Craig Harris Stochastics Method

Johnsund,

The candle body must cross the ema and close to be a set up candle. When the next candle opens and is the same color... enter the trade.

Remember that HA candles average 3-8 candles per swing .

Good trades (1 hr charts) on the AUD charts today.

NeoRio,

MAYBE YOU CAN ANSWER 2SCOOPS QUESTION ABOVE.

Thanks

Sear,

Welcome aboard. This forum has lots of solid trading information and many experienced traders willing to help you.

bythepound...

The 5 method is my favorite because more trades come along.

Honestly on the 5 method you don't really need any indicators because the simple entry rules are so basic and clear cut. If I were to pick two it would be the tdi & stochs.

Thanks Big E
I read one of your posts from 12/18/2009 where you said that Craig Harris used a 35 pip S/L. Was that correct or a mis-type? Appeciate the welcome.

Todays Trade - 5 Method

Hi there, I didn't know CH had a webinar last night, so I'm not sure what the checklist was that he went over for spotting reversals. But since this thread is about the CH method and I've studied all his free videos and have been familiar with his trading method for some time now, I'll list the main elements that I believe is the spirit of the CH method to spot a reversal:

 

1. A candle of a different color (at the end of a momentum move)
2. An inside bar
3. An inside body (just the body is contained within the previous candle)
4. An outside bar
5. An outside body
6. A big number (mainly the 50's and 00's are what I pay attn to)
7. The Tokyo channel hi/low (consolidation or S&R forming around those levels)

Those are the main elements used to spot a reversal candle (RC). The time of day is going to have a sway on things also...as well as the anticipation of news releases, etc. Use wisdom, common sense, discretion and go slow. The M15 TF is the only one to do the CH method on properly. The M5 has too much noise, the M30 has very different RC formations.

Kind Regards,
NeoRio

Thanks eelfranz - Isn't it almost impossible for a candle of opposite color to appear at the open of a new bar unless there is a gap up or gap down? Would this be due to the averaging of previous bars that forms an H-A candle?

I didn't know Craig Harris had a webinar last night. Please tell me it was recorded and where I can get a copy.

Sear... The answer is on his videos. Yes 35 pips.

Is there a TDI indicator that has audible alerts? If so does it have the ability to adapt to varying timeframes. Most important for me would be ability to alert cross of gteen and red. Please post if available. Thanks.

I believe Xaphod made one for the group. Ck the file folder, upper rt corner.

This mornings trade G/U - 6 am pacific -Again I entered a little late. traded short 1 full lot. Entered at 1.5945 and waited for 15 pips profit and then placed S/L at break even and turned off the computer. Came back online at about 8:50 am pacific and closed the trade.

You won"t be happy with your profit until you start trading full lots. However... you need experience and confidence in your method. Practice Demo Trading... learn tax free... lol Todays profit is $728.00. Click on the chart to enlarge.

johnsund...

When the next candle appears after the set up candle it's either red or green. If it's the same color as the set up candle... I'm usually in the trade.

Bear in mind that if the candles are small I wait to enter until candle #3 or pass on the trade. Double check tdi & stochs with your cross hair on the chart.

I'm very weary of trade set ups near the 32 & 68 on the tdi. If they are larger candles I may enter the trade... small candles is a flashing light to wait and see... reversal coming soon in most cases. Trade on the reversal is best.

STUDY OLD CHARTS... for your favorite time frame count the AVERAGE number of candles per swing. Put the odds in your favor. 99% of my trades are between Midnight Pacific time until 10 am Pacific. As far as I'm concerned the rest of the day is a waste of my time to trade.

I have 8 pairs/charts on my screen and with a quick glance I can see the set ups coming and about how many candles away they are. (5 Method).

Big E

Alert indicator for the TDI RSI Price Line(green) / Trade Signal Line (red) cross over.
Requires that Traders_Dynamic_Index.ex4/mq4 is installed in order for it to work:
http://cdn.forexfactory.com/attachme...6&d=1262263093

Parameters:
Alert.Enable - Enable RSI price & Volatility band crossover alerts
Alert.NewBarOnly - Alert on new bar only. Ie alert when the bar closes and a new bar is opened.
Alert.Email - Send email on alert
Alert.Lockout - Alert Lockout time in seconds after latest alert
TDI.xxxxxxx - The usual TDI settings
See the source code for the TDI parameter info.

Only limited testing has been done on the indicator.

Thanks Xaphod. Just what I was after!!!

Xaphod's the BEST!

Bie E

Thanks for clarifing. Looked back over EU chart (more exploration for me coming) and see what you mean about small candles.

It appears that when TDI is below 32 or above 68 that it is a period of market indecision, but that a reversal may be coming. Based on what I learned from the videos that you suggested watching stronger moves occur either above or below the 50 line. Is that the reason for your statement about 32 and 68? Is the fact that these stronger moves occur around the 50 line the reason you do not include the yellow line on your chart - it is just not needed?

Thanks for all you do.

Thanks E
I have watched the free videos 3 times each and don't remember seeing how many pips CH used for S/L.I have always traded using larger time frames looking for 1:3 risk reward ratio and therefore taken back at such a large risk for 30-40 pip target. After thinking about it last night it made more sense. I think CH's method will blend in nicely with my larger time frame strategy as it's a reversal strategy also but using pending orders.
Right now I'm just concentrating on CH's 15 Min. strategy much as he presented it in his videos and from what I'm picking up from your thread on what is not on his videos. Hey I had 2 winners and 1 loss this morning for a 32 pip gain. I'm hoping it's a little more than just luck. I want to thank you all for the great input. First class thread here and very much appreciated. I will fill out my profile shortly. Best of trading!

It is probably in the webinar videos.