Tunnel Vision. Independent Signals & Positioning Recommendations.

Hi Fire,
I'm not sure which Pivots you are referring to.

I was watching that with interest as well. In the VWB thread I mentioned that something on the daily chart was telling me there could be a prolonged bullish run in store for the fiber. Which would mean that the bearish run would have to end....heh....no kidding huh....

Thanks for the link to the VWB doc too...I noticed you responded to that request. I didn't even notice the doc there on the first post...doh!

edit: At about 1.7820 there is an untested upper trendline that just got tested. I'm not sure if it will be significant as of yet because there is actually a few different ways to draw that upper line and I'm unsure which one will be the one that becomes the pertinent one. One of the other ways to draw it is about 15 pips or so higher that's why I was looking there as a point of interest because of a confluence of two resistence levels. I'm still all about that 1.7832-40 range as a possible top for this. I'm thinking about shorting it as there likely will be some opportunity for that short-term scalp. I don't think it will be able to hold this level for very long once it makes it's top. Targets would be the same as before(1.7750ish).

As I write this it just touched 1.7840....I'm looking hard at a possible short now for a scalp....unless it breaks then I'm sitting this out totally.

Hello Bemac

Hope you are open to new ideas :-). This is what I've been working on instead of using an oscillator I constructed an indicator that measures the volatility of the currency pair. I then measure, the average true range and calculate a breakout points. When price gete over extended {far away from the tunnel. In a Fib zone} a stop order is placed at the pre-determined calculation of the breakout point. This is on the 60 minute. I've tested candlestick formations as well, but they did not seem as accurate as waiting for the move to break away. As somebody else has said wait for the price to start heading your way.

This is simply a pre-determined calculation to take out, the emotional part, where do I put my stop to enter. I am still in the testing stage but will let you know how it works out.

I hope so too Claude ;-)

I notice your code is in ELA. Is it something VT could handle?
Also are you familiar enough with mql to port it there?

Hello Bemac

Yes, VT will handle the calculations. But it can only be a couple of lines I can't produce a pretty output like numbers.

Let me clean up the code first, though. As you know, I can get pretty messy with my coding. When ideas are coming to quickly.

As far as Mql no not quite familiar with it enough but that's the beauty about this forum there's a whole lot of people that speak different languages. If it proves to be worthwhile. I'll post the code, and sure somebody will convert it quickly.

I wonder why the E/J hasn't really taken part in this action....interesting. I'm almost ready to close off exposure for a short time with a fiber long I have. Wait out the consolidation that should be coming. I wish I had joined the long run with the cable. I wasn't sure it had this much juice right away. I saw the 1.79 for the week, but I didn't expect it to be today! I'm calculating the projected channel top now as it might become a factor sooner than later.

edit:adding weekly chart. You can see from my trendlines that there could be different possible outcomes. Although all of them suggest something over 1.79. For it to trigger VWB interest for a short it would have to get to 1.8071(and rising on daily chart) which is still very possible but there doesn't look to be a trendline that suggests that for this week. Next week one of the trendlines will be very close to that number but of course that fib would be abit higher by then. Stoch is pretty mature right now and if it would get to that fib level I would be really interested in it for a short.

I haven't read the VWB doc yet so I'm not privy to the secondary and subsequent conditions for entry. I'm on my way out the door right now but will read it tonight and see what else is needed for the method's conditions.

Just getting started on VWB testing. Am I reading the USD/JPY daily correct that it looks like a short entry if todays candle closes where it is now?

Would you wait for the close or start limping in?

I would love to accelerate my learning curve with examples of how your decission process progresses.

**I am only reviewing the ''daily" models at this time**

Thanks in advance!

Things that make you go Hmmmm......

should we take long positions on the eur/usd and gbp/usd according to the 4hour tunnel method?

Weekly trend is up and 8SMA move under the 55SMA and heading up

Hi Jotty,
Right now I'm looking at some variations of the Trigger Levels on the DTM and have decided to stand aside on this Method until I come to a conclusion. However, from what I remember [ and I could be wrong ] 8 SMA crossing UNDER 55 SMA would suggest a short position may be at hand.

I think 8SMA crossing under the 55SMA would tell us to initiate long position if weekly trend is up. We get in on a position when the bear run ends and the bull run just begins. This would be the best time to get in on a position.

While I agree with you about the prospect of both of those being bullish looks promising I wouldn't be suprised with the price returning to 1.2140-30 & 1.7760-50 with those two before it does make any bull run. I'm watching how this consolidation period goes before I open anything long or set any entries. If those two show any real bearsishness other than a bearish condensing period those two could possibly drop further than those modest numbers. Fiber has a major daily support at 1.2050ish and the cable 1.76ish that if it driopped to there sometime this week it wouldn't suprise me. Although they both have a major trendline at 1.21 and 1.77 respectively that could contain any shorting run and would be a place that I would look to start establishing longs in the event of any breaks below the consolidating bottoms I mentioned first.

It's also good to keep in mind the low of each new candle's range compared to the previous candle. The % of retracement into the previous candle will give clues and right now it's almost split with fiber being somewhat bearish and cable somewhat bullish.

When daily charts and weekly charts have contra-bias trends and their support is on opposite sides that is a good recipe for some whippy price action over a larger sized range. That's what we've got developing here. Of course it's a great time to swing trade when it does that.

I'm not as familiar with the 1 and 4hr hour chart methods given by Vegas. But it would make sense that you want the shorter/faster MA moving across the longer/slower MA in the direction of your trade. I guess with those tunnel methods you want it breaking out and away from the tunnel in the direction of the trade as well. I don't have a chart set up with those 8sma and 55sma but on my chart I use 7 and 34 which is pretty close and it looks like a positive cross that just happened(7 over 34)...now that I look at it, man...I should look at that cross more often....it's got some juice! I should do some deeper research on that. I've never been a MAcross type of guy but this has some merit just from the eyeballing of the recent history.

I see that you responded to Bemac about an attempt to get optimal positoning by trying to catch it on the way down while the longer time charts have the bias going up. that's a good aggresive strategy but you don't really want to jump two time levels for that too often. 4hr to weekly jump is too much. Daily chart might have something to say about it and mess ya up. I like that idea and often use that riskier style with small entries at first but it has bitten me in the butt more than once. It is true that the weekly bias is bullish but it can be considered overbought and the daily bias is bearish and looking like it wants to turn so you might want to wait for the daily to mature a bit longer first. I like your thinking though if you practice good risk management skills. An aggresive style and loose managment skills will eat someone up.


peace and pips to ya...

Good info Pipsta - keep em coming

Please excuse my scribble!
HJ

can anyone direct me to a place where i can read up about the knife

If that's what you consider a scribble, I {for one} am looking forward to reading your scroll.

Extremely Greatfull for your foresight.

Very purdy Heavy J.


Are you going to hold that 'knife' much longer? You might cut a finger or two off if you don't let go....heh.

Can anyone tell me where i can learn about "The Knife" system

Hey Jotty,

Yhe Knife is a system that is based on Vegas 4hr Tunnel it was developed by Diallist and is being taght in the Private aforum. Click o the "preferred sevices link on the left menu bar on the FF homepage. Then click on James 16 Group for more info.

Dial also teaches some of the terriffic elements of the knife in the thread. Lost in th tunnel" that is found in th journal thread; You can pick up a lot by reading that thread and even more at the PF

Hope this helps
HeavyJ

Bill
Quick question are you still doing some work on the one-hour tunnel. Or are you exclusively concentrating on the daily. For now.

Just asking, because the one-hour caught the Swiss franc rather well today.