down was at the beginning: -848 pips
after about a year or so I was finally at 0 and had some profitable positions open. From there on, it was much easier (psychologically).

So, officially, I am in for this ... well... not so much "a system", as it is a "system of thinking" and a "position management".

Do you have any suggestions that I could implement in my trading? I am also planing to read trough all of these pages you wrote.
Thanks everyone that contributed to this, and especially pipEASY!

bye,
David
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