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Building an equity millipede

  • #2,741
  • Sep 22, 2010 10:38am Sep 22, 2010 10:38am
Quoting mjaymay
I haven't posted much, but I want to give my $0.02 and encouragement. You're doing great, VEE. One of the big things I've gotten from Graeme is to let the market tell you what it is doing. I try to remind myself that even thoug we can anticipate, we don't know what is going to happen. So be open to whatever that might be.

I often feel like you are letting your anticipation be more important than the market. You learned that lesson on your entries. Maybe you are now experiencing that on the question about your...
thanks for your advice Michael. It really helps :-

I have to leave my desk in 20 mins...so it is also driven a little bit because of that. Green M15 candle occurred but not an engulf...will wait for 10 mins.

RD - Thanks for the script. Let's hope it works :-
Staying in my lane...
  • #2,742
  • Sep 22, 2010 10:38am Sep 22, 2010 10:38am
Quoting the novice
Unless I miscontrued Graeme's method.
As long as Vee has his positions at BE, he does not lose money. In fact, that is what Graeme meant by 'dropping' soldiers to test the ground.
He did say that usually the entry that was first initiated at the extreme survives and brings in the bulk of the profit, but it was also mentioned that there is no way to know if the soldiers dropped along the way would survive other than to participate.

I am finding it hard to stack first of all.
Secondly I am finding it extremely difficult to see my profit disappear...
Graeme originally stated he personally is only interested in b.e. trades that survive for thousands of pips 250 pips was not even a leg in an early post.

But we with small accounts are free to diversify at signs of reversal or need to build/add equity.

the methology does not change if you day trade or investing over long term.
Smaller the account then diversify often trying to leave biggest legs .
As your account grows we will be able to diversify less and grow longer legs.
I'am aiming to be ten foot tall soon lol .
Currently my bum is rubbing on ground my legs are so small.
making green pips large and red pips small this is my goal.
  • #2,743
  • Sep 22, 2010 10:39am Sep 22, 2010 10:39am
Quoting rdwatkins
Place this in the /experts/scripts/ folder and restart your MT4 platform to compile it. Then double click it. Please note, it will close all pending and open trades. true emergency script, WARNING!
Nice, thanks!
  • #2,744
  • Sep 22, 2010 10:44am Sep 22, 2010 10:44am
Quoting VEEFX
4th position triggered. chart Illustration to highlight this trade
4 positions all within 50 pips? If U/J so much as burps you'll be blown out. I'm curious what Graeme thinks of stacking this closely.
  • #2,745
  • Sep 22, 2010 10:48am Sep 22, 2010 10:48am
Quoting VEEFX
thanks for your advice Michael. It really helps :-

I have to leave my desk in 20 mins...so it is also driven a little bit because of that. Green M15 candle occurred but not an engulf...will wait for 10 mins.

RD - Thanks for the script. Let's hope it works :-
Waiting for M15 candle to close above the last big red M15 candle in the next few minutes. If this happens and if I am still at my desk, I will run the close_all script to call it a day.
Staying in my lane...
  • #2,746
  • Sep 22, 2010 11:04am Sep 22, 2010 11:04am
Quoting VEEFX
Waiting for M15 candle to close above the last big red M15 candle in the next few minutes. If this happens and if I am still at my desk, I will run the close_all script to call it a day.
Makes sense since you have to leave. Good reasoning.

M.
  • #2,747
  • Sep 22, 2010 11:15am Sep 22, 2010 11:15am
Quoting VEEFX
Waiting for M15 candle to close above the last big red M15 candle in the next few minutes. If this happens and if I am still at my desk, I will run the close_all script to call it a day.
Came back at my desk after a 20 minute break.. still 4 positions open. It's stalling on M15. Waiting for engulf on M15 or H1 to close all positions i.e. close above the open of the previous red/down candle to stop stacking and close portion or all of open positions. In this case, I will close all positions to meet the R:R requirement of 20 pip SL for 80 pip profit. Currently at 79 pip total profit this very moment.
Staying in my lane...
  • #2,748
  • Sep 22, 2010 11:17am Sep 22, 2010 11:17am
Close all indicator worked like a charm!
  • #2,749
  • Sep 22, 2010 11:19am Sep 22, 2010 11:19am
Quoting VEEFX
Came back at my desk after a 20 minute break.. still 4 positions open. It's stalling on M15. Waiting for engulf on M15 or H1 to close all positions i.e. close above the open of the previous red/down candle to stop stacking and close portion or all of open positions. In this case, I will close all positions to meet the R:R requirement of 20 pip SL for 80 pip profit. Currently at 79 pip total profit this very moment.
DarkGolden line on chart to highlight the level for exit all positions.
Attached Image (click to enlarge)
Click to Enlarge Name: SnapShot043 2010-09-22.jpg Size: 349 KB
Staying in my lane...
  • #2,750
  • Sep 22, 2010 11:26am Sep 22, 2010 11:26am
Vee,

If the account is demo would you consider leaving a leg open? Thank you,
T
  • #2,751
  • Sep 22, 2010 11:32am Sep 22, 2010 11:32am
Quoting tmanbone
Vee,

If the account is demo would you consider leaving a leg open? Thank you,
Demo or real account makes no difference to my thought process. I never trade in demo so this is the first time for me as hedging is not allowed in US accounts.

It's live trading with real market data as far as my psychology goes. Bottom line is to follow the strategies discussed on this thread by Graeme and for all to learn from the mistakes I make (some deliberately and some out of shear foolishness on my part). I have mentally turned off all my past trading styles and focussed purely on being a Turtle for Graeme :nerd:

EDIT: We may not have Graeme here on this thread forever... so let us all leverage his time to the max and learn as much as possible from these live trading events. Every day, there will be a new lesson to learn from my/our experience.
Staying in my lane...
  • #2,752
  • Sep 22, 2010 11:43am Sep 22, 2010 11:43am
Quoting VEEFX
Demo or real account makes no difference to my thought process....
Quick update for everyone.... even though we saw a green candle close above the previous red candle on M15 timeframe, I am really based my entries on H1 (even though I am triggering them on H1). Since I am back at my desk, I chose not to close out my positions. I will wait for H1 green candle to close about the 84.47 price level on H1 timeframe. Hope this help clear up my thought process for everyone. Am I making this clear to all our readers? Please PM with questions if you feel further explanation on the trading decisions I am making.
Attached Image (click to enlarge)
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Staying in my lane...
  • #2,753
  • Sep 22, 2010 11:44am Sep 22, 2010 11:44am
Quoting VEEFX
Demo or real account makes no difference to my thought process....
veefx,

Just wondering out loud, Graeme is trying to lead us to not be afraid of sending soldiers into the field, scouting for long term legs.... if you close all your positions, instead of considering to let the market decide (you have set them to BE) if it is going to go for a longer ride(flow) in the direction of the hindsight or not.....

Should we not be trying to adjust our mental processes to accept the results of the decisions we make with hindsight at the beginning of our entries.... Remember we are in this for the long term ... trying to establish long term legs...

Bruce
  • #2,754
  • Sep 22, 2010 11:57am Sep 22, 2010 11:57am
"Bottom line is to follow the strategies discussed on this thread by Graeme"

Graeme has taught how to micro manage entry for high R:R trades. I don't recall the lesson on micro managing the exits. Pointing it out is all. I appreciate you. thanks,
T
  • #2,755
  • Edited 12:10pm Sep 22, 2010 11:59am | Edited 12:10pm
Quoting brucech
veefx,

Just wondering out loud, Graeme is trying to lead us to not be afraid of sending soldiers into the field, scouting for long term legs.... if you close all your positions, instead of considering to let the market decide (you have set them to BE) if it is going to go for a longer ride(flow) in the direction of the hindsight or not.....

Should we not be trying to adjust our mental processes to accept the results of the decisions we make with hindsight at the beginning of our entries.......
Good point Bruce. Adding this post not just to Bruce but to all our readers and participants of this live trading event.

Here's my take on where Graeme wants to go with these live trades. This is pure speculation as I have no 'insider' information on the flow of his teachings compared to the rest of us. I think, we all did not perform well in the first two rounds of weekly assignments. We all struggled with entries, frustration with loosing BEs etc. This live event is to help us all pass that 'elementary grade level' to become successful in our entries, stacking, selecting/shortlisting which pairs to choose, gain thorough understanding of PA based anticipation and hindsight etc etc.

Graeme in reality is walking us thru the process of what we all do in our normal trading life... set hard SL and TPs... hence a very rigid mission statement for us to follow. I truly think there is a hidden agenda in our mission statement which (admittedly by Graeme) will evolve and change in the course of these live trading engagement. I believe, Graeme wants us to experience the negative outcome of closing all trades in profit and then make us all realize what will happen if we keep one or two legs open for infinite yield.

This is just my 'anticipation' of the direction of this thread in coming weeks. I could be wrong but I surely am prepared to to be flexible in tackling whatever comes our way through his teachings.

EDIT: one more thing... don't we all factor only one position at a time when considering R:R trades. This is a completely fresh perspective and statistically proven one to leverage stacks (4 in our case) for the benefit of risking only 1 SL. Think more about this aspect as there is a deeper meaning to what we are doing here. Graeme mentioned never re-attempt after one failure.. why is that? Graeme mentioned Marion would close all or some after his first soldier's SL is hit... why is that? Answer to both are tied to our mission statement. This is way too deep to understand (it was atleast for me!) upon one single read of this thread and his valuable end-of-trading day analysis. Please try and ponder your thoughts around his recent analysis. It will eventually fall in place.

Hope this helps.
Staying in my lane...
  • #2,756
  • Sep 22, 2010 12:10pm Sep 22, 2010 12:10pm
Quoting VEEFX
I truly think there is a hidden agenda in our mission statement which admittedly will evolve and change in the course of these live trading engagement. Graeme wants us to experience the negative outcome of closing all trades in profit and then make us all realize what will happen if we keep one or two legs open for infinite yield. Again, this is my 'anticipation' of the direction of this thread in coming weeks. I could be wrong but I surely am prepared to to be flexible in tackling whatever comes our way through his teachings.
Yes. This is what I interpreted this exercise to be all about. That is why Graeme had Vee pick a pre-determined R:R. As we were getting ready to begin the exercise, I recall in a post that Graeme stated he intended to demonstrate that a fixed R:R is futile and will result in a long-term performance of break-even at best. I'm expecting this exercise to prove Graeme's point over the next couple of weeks, then we'll move on to an approach that does not have fixed R:R, where we'll learn through Graeme's guidance how he establishes long-term legs to realize infinite gains. At least, this is the impression I got early on when Graeme first began laying out the exercise.

Kevin
  • #2,757
  • Sep 22, 2010 12:11pm Sep 22, 2010 12:11pm
i updated my previous post.... please re-read as I feel it is an important one for all to ponder upon.
Staying in my lane...
  • #2,758
  • Sep 22, 2010 12:13pm Sep 22, 2010 12:13pm
Quoting Starvin4Pips
Yes. This is what I interpreted this exercise to be all about. That is why Graeme had Vee pick a pre-determined R:R. As we were getting ready to begin the exercise, I recall in a post that Graeme stated he intended to demonstrate that a fixed R:R is futile and will result in a long-term performance of break-even at best. I'm expecting this exercise to prove Graeme's point over the next couple of weeks, then we'll move on to an approach that does not have fixed R:R, where we'll learn through Graeme's guidance how he establishes long-term legs to...
for Kevin.
Staying in my lane...
  • #2,759
  • Sep 22, 2010 12:18pm Sep 22, 2010 12:18pm
Quoting tmanbone
"Bottom line is to follow the strategies discussed on this thread by Graeme"

Graeme has taught how to micro manage entry for high R:R trades. I don't recall the lesson on micro managing the exits. Pointing it out is all. I appreciate you. thanks,
"I don't recall the lesson on micro managing the exits".. please re-read some of his posts. He has mentioned several times what would trigger a reversal in direction resulting in closing his trades or triggering diversification. Based on his posts, I came up with this cardinal rule

If Im looking for sell then I want to see price close below the open of previous up/green candle
If I am looking to buy, then I want to see close above the open of the previous red/down candle
Staying in my lane...
  • #2,760
  • Sep 22, 2010 12:24pm Sep 22, 2010 12:24pm
Quoting Starvin4Pips
Yes. This is what I interpreted this exercise to be all about. That is why Graeme had Vee pick a pre-determined R:R. As we were getting ready to begin the exercise, I recall in a post that Graeme stated he intended to demonstrate that a fixed R:R is futile and will result in a long-term performance of break-even at best. I'm expecting this exercise to prove Graeme's point over the next couple of weeks, then we'll move on to an approach that does not have fixed R:R, where we'll learn through Graeme's guidance how he establishes long-term legs to...
You all have a good point. I should study more before voicing my opinon. Non feather ruffler here.
T
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