Do you believe moving average systems work? | Page 21 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Simple Moving Average Vs. Moving Average? 8 replies

Other peoples trading systems won't work for you 22 replies

Does Moving average actually act as moving S/R ?? 20 replies

Are the best systems also the systems that fail most spectacularly? 55 replies

Systems, Systems and Systems... 1 reply

Attachments: Do you believe moving average systems work?
Exit Attachments

Do you believe moving average systems work?

  • #401
  • Jul 7, 2013 1:40pm Jul 7, 2013 1:40pm
Quoting Turveyd
{quote} That's a tough 1, to be honest I wouldn't even consider trying to make a profit off Trading with your time constraints, well not Forex, you'd be better off trading stocks and shares but I understand that requires more start up capital. Best of luck with it for sure!! * not saying it's not do able, but forex market are kinda flakey.
You've got to be kidding, right? You're way off base here. I would venture that most professional Forex traders trade on the daily timeframe, not the noisy, intraday stuff. Not to mention, it is an easier manner of trading and much less stressful.

TF
Prices are never too high to begin buying or too low to begin selling.
  • #402
  • Jul 7, 2013 2:35pm Jul 7, 2013 2:35pm
Quoting turtlefan
{quote} You've got to be kidding, right? You're way off base here. I would venture that most professional Forex traders trade on the daily timeframe, not the noisy, intraday stuff. Not to mention, it is an easier manner of trading and much less stressful. TF
That's an opinion, it's yours but it's not mine, the money is made from the intraday multiple trades , harder maybe but the upsides are risking 3% can make you 6%, 5 times per day.
Nothing to it, but to do it!!! Stick to the plan FOOL!!!!
  • #403
  • Jul 7, 2013 5:18pm Jul 7, 2013 5:18pm
have a good week guys, I am not trading until the morning due to alcohol and sun. Turtlefan you are right in one respect as is Turveyd. each to their own as they say. i will not hold an open position more than a day as I think it is wasting money that is why I compound and get out...
getting back to MA my pc has been running tests all day as the info I posted in here yesterday regarding my girls method,,, It jolly well startled me. I am still trying to get her to tell me how long /time level she uses before trading.
Be good guys, catch you tomorrow
SEE LINE,TRADE LINE..PRICE HAS TO GO SOMEWHERE,,, PRICE WILL GO SOMEWHERE.
  • #404
  • Jul 7, 2013 8:15pm Jul 7, 2013 8:15pm
I will post this once and never to be repeated again. For those who understand will automatically grasp its nuance and for those who dont means to me that you are not ready yet.

Try using the moving median instead of the moving average. Every currency crosses has a different median. The general rule of thumb is once the moving median of a particular currency pair is determined, any SD plus minus 3 is a short term trend change with 9 as a the limit until its breached. Any SD plus minus 9 is a long term trend change with the inverse plus minus 3 as the limit until its breached. This cycle will repeat itself again and again without fail.

Enough cat is revealed and said so get to work. Good luck.....you will not hear from me again....

GS
  • #405
  • Jul 8, 2013 12:49am Jul 8, 2013 12:49am
Quoting genghistar
I will post this once and never to be repeated again. For those who understand will automatically grasp its nuance and for those who dont means to me that you are not ready yet. Try using the moving median instead of the moving average. Every currency crosses has a different median. The general rule of thumb is once the moving median of a particular currency pair is determined, any SD plus minus 3 is a short term trend change with 9 as a the limit until its breached. Any SD plus minus 9 is a long term trend change with the inverse plus minus 3 as...
Now that was a very funny post... lol
Charts never lie! (everyone else does) ... now where's that FF Adult lounge
  • #406
  • Jul 8, 2013 1:19am Jul 8, 2013 1:19am
IMO.. MAs are very good when you need the average of the close of the last X periods. I know traders can predict the retailer's trades based on popular MA systems and take advantage of them. I haven't been able to successfully use an average price in my trading, just current price.
  • #407
  • Jul 8, 2013 2:12am Jul 8, 2013 2:12am
have a good day guys, I am trading catch you later
SEE LINE,TRADE LINE..PRICE HAS TO GO SOMEWHERE,,, PRICE WILL GO SOMEWHERE.
  • #408
  • Jul 8, 2013 2:56am Jul 8, 2013 2:56am
I caught my first 2 trades ok and my third (compounding) is still active But I might get out soon.
I tried my girls method using 2/20 ema and GUESS WHAT, it made 20 pips lol But my trading pc got confused and I was busted lol, it was mainly because I was trading my normal way ie uk open range and it went long, so I guess some experience can be learned yet again. be good
SEE LINE,TRADE LINE..PRICE HAS TO GO SOMEWHERE,,, PRICE WILL GO SOMEWHERE.
  • #409
  • Jul 8, 2013 2:59am Jul 8, 2013 2:59am
Quoting genghistar
I will post this once and never to be repeated again. For those who understand will automatically grasp its nuance and for those who dont means to me that you are not ready yet. Try using the moving median instead of the moving average. Every currency crosses has a different median. The general rule of thumb is once the moving median of a particular currency pair is determined, any SD plus minus 3 is a short term trend change with 9 as a the limit until its breached. Any SD plus minus 9 is a long term trend change with the inverse plus minus 3 as...
I contacted my trading pals and they all agree median can have its merits but they can be hard work but the simple ema will out perform median if used wisely, I cannot comment as I do not know, be good
SEE LINE,TRADE LINE..PRICE HAS TO GO SOMEWHERE,,, PRICE WILL GO SOMEWHERE.
  • #410
  • Jul 8, 2013 4:10am Jul 8, 2013 4:10am
Quoting shahroor
The good thing about moving averages as pureprice kindly mentioned is direction which is an essential part of any strategy therefore moving average is a good base for any trading system however there are problems such as 1- delayed entries which we could live with 2- delayed exit which could wipe all our profits by the time the MA gives exit signal 3- choppy makrets can any one list any other problems you encountered
Good point. It think the problem of "delayed exit signal" can be overcome by simply setting your own exit point. You don't wait for EMA to give the signal, just exit at a preconceived point, say 50, 100 pips, etc. Then you look for another exit point.

This has worked for me as this is part of trading discipline.

The major pitfall of EMas is that crossovers just don't work. Price doesn't respect crossovers, but it does respect support/resistance/ trendlines.
EMA Addict
  • #411
  • Jul 8, 2013 1:31pm Jul 8, 2013 1:31pm
Quoting DeeTee
{quote} Good point. It think the problem of "delayed exit signal" can be overcome by simply setting your own exit point. You don't wait for EMA to give the signal, just exit at a preconceived point, say 50, 100 pips, etc. Then you look for another exit point. This has worked for me as this is part of trading discipline. The major pitfall of EMas is that crossovers just don't work. Price doesn't respect crossovers, but it does respect support/resistance/ trendlines.
Thanks for the suggestion, in this strategy I have adapted a time based exit which is not commonly used amongst traders but it is something that could work very well with this type of strategy, only results will tell
  • #412
  • Jul 8, 2013 1:45pm Jul 8, 2013 1:45pm
ok guys having finalised our exit strategy there are few issues I came across that we need to address, I will mention them one by one and we will aim to deal with them individually
this will also help you consolidate the strategy rules that I mentioned so far
  • #413
  • Jul 8, 2013 1:56pm Jul 8, 2013 1:56pm
Issue 1

assume weekly shows a downtrend (price < 50 SMA)
1-we enter a short as price closes below both MAs
2-Day 10 candle shows first reversal, as per our rules we should be looking to exit around the recent lows within our range 10- 15 candles from entry
Red Arrow shows day 13 candle and revisit of previous lows where we exit our position
3- market makes lower low

question : what do we do here ?
Attached Image
  • #414
  • Jul 8, 2013 3:17pm Jul 8, 2013 3:17pm
Quoting shahroor
Issue 1 assume weekly shows a downtrend (price < 50 SMA) 1-we enter a short as price closes below both MAs 2-Day 10 candle shows first reversal, as per our rules we should be looking to exit around the recent lows within our range 10- 15 candles from entry Red Arrow shows day 13 candle and revisit of previous lows where we exit our position 3- market makes lower low question : what do we do here ? {image}

There is no answer sadly, you can find the same near enough exact chart and different outcome, odds are slightly in favour of new low causing another down move, but it's news fed so ??
Nothing to it, but to do it!!! Stick to the plan FOOL!!!!
  • #415
  • Jul 8, 2013 3:59pm Jul 8, 2013 3:59pm
Quoting Turveyd
{quote} There is no answer sadly, you can find the same near enough exact chart and different outcome, odds are slightly in favour of new low causing another down move, but it's news fed so ??
Let's base our answer on pure logic and repetitive market behaviour , as you said the odds favour another move down and our strategy is based on following the trend so when the trend continues we re-enter short
our exit is time based as well and is half that of our entry range , taking into account that the second move is likely to be weaker than the first move.
  • #416
  • Jul 8, 2013 4:05pm Jul 8, 2013 4:05pm
remember it is not a right or wrong answer , because no one knows what happens next, it is all about formulating a plan to deal with all possibilities and have a complete strategy. Obviously this plan has to be logical and corresponds with the aim of our strategy.
  • #417
  • Jul 8, 2013 4:06pm Jul 8, 2013 4:06pm
Hi shahroor, hope your good
SEE LINE,TRADE LINE..PRICE HAS TO GO SOMEWHERE,,, PRICE WILL GO SOMEWHERE.
  • #418
  • Jul 8, 2013 4:08pm Jul 8, 2013 4:08pm
Quoting billytt
Hi shahroor, hope your good
Hi Billytt, I am good my friend, as long as it stays sunny
  • #419
  • Jul 8, 2013 4:19pm Jul 8, 2013 4:19pm
Quoting shahroor
{quote} Hi Billytt, I am good my friend, as long as it stays sunny
a beautiful day indeed, I traded the japan and uk open and as my girl was not at school I took her out. I didn't trade the us open but looking at it now, it looks like it could of been hard work lol, be good
SEE LINE,TRADE LINE..PRICE HAS TO GO SOMEWHERE,,, PRICE WILL GO SOMEWHERE.
  • #420
  • Jul 8, 2013 4:37pm Jul 8, 2013 4:37pm
Quoting billytt
have a good week guys, I am not trading until the morning due to alcohol and sun. Turtlefan you are right in one respect as is Turveyd. each to their own as they say. i will not hold an open position more than a day as I think it is wasting money that is why I compound and get out... getting back to MA my pc has been running tests all day as the info I posted in here yesterday regarding my girls method,,, It jolly well startled me. I am still trying to get her to tell me how long /time level she uses before trading. Be good guys, catch you tomorrow...
Hi for everyone,
yes I do believe in moving averages but in someway different than some of you out there.
the stoch, macd, rsi...all of these lagging indi are made internally from ma array.
so the best moving avg is the one of these can handle its lagging in faster way then the others.
so, after many trials, i found that the stoch is the best to be used as a faster lagging moving avg related in function to the ma.
if you try stoch 15/3/3 close/simple on 1 hour chart then you can see the idea plus do not use the levels 20/80, change them to levels 60/40
as i am a jr. member and new , i do not know if ff will allow me to add the dwg but i will try.
please be advised that, the stoc 15/3/3/ is a TREND FOLLOWER AND I HAVE TRIED IT MANY TIMES AND IT IS GIVING GOOD RESULTS.
the two ema i am showing here to confirm that the cross and trend is going to happen
Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot2.png Size: 100 KB
0 traders viewing now