Craig Harris Stochastics Method

Hi Big E,
interesting training charts. Specially the one about AU on H4.
About this last chart I would ask you one thing.
The false signal on TDI you've shown is pretty clear, since PA is heading upward and is above 5ema BUT I see that about on March 28 at 8 o'clock pm, TDI is giving a sell signal, the stoch is confirming and the candle is red and crossing 5ema but then it went the opposite direction and the price didn't go very far also because when a HA is dispayed on the chart, it's often displayed in the beginning already formed and 20-40 pips long, so you don't have a clear idea where exactly the real price is.
On other pairs on H1 chart as well I see many false signals like this one: PA crossing 5ema, green crossing red and stoch confirming but the price goes the other way: how can we avoid these kind of traps?
Maybe not all because I know 100% success is not possible, but just to limit damages.

I would like also to ask you how you behave if you find a good setup but pretty close to a big news (even 30 minutes or more if you are looking at H1 or H4 charts).
Do you ignore the setup or ignore the news?
I am asking you this because trading on H1 or H4 forces you to deal with news almost on every candle (especially on London Market and NY open).
Thank you, I appreciate what you are doing for us all.
Best
Fabius

Excellant training charts today, Eric...
Very helpful...
Enjoy the weekend...
Cliff

Thanks much for this indy...it'll come in handy...
Cliff

Big E -

On posts 4074 and 4076 it looks like your entries are a little earlier than I would have thought. Rule says let candle close, if next candle opens with the same color then enter - with TDI and SS agreement. Is this what experience provides or am I interpreting the entry lines incorrectly? With HA candles I have always had a hard time seeing in retrospect where one candle closes and the next opens.

Thanks.

You are welcome guys, I am glad you found it useful :nerd:

Thanks to you both.

Big E:

Similar Question as JohnSund above on entries. Do you scroll down to an m15 chart for the actual entry? or are you waiting for some pull-back after the signal candle closes?

Excellent training charts, by the way. They force us to ask more questions. Just trying to 'get inside your head' a little more!

This is a great thread!

Hey Guys,

I've shared the Conserative rules for the 5 ema method as well as my personal more aggressive rules. The previous training charts show the more aggressive trading.

I don't pay much attention to news when trading the 4 hr or Daily charts. On the 5 & 15m charts it can kill you however.

If I've got a strong set up on the TDI when close to the 32 or 68 lines... I'll take the trade and scalp the 4hr for 20-40 pips while monitoring the trade... I've seen it go 80-100 pips sometimes...

On the more aggressive style... I like to just trade the chart I'm on rather than dropping one timeframe for entries which is more conserative.

Remember... 80+% of the time HA Candles move 3-8 candles per swing (depending on the time of day and which session). If I'm entering on candle 1 or 2 I'm expecting some pips to fall... you should too. If you don't like HA Candles then trades the Japaneese candles. They will screw up your emotions and decisions though... Your the man/woman, it's your money... do what you want. When the bleeding stops you can come back to the HA group.... honest.


I keep telling you that the market is there for the taking. Make your daily withdrawl... don't be afraid. When your afraid you make more mistakes and bad decisions... Just slap the crap out of it and fill your wheel-barrow up with pips...

Roger27 and Lucas 101...glad you stopped by to read our thread. Welcome.

Notice how PA is attracted to the 100 lines...

From a Financial Newsletter I subscribe to:

More Americans work for the government than work in construction, farming, fishing, forestry, manufacturing, mining and utilities combined. We have moved decisively from a nation of makers to a nation of takers. Nearly half of the $2.2 trillion cost of state and local governments is the $1 trillion-a-year tab for pay and benefits of state and local employees.

http://www.stansberryresearch.com/se...mages/icon.gif Forgive me for being cynical… but it seems the only sector of our economy that's growing is the banking sector, which manufactures profits via a paper currency regime that's stoking a massive inflation and remains threatened by a growing banking crisis in every developed country. Meanwhile, the banking system is being held together by our government, an institution that's bankrupt on any conceivable scale – to the point that the world's largest bond investor (PIMCO's Bill Gross) has sold every single U.S. Treasury bond and is publicly calling Congress a house full of "skunks." The government has also become the largest employer, the largest source of union members, and the single largest customer of almost every company in the United States.

http://www.stansberryresearch.com/se...mages/icon.gif The question I pose to you, dear subscriber, is this: If this isn't socialism, what is? And when in the entire history of humanity has socialism ever created a sustainable bull market or any real prosperity?

http://www.stansberryresearch.com/se...mages/icon.gif As you surely know, today is April 1 – "April Fools' Day." We have traditionally published elaborate pranks on this day, taking advantage of our subscribers' trust to sell them absurd stories about oil wells refilling with crude and genetically engineered cells collecting gold from seawater. You're then instructed to call your broker and ask to buy shares of 'SUKR' or some other similarly fake symbol. It's all done in fun. Except for a few hurt feelings, nothing is lost. [You can find these tall tales (and others) in our Digest archive. Just search our past April 1 issues.]

We had another such prank mapped out for you today… But the truth is, I didn't think our prank was as unbelievable as the actual world in which we live. The real April Fools' joke is our monetary system and this bull market. Unfortunately, I promise you it will not end with a harmless laugh… And you must take measures to protect yourself. With the government doing everything it can to debase our currency, we recommend owning precious metals. And we prefer owning bullion, the physical metal.

I'd suggest going to your local coin dealer and start buying 1oz silver ingots as you can afford them.. one a week or so. They are about $38 an oz. each right now and were about $4 less per oz. 30 days ago. You can always sell them back in the future or barter with them. They are expecting them to reach $100+ per oz. in the next couple of years... just a word to the wise...

Fabius/johnsund,

I just trade what I see on the chart/TDI. If they don't line up I go to a different chart... no big deal.

Knowing the odds say each swing on the HA Candles run 3-8 candles gives me a lot of confidence. Now and then I take a hit... so what... that's trading... but the odds are still in my favor...

I study any losing trades to avoid the same thing in the future...

Forex Trading is easy...

I watched a you tube clip 2 years back by the guy who wrote "Rich Dad Poor Dad" - Robert Kiyosaki. He said something like "I have never been able to recommend anything more certain than this - buy silver now" I got in at $12.75. So good call Robert. His catch phrase at the time was Cash is Trash. Gold and Silver and God's money. Worth a surf on You tube. The trading journal I subscribe to had a feature on silver a couple of months back. Silver, since the year dot has an average of 1 to 15 value to gold. Now it is around 1 to 37 so there is room to move.

eelfranz - I am trying to fing your version of the 100 lines (your big number indicator). Have you posted it already or could you post it?

Thanks
BTP

Eelfranz,

Just wanted to say thank you for all your help today!!!

It did help and you gave me some good ideas and I appreciate it.

Thanks again...

snarlyjack

I want to trade the 5 method using the 1 hour or 4 hour charts. when trading the 1 hour charts does that mean i could leave the computer screen , set a timer and return to the chart at the top of each hour to see how the last candle closed? And would this be the same for the 4 hour charts? Eric, is this how you trade? Looking forward to your reply....thanks....Susan~

Susan,

That is what I do. I check my charts every fours hours to find a trade. If I take a trade, I might check every 2 hours during the day hours, but I trust my stop loss and take profit settings to manage my trade for me. If you do the same for your 1 hour trading, it will allow you to reduce the amout of screen time significantly. I did not start making money in forex until I started trading the upper time frames. I only trade the 4 hour now and I spend about 6 hours per week actually checking charts and managing trades and I watch 12 pairs. I would recommend trading the 1 hour and check every hour or so. The London session and Asia session are best. Pick the time of day YOU want to trade and make the markets work for you, not you working for the markets.

By the pound...

Susan,

Wow... kind of a tuff question.... big diff between 1hr & 4hr charts.

During the day time: If I'm in a 1 or 4 hr trade I monitor the trade by glancing at the active chart ever now and then... every 5 - 15 or 30 min. When I'm up 30-40 pips I usually drop in a S/L at break even + the spread and don't check back for an hour or so....

At Night: I only look at the 4hr charts. If there is a set up I'll take the trade, place a S/L at the last hi or lo and go to bed. I check it again in the morning when I get up. If I wake up during the night I'll take a peek usually... moving my S/L up to lock in profit and then check it again when I wake up.

Remember I'm expecting a 3-8 candle move. I like to enter on candle 1 or 2 of a reversal if my green has CROSSED the red on the TDI. I don't like to enter on candle 4 or more unless it's to add a second lot to the current trade... This is my aggressive style...

Practice this on a 4hr Demo trade.

eelfranz - for many weeks now I have been tying to figure out what your Avatar is. It is an interesting looking creature. Care to share?