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The similarity system

  • #441
  • Edited 2:28pm Jul 5, 2013 2:02pm | Edited 2:28pm
I have a question. We had a dissimilarity 6 of June and price closed that level 21 of june. What are you doing in situations like this ???

There was dissimilarity AU from the middle of june which is still open
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Even though I walk through the darkest valley, I will fear no evil
  • #442
  • Jul 5, 2013 5:36pm Jul 5, 2013 5:36pm
I can't get Stoch Dif indie to work... anyone know why this? Do you have to do something besides attach it to the chart?
  • #443
  • Jul 5, 2013 5:38pm Jul 5, 2013 5:38pm
Quoting guess121
I can't get Stoch Dif indie to work... anyone know why this? Do you have to do something besides attach it to the chart?
Go into the indicator properties and select "color", change it to white or any other colour, also change the width to "1".
  • #444
  • Jul 5, 2013 5:42pm Jul 5, 2013 5:42pm
Excellent... thanks.

Quoting Madmoney
{quote} Go into the indicator properties and select "color", change it to white or any other colour, also change the width to "1".
  • #445
  • Jul 5, 2013 9:58pm Jul 5, 2013 9:58pm
Many thanks to Eurusdd for sharing his ideas.

I haven't seen any settings or templates for a 5 min chart, can any of you more experienced guys help me?

Thanks
  • #446
  • Jul 5, 2013 10:32pm Jul 5, 2013 10:32pm
Quoting Eurusdd
{quote} 15min = 97% 4hr = 92% 30min = 90% 5min = 95% 1min= 84% 1hr = 86%
Hey Waltini1. Settings are the same, but the percentage rate differs to each TF.
  • #447
  • Jul 5, 2013 10:47pm Jul 5, 2013 10:47pm
Thanks Madmoney,

The reason I asked was because of this previously posted monthly template which has different values for the indicators compared to the 15 minute template.

I will use the 15 min template on the 5 minute and see how it looks.


Quoting Eurusdd
{quote} for the 1MONTH CHART. PLEASE TEST IT and post your chart here, quick so I can check before I sign out! Thanks. {file}
  • #448
  • Jul 5, 2013 10:48pm Jul 5, 2013 10:48pm
in this case, Mr. EurUsd, do we consider stoploss? or just stand with the drawdown?

Quoting monocor
I have a question. We had a dissimilarity 6 of June and price closed that level 21 of june. What are you doing in situations like this ??? There was dissimilarity AU from the middle of june which is still open {image}
  • #449
  • Jul 6, 2013 12:14am Jul 6, 2013 12:14am
Quoting charvo
in this case, Mr. EurUsd, do we consider stoploss? or just stand with the drawdown? {quote}
There is no effective way of using SL. So we can keep it open. The question is how offen it is hep penning? What is the biggest draw down ?

So far I found the biggest draw down 700 pips with a gold
Even though I walk through the darkest valley, I will fear no evil
  • #450
  • Edited 1:50am Jul 6, 2013 1:37am | Edited 1:50am
You have to note that these "windows" are not created by small players in the market ooh. So, if you are not using anything else, you will have to manage up to 500pips - away from the marked price. If your broker allows you to hedge, then there are ways around this.
But you can also find other ways to use the similarity principle. It is up to you to find them! Enjoy your weekend!!!
  • #451
  • Jul 6, 2013 2:17am Jul 6, 2013 2:17am
Quoting Eurusdd
You have to note that these "windows" are not created by small players in the market ooh. So, if you are not using anything else, you will have to manage up to 500pips - away from the marked price. If your broker allows you to hedge, then there are ways around this. But you can also find other ways to use the similarity principle. It is up to you to find them! Enjoy your weekend!!!
And if your broker dosen't hedge you can use a disimilar pair and still hedge very well.
Charts never lie! (everyone else does) ... now where's that FF Adult lounge
  • #452
  • Jul 6, 2013 2:30am Jul 6, 2013 2:30am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
For managing trades I feel that Nanningbob's Recovery System is very compatible with this way of trading as long as you do not over leverage. I am using this method myself.
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An expert is a man who has made all the mistakes which can be made
  • #453
  • Jul 6, 2013 2:50am Jul 6, 2013 2:50am
Quoting Neio
For managing trades I feel that Nanningbob's Recovery System is very compatible with this way of trading as long as you do not over leverage. I am using this method myself. {image}

Good one instead of - $500 draw down you will have -$1900
Even though I walk through the darkest valley, I will fear no evil
  • #454
  • Jul 6, 2013 2:55am Jul 6, 2013 2:55am
  •  Neio
  • Joined Oct 2012 | Status: Can't think outside?Enlarge the box | 688 Posts
Quoting monocor
{quote} Good one instead of - $500 draw down you will have -$1900
What are the chances of a 500 pip move without any kind of retracements? I know you cannot rule anything out but with proper money management you would survive the odd trade that may do that.

I have personally used it to recover all my positions at least to BE. Many end up in profit.

Regards

Neio
An expert is a man who has made all the mistakes which can be made
  • #455
  • Jul 6, 2013 3:47am Jul 6, 2013 3:47am
Review on how the system works..... everyone has to adapt to their own way

I'm only discussing here only one method presented by Eurusdd. The method presented here Post# 116 (http://www.forexfactory.com/showthread.php?p=6785942#post6785942)

This is good example how the system works. Attached Chart for explanation the action.....

1. Explanation is in Post Post# 191 (http://www.forexfactory.com/showthread.php?p=6790136#post6790136)
" aLWAYS remember that price LEADSSSSSSSSS! So like the case below; YOU SELLLLLL!!!!"Post# 184 (http://www.forexfactory.com/showthread.php?p=6789957#post6789957)

2. Same as above but Stoch is doing the catch up now..........Post# 187 (http://www.forexfactory.com/showthread.php?p=6790055#post6790055)

Quoting Eurusdd
hOWEVER SINCE stoch must follow price and we expect similarity in the future, the stoch may be forced to drop to meet price just like the case above!!!! TRADE WITH PURPOSE!!!
3. Target, this cancel the 17th June dis-similarity..............Post# 193 (http://www.forexfactory.com/showthread.php?p=6790155#post6790155)

4. Cancel No. 2.

5. Cancel No. 1... Note : No.5 itself is dis-similar therefore we will be visiting that point again in future.

Remember This.................
Quoting Eurusdd
{quote} .... you are watching the TWO RED line in the chart and how they react the the bollinger-bands

And this....................
Quoting Eurusdd
{quote} Since the lines will look exactly the same >97% of the time, TRADE WITH THAT EXPECTATION!!!! When the stoch is ahead of or behind the main price - Place your trade expecting stoch to agree with price eventually. You will get many trades that way. Money-management of course. I can get 100 wins in a role that way!!!
And memorized this................

Quoting Eurusdd
{quote} .........When stoch lags or leads price,you have a chance for a trade. Also since the band below is tighter than the one above,you can use the stoch to guage resistance/support for price.

The rules...................
Question : What is the other three component ? beside similarity & ZZ Band..........

Quoting Eurusdd
{quote} {image} I presented the idea of similarity and expected people to develop their own system around this core idea! I have a full-package I can never share with anyone. However, similarity is one idea I felt people could adapt to!!!

So before I place a trade, I have to check 5 components and the similarity component is just one of them!!!! The concept is powerful. You have to figure out how to use it to compliment what you already have. Ask yourself the following...

Ooouchh...........

Quoting Eurusdd
it is not good to expose the precise means by which you buy/sell. Big eyes are watching out for such things! So, I will never tell you exactly what makes me buy/sell but I can give you the general idea!!!
Comments and ideas are welcome...


Next Stop............. we will look at ZZ component and discuss it. ( if anyone interested)
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May the force with Arjun
  • #456
  • Edited 4:19am Jul 6, 2013 4:04am | Edited 4:19am
Quoting Lirbig Nubee
Review on how the system works..... everyone has to adapt to their own way I'm only discussing here only one method presented by Eurusdd. The method presented here Post# 116 (http://www.forexfactory.com/showthread.php?p=6785942#post6785942) This is good example how the system works. Attached Chart for explanation the action..... 1. Explanation is in Post Post# 191 (http://www.forexfactory.com/showthread.php?p=6790136#post6790136) " aLWAYS remember that price LEADSSSSSSSSS! So like the case below; YOU SELLLLLL!!!!"Post# 184 (http://www.forexfactory.com/showthread.php?p=6789957#post6789957) 2. Same as above but Stoch is doing the catch up now..........Post# 187 (http://www.forexfactory.com/showthread.php?p=6790055#post6790055) {quote} 3. Target, this cancel the 17th June dis-similarity..............Post# 193 (http://www.forexfactory.com/showthread.php?p=6790155#post6790155) 4. Cancel No. 2. 5. Cancel No. 1... Note : No.5 itself is dis-similar therefore we will be visiting that point again in future. Remember This................. {quote} And this.................... {quote} And memorized this................ {quote} The rules................... Question : What is the other three component ? beside similarity & ZZ Band.......... {quote} Ooouchh........... {quote} Comments and ideas are welcome... Next Stop............. we will look at ZZ component and discuss it. ( if anyone interested) {image} {image}

Interested in discussing, need more components to make more clinical entries. The more ideas the better!
  • #457
  • Jul 6, 2013 4:07am Jul 6, 2013 4:07am
Quoting Neio
{quote} What are the chances of a 500 pip move without any kind of retracements? I know you cannot rule anything out but with proper money management you would survive the odd trade that may do that. I have personally used it to recover all my positions at least to BE. Many end up in profit. Regards Neio
I didn't say it wont work, i am saying it is will increase the draw down. And as you said maybe yes or may be not, if price will conrinue for 700 move against you. We can do in easier way. Place orders every 100 pips away with TP 100.
Even though I walk through the darkest valley, I will fear no evil
  • #458
  • Jul 6, 2013 4:12am Jul 6, 2013 4:12am
Quoting Madmoney
Interested in discussing, need more components to make more clinical entries. The more ideas the better!
We can use adding to the position every 100 pips away, S/R from H4 or Daily chart, Trend direction from higher TF. We can look in to indicators. I am looking at Hamma to get better entry. Lets test and see
Even though I walk through the darkest valley, I will fear no evil
  • #459
  • Edited 6:20am Jul 6, 2013 5:03am | Edited 6:20am
Chart attached for us to evaluate how to read sign and anticipate the move.

At Point 3 ( before NYO) you have a choice to go Long or Short. You eyes are glue to Point No. 1... anticipating it will need to close.

(Remember, this is 100 pips move. You don't want to miss this baby and it is kind of text book entry)

Point 2 also Stochs playing catch up with EMA, At Point 3 we find similarity ... This is where you enter, but how do you know to go LONG or Short.?

I Welcome everyone to express their view ( We know the answer price eventually goes up), but the point of discussion is to understand how & why you anticipate this move based on the two lines in relation to BB ( Note : ZZ only appear 60 minutes after NYO...much later than the entry)

Before you post your view please read the following .

Quoting Eurusdd
Things to note about the zigzag indicator:::

1: It repaints because -by definition - it has to. Therefore, the length of a leg can increase with time!

2:It is possible to know where a leg of the ZZ must be drawn - relative to another indicator. So, those who say it is impossible to determine where/when a new leg will be drawn are a little behind time!

3: ZZ is directly connected to the stoch indicator and there is a way to know how far price...



And this...........................


Quoting Eurusdd
{quote} I said that when you spot a "good" difference, you have to manage your trade from that point onward because usually the return can be sharp!!!! The further price moves away from the price, the faster it will return there!


And this too...............


Quoting Eurusdd
{quote} nOT EVERY TIME. There are other things to check. But it depends on how the ZZ touched the line. Sometimes, you need it to strike through first!!


Peace
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May the force with Arjun
  • #460
  • Edited 5:59am Jul 6, 2013 5:47am | Edited 5:59am
Quoting Lirbig Nubee
Chart attached for us to evaluate how to read sign and anticipate the move. At Point 3 ( before NYO) you have a choice to go Long or Short. You eyes are glue to Point No. 1... anticipating it will need to close. (Remember, this is 100 pips move. You don't want to miss this baby and it is kind of text book entry) Point 2 also Stochs playing catch up with EMA, At Point 3 we find similarity ... This is where you enter, but how do you know to go LONG or Short.? I Welcome everyone to express their view ( We know the answer price eventually goes up),...
What is your question ? At point one you had dissamilarity, you are looking for point where it starts, at point 3 you have similarity and you enter long with TP at point 1. Attach the indicator it is going to be much easier to see. We are looking on dissamilarity with ZZ when it appierse before EMA1 touched bollinger band, for the traide

This setup is by the book, but if you enter at point 3 and price will keep falling and will return back in 2-3 weeks, how to hendle that position. For now I see the best way it is openning position without SL, and using hedgging pairs, lets say 10 pairs and 10 heddging pairs, all togeter 20 pairs for trading. We don't have much trades on M15 chart, the average is 3-4 trades per months. So in this way we will have around 2 trades per day, and atleast 70% will go by the book, with closing in 1-2 days. and 30% will go against you, we can manage that 30% with adding one more lot every 100 pips with TP 100pips for that lot.

We need to control money management in order to trade in this way.

It is how I see it, at least for now
Even though I walk through the darkest valley, I will fear no evil
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