Akuma99 Not So Squeezy Journal

Sup akuma. check out my uber l33t CCI squeeze indicator. It uses some concepts of woodies CCI as well. It doesn't have the TCCI but, I don't really like to use it.

That's a mighty fine idea, especially considering I use the Momentum histogram sparingly at best, unless you can provide your version I'll whip that together for myself to save space

Here you go. You might have to change it around to fit your color style.

My suspicions this time was right, a nice little stop run taking out that option level, and what would have been my profit target had I left it, before heading back into the previous range. Not too worried about missing those last few pips, but pleased to see my suspicion was confirmed.

http://img218.imageshack.us/img218/2791/trade4c0pa.gif

Thanks for that ch33z3! ... I also modified my version of the squeeze to include a CCI. I have taken away the dots as to aid spotting zero line crosses and bounces, and instead include the blue zone in the actual histogram (as seen in the previous post's chart).

It is attached in case anyone wants it (thanks for the idea )

Akuma, thank you for all your postings. Your analysis has been very helpful to me to better implement this squeeze method.

It's really nice to see a more steady and solid method after your last squeeze post. I am going to try to use your method and compare my trades to yours.

Looking forward to your future journals and probably some discussions with you.

Happy trading.
Shi Hong

Question: Why are parts of the line red, and others green? it doesn't seem to match the histogram.

Ah that seems to be due to how MT4 renders a line, working backward to forward, so if the previous line was above zero, and the current bar is below zero (histogram I mean), then it will draw the connecting line from the previous to the current histogram line in the last color.

Anyhow attached is v6, discarding the changing of color in the line, and cleaning up the code.

No need . My new Woodie's CCI Squeeze indicator. Version 1. You can set it up to alert you when the blue zone occurs. It also has 2 projected CCI's to use Woodie's patterns with. In version 2, I'll add pattern recognition. If you want one of the CCI's to go away, just set color to none.

Thanks ch33z3 ... you seemed to have some errors in the code that spat some errors up when compiling, I have adjusted that for you .. here is v2 with errors fixed (just some bracketing in the wrong places).

Thanks Shi Hong, the squeeze is an enticing indicator, but can be a temperental bugger at times ... love to hear how you are trading it.

Just flicking through the charts during lunch, the EUR interests me at for a potential long trade through Europe. At the moment there is no signal from the squeeze, but if one comes anywhere around point A on the chart, I will be long with two lots, first the chart:

http://img67.imageshack.us/img67/6153/idea14cm.gif

Here is what interests me the most. Price yesterday broke out of a descending triangle/wedge formation as show with the thick black lines, a common method of determining how far the breakout moves is by measuring the height of the formation and projecting it from the breakout point, in this case ~135 pips, so still a way off yet.

I have made an assumption of a stop gathering around the 1.2660 level, which was forming previous resistance, and, interestingly, this is looking like it will meet up nicely with the 50SMA which has been providing good resistance/support over the last few weeks and not too far from the resistance of the broken formation which is quite often re-tested with breakouts like this.

If a signal from the squeeze emerges with some candle weakness around that level, I will be long, hopefully two lots with a cci trigger, or one lot without, banking on a change in polarity on the Euro, and targeting the 161.8 fib extension of the current swing that is forming (assuming its bottom is the 1.2660 level), which lies a little below the measure rule target from the triangle breakout.

We will see how it plays out, the only downside is that it is US Non-Farm Payrolls figures today, which could potential shake the best of trades out. It won't stop me trading it, just make me a little more nervous

Great analysis Akuma! I'm watching your journal close .

-soso

TRADE TYPE: TRENDING

May 05 | LONG | EUR/USD @ 1.2695 | SL: 1.2651 | TP: 1.2750

http://img420.imageshack.us/img420/354/trade61mj.gif

This is one I have been watching all day, as detailed in the post above. It looks like the bollinger bands have slid in to protect that stop area I mention around 1.2660, and we have a very clear blue zone setting up for the US open. Im long with 1 lot, stop below that 660 level, target at the 161.8 expansion of the swing low.

Trend
Still in an obvious uptrend with the rainbow well spread, nothing different than the rest of the week.

Momentum
Very clear growing momentum on the 4H charts, while the daily bullish momentum remains as strong as ever. Silly to fight it.

Trigger
No clear CCI trigger this time, but this will be a rare time I trade it anyway, CCI has held well above 0 pretty easily though which gives a hint of an impending 100 line cross, and we are sitting right on the lower bollinger.

Resistance/Support
Sitting well above the 50SMA and 200SMA so they are out of play in terms of support, using the 1.2660 stop grouping as my support. Only resistance in our way is the round number 1.2700 which was a previous one touch option level taken out yesterday so I don't think it will stand up to another test.

Stoploss/Exit Strategy
Stop is sitting just below the stop grouping, while my target is simply the 161.8 expansion level of the recent swing down, which is just below the measure target from the triangle breakout.

Would have liked to see this one drop a little more, but with the US open approaching, that will more than likely give it the momentum it needs.

Happy trading!

TRADE TYPE: TRENDING

May 05 | SHORT | USD/JPY @ 113.66 | SL: 114.12 | TP: 112.76

http://img232.imageshack.us/img232/3950/trade79ha.gif

Funny to get a signal near the end of the asian session on this pair, but ill take it on face value.

Trend
Slightly weakening downtrend as shown by slow compression of the rainbow, still enough of a downtrend there to stay with short trades for now.

Momentum
No momentum on the 4H shown, while we still have some bearish momentum on the daily's, although it is showing some signs of weakening slowly.

Trigger
A clear CCI zero line cross, coupled with a close below the 50SMA brings me into this trade in a blue zone. Also near to the top bollingers.

Resistance/Support
A close below the 50SMA clears the way to the downside, opening the way to test previous support at 112.50. Plenty of resistance in both moving averages above the trade to protect my stop, giving me a little more confidence despite the slowly declining momentum noted above.

Stoploss/Exit Strategy
Stop sits behind both moving averages and previous highs, plenty of muck for price to get through so I feel it is well protected. The target is the 161.8 expansion, which sits above previous support.

Happy trading!

http://img221.imageshack.us/img221/9774/trade6b3rt.gif

I love it when a plan comes together, the US open saw the anticipated move as shown in the above chart. I have shown the expansion level which was my profit target that was hit.

TRADE RESULT: +55

http://img223.imageshack.us/img223/5919/trade7b4ov.gif

While I wasn't quite as confident on this one, things worked out just nicely. Had to take a little heat before it moved as I wanted, but note where price turned, right on the 200SMA, bollinger confluence area (note that a 200SMA on the 1H's is the same as the 50SMA on a 4H). The expansion level that was my profit target was reached easily as I write this.

TRADE RESULT: +90

I include the below chart to demonstrate one point. I only take trades in the direction of the prevailing trend as indicated by the rainbow MMA, but in saying that, the bollinger bands act as a kind of filter along with the SMA's. Below is tonights EUR/JPY chart, note we were in an emerging uptrend, our CCI was holding above the 0 line pretty easily and we were in a blue zone.

Without the bollinger filter, this could have been a reason to go long, but as we were at the top of the bollingers rather than the bottom, I viewed this as an expensive entry and didn't take the trade. You can see what then happened on the US open.

Just something I take note of.

http://img259.imageshack.us/img259/6...resting5dr.gif

Akuma, it's really nice to see that your system works out so nicely. You are absolutely right in implementing the method regardless of the situation, no matter it's the end of the asian session, or if there is any data coming out. Sometimes the fundamental thing just "cooperate" with the system excellently. And the charm of system trading is to implement your system no matter what happens.

I also banked some pips with the euro move this morning, but missed the USD/JPY one.

Best of luck.

Yep you are right rongshihong, the strength of following a system is the fact it takes emotion out of your decision making, as you say, quite often the fundamentals and technicals line up anyhow. Look at how perfectly price turned at the 200SMA, bollinger confluence on the USDJPY trade, technicals can give the trigger, fundamentals the momentum.