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H4 Power

  • #901
  • Jan 23, 2014 12:35pm Jan 23, 2014 12:35pm
Quoting pipmunks
Hello everyone, i'm back again . It's good to see there's still active discussion on this great thread. Here's one of my best trade for this week. AUDCHF. Triple Combo. W1 + H4 + M15 all in one direction. Managed to get SL at 17 pips. Right now this position sit at 11x pips . Decide to hold it until next week. The only downside of this trade is the swap, it's negative for sell trade. {image}
perfect, welcome back pipchunks
tradewith60
  • #902
  • Jan 23, 2014 12:56pm Jan 23, 2014 12:56pm
Thanks a lot for the kind words
Your strategies and James 16's are somehow very complimentary, it make things interesting.

Quoting 60minuteman
{quote} Hi Pat, I really dislike closing half at 1/1, you may make it work for certain periods but long term it will restrict profit. It's a strategy purely born out of fear and emotion (imho
Pretty much agree with that.
I consider taking half profit at first trouble area as a price for gaining confidence. I don't think I'll keep doing this for very long.

I'll keep reading this thread along with your others, and maybe post a bit if I manage to find some time

Take care buddy
Slow & steady
  • #903
  • Jan 24, 2014 9:33am Jan 24, 2014 9:33am
hey 60

many thanks for the posts you have made, you are converting me.

Of course there are inner demons who do not like holding on to trades. The demons scream, take profit, take profit
LOL

When you sit down to trade, (assuming you were to trade a currency pair you had not previously traded) would you start at H4 and look for engulfs, or would you start at higher time frames and draw lines and then look for engulfs at a turning points?

Do you sometimes enter pending orders?, and then walk away and wait for an entry....or not.

Or do you enter market orders
I know you often move down to the 15 minute time frame to look for a lower risk entry.

thx

PGPB
  • #904
  • Jan 24, 2014 9:56am Jan 24, 2014 9:56am
Quoting pgpb
hey 60 many thanks for the posts you have made, you are converting me. Of course there are inner demons who do not like holding on to trades. The demons scream, take profit, take profit LOL When you sit down to trade, (assuming you were to trade a currency pair you had not previously traded) would you start at H4 and look for engulfs, or would you start at higher time frames and draw lines and then look for engulfs at a turning points? Do you sometimes enter pending orders?, and then walk away and wait for an entry....or not. Or do you enter market...

Hi PG, welcome back

Always weekly/daily first, just to get that context.... no matter how im trading, i look at them first.

I use both market and pending.

Holding trades is the key, no matter how you end up trading, really the only exception being range trading. You need to divorce yourself from your entries, once youre in the trade, forget about it and look for the next signal. It's simple to test and see where the real money, it's why i suggested taking every signal and holding them all week.... you can learn a lot about potential that way.
tradewith60
  • #905
  • Jan 24, 2014 10:12am Jan 24, 2014 10:12am
Quoting 60minuteman
{quote} Hi PG, welcome back Always weekly/daily first, just to get that context.... no matter how im trading, i look at them first. I use both market and pending. Holding trades is the key, no matter how you end up trading, really the only exception being range trading. You need to divorce yourself from your entries, once youre in the trade, forget about it and look for the next signal. It's simple to test and see where the real money, it's why i suggested taking every signal and holding them all week.... you can learn a lot about potential that...
60,

Long absence... long holding....

Thanks for your insights. Here's the real testament to your concepts of holding (and having faith).... Honestly, the staggering numbers are still very new to me... but it's working... these are at 0.25 lot per trade... just think how many pips we are talking about in each one!!!!

Attached Image


Permission to repost the link:
Inserted Video


This was the video that convinced me.

Thanks

Kim
  • #906
  • Jan 24, 2014 10:43am Jan 24, 2014 10:43am
Thanks for your post Kim, very inspiring!
I had not watched that video before, until now.

PGPB
  • #907
  • Jan 24, 2014 10:56am Jan 24, 2014 10:56am
Quoting luesak
{quote} 60, Long absence... long holding.... Thanks for your insights. Here's the real testament to your concepts of holding (and having faith).... Honestly, the staggering numbers are still very new to me... but it's working... these are at 0.25 lot per trade... just think how many pips we are talking about in each one!!!! {image} Permission to repost the link: http://www.youtube.com/watch?v=-XrE3GmG9Ec This was the video that convinced me. Thanks Kim

awesome!!!!! really happy someone nailed it...

just accept the losers until the move occurs and then participate!!!

I had a nice stack on gold for 700 points today, H1 this one

Attached Image (click to enlarge)
Click to Enlarge Name: Screen Shot 2014-01-24 at 16.58.21.png Size: 23 KB
tradewith60
  • #908
  • Jan 26, 2014 1:31am Jan 26, 2014 1:31am
Quoting 60minuteman
{quote} awesome!!!!! really happy someone nailed it... just accept the losers until the move occurs and then participate!!! I had a nice stack on gold for 700 points today, H1 this one {image}
Classic stack, couldn't find a better example if you tried.
  • #909
  • Jan 26, 2014 5:01am Jan 26, 2014 5:01am
it is possible to use this nice tool for better visual assesment for trading engulf LTF H1 / HTF D1 or M15 / H1 / D1
Attached Image (click to enlarge)
Click to Enlarge Name: 20140126-thfm-126kb.jpg Size: 126 KB
Attached File(s)
File Type: mq4 CustomCandle6.mq4   9 KB | 554 downloads
  • #910
  • Jan 26, 2014 11:26am Jan 26, 2014 11:26am
Quoting 60minuteman
{quote} Hi PG, welcome back Always weekly/daily first, just to get that context.... no matter how im trading, i look at them first. I use both market and pending. Holding trades is the key, no matter how you end up trading, really the only exception being range trading. You need to divorce yourself from your entries, once youre in the trade, forget about it and look for the next signal. It's simple to test and see where the real money, it's why i suggested taking every signal and holding them all week.... you can learn a lot about potential that...
60minuteman, at one point you will take profit.....when?.it does not appear that you do that at S/R of higher timeframes. If you do do that , is it every time?
  • #911
  • Jan 26, 2014 12:15pm Jan 26, 2014 12:15pm
Quoting driven18
{quote} 60minuteman, at one point you will take profit.....when?.it does not appear that you do that at S/R of higher timeframes. If you do do that , is it every time?
I try to stack positions in a trend and then close some (not all) positions when price action is indicating that particular trend is over.

You can also mark higher TF SR and watch for the price action at those levels also.

Here is an example:
Attached Image (click to enlarge)
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Whatever exit strategy you choose it must give you the opportunity to stay in trades for the big wins.
tradewith60
  • #912
  • Jan 26, 2014 2:20pm Jan 26, 2014 2:20pm
60minuteman...thank you for an example....there were few counter trend engulf entries between a and b , b and c, c and d, d and e, but you did not take them....why?...and can you explain via charts....
  • #913
  • Jan 29, 2014 4:11am Jan 29, 2014 4:11am
Hello everybody.

This thread is a bit quiet lately....

I'm doing some research lately to transform this method core idea into lower TF trading. The background is because trading with H4 bias or W1 bias, often market movements was already over after H4/W1 engulf candle formed, the next 1 or 2 candle after engulfing, usually a retracement or reversal move & provide no opportunity to enter. Beside that, there's an issue with different candle close time among brokers. I'm not saying H4/W1 bias isn't reliable, I'm still doing the H4 trading with M15 entry. But idle time waiting between trades makes me wonder, is there any way to make this method works on lower TF.

So I'm doing experiment to implement this method on M5 combined with H1. There will be no different candle issue.
The experiment already run 2 weeks with mixed result. As I scan through M5 engulfing happens with H1 direction, only some M5 pattern will be successful to hit minimum 1:2 - 1:3 RR. And I have very good feeling that this is possible.

Here's some example of recent trade i take.
AUDUSD H1 Engulf, entry on break of M5 Engulf. TP on RN 0.8550.
Attached Image (click to enlarge)
Click to Enlarge Name: M5 H1 AUDUSD.png Size: 32 KB


I also have an idea to enchance the R:R greater, the SL will not placed as traditionally above/lower signal candle. I'm thinking to place it around 50% or 78% of the candle height (it's a Fib number) . By doing this, the RR will improve greatly. Notice the AUDUSD setup above, price never look back after break the low of signal candle. If I only use 5p only as SL, the R:R will improve to 1:5, not to shabby for a 25 minutes trade. The key is how to pick the right signal candle that go straight to your TP & avoiding choppy market.

I'll continue my research from now on & if I found something interesting & 60minuteman allow me to post it here, I'll share it here.

Good luck guys. Careful with FOMC release today.
PS : sorry for my poor English.
  • #914
  • Jan 29, 2014 5:19am Jan 29, 2014 5:19am
Quoting pipmunks
Hello everyone, i'm back again . It's good to see there's still active discussion on this great thread. Here's one of my best trade for this week. AUDCHF. Triple Combo. W1 + H4 + M15 all in one direction. Managed to get SL at 17 pips. Right now this position sit at 11x pips . Decide to hold it until next week. The only downside of this trade is the swap, it's negative for sell trade. {image}
Add new position. Already scalp 2/3 at RN & last low for 1:2 (cheat with half SL size). Didn't like to hold this position with FOMC release ahead.
Attached Image (click to enlarge)
Click to Enlarge Name: AUDCHF ADD.png Size: 14 KB

If price reverse to my SL, at least I already bank some.
  • #915
  • Jan 29, 2014 6:10am Jan 29, 2014 6:10am
Quoting pipmunks
Hello everybody. This thread is a bit quiet lately.... I'm doing some research lately to transform this method core idea into lower TF trading. The background is because trading with H4 bias or W1 bias, often market movements was already over after H4/W1 engulf candle formed, the next 1 or 2 candle after engulfing, usually a retracement or reversal move & provide no opportunity to enter. Beside that, there's an issue with different candle close time among brokers. I'm not saying H4/W1 bias isn't reliable, I'm still doing the H4 trading with M15...
The alternative approach is to avoid tightening the stops and let the trades run to much greater RR, stacking positions as you go. Your win rate will go down but profits increase dramatically. Then there's no issue with avoiding chop etc because the move more than compensates.

Obviously, both approaches work, one has a higher hit rate but smaller RR, the other more losses but much bigger RR. The latter does always come with much greater potential though, which is why I no longer use a 1 in 1 out trading approach. Once I have an entry that survives I always look to add to it before I would ever consider T|P'ing....

If you prefer the fast in and out trading then just team it up with daily engulfs, then H1, then M5....

Nice to see you posting again Pips'
tradewith60
  • #916
  • Jan 29, 2014 6:27am Jan 29, 2014 6:27am
GJ H1.... stack & hold

So far this week..

Attached Image (click to enlarge)
Click to Enlarge Name: Screen Shot 2014-01-29 at 12.25.46.png Size: 60 KB
tradewith60
  • #917
  • Jan 29, 2014 6:36am Jan 29, 2014 6:36am
Gold... taking all positions and holding for trend failure... Another approach that makes good RR, you just need to learn to hold your positions and accept some losses... (although every system comes with that criteria!)

Attached Image (click to enlarge)
Click to Enlarge Name: Screen Shot 2014-01-29 at 12.34.07.png Size: 51 KB
tradewith60
  • #918
  • Jan 29, 2014 6:43am Jan 29, 2014 6:43am
Quoting 60minuteman
{quote} The alternative approach is to avoid tightening the stops and let the trades run to much greater RR, stacking positions as you go. Your win rate will go down but profits increase dramatically...
Yes I know the big RR will even out the big hit rate. Avoiding the chop always been an issue for me, even though I know that the trade with big RR will pay those small losses in the end. Taking small losses streak sometimes degrading me mentally. My longest loss streak record atm with this method : 7 losses. It's not easy to execute the trade after streak of losses.

I adapt with picking a better entry, the fast moving setup & the one that will provide RR not less than 1:2 RR.
Anyway this is another good H1/M5 setup I found. Fast & big RR . Still building a solid rule for entering trade like this.
Attached Image (click to enlarge)
Click to Enlarge Name: EURUSD.png Size: 24 KB
  • #919
  • Jan 29, 2014 6:59am Jan 29, 2014 6:59am
Quoting pipmunks
{quote} Yes I know the big RR will even out the big hit rate. Avoiding the chop always been an issue for me, even though I know that the trade with big RR will pay those small losses in the end. Taking small losses streak sometimes degrading me mentally. My longest loss streak record atm with this method : 7 losses. It's not easy to execute the trade after streak of losses. I adapt with picking a better entry, the fast moving setup & the one that will provide RR not less than 1:2 RR. Anyway this is another good H1/M5 setup I found. Fast & big RR...
I hear you, Pips'... taking losses is a hard skill to learn. The alternative of course is learning extreme patience and getting very good at reading the technicals/sr on multi timeframes. As with all trading ideas there are always pro's and con's, and never a right and wrong.
tradewith60
  • #920
  • Jan 29, 2014 7:17am Jan 29, 2014 7:17am
Quoting 60minuteman
Gold... taking all positions and holding for trend failure... Another approach that makes good RR, you just need to learn to hold your positions and accept some losses... (although every system comes with that criteria!) {image}
What do you mean by trend failure?
Anyway good luck for your position. Hope it survive the storm ahead
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