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Flag trading the trend

  • #4,861
  • Jul 13, 2011 3:20pm Jul 13, 2011 3:20pm
Quoting thefallguy
Hi Guys,

With respect to the stoploss and take profits, I am using “Visual Order Editor” EA which sets the SL, TP & BE automatically. It also allows you to change them by clicking and dragging the line to where you want.

I thought it might help.

I also have not had nearly as much success with the 1min. chart as I have had on the 5 minute charts. I think I also will changing back over to the 5min. tomorrow.
++++++++++++++++
That sounds quite useful. I see it is not in this threads attachments. Would you post it or supply a link?
  • #4,862
  • Edited 6:23pm Jul 13, 2011 4:12pm | Edited 6:23pm
Please refer to the post 30 on the attached link for the EA
http://www.forexfactory.com/showthre...47#post3980647

I have attached the settings I use. It sets the SL & TP at 15pips from entry and the break even at 10pip in the positive.

It would be great if someone could add a trailing stop feature that you could set to initiate at say 14pip and trail at 2 pips so that you would be able to ride the trade when momentum continues in the right direction.
Attached Image (click to enlarge)
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  • #4,863
  • Edited 9:10pm Jul 13, 2011 9:06pm | Edited 9:10pm
Quoting thefallguy
Please refer to the post 30 on the attached link for the EA
http://www.forexfactory.com/showthre...47#post3980647

I have attached the settings I use. It sets the SL & TP at 15pips from entry and the break even at 10pip in the positive.

It would be great if someone could add a trailing stop feature that you could set to initiate at say 14pip and trail at 2 pips so that you would be able to ride the trade when momentum continues in the right direction.
Attachment ...
++++++++++++++++++++++++++++++++
Hey FG. Found a slightly newer version of this EA from the creator: http://en.luktom.biz/Page/447/luktom...l-order-editor

I'd suggest using this on demos only, until you get used to it. The link above has some very concise info on nuances of this EA. Like to use it only on one pair and one trade at a time.
Apparently Kostas was having an issue with partial order execution.
  • #4,864
  • Jul 14, 2011 3:18am Jul 14, 2011 3:18am
M1 has been good for me. Same win rate as M5.

One nugget that was in the video, you want smooth price action on one side of the MA, a pullback over the MA and back into trend.

If the price action is not smooth, if it's crossing over the MA repeatedly, no trade.

That, and take the 2nd entry after significant retrace when that 2nd entry also forms a 1-2-3.
  • #4,865
  • Jul 14, 2011 6:18am Jul 14, 2011 6:18am
Hello,

First arrow is nice flag which would reach its target.

Why to not take the second flag ( second arrow ) ? What was bad?
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  • #4,866
  • Jul 14, 2011 7:31am Jul 14, 2011 7:31am
Thanks Diamond,

I noticed that version also. I did not use it because I found the older one a little easier to use, but after looking at it again I noticed that it does have a trailing stop feature. I wonder if the trailing stop can be initiated only after a predetermined number of pips is reached?

Have you figured out how to work the trailing stop on the new version?
  • #4,867
  • Jul 14, 2011 8:34am Jul 14, 2011 8:34am
Quoting doman
Hello,

First arrow is nice flag which would reach its target.

Why to not take the second flag ( second arrow ) ? What was bad?
++++++++++++++++++++++++++++++++
Hi Dom. Price had moved up 150 pips with only one previous set up and no significant retrace.

Then, the 2nd set up came after a 30 pip retrace. So now we need to wait again, for the second set up from the most recent 30 pip retrace to be certain that price is finished moving down.

Bernanke is still speaking to US congress at this time too.
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  • #4,868
  • Edited 11:24am Jul 14, 2011 11:14am | Edited 11:24am
hi divergence!

a very simple and clean method, indeed!

I read rules re. m15 trend/m1 entry on page 319 post #4780 last night and several pages that followed with explanations and examples. I also read up the initial pages that used the m5 entry.

I am appending 2 charts below based on the m1 entry.
please tell me if my analysis is correct.

is there a way the last move, the only good one here, could have been taken?

thanks.
Attached Image(s) (click to enlarge)
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  • #4,869
  • Jul 14, 2011 11:29am Jul 14, 2011 11:29am
Quoting Divergence
yes sujith the triger bar was correct but if next candle didnt take you into trade you use next bar as long as cci is above 50 and bar is on or above 10 sma and not more than 2 pips away from sma if that didnt take out no trade the second one was perfect also trading at 1800 gmt is not a good time 00 gmt to 130 for asian 1400 to 1700gmt for usa sessions you want to trade a high probability trading setup in a high probability time area

You have mentioned that the best time to trade this setup is from 00.00 GMT to 130 and 1400 to 1700 GMT. Need your help as regards the trading time, I am from India, so would this GMT timings correspond to 5.30 to 7.00 and 19.30 to 22.30 Indian Standard Timings.

Thanks in advance
  • #4,870
  • Jul 14, 2011 12:07pm Jul 14, 2011 12:07pm
Quoting pgd
hi divergence!

a very simple and clean method, indeed!

I read rules re. m15 trend/m1 entry on page 319 post #4780 last night and several pages that followed with explanations and examples. I also read up the initial pages that used the m5 entry.

I am appending 2 charts below based on the m1 entry.
please tell me if my analysis is correct.

is there a way the last move, the only good one here, could have been taken?

thanks.
Hi
i think you are looking for short trades in a UP trend...the way i see it - the last higher low at 1.4134 needs to be taken out for change in trend....
and also you are trading close around big news...
also, don't believe in me being right : )
take care
i would like to hear other opinions...
  • #4,871
  • Jul 14, 2011 12:31pm Jul 14, 2011 12:31pm
Quoting kkashni
You have mentioned that the best time to trade this setup is from 00.00 GMT to 130 and 1400 to 1700 GMT. Need your help as regards the trading time, I am from India, so would this GMT timings correspond to 5.30 to 7.00 and 19.30 to 22.30 Indian Standard Timings.

Thanks in advance
Hope this helps, refer to this web site for world times


http://wwp.indiastandardtime.com/
  • #4,872
  • Jul 14, 2011 2:25pm Jul 14, 2011 2:25pm
Quoting diamonddbw
The final straw that broke the camel's back for me was the change over the weekend on my platform (FXCM's Trading Station) to be in compliance with the new, stupid FIFO rules.

+++++++++++++++
FXCM got me too. I will soon be switching over to Oanda as Divergence has told me about his good experience with them.

I contacted FXCM and pitched a fit. I was in a trade before I realized that I no longer have easy access to my stops & limits. I closed out the trade right away, fortunately in slight profit. Of course it would have been a full winner.

[/quote]
++++++++++++++++++++++++++++++++
This is an update to my post #4861.

Jason Rogers, from FXCM, PM'd me in response to my, rather, scathing post. His response was conciliatory, and understanding in nature. For this I say, "Thank You Jason." I won't quote my entire response here, but I can say that I DO understand errors made by others, And MYSELF, and almost never fly off of the handle and go ballistic, simply because that solves nothing and usually results in escalation of an, already, unsavory event.

Thanks for the response Jason.
  • #4,873
  • Edited 5:24pm Jul 14, 2011 4:40pm | Edited 5:24pm
Quoting speculant
Hi
i think you are looking for short trades in a UP trend...the way i see it - the last higher low at 1.4134 needs to be taken out for change in trend....
and also you are trading close around big news...
also, don't believe in me being right : )
take care
i would like to hear other opinions...
well, it was making lower swing highs (as indicated by the down sloping trendline) and lower swing lows on m15. in some of divergence's post, i think i'd read that as his definition of trend...

let's see what divergence has to say.

cheers.
  • #4,874
  • Jul 14, 2011 4:46pm Jul 14, 2011 4:46pm
Quoting diamonddbw

Jason Rogers, from FXCM, PM'd me in response to my, rather, scathing post. His response was conciliatory, and understanding in nature. For this I say, "Thank You Jason." I won't quote my entire response here, but I can say that I DO understand errors made by others, And MYSELF, and almost never fly off of the handle and go ballistic, simply because that solves nothing and usually results in escalation of an, already, unsavory event.

Thanks for the response Jason.
I know Jason is a nice guy (I corresponded with him several times back when we were trying to get Trading Station working with MyFXBook - eventually successfully) and I do feel bad about ripping on the changes to the platform, knowing he's the one who has to run point on these issues.

But I nevertheless opened a thread in the Broker forums on BP to address my frustration. He has already responded with an explanation and some encouragement that they might be working on it.

Hopefully they will resolve the problems and find a way to comply with this retarded FIFO crap until 2013, when one hopes we have a new government in place. For now, I am trying to make do, although it makes everything harder when you're a daytrader (like we needed any more handicaps!).
  • #4,875
  • Edited 9:57pm Jul 14, 2011 5:49pm | Edited 9:57pm
Quoting pgd
well, it was making lower swing highs (as indicated by the down sloping trendline) and lower swing lows on m15. in some of divergence's post, i think i read that as a definition of trend...

let's see what divergence has to say.

cheers.
++++++++++++++++++++++++++++++++
Deciding, from the 15m chart, which way the trend is, usually is not a problem. Days like today can be tricky. What we look for, #1, is direction of 15m Only. What's going on with the 1m is not taken into account as far as determining the trend. I think you understand that part.

When looking at the 15 m, we must locate the special place of s/r that is dividing the uptrend from downtrend. This imaginary line can change as price progresses in the direction of the trend.

The example below is a classic case of when to think change and when not to.

(5 min Aussie chart here from a few months ago, just pretend it's a 15m)
• The thick red line is a perfect example of where to look for change in direction. Let's assume that on the far left of the chart that is out of sight, that price was still coming up.
• At the point where price breaches the red line we are definitely still long.

• Then price bounces all around that line for hours without taking it out convincingly. In other words, price does not breach this line going short and begin to make LH & LL. Eventually price goes back up and begins to make new lines of s/r as noted by the thinner white lines.

By example, today's EU 15m chart, has 2 areas that could be these s/r lines that we might use to determine a real change in direction. 1.4160 ish or 1.4125 ish. At this time, 15 minutes before the Tokyo open, price has not made clear/clean LH;s or LL's, imho. Which means are directional bias is still long.

This opinion, of course, is open for discussion. Just remember not to be too quick to change direction without some very obvious, well defined swing points, and you will be fine. In cases like today, if you're not sure, just be a spectator.
Darryl
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  • #4,876
  • Edited 9:07am Jul 15, 2011 7:16am | Edited 9:07am
Quoting diamonddbw
++++++++++++++++++++++++++++++++
Deciding, from the 15m chart, which way the trend is, usually is not a problem. Days like today can be tricky. What we look for, #1, is direction of 15m Only. What's going on with the 1m is not taken into account as far as determining the trend. I think you understand that part.

When looking at the 15 m, we must locate the special place of s/r that is dividing the uptrend from downtrend. This imaginary line can change as price progresses in the direction of the trend.

The example below is a classic case of...
Darryl,

very well explained.
there will still be dubious areas but as you said, be a 'spectator' then.

thank you.
  • #4,877
  • Jul 15, 2011 9:44am Jul 15, 2011 9:44am
Whats wrong?
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  • #4,878
  • Jul 15, 2011 10:32am Jul 15, 2011 10:32am
hi
nothing is wrong,the market is always right : )
just no trades for us today
ugly day for trading...

you are trying to enter on the 3rd SUB, when there is no trade there anymore
  • #4,879
  • Edited 3:18pm Jul 15, 2011 11:16am | Edited 3:18pm
Divergence, Derryl

A few more questions:

1] when is the 123 entry taken under this system?
2] i read something about 2 pips in relation to the 123 entry. that i didn't quite understand. pl explain.
3] i assume SUB stands for set up bar...

thanks.
  • #4,880
  • Jul 15, 2011 11:23am Jul 15, 2011 11:23am
Quoting speculant
hi
nothing is wrong,the market is always right : )
just no trades for us today
ugly day for trading...

you are trying to enter on the 3rd SUB, when there is no trade there anymore
Market was broken down )

If I look at that trade at this moment. There was no trend. And I placed my order on 1,41 level which is probably a little risky. Also 5 wave pattern was completed at that place. It is my view on that.
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