Ramblings of a Forex Junkie | Page 22 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Forex Trading: Incorporating Price Behavior into a Forex Trading System 4 replies

Forex Training: What to Look for in a Forex Training Program 1 reply

The Journal Of A Macro Fundamental & Technical Analysis Junkie 26 replies

Trade Anatomy - ramblings of an old-timer 147 replies

Attachments: Ramblings of a Forex Junkie
Exit Attachments

Ramblings of a Forex Junkie

  • #421
  • Edited 1:33pm Feb 3, 2013 1:11pm | Edited 1:33pm
Quoting Seneca pilot
Would you please expand on the topic of SL sizes. You have mentioned it earlier in the thread that you set your SL as a percentage of ATR and that you believe it's the best way of doing it. Do you mind giving more details about it?


The short answer on stops is 15 to 25 % of average of five day ATR. You will be able to figure as you look at different pairs which ones need to be on the lower end and which ones on the upper end. Cable for example needs a wider stop then UJ. EURGBP is probably the smallest but it trades nicely most of the time....
After a second read, i can now understand this. Ready to test it.

Quoting Seneca pilot
An interesting thing I learned from Cloggie years ago is that the US market typically likes to print the high or low of the day for EU and GU. If you scroll back you will see that he was correct...
Wow.
  • #422
  • Feb 3, 2013 2:39pm Feb 3, 2013 2:39pm
Hello SP,

I hope you had a meaningful visit to Gettysburg.
( I think adjectives like fun, wild, hilarious, are not apt for hallowed ground like Gettysburg, Princeton Battle Field, Valley Forge, The AZ Memorial, Normandy, Dachau, etc.)

SP: You sir, earned a vouch.

WOW! Thank you very much. That means a lot coming from you. I finally received one after all these years.
I'm reminded of Sally Fields at the Academy Awards, "I can't deny the fact that you like me, you like me!".

SP: I don't have data on the straddle that you tested because I generally fade.

My test parameter was only a strangle on last week's close.

I'm also going to test the fade trades (last weeks H & L, Mon & Tues H & L).
I will also use the ATR method you wrote. You are correct, I did not use compounding.

SP: Maybe some of these guys won't think I am crazy any more.

Too late for that. You will only get worse now that you and the others have started posting trades and charts and the subsequent conversations.
I believe that after the concept is conveyed and understood the trader should get to work on his own and make it his own. Endless and circuitous conflabs about a specific trade are overkill if the guy really wants to be his own man.

I have found that two eyes to see, and a modicum of intelligence and ambition, are sufficient. It is just not that hard!
In praise of the ones that forever struggle, the rest of us can not have too much liquidity. Someone once said, "They ignore the meaningful in favor of the meaningless".

SP: This was something I was not willing to make public.

The last week close I posted was the absolute simplest so I cast my bread upon the waters. All I received back were crickets chirping.
It's the same as it ever was (David Byrne, Talking Heads). So no mo for this mo fo.

Thanks again for your kind words and the vouch.
  • #423
  • Edited Feb 4, 2013 6:15am Feb 3, 2013 4:10pm | Edited Feb 4, 2013 6:15am
Quoting Seneca pilot
First, I am not going away....
These details are the thing. If you have a line on the chart based on the wrong times for your pair you won't succeed. It takes time and study to determine which lines to place on which chart. I have given some clues on that and I will answer specifics when asked.
SP, Post #235 and Post #319 was my missing link and thanks so much for that! I wonder how i had skipped it...no wonder i barraged you with many questions, which you had already answered. Thanks for the patience though.
Like someone stated, the details...the devil is in the details, pay less attention to the details and the devil will win. Thank you so much for sharing the real details of your methods.
I guess, you should edit post#1 put something to let all new subscribers to read the first 30 pages before asking questions. #Just saying.
  • #424
  • Feb 3, 2013 4:36pm Feb 3, 2013 4:36pm
[quote=Psychofant;6415347]Hello SP,

I hope you had a meaningful visit to Gettysburg.
( I think adjectives like fun, wild, hilarious, are not apt for hallowed ground like Gettysburg, Princeton Battle Field, Valley Forge, The AZ Memorial, Normandy, Dachau, etc.)

SP: You sir, earned a vouch.

WOW! Thank you very much. That means a lot coming from you. I finally received one after all these years.
I'm reminded of Sally Fields at the Academy Awards, "I can't deny the fact that you like me, you like me!".

SP: I don't have data on the straddle that you tested because I generally fade.

My test parameter was only a strangle on last week's close.

I'm also going to test the fade trades (last weeks H & L, Mon & Tues H & L).
I will also use the ATR method you wrote. You are correct, I did not use compounding.

SP: Maybe some of these guys won't think I am crazy any more.

Too late for that. You will only get worse now that you and the others have started posting trades and charts and the subsequent conversations.
I believe that after the concept is conveyed and understood the trader should get to work on his own and make it his own. Endless and circuitous conflabs about a specific trade are overkill if the guy really wants to be his own man.

I have found that two eyes to see, and a modicum of intelligence and ambition, are sufficient. It is just not that hard!
In praise of the ones that forever struggle, the rest of us can not have too much liquidity. Someone once said, "They ignore the meaningful in favor of the meaningless".

SP: This was something I was not willing to make public.

The last week close I posted was the absolute simplest so I cast my bread upon the waters. All I received back were crickets chirping.
It's the same as it ever was (David Byrne, Talking Heads). So no mo for this mo fo.

Thanks again for your kind words and the

The vouch was well placed. If you have the initiative to test a concept this simple you will do well. Most people want indicator laden tradi ng strategies and will not bother testing a simple thing like I am describing. Thing is, the money that is made in trading is always made with simple robust methods.

I wish I had your coding skills it would save me a lot of money. Some of the things I do cannot be coded but as you know some are easily coded. I am always working on new ideas based on price and occasionally have to hire my coder for some stats. He gives me a good price though because I teach him what I am doing. There are things that happen around certain times every day that repeat so regularly its almost scary.

If you need any help in your trading please don't hesitate to ask.
  • #425
  • Feb 3, 2013 4:49pm Feb 3, 2013 4:49pm
Quoting square1
SP, Post #235 was my missing link and thanks so much for that! I wonder how i had skipped it...no wonder i barraged you with many questions, which you had already answered. Thanks for the patience though.
Like someone stated, the details...the devil is in the details, pay less attention to the details and the devil will win. Thank you so much for sharing the real details of your methods.
I guess, you should edit post#1 put something to let all new subscribers to read the first 30 pages before asking questions. #Just saying.
Glad I can help. Take note in the post you mentioned I didn't do anything complicated. Keep your trading simple and you will make money.
  • #426
  • Feb 3, 2013 9:08pm Feb 3, 2013 9:08pm
Well, I have spent most of the afternoon and all of the Super Bowl reading this thread. For now, all I can say is thank you to SP. Outstanding information that will absolutely add to what I "see" everyday.

To Psychofant, I would LOVE to see the results of your continued testing. My eyes bugged out at your last testing, and I hope you are willing to share the ATR-based results.

Thanks again, very sincerely.
  • #427
  • Feb 3, 2013 9:20pm Feb 3, 2013 9:20pm
Quoting Seneca pilot
Doctors complete college then go to medical school. Then they serve a three year residency. Only then after many years of school are they allowed to practice their profession. Attorneys complete college then go to three more years of law school and have to pass the bar. Then they serve a few years at a firm until they are able to become a partner and share in the profits of the firm. Pilots must have intensive training and then spend years in lower levels of the industry as flight instructors, banner towers, cargo pilots, traffic reporters, etc...
Exactly correct SP.....I have been preaching this very same point for a long time now, but sometimes it's like beating your head against the proverbial brick wall. Al pleasure to see someone else make the same, and irrefutable point
Doing what you like is Freedom. Liking what you do is Happiness.
  • #428
  • Feb 3, 2013 9:48pm Feb 3, 2013 9:48pm
Quoting FFJeternal
Well, I have spent most of the afternoon and all of the Super Bowl reading this thread. For now, all I can say is thank you to SP. Outstanding information that will absolutely add to what I "see" everyday.

To Psychofant, I would LOVE to see the results of your continued testing. My eyes bugged out at your last testing, and I hope you are willing to share the ATR-based results.

Thanks again, very sincerely.
Thank you glad I can help.

Whether Psychofant posts it or decides not to I can assure you I wouldn't be trading these methods if they didn't work with a very high reliability. I don't expect him to post the results because the work he is doing is worth a good deal of money. I pay well for my coder to produce the stats that I rely on.
  • #429
  • Feb 3, 2013 9:50pm Feb 3, 2013 9:50pm
Quoting realjumper
Exactly correct SP.....I have been preaching this very same point for a long time now, but sometimes it's like beating your head against the proverbial brick wall. Al pleasure to see someone else make the same, and irrefutable point
Thank you for your kind words. Took me four years to stop losing money. Took three more treading water before the ah ha moment came. I am sure it can be done faster though as I am sometimes a little thick.
  • #430
  • Edited 10:22pm Feb 3, 2013 10:04pm | Edited 10:22pm
Quoting Seneca pilot
Thank you glad I can help.

Whether Psychofant posts it or decides not to I can assure you I wouldn't be trading these methods if they didn't work with a very high reliability. I don't expect him to post the results because the work he is doing is worth a good deal of money. I pay well for my coder to produce the stats that I rely on.
I just wanted to make sure that my interest in seeing the results in no way takes away from the deep respect and trust that you have developed on this thread. Suffice it to say that, right or wrong, I would be willing to trade your method completely based on what I have read here.

Edit: Forgive me... I realize this is most likely a simple metatrader trick that I simply can't find the answer to via search. How do I plot an EMA on the ATR indicator window?

Edit 2 (SOLVED): Discovered here: http://www.forexfactory.com/showthread.php?t=66047 --> Make sure you are pulling from "Indicators" and not "Custom Indicators"
  • #431
  • Feb 3, 2013 10:22pm Feb 3, 2013 10:22pm
Quoting FFJeternal
I just wanted to make sure that my interest in seeing the results in no way takes away from the deep respect and trust that you have developed on this thread. Suffice it to say that, right or wrong, I would be willing to trade your method completely based on what I have read here.
Trust but verify is a good policy.

Spend some time with charts, think outside the box. Look for recurring themes. A clean chart with no moving averages of indicators of any kind will open the entire landscape and allow you to see the patterns that repeat every day. Price comes back to certain areas for a reason. There are important prices printed every day and they will generally be tested at least once unless in a runaway trending market which is relatively rare.

If I can help just ask.
  • #432
  • Feb 4, 2013 1:30am Feb 4, 2013 1:30am
Undecided: Should i wait for the price to retrace to the daily then open enter a buy! Although i am near Lo, it looks like price will take a little long to retrace to that level. Looking at a 30M chart. What would you have done in this case?
Attached Image (click to enlarge)
Click to Enlarge Name: Capture.PNG Size: 58 KB
  • #433
  • Feb 4, 2013 2:55am Feb 4, 2013 2:55am
Ok. It went down and i placed a sell order. Took it out @1.35980 and placed a buy at previous day low(Friday).
  • #434
  • Feb 4, 2013 5:21am Feb 4, 2013 5:21am
Quoting danc
Closed for99c 4 hr EUUD

Danc,

Please don't post your trade calls in this thread. You can do that in the interactive section. SP has asked you before. He want's this thread to remain free of clutter. Your charts add no value to this thread if it's just a trade call.
  • #435
  • Feb 4, 2013 5:37am Feb 4, 2013 5:37am
Quoting PiptheRipper
Danc,

Please don't post your trade calls in this thread. You can do that in the interactive section. SP has asked you before. He want's this thread to remain free of clutter. Your charts add no value to this thread if it's just a trade call.
He is trying to make me look bad by pointing out how the divergence is working so well for him. He will fail to point out all the times that the divergence failed in the past though. He will not point out how it signals entries again and again in a strong trend that lose. It's ok I can take it. However if the trade calls don't stop I will ban him from the thread.

If you want to disagree with me Dan have at it. The trade calls though have to stop this is not the place.
  • #436
  • Feb 4, 2013 5:45am Feb 4, 2013 5:45am
Quoting square1
Ok. It went down and i placed a sell order. Took it out @1.35980 and placed a buy at previous day low(Friday).
Ok square nice short. I am stopped out from the long at the low and waiting for the retracement to get short. I was asleep when the market opened I may have shorted up there too as price retraced almost to the close from last week which woud have been a good place to sell. I would have probably have just taken profit at the Friday low and been done for the day as that is a nice move. I am at one loss currently and waiting for the entry short.
  • #437
  • Feb 4, 2013 5:56am Feb 4, 2013 5:56am
no worries i wont post any more
  • #438
  • Feb 4, 2013 6:09am Feb 4, 2013 6:09am
Ok, divergences.

At best divergence when traded alone is a fifty fifty proposition. Can you make money with it? Sure, you can make money with anything as long as your money management is good and you can be right a decent amount of the time. I am not berating anyone for trading their own methods here. I have stated a few times in this thread I am stating my opinions here. I have also stated that I am open to debate.

I could trade divergence and make money. I would simply only take divergences that line up with key levels and I am sure I would do fine. It would be a disaster though to give a new trader a divergence tool and simply have them trade every time a divergence forms. The stops are not easily defined and the movement in the direction of the divergence can often be short lived.

I am not sure why so many people have to come into threads and disrupt with trade calls and sniping. I am simply giving out what works for me. As I started the thread I think I have that right. Like I said before Dan is just trying for some reason to score points by proving me wrong. He will not show his losing trades as I have. He will not give concrete stop and target information like I have. He will not produce statistics that back up his method as Psychpfant was nice enough to show. He is just trying to score points. Childish but true. I guess its the nature of the internet.

I am honest here, I give the good with the bad. I give actionable information that works. I don't have to. I can just go back to being quietly profitable. I am now beginning to understand why the best traders leave the forum after trying to help for a short time.
  • #439
  • Feb 4, 2013 6:18am Feb 4, 2013 6:18am
Quoting danc
no worries i wont post any more
I have no doubt you can trade Dan. The problem is you aren't telling people the pitfalls of divergence trading. You are not telling people that they have to be very careful with it. You aren't telling people how unreliable it is on shorter timeframes. I don't have a problem with you educating and helping. You aren't helping anyone though when you just show a trade and take a shot at me. I don't have to tell you that after you show a good trade on the four hour with a 14 CCI that there will be a hundred new traders trying to do it on a five minute chart and wiping out accounts on a day like today. You have the benefit of experience that many don't have. Don't waste that experience to make me look bad, open a thread and teach divergence trading.
  • #440
  • Feb 4, 2013 6:49am Feb 4, 2013 6:49am
Hi Seneca: been enjoying your "ramblings" immensely. It's unselfish veteran traders like you that keep bringing me back to FF. Your nuggets of trading wisdom has been golden!

Please ignore the doubter, haters, and the disrupters. As in real life, they will always be there. They're in the minority, but very vocal. The majority of your readers are simply quietly learning. You're providing a very valuable service to all those who genuinely seek it.

Good trading, and keep going as long as your heart's in it.
Being the best loser that I can be.
1 trader viewing now