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Pit bull trading strategy by brijon

  • #441
  • Nov 15, 2011 4:13pm Nov 15, 2011 4:13pm
Quoting Ann
I bought some Yen pairs in the interim to bring in quick profits while I wait for my DD on my USD longs to reduce. The probability will likely have the trend continue short for Yen pairs. I know I am not trading this strategy perfectly...I'm just kind of throwing my hat in the ring. If I was allowed to hedge on same currency--you would have seen my PitBull indicator still showing all 5 JPY pairs with a .01 SHORT while I countered with some JPY longs. But hedging is prohibited, so I had to close out those JPY sells, put on a few...
Hey Ann if you want to practice this strat using hedging for the day you may use a pro-hedge broker in the US (citifx) you can use FXpro demo and just put that you live in the UK and some bogus addy and it will allow you to hedge. Just an FYI.
  • #442
  • Nov 15, 2011 4:33pm Nov 15, 2011 4:33pm
Quoting daft
Hey Ann if you want to practice this strat using hedging for the day you may use a pro-hedge broker in the US (citifx) you can use FXpro demo and just put that you live in the UK and some bogus addy and it will allow you to hedge. Just an FYI.
Excellent idea Daft! Don't know why i couldn't think of that. Even Atilla mentioned Citifx yesterday. I guess once I heard 10-20K needed, I filed that broker under "never mind". haha Might continue for rest of week on this Alpari demo just to see what my week ending statistics are, then do the switch.
  • #443
  • Nov 15, 2011 4:41pm Nov 15, 2011 4:41pm
What brijon just posted should answer alot of questions about how he controls DD. Thanks brijon!

todd

Quoting brijon
i cant swim for you



PIT BULL TRADER SHOWS YOU CLEARLY THE TREND FROM CENTRE LINE SELLS AND BUYS BELOW THE CENTER LINE

what THAT SHOWS CLEAR if the SELLS MAJORITY ITS A SHORT MARKET ---EQUAL SIDEWAY MARKET or LONGs

now its only looking at the numbers
but its the trend now based on price so if the trend is sell short how many total sells to buys equal bias neutral

if market is sell you may need eg more sells on than buys eg if you use 10 hedge could be balance sells 10sells to 5 buys

then you are in short bias which will help bring...
  • #444
  • Nov 15, 2011 5:05pm Nov 15, 2011 5:05pm
Thanks Brijon! I believe this is a fundamental part of the strategy. Perhaps post 1 could be amended to include this information.

I'd be grateful if others could post some live examples of how they do this balancing act as well, even with a screenshot for further clarity.


cheers
Trumpcard




Quoting brijon
i cant swim for you



PIT BULL TRADER SHOWS YOU CLEARLY THE TREND FROM CENTRE LINE SELLS AND BUYS BELOW THE CENTER LINE

what THAT SHOWS CLEAR if the SELLS MAJORITY ITS A SHORT MARKET ---EQUAL SIDEWAY MARKET or LONGs

now its only looking at the numbers
but its the trend now based on price so if the trend is sell short how many total sells to buys equal bias neutral

if market is sell you may need eg more sells on than buys eg if you use 10 hedge could be balance sells 10sells to 5 buys

then you are in short bias which...
  • #445
  • Nov 15, 2011 5:46pm Nov 15, 2011 5:46pm
I am not following this method to the letter - but I have gained some invaluable insights from it - and I wanted to thank Brijon - and not stay entirely in the shadows. On my first night trading this I wimped out and closed my basket - but noticed two days later that I would have been in a tidy profit if I had held my nerve.

The idea of DD control being the most important area to study has been very very helpfull to me - and I don't see a problem with people adding their most profitable trade entries to their basket in order to adapt this to their own trading style.

There has been talk of not modifying the method at this stage - but I would suggest that people lacking in trading experience should not even touch this - as it would be too confusing - and experienced traders are always going to modify systems they find according to their own knowledge and experience.

An idea mentioned of hedging a currency when it is 50 pips in DD and placing a stop on the hedge trade at BE when appropriate seems excellent.

Something that also comes to mind is that this method may be more effective in ranging markets. The entries (my own - not those of this system) that are making me money in this volatile trending market will likely not be the ones making money in a year when things quieten down - but it appears this strategy will hold its own when that time comes.

Thanks again Brijon - you have opened my eyes - though I have only taken the first step on the journey.

Adelaide is a great city to live in - happy to hear you live here also - hope I get the opportunity to have coffee with you sometime Brian.
Enter Signature
  • #446
  • Edited 6:48pm Nov 15, 2011 6:11pm | Edited 6:48pm
Like the poster above said, a couple of changes I'm doing:
- Only have one, max two larger trades opened at a time
- I don't close any "hedge". The reason is, I don't like the hedges to come too much apart. The reason is because the pairs move a different speeds if you keep it close it is very likely the "hedge" will turn positive, and at that time I close them all and start over again. If they don't come positive, it's still OK because it will stay within acceptable limits.
- I take the trades on the higher winner and the biggest losers, opposite way of course.
- Take profit when the larger trades fall at the bottom.
- If the trade goes bad, and the "hedged" indi does not support the direction anymore, I take the loss.
  • #447
  • Nov 15, 2011 6:27pm Nov 15, 2011 6:27pm
Quoting attila
Like the poster above said, a couple of changes I'm doing:
- Only have one, max two larger trades opened at a time
- I don't close any "hedge". The reason is, I don't like the hedges to come too much apart.
- I take the trades on the higher winner and the biggest losers, opposite way of course.
- Take profit when the larger trades fall at the bottom.
- If the trade goes bad, and the "hedged" indi does not support the direction anymore, I take the loss.
At what point in DD do you use a same currency hedge?
  • #448
  • Nov 15, 2011 6:38pm Nov 15, 2011 6:38pm
Quoting daft
At what point in DD do you use a same currency hedge?
I don't think I do with this system. I close at a loss if the "indi" does not support the direction of my trade anymore, and that's OK I think because the "indi" tells you if the new direction is solid and what's the next best trade to take.
  • #449
  • Nov 15, 2011 8:08pm Nov 15, 2011 8:08pm
I'll be damned. About $95 off three 0.25 and two 0.15 trades. And on top of it the hedge worked itself out to -12 on ten 0.05 lots (the minimum I can do with my broker)..... (scratching head....).
  • #450
  • Nov 15, 2011 8:22pm Nov 15, 2011 8:22pm
JUST CLICKING ON YOUR NAME EITHER ADD YOU OR BLOCKS YOU

also its always is a way of saying thank you

from BRIAN
  • #451
  • Nov 15, 2011 8:26pm Nov 15, 2011 8:26pm
Quoting brijon
JUST CLICKING ON YOUR NAME EITHER ADD YOU OR BLOCKS YOU

also its always is a way of saying thank you

from BRIAN
Thanks Brian. Your method comes right down my alley. If you look at my motto (I've had it there forever) will tell you how I've been trading and what my focus always was. Those are the words of my mentor (mp).

It's the reason this method caught my attention.
  • #452
  • Nov 15, 2011 8:36pm Nov 15, 2011 8:36pm
Can I sleep with my inventory during London session? Will my store get ripped off over night? Trying to determine how much babysitting the store needs without me being there. Will the printer run out of paper? Only by leaving the store will I know. How do you maintain inventory when you are not watching? All these are questions answered by screen time. This is really stress free trading so far. Earning small change on the path to learning... chart less and naked without indies or paralysis by analysis. Thank You Brijon... appreciate everything you give back freely.
  • #453
  • Nov 15, 2011 9:29pm Nov 15, 2011 9:29pm
Quoting Ann
Interesting, Daft about Oanda. I'm with Alpari currently and as far as I know, no such thing exists. They always make me close the first trade I put on (at a loss) before closing the 2nd which might be at a profit. And, yes, you're right this should have been about price action (no charts), but since I wanted to follow the strategy exactly, I kind of held on to them. Then when I saw that retracements might be done, I added. I modified my above post saying I was slow out of the gate in realizing USD pairs were dropping but at the same time I wanted...
Ann,

FXDD USA and IBFX USA do something called back-office accounting. They are FIFO and no-hedging compliant. I recently closed my Alpari US account and opened one each with FXDD and IBFX.
  • #454
  • Nov 15, 2011 9:31pm Nov 15, 2011 9:31pm
Quoting Ann
.....
losing my floaties.
I'd dearly love to lose mine too..lol.

Some actual examples would surely speed up the learning process.
My largest drawdown was NZD/JPY-$ 60.60. Options were:
a. Close and Reverse
b. Hang on and hope for retrace
c. Hedge
d. Increase exposure to winning pairs.
e. Open Interest Buy(aus/usd) or Sell (eur/usd)

Chose to make a clean break and increase exposure to winning pairs and get some interest insurance(eur/usd).

Drawdown now reduced from $235 to approx $ 150.
If I'd done it earlier it would have been much better!
Wonder if others agree. Of course as Brijohn says: No right or wrong answers.
Attached Image (click to enlarge)
Click to Enlarge Name: achist.gif Size: 102 KB
  • #455
  • Nov 15, 2011 9:42pm Nov 15, 2011 9:42pm
here is a repeat

dd control

i cant swim for you



PIT BULL TRADER SHOWS YOU CLEARLY THE TREND FROM CENTRE LINE SELLS AND BUYS BELOW THE CENTER LINE

what THAT SHOWS CLEAR if the SELLS MAJORITY ITS A SHORT MARKET ---EQUAL SIDEWAY MARKET or LONGs

now its only looking at the numbers
but its the trend now based on price so if the trend is sell short how many total sells to buys equal bias neutral

if market is sell you may need eg more sells on than buys eg if you use 10 hedge could be balance sells 10sells to 5 buys

then you are in short bias which will help bring down drawdown as the trend strength becomes stronger or vise versa

relative srength now the currenys is seen clearly between position on usdjpy to jpys and usd on the PIT BULL TRADER

ON ONLY HAS TO LOOK

clear eyes simple things are some times the hardest things to see

its all basic trading not hard to do

on the

PIT BULL TRADER THE PATTERN OF THE TREND CHANGE IS WATCHING THE CURRENCY MOVEMENT OF THE SLOT MOVEMENTS

ONE NEEDS CLEAR EYES AND WATCH


GOD BLESS BRIAN
  • #456
  • Nov 15, 2011 9:50pm Nov 15, 2011 9:50pm
Quoting brijon
here is a repeat

dd control

i cant swim for you



PIT BULL TRADER SHOWS YOU CLEARLY THE TREND FROM CENTRE LINE SELLS AND BUYS BELOW THE CENTER LINE

what THAT SHOWS CLEAR if the SELLS MAJORITY ITS A SHORT MARKET ---EQUAL SIDEWAY MARKET or LONGs

now its only looking at the numbers
but its the trend now based on price so if the trend is sell short how many total sells to buys equal bias neutral

if market is sell you may need eg more sells on than buys eg if you use 10 hedge could be balance sells 10sells to 5 buys

then you are in short...
Thanks Brian,

A question, if we have 10 sells and 5 buys and if trend changes then how to handle situation or control big DD?
  • #457
  • Nov 15, 2011 10:04pm Nov 15, 2011 10:04pm
I've watched the videos, I've spent hours on ForexTester, and yes, it's easy to increase the account balance with this method. It's easy to do that with almost any way of trading if you never close your losers.

It's really frustrating to keep hearing "it's all about how you manage your drawdown." No shit Sherlock...

I've sat through a bunch of videos with no 'drawdown' information. (Brian, your videos are misleadingly labeled; if you label it about drawdowns but then have no drawdown management in it, that's a waste of our time. We don't need a bazillion videos about how printing money is easy, but drawdowns are important with no content about controlling drawdowns)

You further end up with currencies in your open trades that aren't in the indicator. You also claim to use the bias of the longs and shorts to tell which direction the trend is... which leads to my next gripe:

What trend? That USD/JPY is up or down? In your original 'hedge' there is no 'hedge' because the sum of the currencies in your 'indicator' basket is a directional trade based on USD/JPY. (Everyone else don't believe me? Put on the trade and watch how the floating profit and loss matches USD/JPY)

Instead of actually giving us some information I bet you cut and paste something like:

YOU CAN'T SWIM FROM THE SHALLOW END WITHOUT PRACTICING REVERSE AIR INHALATION! MOVING THROUGH THE WATER IS EASY. ANYONE CAN DO IT. BUT BREATHING IS IMPORTANT. PLEASE WATCH MY VIDEO TO LEARN ABOUT THIS NEW FANGLED RECTAL BREATHING TECHNIQUE. And then only have your video show swimming and no breathing...

So damn annoying. I think you deserve some criticism.
  • #458
  • Nov 15, 2011 10:17pm Nov 15, 2011 10:17pm

are they crazy or just dont have a life

  • #459
  • Nov 15, 2011 10:42pm Nov 15, 2011 10:42pm
Quoting Sk29
Ann,

FXDD USA and IBFX USA do something called back-office accounting. They are FIFO and no-hedging compliant. I recently closed my Alpari US account and opened one each with FXDD and IBFX.
Back office accounting? I like the way that sounds....kinda criminal-ish. haha Thank you for that info Sk29. I am grateful for all who have offered their ideas / options. Really appreciate it!
  • #460
  • Nov 15, 2011 11:37pm Nov 15, 2011 11:37pm
the current economic circumstances is such i advise ony trading demo till times are more stable

only trade demo is jusT my opinion only until the economic uncertainty passes

practice practice demo and drawdown control

REMEMBER 95% OF TRADERS LOOSE MONEY TRADING THE FOREX

TRADING THE FOREX INVOLVES RISK

NEVER PUT AT RISK MORE THAN YOU CAN AFFORD TO LOOSE

i keep repeating this for new commers to trading

ITS MY OPINION ONLY

EXPERIENCED TRADERS UNDERSTAND THE RISK AND SOME ARE PREPARED TO TAKE THE CHANCE IN NORMAL ECONOMIC TIMES

i would not keep saying the same message over and over again

but these times now it pays to be careful in my opinion

i could be wrong but at least if the euro breaks up and they devalue many many curencies , its better to be careful

i hope they dont i pray to God but my concious is clear i advised you only trade

DEMO till times are more clear


GOD BLESS YOU FROM BRIAN
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