Building an equity millipede

Will try. Thanks.

Hi tj

Did you take the previous 4 FBs?

Cheers

No. My entry is triggered by the D1 FB. Trades were placed ahead of time. Someone mentioned a "grid entry". I never knew it by any name. The H4 FB chart was posted because I was asked to clarify how I enter and not get burned. "Caught the entry" implies one or more of my placed orders was triggered by price rather than me watching the charts. "Catching price" this way is the same way police catch speeders with a speed trap. The police know where the speeders usually exceed the limit and set up in that location. Let me please say to the rest of the traders reading this - do not attempt to emulate my style. You are better served by following pipEASY. His teaching is clear and complete.

Where can I find that flying buddha indicator?

I'm not sure if there is an indicator, but this guy has something very close: http://www.forexfactory.com/showthread.php?t=251378

Use with caution though, it is not real FB, maybe you can request a change to make it so.

Guys, what is the status of pipEasy. Is he going to return and post here or no ?
I like the charts and strategy discussions going on here, but would be nice what the master thinks.

Thanks.

Krk

I finally continued on friday but i'm really realising i haven't followed enough Graeme advises. I really try too often and not on the best spot for my entries

From earlier answer, i'll also try like it have been advised to me :
to close some of my new scalping legs to cover my looses when it's pretty obvious they won't survive the day and end up wasted in BE

Well, what do you think about talking about something else than the method and flying buddas (that aren't even considered by Graeme as a good entry method) but more about long term trends and others entry points methods described?
I'm particularly interested about wicks and breakouts


For example why not sharing ideas/comments like this?
http://www.easy-upload.net/fichiers/...1091895840.png
http://www.easy-share.com/1912317245/GBPUSD.png

Here it is. The Flying Buddha indicator by Swingman.

Bak

It's been quite a while since Graeme posted. He indicated that he was unwell the last time he posted here. Lets all send him our good wishes and hope that he has fully recovered and is now resting well.

Bak

Hi TJ, You may be right, but I may not be wrong.
I tend not to rely on these vodoolike fibs that much, and Graeme said significant retracement points are between 38 and 50%. That is what happened in may, on the weekly. I agree that we face a strong resistance but it has already been tested 3 times. As Graeme says, it doesn't want but MUST eventually break thru. IMHO the direction to build a long lasting pede here is to the upside.
Muntu

I am perplexed. The set up on the swissie is no longer that sexy, and a sinking Buddha appeared on the 4H e/u. But I am checking other instruments, including gold and silver (daily FB's), us crude oil and some softs. I got stopped out of the Bund at be + 3. Can also re enter long.
Good week end

Hello Swingman,

Thanks for the dashboard. They are great to monitor lots of pairs.

In your dashboard I'm confused about thin arrow: previous candle low is above the MA. Doesn't that mean it is a flying buddha? If a candle doesn't touch the 5 and 10MA then it is a flying buddha. In the thin arrow example the low is above MA so basically it closed above MA which should be flying buddha. Did I understood it wrong? could you clarify please?

Just wanted to say a million thanks to Sir Graeme.

Two thumbs up to this thread!

This is one of the most informative threads I've found in FF with less obfuscation and simple straight-to-point examples. Graeme you have done a great job, you must be rewarded either by man or The Infinite One. Thanx many

Will read on but had to stop and copy some facts into MS Word to further create PDF from it and send to Graeme for attachment on front page as sign post for new comers. Thanx once again for your kind sharing.

As for the detractor's voice I heard some pages back, I hope he's gone to his grand master the know fool.

Holla@!

Good morning, all

Thank you for the continued interest and the compliments.

Apologies for my abrupt absence from this forum as I had personal complications with health.

I thank all the participants in contributing in this thread during my absence. I have read all the posts after my last post and the private messages/emails.

From what I have read and noticed, it compels me to step in and adjust/confirm what is currently said or believed.

This post is not a rebuke to anyone or any post in particular so please do not feel disheartened or discouraged.

We are all capable individuals of intelligence and aptitude. This forum consists of a vast variety of individuals each with its own and unique capabilities which can be applied to trading universally for a profitable outcome.

However, as long as means of communication remain there will always be a group think, group discussions that might seemingly look positive progression however the opposite in effect.

When I opened this thread 3 months ago, I pondered which category does my intended thread belong to. And I carefully/purposefully chose 'strategy'

And with all earnesty I have presented my trading strategy in detail. I must admit it is somewhat cumbersome to pass on my own thought process into a readers mind through typed words. How does a reader know where I place my emphasis in a sentence? Hence, I kept it simple by underlining/bold captioning the sentences that I am literally screaming at the top of my lungs as it has a critical factor of importance.

Now, it is a common human behaviour/characteristic to choose what you wish to believe. And this is evident in every aspect of communication between two entities that co-exists.

You are out drinking with friends, and for the first time you chose not to ring your girlfriend as it is already late in the night. But the main reason you chose not to ring is because she has an important meeting early in the morning and you do not wish to disturb her sleep with any petty talk.

However, your girlfriend chooses what she wishes to believe.

Your girlfriend believes that you didnt ring out of negligence because you were having such a great time with friends or new girls. She is clearly upset and feel let down. Her meeting is distracted by her thoughts and when she finally rings you after the meeting, she sounds bitter and distant. However, you do not know this and you act cheerful and ask how the meeting was which ofcourse will be met with a sharp rebuke from her. Then there might be a argument which could lead to far greater demise. And this all starts from 'humans choosing what they wish to believe.'

It happened when:

330BC, Aristotle finally proved that earth was spherical and not 'flat.' What do you think the vast majority chose to believe? But then Aristotle thought Earth was the centre of our solar system..

1800 years later, Galileo disagreed with the famous Aristotle and stated that the sun was the centre of the solar system. The vast majority chose to believe otherwise and Galileo was tried by the Roman Church and found guilty of heresy. Served a life imprisonment till death for something that was found to be correct after all.

So whats all this history lesson has to do with your trading. It has everything to do with your learning of how to trade as you are also human and also bound by common human characteristic. It is your nature, unfortunately.

Why do you think there are countless numbers of traders on this forum that has been here for years still here? Its only a personal assumption and I speak in broad sense when I say that they are still here cause they are still searching. If this forum was a blank A4 piece of paper and black dot represents a trader still looking for answers and white dot represents a true professional trader. That paper will look like the sky of a dark night in a crowded polluted urban city.

And why do I believe that? Its because the intricacies of trading is same to any other struggle/pursuit that humans pertain. And to become the top of anything you need to step outside the physical/psychological bounds of the average peers.

Everyone cannot be a billionaire. Then there is no such thing as rich person. If everyone is billionaire than soon an exceptional human being will break the bounds of impossibility and step outside the circle to become a trillionaire setting new standards. Billionaire becomes the support and a new trillionaire will become the resistance or the new higher high.

Perhaps Im talking too much and I know less is always more but believe me when I say that Im genuinely interested in everyone's trading success. And this very post is for you. I dont know you but if everything is all relative than whatever difficulties you are experiencing can be solved by any universal solution under the same context. Trading is one arena that Im happy to assist as your profit does not effect into mine (perhaps it will if we are both scalpers on a very low time frame). The currency market is so unimaginably huge and structured in an intricate layers of multi-layered push and pulls that no one or any entity can manipulate/understand/control it. And that includes you and me

Im not surprised to see that many are struggling especially with flying buddhas. I was hoping that the few traders I do manage to touch on deeper understanding might have stepped outside the boundaries of normal thought process.

I have preached that the market is universal and neutral. You will fail without a shred of doubt if you trade with any pre-defined actions. This is why we have traders still searching for answers after years of searching. And these traders are more than capable in intellectual capacity. Its a shame to watch them ask the wrong questions and look for the wrong answers. They may know every little thing about trading to the finer detail but they are confused to see that they are still not profitable. You have to ask yourself why is that...?

Ask yourself, you have read most of the threads in this forum. Countless published articles, hundreds of hours of screentime. Why is it still not working..? Perhaps the answers you are looking for are in different context.

Joe trades FB profitably. With that type of trading approach I can guarantee that he will be also successful in trading inside bars, pin bars, engulf bars and any other type of price action setups. There is no such thing as a professional trader trading flying buddhas profitably but loses money on other setups. Think about this.

Its not the FB that creates you proft. FB is a potential opportunity. Potential opportunity.

What is opportunity?
Opportuntity is a selected period of time that allows the individual to partake in a given scenario that might yield a positive or negative outcome.

In trading, there are only 3 tangible ingredients to profitable trading.

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

Other factors are negligible in pursuit of profitable trading. Negligible factors include: continous small losses, continuous breakevens, prolonged periods of no growth or profit decay. These factors are minor struggles in the bigger scheme of your goal. If you worry about 15 continuous small losses then trading is not for you... You will never find a system with high win rate WITHOUT compensating one or both terms: TIME, RISK SIZE (stoploss size). Market is universal and if you take 2 from it, it will also take 2 from you. And thats the problem with trading, you need to take more than you are willing to give. This is called risk:reward.

Excellent risk:reward can be encoded into your trading habits by simply taking entries on lower timeframes but aiming at profits of the higher timeframe. And thats it.

Consider this for me. And this is reverse engineering and creating your own system but backwards. Its like playing the maze game but starting from the end not the start. This is what many business analysts do, more or less.

If Joe, spends $50 per day on every weekdays to buy x10 $5 lotto scratchy tickets. Then this would cost him $250 per week, $1000 per month, $12000 per year. But his total winning over the year is $5000

His risk:reward is $12000 : -$7000 which is 12 : -7. He is expected to lose -$7 for every $12 spent. This is very common scenario in gambling.

But we are not gambling but trading. We certainly do not want to spend $12 to lose -$7.

Lets create our own r:r

I have a day job that pays me $850 per week after tax. Unfortunately Im still single (till I succeed in trading and god knows what thereafter) and live with parents. I can set aside $50 per day in trading expense (note I used the word expense).

So I choose:

Taking only 1 trade per day

$50 = x8 $5 pips + 2 pip spread

Risk 10 pips for the reward of.... 1000 pips? Sounds good.

1:100 is good. Now...

1:100 is only viable IF 1000 pip rewards happen more often that 1 per 100 cycle.

100 rounds in trading is 5 months of trading if I only take x1 trade per day. 5 per week, 20 per month, 100 in 5 months.

Now I got all the numbers in the field and all I do is input them into empty fields, then I create a theorem:

Im looking for, opportunities that are less than 10 pip risk, one per day, that will run for 1000 pips take profit but the occurences of such opportunity must be less than 1 per 100 cycle.

Then you open your charts or whatever EA you can encode and plug in the data until a trading method sticks and proves your above theorem correct over a prolonged length of time (at least a year).

When you find a 'method' that is constructed from your own theorem you will find a related discovery... What do you think this might be?

There will be an irregularity in the sequence of the numbers. I will come back to this little later.

Lets create a theorem together and all you do is fill in the gaps:

Taking only ___ trade per day

$__ = x__ $__ pips + __ pip spread

Risk __ pips for the reward of.... ___ pips?

_:___ is good. Now...

_:___ is only viable IF ___ pip rewards happen more often that _ per ___ cycle.

___ rounds in trading is _ months/weeks/days of trading if I only take x_ trade per day. _ per week, __ per month, ___ in 5 months.

Theorem:

Im looking for, opportunities that are less than __ pip risk, ___ per day, that will run for ____ pips take profit but the occurences of such opportunity must be less than __ per ___ cycle.

Now, open your chart and find it by using your theorem as a guide. Once you find a method, your theorem will be confirmed profitable over a prolonged period of time (more than 1 year).

You are now creating your own systems and do not need to refer to other traders system/methods. This reverse engineering is used all the time for myself. I devise and create new methods but the difference between me and you is that you look at indicators, shapes, sizes of candles or patterns whilst I look at hard statistical numbers first. And I know that shapes and sizes of candles might lie but numbers do not lie.

I have few theorems and with the help of my son and his team, the theorems are emulated into correct form of data and plugged into years of price history across the whole board. EVEN theorems have periods of range/consolidation then a volatile profitability. Its amazing to see a graph of line chart of a particular theorem backtested on past 10 years of price history and without the heading on the chart I couldnt tell if it was 4hr, daily, or 5min before my son pointed out that it was not a timeframe of a currency market but the profitable equity curve of one of the theorems I have presented. Everything really is all relative.

I would love to see your theorem in this thread and then you place effort into searching for answers to prove your very own theorem correct. You have found a profitable trading niche that fits your own psyche/financial levels.

I currently have a profitable theorem on eur/usd that risks 10 pip for a take profit of 1000 pips that has been profitable for more than 2 years but backtested over last 10 years. It brings net 28.7 pips per week so far for the last 2 years. So every $100 spent is bringing in $128.70. If you know investing well, this is an outrageous return.

Another theorem is based on price action on daily charts at 200 ema exponential close and take profit is at least 1000+ pips and taking profit at extreme points of price expansion and re-entering when price contracts and re-tests the 200ema.

I will not elaborate any further in the above 2 theorems as I know this will lead to no progress in your learning phase. What works for me is for me.

Now coming back to what I briefly mentioned before; which is irregularity of sequence of numbers. Statisticians also call this Law of uneven distribution.

If you grab a coin and toss it 100 times, at the end of 100 rounds you will have a result that is 'almost' 50% heads and 50% tails. If you write down the outcome of each round you will notice few things. There are periods of 'consolidation' where heads win once then tails then back to heads and so forth. And then there is periods of volatile breakout with long streaks of more than 6+ wins on either heads or tails. This is the law of uneven distribution and this applies to all matters that exist in same plane of physics. You will see that even with a 'genuine' 50% win rate (coin toss) you will run into inevitable streaks of losses. There is no way to intervene and stop what happens against you. And this happens in all matters of scenarios that has pending random outcome. Just accept it as it is. You cannot avoid the losses with your indicators and eas but you can minimize it whilst keeping your potential profit much much larger. Everything has a seasaw effect. One comes up while one goes down.

Whats interesting is, no matter what you deploy as a betting strategy you will not make money from 50% win rate with 1:1 risk reward. you will be more or less breakeven after few thousand rounds or the technical phrase would be 'sooner or later.' However you will become very profitable once you adjust the potential reward greater than 1 and try lower your potential loss below 1. The further you rip apart these two numbers will be the holy grail to your profit making then the only essential element that is required is 'time' to exercise the inevitable outcome. Its not an easy road to go against the path of nature. You either get mercilessly punished or rewarded stupendously.

This post alone took me few hours to type as I keep editing and re-typing. I hope the inner meanings of my words reach far into your thought process and not buried on the outskirts. Everyone is a potential professional trader and everyone is very close. Close but not close enough. That last special enlightment is not found in forum or indicators. Its already inside your knowledge but a different angle to the understanding you currently perceive. Different angle.

This thread has expanded to almost 160 pages but I can assure you everything is in this one post. Condensed and hidden, not purposefully by myself, but unfortunately by the reader and their choice to understand what they wish to understand. It is just human nature,.. unknowingly and unfortunately.

Sincerely,

Graeme

Hi Graeme,

Good to see you back. That one quote you made above pretty much sums up this entire thread. Thanks again for your continued wisdom.

Good afternoon, thx1139

Yes.

Absolutely.

Sincerely,

Graeme

"This thread has expanded to almost 160 pages but I can assure you everything is in this one post."

As such I shall read it many times a day.

"Apologies for my abrupt absence from this forum as I had personal complications with health."

I wish you a full recovery to good health and happiness.

Hi Graeme,

It's good to see you drop by again and to know that you're well. I really appreciate your unselfish gestures of helping us become better and profitable trader. May God bring you more blessings and good health.

what you've said above is so very true... you've given all that you know best for all individual traders... but sadly, only a few here really see's and digested your teaching to its fullest - must be because of their EGO?

Ego always blinded traders all the time... result to looses.

Again, thank you very much and take care of your health.


regards,

Graeme,

it is good to see you're posting again. I hope your health has returned. Based on the latest post, it looks like it did. I'm an inactive follower of this thread, trying to digest the information you provide, and trying to create my demo millipede.

I wish I could participate more, but I have limited time and also I have limited time to trade, only 1 - 2 hours a day, at best. So I'm adjusting the entries accordingly, I guess that is also why my millipede is pretty small.

Anyway, THANK YOU for all your efforts, it is an incredible read.

Krk

Hello greame great to hear from you hope your feeling better each day.
I want you to know that i fully understand what you are teaching.
And appreciate your determined efforts to present your teaching in so many different ways,but with the exactly the same message from day one.
Fti, and peter crowns have the same basic sentiment running through there approach.
You all seem successful.
But your teaching got the message accross to me.
Just need to discipline myself to implement your teachings.
Thankyou.