Building an equity millipede | Page 95 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Thegman's Journal (Equity Millipede Concept) 102 replies

Trading an Equity Millipede 23 replies

Equity millipede & Flying Buddha trading journal 9 replies

Build an Equity Millipede with the filtered Flying Buddha 171 replies

Application Development - Journal of Building an equity millipede 14 replies

Attachments: Building an equity millipede
Exit Attachments

Building an equity millipede

  • #1,881
  • Sep 2, 2010 9:09am Sep 2, 2010 9:09am
Quoting pip_daddy
Since we are all talking about our experience lately....
Looks like you are based in pacific time zone like me. I am also having similar time zone challenges and find it quite stressful to my eyes to stare at a 5 min chart. I am also trying 4H breakout zones with entries in 5M and getting some success doing that. One has to define 'attack zones' and send out soldiers only in these zones where price volatility is expected. Just patiently look for every 5M FB is not advisable.

Once we have a few 500+ pips legs open, we could easily move to 1H TF and take FB entries. Only the scale is different. If one is successful in 5M, they can be successful in any TF. It's all part of the intended flow of Graeme's teachings. Next week's emotional hurdle will be to loose all your hard earned pips! I think I would be ok with that as it's market's money. For every successful stop move to BE, I am adding a few pips for the market to pay me for my time spent (i.e 5-8 pips for every stacking effort on 5M) and for every long leg that survives for another day, I am adding another few pips to my BE as a way to reward myself for being patient :-
Attached Image (click to enlarge)
Click to Enlarge Name: SnapShot 2010-09-02,.jpg Size: 32 KB
Staying in my lane...
  • #1,882
  • Sep 2, 2010 10:05am Sep 2, 2010 10:05am
Quoting VEEFX
Looks like you are based in pacific time zone like me. I am also having similar time zone challenges and find it quite stressful to my eyes to stare at a 5 min chart. I am also trying 4H breakout zones with entries in 5M and getting some success doing that. One has to define 'attack zones' and send out soldiers only in these zones where price volatility is expected. Just patiently look for every 5M FB is not advisable.

Once we have a few 500+ pips legs open, we could easily move to 1H TF and take FB entries. Only the scale is different. If one...
Good evening, all

Correct.

Im addressing this post for all and not just veefx.

Many of the traders cannot get over the mentality of drawdowns.

In trading, loss is part of creating profit.

There is no such thing as the perfect system or the perfect method that creates a 'surefire' guarantee for profit without losses.

Everyone needs to become a bigger person.

Im hoping/anticipating that the least I can achieve from this project is to get the message across to all potential professional traders that losing is part of winning, and that can be said for life as well.

I hope that many traders evolve their mindset through the project. Im not wishing traders to win but I want traders to lose.

Flying buddha is not the holy grail. I already mentioned it few times:

1. Participation
2. Low-risk entry
3. Growth

You only need to add 3 ingredients.

Few have already started to make connections.

They will soon connect that if 5 min chart is the same as a weekly/monthly/4hr/1hr/30min then..... ????

Once traders start adjusting to endless, countless, rows of losses on 5min entries that dies on breakeven. ..........................................

They will evolve.....

To higher timeframe with same trading method/focal interpretation.......

And thennn... ??

They notice that scale is different and few candles on 1hr/4hr chart is worth few hundred pips.

And thennn... ??

Endless, countless, rows of losses on 5min entries that go forward for few candles which is about 10-15pips only is now the exactly the same scenario on higher timeframe but the scale has changed and the profit pips much larger.....

And thennn... ??

Something clicks.

Entries on 5min chart that goes against you might lose you -15 pips
Entries on 4hr chart that goes against you might lose you -40 pips

But....

The scale has changed and the potential profit from just few candles become much bigger profit.

BUT...

You notice a change in your emotional stability. You are now trading on 4hr timeframe but you dont worry about the drawdown. Why?? Cause you know that the price action will at least go forward by few candles which will be stretched out on all the smaller timeframes.

You have a thick skin of resistance against drawdowns and you dont care about positions going into drawdown as long as they dont close above your sell opening price or lower then your buy opening price.

You start looking at losses as positive contribution.

So... ??

Stacking happens in the lower timeframe whilst the scout on the higher timeframe grows.

Voila.

Does all readers feel like they have just went back 100 pages of this thread when I pleaded to all readers to practice x3 20 pip take profit exercise?

Well everyone is doing this exercise now.

Remember the explanation of using a scout on higher timeframe?

You use the same price interpretation of any timeframe on higher timeframe to justify your hindsight first and then zoom in the lower timeframe to stack.

Hindsight -> Price Action -> Scout -> Stacking

Which is first? Chicken or egg? It starts where it ends and it ends where it starts.

Can all readers in this thread acknowledge that everything I have mentioned so far is all linked?

Ladies and gentleman, you are still looking at profit and loss statement too closely.

You are not allowing the enlightment to come to you.

Not the method, but the approach.

Sincerely,

Graeme

P.S This post might sound like random rambling or something that really hits you. I hope its the latter.
  • #1,883
  • Sep 2, 2010 10:11am Sep 2, 2010 10:11am
I might have confused some readers with my last post so please allow me to ask all a question.

Which timeframe does a new trend start..?

Would you say on 5min?

or Would you say on higher timeframe like 4hr?

Look forward to your replies.

Once again no right or wrong but perhaps an useful insight on how everything in the market really is all relative and there is no answer because there is no question..

Sincerely,

Graeme

P.S There is no method. You can enter after every small up/down candle with tight stop loss and let it run. This also works and I can prove it on the charts. Watch how all traders now ask for more detail and try implement it as a method when its not a method but just participating at a low-risk entry anticipating growth.
  • #1,884
  • Sep 2, 2010 10:21am Sep 2, 2010 10:21am
There is no method

ATR, ADX, Fibs, ema, sma, RSI, macd...

Flying buddhas, inside bars, pin bar, engulf...

They all work while they dont work.

1. Participation
2. Low-risk entry
3. Growth

Sell when its down and buy when its up

Thats all its required.

It is so much simpler to trade very effectively..

Think about it please.

  • #1,885
  • Sep 2, 2010 10:38am Sep 2, 2010 10:38am
Tomorrow,

I will show to all readers on charts what I mean of the posts today.

I will show again that

1. Participation
2. Low-risk entry
3. Growth

+

Sell when its down, Buy when its up is applied.

Sincerely,

Graeme
  • #1,886
  • Sep 2, 2010 10:56am Sep 2, 2010 10:56am
Cheers graeme it does make sense .

just have be patient an wait for a trend to grow my entries e/j

ranging a lot big ups big downs apart from monday.

In fact its stuck like super glue to 108.00 at moment
making green pips large and red pips small this is my goal.
  • #1,887
  • Sep 2, 2010 11:08am Sep 2, 2010 11:08am
Quoting pipEASY
I might have confused some readers with my last post so please allow me to ask all a question.

Which timeframe does a new trend start..?

Would you say on 5min?

or Would you say on higher timeframe like 4hr?
Trick question... HA, you can't fool me! It all starts with the 1-tick chart. The ticks are compressed into the 1 minute chart. The 1 minute is compressed into the 5 minute chart. The 5 minute is compressed into the 15 minute chart. And so on...

Nice try, Graeme

P.S. It seems like I have read some of this before. Hmmmmm
  • #1,888
  • Sep 2, 2010 11:10am Sep 2, 2010 11:10am
Hello Graeme,

Thank you for the insight, to answer your question I would think that a trend starts at the same time on all the timeframes , it might however be visible quicker on the lower timeframe charts, but other times it might be visible better on the higher timeframes.

After all for example 100 buys and 100 sells are the same quantity on all the timeframes, just the "drawing" takes different shapes if time is taken into consideration i.e. it is all relative.

Kindest Regards,

Cam

Quoting pipEASY

Which timeframe does a new trend start..?

Would you say on 5min?

or Would you say on higher timeframe like 4hr?

Look forward to your replies.
  • #1,889
  • Sep 2, 2010 11:12am Sep 2, 2010 11:12am
Quoting pipEASY
Good evening, all

Correct.

Im addressing this post for all and not just veefx.

Many of the traders cannot get over the mentality of drawdowns.

In trading, loss is part of creating profit.

There is no such thing as the perfect system or the perfect method that creates a 'surefire' guarantee for profit without losses.

Everyone needs to become a bigger person.

Im hoping/anticipating that the least I can achieve from this project is to get the message across to all potential professional traders that losing...

Quote
Remember the explanation of using a scout on higher timeframe?

Graeme,

It's well worth the wait. I was scanning quite frequently looking forward to any post from you. Amazing how clear and wonderful your posts are.

I am afraid I missed the 'scout on the higher timeframe thing'. Could you kindly point me to the post or please elaborate.

Thanks a million

TradeStar
Haste not to Enter AND Haste not to Exit !-TradeStar
  • #1,890
  • Sep 2, 2010 11:14am Sep 2, 2010 11:14am
Quoting TradeStar
Graeme,

It's well worth the wait. I was scanning quite frequently looking forward to any post from you. Amazing how clear and wonderful your posts are.
Well said TradeStar, I was doing the same.
  • #1,891
  • Sep 2, 2010 11:25am Sep 2, 2010 11:25am
I see the one minute time frame as a benny hill version of the weekly.

If you watched benny hill at the end of the episodes he gets chased by people in fast motion.

If you watch the one minute you see all the patterns pin bars, All the signs you look for in the weekly, you can pick up in fast motion when they happen.Then apply to weekly to form our hindsight.
making green pips large and red pips small this is my goal.
  • #1,892
  • Edited 11:39am Sep 2, 2010 11:26am | Edited 11:39am
What I'm doing is:

I sit down and quickly go through all 12 major pairs. Just Weekly and Daily chart. If both are in same direction it is a potential trade. If one appears to be a peak or dip reversal to being in the same direction it is also a potential trade.

4H or 1H gives the intraday trend. Once it peaks or dips and reverses towards the Daily/Weekly trend then I go to 5m. 5m is for the tight SL entry on peaks and dips.

So I find that peaks and dips on intraday are the most reliable and happen more than enough to give lots of opportunity. Not as confident in inside bars, outside bars etc. unless it's in the midst of a long term trend and I don't seem to be seeing much of that lately.

As I believe Graeme has illuded to many times, it's more about developing a gut feel for it rather than a rigid set of mechanical rules.
  • #1,893
  • Sep 2, 2010 11:34am Sep 2, 2010 11:34am
Quoting pipEASY
http://img826.imageshack.us/img826/9844/aa1q.png

When a volatile breakout does happen make sure you maximize your profit taking by zooming into 5min chart and stacking positions.

Please allow me to show you mini-stalls.

When you enter positions on 5min chart, prepare to lose few positions but since its on 5min timeframe it will be very small losses compared to the amount of pips you will reap from multiple positions at the end.

When stacking positions right after volatile...

Hi,
Sorry this is somewhat in the past but I can't keeep up with all the postings, as I unfortunately have a real job also, I find this one interesting. Am I assuming that a candle with 2 to 3 following inside bars is the setup for the breakout. I am trying to build an early warning system to give me an alert, not auto trade, on these signals. Thanks for your help my trading has improved since I started reading your posts. I am now in the "grey" zone.
  • #1,894
  • Sep 2, 2010 11:41am Sep 2, 2010 11:41am
Quoting cameron1st
... I would think that a trend starts at the same time on all the timeframes , it might however be visible quicker on the lower timeframe charts, but other times it might be visible better on the higher timeframes.
I agree with Cam. A trend begins the second it begins.

Kevin
  • #1,895
  • Sep 2, 2010 11:51am Sep 2, 2010 11:51am
Quoting pipEASY


Sell when its down, Buy when its up is applied.

Sincerely,

Graeme
I have finally caught up with the thread.

Graeme, based on the statement above, which is essentially trend following, I wonder if the FB is considered a counter-trend trade?

Or is it trend following as the FB on H4 turns into the original trend as shown on a higher TF?

On a separate note, I may be mistaken, but Joe/Marion was mentioned as taking trades off FBs on H4 in the sell direction only. There was no mention of him taking the higher TF into consideration.

Thanks and keep up the amazing work!
  • #1,896
  • Sep 2, 2010 12:02pm Sep 2, 2010 12:02pm
Quoting paul1
Cheers graeme it does make sense .

just have be patient an wait for a trend to grow my entries e/j

ranging a lot big ups big downs apart from monday.

In fact its stuck like super glue to 108.00 at moment
I will start stacking long entries if it breaks out above 108.78 (last week's closing price). I already have a long limit order placed at that level. Key is patience for price to come to you and then start chasing the price in your direction as long as it lasts :-))

My one long leg is still surviving at +123 pips and don't plan to diversify at all until I get to see this week's candle.
Staying in my lane...
  • #1,897
  • Sep 2, 2010 12:05pm Sep 2, 2010 12:05pm
Quoting Starvin4Pips
I agree with Cam. A trend begins the second it begins.

Kevin
I think it would be unrealistic to expect you could hit a weekly/daily trend precisely the minute it starts happening. If you only care about what happens in the next few hours that is a different story but that is not what this thread is about IMHO.
  • #1,898
  • Sep 2, 2010 12:07pm Sep 2, 2010 12:07pm
Quoting Starvin4Pips
I agree with Cam. A trend begins the second it begins.

Kevin



Good morning to all,

I would like to ask you all, and is there a trend ? . . . We have heard from Greame about "Market is neutral", "How can 2 different people interpret same MA period" . . .

Is there short trend on E/U ? or is it only correction of up trend which is here since 2001 ?

Every trader see his own trends, so maybe trend is exactly where you looking at right now. But for another trader there is no trend there is chop because hes looking from different angle/scale/timeframe/

Had Greame wrote some important words about "scaling" ? I think yes.

Thats my few opinions

Take care all
  • #1,899
  • Sep 2, 2010 12:08pm Sep 2, 2010 12:08pm
Quoting pip_daddy
I think it would be unrealistic to expect you could hit a weekly/daily trend precisely the minute it starts happening. If you only care about what happens in the next few hours that is a different story but that is not what this thread is about IMHO.
Maybe this will clarify what I was trying to say: you might not see a weekly trend the minute it starts happening, but that does not mean it's not there.
  • #1,900
  • Sep 2, 2010 12:24pm Sep 2, 2010 12:24pm
hola!
I think people still did not understand the "concept" of this way of looking at the market.
No matter what you use for entry, the important thing is to stay inside and take advantage of the great movements.
But as always happens here, people want to give you a system with inputs and outputs are very nice as you can win, but when they are part of the operations are put off because this is not as they thought.

This August 8 currency pairs with the system generated 5800 pips! I've been 2 weeks with decreased balance, but that is unimportant, what matters is where we go.

I look for big moves up 400 pips, and clear to the stacking that result is multiplied with 100 pips and stops using the hedge.

We must find ways to make the snowball bigger aga, no matter what it takes, always come, the market moves much!

Greame, has opened many eyes! but those who seek instant gratification can not control or understand.

Do not think here we must seek ways to enter the market to other systems that are based on it.

thanks!
7 traders viewing now