Vegas Wealth Builder - Part I

Hi PH,
Can you post a scrsht. It seems to be working for everyone else.
I would like to check your settings.

B

Check out this screen shot i took this am (jan 24th) of EUR/USD pair (red lines/arrows are my additions for this example):

http://www.accrete.com/fx_posts/J13G...01-24rsibb.PNG

Here is what eye-see. I've been using this indicator on my "other" charts for several months. The idea of having an indicator inside bollinger bands was introduced to me while reading John Bollinger's "Bollinger on Bollinger Bands" book. I then added a matching period sma. You can see that the indicator clearly showed the reversal. Seeing the reversal is not a problem w/this setup...KNOWING how FAR the reversal will go? Well that's up to the Lady with the crystal ball ; - )

Here is how you set this up in MT4:


1) Start with a fresh chart of your choice


2) Apply an RSI and set for whatever period you wish (the above is set at 8, i have several FX friends who trade using the 9...i just happen to like FIBO #s )


3) Apply "Bollinger Bands" to the indicator's window (i.e. drag the BB into the RSI indicator window


4) Under "Apply to" set to "First Indicator's Data" other wise the BBs will show up on the chart window.


5) Apply a "Moving Average" and set the Period to same period you have set the RSI, and also do step #4

6) Now before you do anything else, save this as a template...something simple like RSI inside BB's ??

There you have it. I like this indicator for an exit indicator. When the RSI line (Aqua in my example) crosses over the (magenta) SMA i exit a portion of my trade, if not all of it.

OK, NOW IF YOU WANT TO ADD THE DOTS which are drawn at each candle-rsi reading:
I'm doing this in a seperate step because some will not want the dots on the line. Here is my reasoning for having them. I like the visuals that the dots give me in the form of "V"s and upside down "V"s. The dots just define the move for my eye.

If you wish to have them on your RSI follow all the above. THEN, place go to the RSI in the custom indicator folder and click "Modify". First thing to do is a "save as" something like "rsi dots"?? Then "Complile" it and it will show up in the "Custom Indicator" list. Now apply it to the chart by dragging it into the same window as the current RSI. You won't see anything different if you have it set to the same period.

Now you change some code:

Find this area on your code:

//---- indicator line
SetIndexStyle(0,DRAW_LINE);
SetIndexBuffer(0,RSIBuffer);
//---- name for DataWindow and indicator subwindow label

...then change it to read:

//---- indicator line
SetIndexStyle(0,DRAW_ARROW,EMPTY);
SetIndexArrow(0,115);
SetIndexBuffer(0,RSIBuffer);
//---- name for DataWindow and indicator subwindow label

Go ahead and hit "compile" again and the dots should show up on the chart indicator.

Now save that template again and you are set for next time you wish to apply this indicator to another chart.

Hope this helps, have fun tweaking the periods.
Thom

I can post one later on today. What I meant was, changing to 500 didn't seem to change my settings in a neg. way. From what I could tell all my charts liked the 500 setting.

HI,

I can't be at my computer during the day so I can't scale in as Vegas mentioned earlier.

So should I wait until the close of the day for confirmation or reversals such as doji, spinning tops?

It this moment it looks like possible hammers on the EUR/USD and GBP/USDs.

I need to learn MQL4 for expert advisors.

Scott

Thanks Accrete I'll give it a try.Looks intersesting.

accrete it sounded easy enough but,when I tried dragging the BB into the window I could not get it to occur.How do you do this ??
Thanks

Hi Zen, my bad. I had forgotten to emphasise the importance of step 4 now in bold on the original and mentioned here also:


Here is how you set this up in MT4:

1) Start with a fresh chart of your choice

2) Apply an RSI and set for whatever period you wish (the above is set at 8, i have several FX friends who trade using the 9...i just happen to like FIBO #s )

3) Apply "Bollinger Bands" to the indicator's window (i.e. drag the BB into the RSI indicator window

4) Under "Apply to" set to "First Indicator's Data" other wise the BBs will show up on the chart window.

5) Apply a "Moving Average" and set the Period to same period you have set the RSI, and also do step #4


THX for the whack on the side of the head to get me thinking straight!
Cheers

Hi accrete ,
My problem is with step :

3) Apply "Bollinger Bands" to the indicator's window (i.e. drag the BB into the RSI indicator window

I can not figure out how to get the BB into the RSI window.If I try to drag the line from one window to the other I get the indicator pop up.
It will not let me drag in the indicator list??

Thanks

Zenophyte, when your dialog box comes up after you drag to the window, where you can change settings like "apply to close, open, etc., you'll see "first indicator's data". Apply that one,


Ktrade

I forgot to mention to open up your Navigator window and your indicators and drag. Sounds like you're dragging from one indicator window to another.

aha the navigator window was the thing new tool new learning
thanks

Glad things finally "Clicked" for you on this one zen.
Cheers

PS. Thx KT !

Doing some testing and present day testing I realized that if I somehow imply the 4hr with the daily that it will contradict the "find the bottoms and find the tops theory" behind this model.

How? Well I find everytime I get a sell signal on the 4hr that the daily already has been either at the designated fib level or farther for a long time.

Has anyone implemented this with the 4hr model? Can you please tell me if I am trying to mix cat and dogs in one cage?

-S power

Hi Accrete,

Maybe I'm missunderstanding something.
You plot;

8 bar RSI

And then plot an 8 bar Bollinger Band on that RSI

And Also an 8 Bar SMA all together.

Is that correct?

B

I just wanted to interject a thought here. The VWB doesn't have indicators. Vegas is a very good trader. If the VWB needed indicators, wouldn't Vegas have included them? I think the focus should be on watching price action and taking advantage of reversal price action occuring in conjunction with price having touched the designated fib for the currency.

The name of the game is finding high probability trade setups. All indicators are based on price and are therefore lagging. Price is real-time. Price is King! Who needs indicators?

The combination of fibs and price action as described in the VWB, in conjuction with discipline and proper money management is more than enough to trade profitably. Adding anything else just muddies the water.

Just my two pips worth (micro)

Dial

lovin it!

Totally agree Dial...once indicators start being used then you will soon notice how they lag. This is not to say that you cannot trade VWB and use indicators...many ppl like to have something there as a confirmation once the other criteria for a Vegas trade is attained. Try it though and see they will generally lag. Mind you...if they don't then that will surely be another story..

My problem is going to be seeing the price action but I also think with a bit of patience and practice I will get there.

BTW I think the Bolly set up is great and perhaps another thread and some trade action would be interesting.....

just my micro mini pips worth!!! :

Cheers

Antra

I agree...I think we should keep the conversation related to the orginal method and strategy which would keep the thread uncluttered.

Maybe an alternative thread could be created for different methods or add-ons.

[quote=diallist]I just wanted to interject a thought here. The VWB doesn't have indicators. Vegas is a very good trader. If the VWB needed indicators, wouldn't Vegas have included them? I think the focus should be on watching price action and taking advantage of reversal price action occuring in conjunction with price having touched the designated fib for the currency.


I also agree we focus on the original VWB. Now that I'm starting to finally pick up on "price action" , I think adding indicators is just going to muddle the charts as well as the posts.

Also, just my opinion and my 50 full size lots(demo )

Quinn

Hi Everyone,

I'm a newbie here and I have just started to read the VWB posts. I've installed the metatrader model for the 4hr chart. I noticed it has models 1-5. I also noticed that the daily script has models 1-5. On the daily charts the VWB says to over lay models 1 & 3 for the GBP charts. Should I over lay models 1 & 3 on the 4hr chart? The information I have is not very clear about what model to use on the 4hr chart. Also, is there a model for the 1hr chart set-up that I can download?

Thanks
Dave http://www.forexfactory.com/forexfor...ons/icon12.gif

Excuse me.
It may be that because I didn't join this Forum in the summer of '04 I will be told to sit down. Then so be it.

____Some thoughts____
What is the point of this discussion? Is it merely an effort to educate readers in how to read Candlestick Formations? If so, I've done that and therefore this thread is exhausted for me.
If, on the otherhand, it is a Forum for discussion on the Vegas Method and how to possibly identify when to be "leary of the uptrend" [post #80] then perhaps people should not be asked to use Tunnel Vision.

Perhaps, also, VWB does not have indicators as that would require additional Models to accommodate the Output.[in mql]

Do you think Vegas became "a very good trader" by simply cloning someone elses method? I don't. I think he took the best of all he could come up with to build it. Is it as good as it can be? I don't know, but I'm willing to ask.

Post #42 by Vegas
Dialist,
First, a general comment. Of all the currency pairs, I think the EUR/USD is the hardest to trade. I have some theories [maybe I'll get into those later at another time], but my experience tells me that. Having said that, your points are still valid because the same thing happens in the other pairs also.

I will start by saying that I almost never wait for the close to initiate a full position. I am already in alert mode before the day begins because the market is trading at or very near the appropriate fib level for the currency pair. What I am now most interested in at this point are 2 things. 1) Speed and momentum moving away from the high or low [whichever case is appropriate] of the day, and 2) Starting with the European session [roughly 4 am est] and moving forward into the US session, where is the 50% retracement of the days range taking place.

Diallist, it may be time to re-read that printout you have taped near your monitor

Personally I would like some input on this from Vegas before I make my decision.

Respectfully