Buy sell line trading | Page 35 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Difference between buy/sell stops & buy/sell limits 34 replies

how to change buy to sell, sell to buy for EA 1 reply

the buy/buy or sell/sell currency broker?? 5 replies

I am looking for EA to put Buy Stops, Buy limits, Sell limits, and Sell Stops. I will 0 replies

hwo to get rid of teh Buy line and Sell line 2 replies

Attachments: Buy sell line trading
Exit Attachments

Buy sell line trading

  • #681
  • Edited 4:56pm Mar 18, 2012 6:29am | Edited 4:56pm
*decided to rephrase this post... well remove it completely, will come back to it later down the line
tradewith60
  • #682
  • Mar 18, 2012 7:11am Mar 18, 2012 7:11am
Thanks for patience and explanation. I'm very new to both forex and this forum, but no, I don't want to change the system. I just thought that a trend following system should be able to catch such well developed trends earlier (in fact this entry will be a looser or at most it would close at BE).

I have to add that now I see another possible entry, March 8, 6:00. We now see the candle is bearish, but we'd probably no idea about it when actually trading. Am I wrong here?

One other thing: have you considered using engulfing patterns for exits? I mean "contrarian" patterns (bullish in downtrend/bearish in uptrend)?
  • #683
  • Mar 18, 2012 7:36am Mar 18, 2012 7:36am
Quoting reuptake
Thanks for patience and explanation. I'm very new to both forex and this forum, but no, I don't want to change the system. I just thought that a trend following system should be able to catch such well developed trends earlier (in fact this entry will be a looser or at most it would close at BE).

I have to add that now I see another possible entry, March 8, 6:00. We now see the candle is bearish, but we'd probably no idea about it when actually trading. Am I wrong here?

One other thing: have you considered using engulfing patterns for exits? I...
I can't see it losing, looks like it made 1/1... cant tell without seeing the size of the stop, but from the chart you posted i cant see a stop hit.

I dont like the engulfing as an exit, what if you dont get one?
tradewith60
  • #684
  • Mar 18, 2012 8:08am Mar 18, 2012 8:08am
Quoting 60minuteman
I can't see it losing, looks like it made 1/1... cant tell without seeing the size of the stop, but from the chart you posted i cant see a stop hit.
The signal candle has a long downwards wick, I would set a S/L around there ... then probably moved to BE.

The first red candle of the 5 bearish candles series marks the high of this trend, then (didn't fit my screenshot) trend flattens then goes down, hitting the SL, then up, until today (so if the SL would be few pips lower, this entry would be very profitable)

Quoting 60minuteman
I dont like the engulfing as an exit, what if you dont get one?
Good point. It was just an idea and definitely not the only way to exit trades. While I'm very confident in entry strategy of this system, the exit part isn't clear for me. And I think it's very important in any trend following system to ride the trend for quite a long time. So in the example I posted I wouldn't probably take profit fast... (and lost or BE)

What about this earlier entry, is it OK in your opinion?

(Again, thanks for your time)
  • #685
  • Mar 18, 2012 9:02am Mar 18, 2012 9:02am
Quoting Tak
Wow, finally I've read the whole thread (taking breaks for Primo webinars ) and I must admit that it seems to be a great system. Although it looks like it is very simple (yes it is!) it is still not mechanical and we must always be aware of basic price action, multitimeframe analysis, s/r, daily ranges, pivots etc. to improve our edge. I'll follow the discussion.
Good trades everyone,

Tak

welcome Tak...
tradewith60
  • #686
  • Mar 18, 2012 10:11am Mar 18, 2012 10:11am
Quoting NoJobRob
Here ya go.
Thanks.

Quoting 60minuteman
a really good trader once said to me, if no opportunity exists, sit on your hands and wait... sometimes thats just what you have to do.

Remember the reason this strategy is consistent is because the rules force you to wait for a low risk, high probability trade, the 50 sma keeps you in the direction of the prevailing trend, then the price action forces us to wait for a retrace and for that retrace to end....


One good trader of mine asked me once: are you in trading for making money or controlling from losing money?

Most traders would reply "making money" but too many losing money because they had made many losing trades due to "impatience."

I am still learning to be a "patience" trader.
  • #687
  • Mar 18, 2012 10:17am Mar 18, 2012 10:17am
60MM, quick question...how many positions were opened during the past week at the same time? do you have any max open position rules? or max pending orders?
  • #688
  • Mar 18, 2012 10:29am Mar 18, 2012 10:29am
Quoting yongezy
Thanks.





One good trader of mine asked me once: are you in trading for making money or controlling from losing money?

Most traders would reply "making money" but too many losing money because they had made many losing trades due to "impatience."

I am still learning to be a "patience" trader.
Yeah i was terrible with it too, I found H4 cured it over night...
tradewith60
  • #689
  • Mar 18, 2012 10:32am Mar 18, 2012 10:32am
Quoting Madness
60MM, quick question...how many positions were opened during the past week at the same time? do you have any max open position rules? or max pending orders?
thats a good question, and I don't really have a rule for it... 3 is usually my limit... sometimes if there are lots of signals on the same H4 close I will try and pick the best. Thats kind of advanced stuff and i'm not really the person to answer it.... ideas anyone?
tradewith60
  • #690
  • Mar 18, 2012 10:57am Mar 18, 2012 10:57am
Quoting 60minuteman
thats a good question, and I don't really have a rule for it... 3 is usually my limit... sometimes if there are lots of signals on the same H4 close I will try and pick the best. Thats kind of advanced stuff and i'm not really the person to answer it.... ideas anyone?
You could argue...

The thing to watch for when opening multiple positions is to make sure you're not just trading with/against one currency and multiplying your position. For instance, if you open short positions in EURUSD, AUDUSD and GBPUSD, you're really betting on the USD becoming stronger and tripling your risk. If you're wrong about the USD, you stand to lose three times.

But then again...

A good set-up, is a good set-up, and if you're right about the USD then you have just hit three winners. Three wins for one amount of effort in analysing the common currency.

I guess it all depends on your aversion to risk. If you're cautious then look to only take one position where there is a common currency, if you like a gamble, take them all.

PB
  • #691
  • Mar 18, 2012 10:59am Mar 18, 2012 10:59am
Quoting pixelboy
You could argue...

The thing to watch for when opening multiple positions is to make sure you're not just trading with/against one currency and multiplying your position. For instance, if you open short positions in EURUSD, AUDUSD and GBPUSD, you're really betting on the USD becoming stronger and tripling your risk. If you're wrong about the USD, you stand to lose three times.

But then again...

A good set-up, is a good set-up, and if you're right about the USD then you have just hit three winners. Three wins for one amount of effort in...
well said, i agree, and sometimes i've hedged and say only taking 1 yen and 1 dollar trade and then the winner cancels out the loser... I guess as long as you don't over leverage yourself and the set ups are valid, then trade the signals
tradewith60
  • #692
  • Mar 18, 2012 11:19am Mar 18, 2012 11:19am
I think there are different opinions on this, see Zebulons strategy "Dancing with EMA" which is also trend following, when he encourages not to take oposite positions in correlated pairs. I don't know who is right here.
  • #693
  • Mar 18, 2012 11:37am Mar 18, 2012 11:37am
Quoting reuptake
I think there are different opinions on this, see Zebulons strategy "Dancing with EMA" which is also trend following, when he encourages not to take oposite positions in correlated pairs. I don't know who is right here.
me neither, but i do know that my opinion would just be a guess, need someone far more experienced to get some good answers here...
tradewith60
  • #694
  • Edited 1:42pm Mar 18, 2012 12:27pm | Edited 1:42pm
If you take opposite positions in highly correlated pairs you are playing in fact the cross, e.g. if you sell eurusd and buy gpbusd you are in fact selling eurgbp. If the eurgbp shows a valid sell signal go for it directly, no need to touch the dollar.

If you take the same direction you are just increasing your risk. For example I wouldn't sell eurusd and buy usdchf at the same time, especially these days when the eurchf is dead. I would consider buying usdchf only if my SL was already on breakeven or better on my eurusd sell. It's all about the total risk, your exposure.
  • #695
  • Mar 18, 2012 12:47pm Mar 18, 2012 12:47pm
Hi All
I have really enjoyed this tread & hope 60MM continues to expand on his system. Also I have found this tread to have several other very qualified & knowledgeable contributors.
LazyPawn I have particularly enjoyed your ideas.

The turtle approach had a limit on how much total exposure one should have on any given currency (commodity). Don't remember for sure if it was 6 or 8%.
All keep up the good work. I hope to start incorporating this approach along side my present system.
good trading
gmcc
  • #696
  • Mar 18, 2012 2:10pm Mar 18, 2012 2:10pm
Still struggling with getting it right (even if it is simple).

Look at the recent EUR/USD chart. Am I right about entry points (arrows)? Are there any Type 2 entries (I can see one but it's on the cross with the MA).

And all these look like loosers to me
Attached Image (click to enlarge)
Click to Enlarge Name: eur-usd.gif Size: 38 KB
  • #697
  • Mar 18, 2012 2:32pm Mar 18, 2012 2:32pm
Quoting reuptake
Still struggling with getting it right (even if it is simple).

Look at the recent EUR/USD chart. Am I right about entry points (arrows)? Are there any Type 2 entries (I can see one but it's on the cross with the MA).

And all these look like loosers to me

they're ok, but you left out 2..


notice how you're losers come at the end of a down thrust, notice also how the best setups come at the end of a retrace... check some more charts, you will see what i mean...
Attached Image (click to enlarge)
Click to Enlarge Name: Screen shot 2012-03-18 at 19.26.40.png Size: 82 KB
tradewith60
  • #698
  • Mar 18, 2012 2:57pm Mar 18, 2012 2:57pm
Quoting reuptake
Still struggling with getting it right (even if it is simple).

Look at the recent EUR/USD chart. Am I right about entry points (arrows)? Are there any Type 2 entries (I can see one but it's on the cross with the MA).

And all these look like loosers to me
Also, remember that the engulfing indicator only looks for textbook engulfing candles. Don't rely on it 100% for finding trades. As 60minuteman pointed out, some of those candles that don't qualify as textbook engulfing candles are fine. This is where discretion comes into play. You have to look at the context of the candle, where and when it forms, and after what kind of price action does it form... If it's only a handful of pips from being a textbook engulfing pattern, then use your best judgement to decide whether to enter or not. In the case of a down trend, I personally feel that if the tops of the candles are "close enough" to be considered even, then that is good enough. What matters more is what is happening at the bottom of the candles. Remember, trading is seldom just black and white. There are many shades of gray, and that is where your discretion becomes important.
Get money, don't let money get you. @kauaiforex
  • #699
  • Mar 18, 2012 3:08pm Mar 18, 2012 3:08pm
Quoting 60minuteman
they're ok, but you left out 2..


notice how you're losers come at the end of a down thrust, notice also how the best setups come at the end of a retrace... check some more charts, you will see what i mean...
Thanks! I didn't find those because I wanted to be very strict.

The second setup you've pointed to is particularly tempting as it is similar to entry type 2 also. And after 6 bullish candles the probability of going down is high. But, the proximity of MA... isn't it a warning signal?
  • #700
  • Mar 18, 2012 3:38pm Mar 18, 2012 3:38pm
Quoting reuptake
Thanks! I didn't find those because I wanted to be very strict.

The second setup you've pointed to is particularly tempting as it is similar to entry type 2 also. And after 6 bullish candles the probability of going down is high. But, the proximity of MA... isn't it a warning signal?
proximity to the ma is not an issue, the fact we have been below for a long time says to me the trend is strong, if we had been crossing above and below it many times, then yes it would be.

Orderly retraces in a sustained trend are the number 1 set ups... you find when the trend does kick back in, it comes with real momentum, those are my favourite trades
tradewith60
0 traders viewing now