Rino,
There are a couple ways (if not more) to trade TMS. Like I said before TMS is like a car. You can
drive the car by itself or you can soup the car up, with all kinds of "stuff". Imho, a lot of the souping
up of the car is very questionable. When people are getting into "bat patterns & harmonic patterns"
that is not TMS.
But, be that as it may, the two basic ways of trading TMS is aggressive & conservative.
In the conservative model you are trading with the trend. If the weekly, daily and 4 hour chart
are all the same color (going in the same direction) that is a very low risk trade.
In the aggressive model, you are just trading off of the 4 hour chart (tdi) which is a bit riskier, hopefully
you are trading with the trend.
If you want to make it (super aggressive) use the tdi osc 3 tf and drop down to the 15 minute chart
and make sure all the colors are lined up, on the 15 minute chart, 1 hour and 4 hour chart. That way
your still using 2 time frames higher and that put's the odds in your favor.
So, you see it's all about risk. And, And, And, how much "heat" can you take. The most profitable traders
that I know can withstand some heat (financially) and can (if they wish) let a position move against
them, to (later on) go in their original direction. Some traders, if the position moves against them 10
pips they bail out. Everyone is different! You must know yourself and how much risk your willing and
able to take. I would suggest that you analyze your risk tolerance and trade the model that your
wallet can afford. Remember that 1 standard contract is $10.00 a pip. So if the market moves against
you 30 pips (which isn't much) is $300.00. You also have to remember that when people are souping up
that car (on questionable "stuff") that a move against them using this "stuff" could cost someone
$thousands of dollars. So the real answer is be careful and know what your doing!
Thanks
snarlyjack
There are a couple ways (if not more) to trade TMS. Like I said before TMS is like a car. You can
drive the car by itself or you can soup the car up, with all kinds of "stuff". Imho, a lot of the souping
up of the car is very questionable. When people are getting into "bat patterns & harmonic patterns"
that is not TMS.
But, be that as it may, the two basic ways of trading TMS is aggressive & conservative.
In the conservative model you are trading with the trend. If the weekly, daily and 4 hour chart
are all the same color (going in the same direction) that is a very low risk trade.
In the aggressive model, you are just trading off of the 4 hour chart (tdi) which is a bit riskier, hopefully
you are trading with the trend.
If you want to make it (super aggressive) use the tdi osc 3 tf and drop down to the 15 minute chart
and make sure all the colors are lined up, on the 15 minute chart, 1 hour and 4 hour chart. That way
your still using 2 time frames higher and that put's the odds in your favor.
So, you see it's all about risk. And, And, And, how much "heat" can you take. The most profitable traders
that I know can withstand some heat (financially) and can (if they wish) let a position move against
them, to (later on) go in their original direction. Some traders, if the position moves against them 10
pips they bail out. Everyone is different! You must know yourself and how much risk your willing and
able to take. I would suggest that you analyze your risk tolerance and trade the model that your
wallet can afford. Remember that 1 standard contract is $10.00 a pip. So if the market moves against
you 30 pips (which isn't much) is $300.00. You also have to remember that when people are souping up
that car (on questionable "stuff") that a move against them using this "stuff" could cost someone
$thousands of dollars. So the real answer is be careful and know what your doing!
Thanks
snarlyjack
