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Similarity: A Practical Approach

  • #21
  • Jul 27, 2013 7:44am Jul 27, 2013 7:44am
Quoting juhanimi
you get the picture {image}
Juhamini, great to see you here. Thanks for the charts, gives me a clearer idea what to look for with fractals, coupled with volume.
  • #22
  • Jul 27, 2013 7:48am Jul 27, 2013 7:48am
Quoting Lirbig Nubee
Had build enough confidence with the system and trading it in real account now instead on demo. Typical approach in taking the trade. Example from yesterday EJ trade based on 60M TF. MT4 is the set up. Market scope is the real account entry. My template attached {image} {image} {file}
Lirbig, lovely clear template and work on the RSI. I can already see some DS on Eurusd using it. Looking forward to getting some time to trade next week with these new tools. I see you use 40 with the RSI on the hourly, it seems to work on other TF too.
  • #23
  • Jul 27, 2013 8:00am Jul 27, 2013 8:00am
Quoting Lirbig Nubee
Had build enough confidence with the system and trading it in real account now instead on demo. Typical approach in taking the trade. Example from yesterday EJ trade based on 60M TF. MT4 is the set up. Market scope is the real account entry. My template attached {image} {image} {file}
Im really glad to hear you seem to have found something that works for you!
Please continue explaining your method and im looking forward to see more charts from you in the future!
  • #24
  • Jul 27, 2013 8:04am Jul 27, 2013 8:04am
Reason I don't use MT4 to trade

I've read a lot on this broker here http://www.forexpeacearmy.com/public...epperstone.com

Trying demo with their platform. I'm disappointed by lack of credible in executing my SL.

I use "love EA" as trade manager for TP & TP.

This trade just got suspended, without any solution. imagine if it is a REAL account ????

Watch out when you deal with brokers.
Attached Image (click to enlarge)
Click to Enlarge Name: pepperstone.png Size: 59 KB
Attached File(s)
File Type: ex4 lvoe 1.6.1.ex4   18 KB | 429 downloads
File Type: mq4 lvoe 1.6.1.mq4   16 KB | 552 downloads
May the force with Arjun
  • #25
  • Jul 27, 2013 8:16am Jul 27, 2013 8:16am
Hi all,

Hey Lirbig, would you mind explaining (hopefully with pictures) your reason to enter where you did. I have read many things regarding this similarity idea from the threads but for some reason just can't get why you entered where you did. And obviously great results so far, I hope it keeps up for you.

jt
"Even if you fall down face first, you still went forward."
  • #26
  • Jul 27, 2013 8:48am Jul 27, 2013 8:48am
Quoting Lirbig Nubee
in real account
Example from yesterday EJ trade{file}
Hi Lirbig Nubee
I'm agree with Juicyt
Quoting juicyt
would you mind explaining (hopefully with pictures) your reason to enter
Step by step,pleaseeee....
i worshipped... Momentum
  • #27
  • Jul 27, 2013 8:59am Jul 27, 2013 8:59am
Thanks to all who want to continue this very interesting discussion.

So, what is similarity? What does it represent? What are these so called black holes?

Well from what I can see, which is not very much, using indicators to spot the black holes has to do with momentum. Or better yet, uniform price flow. I think dissimilarity begins when uniform price flow ends. So price has to go back there to correct that "error"

Thoughts?
If you are good at something, never do it for free--Joker
  • #28
  • Jul 27, 2013 9:00am Jul 27, 2013 9:00am
Quoting shiva
{quote} You got mine
Thanks! Hopefully I can continue to add some quality content.
If you are good at something, never do it for free--Joker
  • #29
  • Jul 27, 2013 9:02am Jul 27, 2013 9:02am
Quoting Lirbig Nubee
Reason I don't use MT4 to trade I've read a lot on this broker here http://www.forexpeacearmy.com/public...epperstone.com Trying demo with their platform. I'm disappointed by lack of credible in executing my SL. I use "love EA" as trade manager for TP & TP. This trade just got suspended, without any solution. imagine if it is a REAL account ???? Watch out when you deal with brokers. {image} {file} {file}

I don't use MT4 to trade with either, just the charting. MT4 is too inflexible for my taste.
If you are good at something, never do it for free--Joker
  • #30
  • Jul 27, 2013 9:03am Jul 27, 2013 9:03am
As i said way back on the other thread, this system (algorithm) appears to have many facets - supply and demand and regression to the mean.
  • #31
  • Jul 27, 2013 9:04am Jul 27, 2013 9:04am
Quoting handy148
jmn - I like the visual colour approach of the RSI. How do you do that? or is there an indi for it?
No code, just draw rectangles.

Not my idea either, I got it from Brapp, who was exploring the ideas of Connie Brown before he vanished into the bermuda triangle!
If you are good at something, never do it for free--Joker
  • #32
  • Jul 27, 2013 9:10am Jul 27, 2013 9:10am
Quoting handy148
As i said way back on the other thread, this system (algorithm) appears to have many facets - supply and demand and regression to the mean.
I think that Vlad was kicking around trading just to the middle of the BB. I like that if there is a DZ up there above the 24MA. I think you are onto something with supply and demand. This is what drive trading at the end of the day. When a DZ occurs, that is a point where there was a lapse in demand/supply. So traders will test that zone again to see if it is legit. That is how we can make money.

Price moves away from the DZ far enough to get the sema, and the ZZ, and is outside the BB. Kind of like rubber band trades.
If you are good at something, never do it for free--Joker
  • #33
  • Jul 27, 2013 9:27am Jul 27, 2013 9:27am
I think what makes EURUSDD is to use all tf and see the similarities, in the moment you begin to produce similarities begin to obtain possible nodes, each time with more accuracy using "force" check price over those points
  • #34
  • Jul 27, 2013 9:30am Jul 27, 2013 9:30am
Quoting jmn5611
I was going to post this on the thread by EURUSDD, but for some odd reason he has locked it. In any event, there are a lot of things going on over there, but one of the great things to come out of it was the similarity principle. The idea is to find zones of dissimilarity that can act as targets for price to go towards. There is apparently a lot of mathematics behind it. The other thread uses two stochs set up to be similar 99% of the time, so that when they become dissonant, a zone is marked on that bar. After doing a bit of research...
jmn hi! thanks for starting this thread. Hope to understand more. I have question. What made you decide about the two DS candles? I can see some DS candles between the two you have drawn.
  • #35
  • Jul 27, 2013 9:32am Jul 27, 2013 9:32am
Quoting juhanimi
fractal differences, kind of common sense, must be some kind level where big money is active {image}

juhanimi, Kindly please explain more about your chart. I think we are talking about DS candles. KIndly please point out where is in your chart? Thanks!
  • #36
  • Jul 27, 2013 9:35am Jul 27, 2013 9:35am
Quoting jmn5611
Thanks to all who want to continue this very interesting discussion. So, what is similarity? What does it represent? What are these so called black holes? Well from what I can see, which is not very much, using indicators to spot the black holes has to do with momentum. Or better yet, uniform price flow. I think dissimilarity begins when uniform price flow ends. So price has to go back there to correct that "error" Thoughts?
Maybe this is a start, feel free to tell me I'm talking rubbish if I have understood wrongly.
Here is my chart set up for monday (Lirbig's template, thanks) , I found some zones on the 30 min eurusd and have put red lines as potential targets. The zones are created by xixi's indicator, pink are disimilarity zones created by 'big money entering market' as explained by Baillie
Post# 849
and we were told to trade back to the price where the zone started, to trade when disimilarity ends rather than during it as this is the safest option. (I presume the 'big money ' is taking a breather then and waiting for price to get back to the spot they traded before although this concept seems far too simplicist to me.) That actually means trading the green zones back to the start of the pink.

I want to try Jmn's system with this idea as he/she has started this thread and I haven't waited for the extra criteria before....below
"Now for the system.


After a DZ is formed, we wait for price to move away from it. It needs to move far enough away for price to breach the BB, a semaphor and zigzag must also have formed. The original similarity thread has gone deep into theory, so I thought I would use a piece of that theory and create a system for everyone to test. The rules are not in stone. So everyone is welcome to contribute. The idea for this thread is to have clear, concise rules. Coders and testers are welcome, of course. "
Attached Image (click to enlarge)
Click to Enlarge Name: last.png Size: 46 KB
  • #37
  • Jul 27, 2013 9:36am Jul 27, 2013 9:36am
Think GPS system operation. The GPS continuously send and receive radio signals from satellites. If we have a satellite the accuracy will be bad, if we have two satellites, the accuracy will improve because we get the intersection of two lines that give us a point. If we have 3 satellites obtain the intersection of three straight and will therefore have greater accuracy. The more lines we have, the more accurately we get. Because the functions and time dependent, I think the points will be given by a value and the corresponding time (t) in order to make the representation in the chart. Of course there are other methods that can compensate for achieving greater precision movement.
  • #38
  • Jul 27, 2013 9:46am Jul 27, 2013 9:46am
Quoting taypot
{quote} Maybe this is a start, feel free to tell me I'm talking rubbish if I have understood wrongly. Here is my chart set up for monday (Lirbig's template, thanks) , I found some zones on the 30 min eurusd and have put red lines as potential targets. The zones are created by xixi's indicator, pink are disimilarity zones created by 'big money entering market' as explained by Baillie Post# 849 and we were told to trade back to the price where the zone started, to trade when...
In your chart example, where do you supposed to trade? buy or sell?
  • #39
  • Jul 27, 2013 9:55am Jul 27, 2013 9:55am
Quoting jmn5611
Indicators and template {file} {file} {file} {file} {file}
Hi jmn5611,

Thank you for starting your own thread giving a new twist to the Similarity concept. And I thank you again for giving the indicators and template. The template you gave doesn't match with your chart. Hope, you will have a look in to it. May be I am wrong.

Roy
  • #40
  • Jul 27, 2013 9:58am Jul 27, 2013 9:58am
Quoting RoyPK
{quote} Hi jmn5611, Thank you for starting your own thread giving a new twist to the Similarity concept. And I thank you again for giving the indicators and template. The template you gave doesn't match with your chart. Hope, you will have a look in to it. May be I am wrong. Roy

Please post a pic so I can see what errors I may have made.
If you are good at something, never do it for free--Joker
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