Rap Skallion.
Count me in, I would open a demo account and test is, "knowledge is from the cradle to the grave".
Count me in, I would open a demo account and test is, "knowledge is from the cradle to the grave".
- #1,542
- Mar 5, 2014 4:08am Mar 5, 2014 4:08am
- Joined Oct 2012 | Status: Trade Small, Win Big | 4,988 Posts
{quote} Totally agreed: Exactly what the plan is. I think you have already proven to yourself the basic premise, and am perfectly willing to call it your premise. Incidentally I need a new broker: Mine (ibfx) only offers 25. Perhaps my tiny account is too small for them to offer me others ( on my real account)? To Slim: This is my thread only in the sense that I belong to it (for now). I actually read my posts several times before I am done writing them (Not that that does a lot of good)That was Socrates favorite motto. Know yourself: I wonder...
As far as brokers go, give Oanda a try.
If you are good at something, never do it for free--Joker
{quote} Take your time, make sure you rest properly. As far as brokers go, give Oanda a try.
In the meanwhile, something to consider:
The Parent Push Principle:
If nnn/ppp is rising, and ppp/qqq is rising, things not being crazy, nnn/qqq is being pushed upwards
The first two pairs are called the parent pairs, the third pair is called the child. Note that the more pairs you are watching, the more parents each child has ready to push it.
Signore Fibonacci would have found this fascinating…
How to use this: Ignore it if there was a recent news event and play the event until the pair stops screaming and the spreads narrow again; however, if the event pushes the market the same way, you can expect a better response than if it pushes it the other way.
And if it pushes it the other way, the response is more likely to be muted.
Later you can use it to verify the strength of a move and act accordingly, increasing your effective reactivity. There is a probabilistically predictive element to this hidden in Moving Average indicators.
In the meanwhile you should say to yourself,” Note to self: With so many pairs being watched there are, mathematically speaking, lots of these parents.”
A handy tool would be a chart indicting which pairs to glance at and where they should be going to push the pair you are looking at, that is quick and easy to read. I will show you how I constructed and use my chart to make it a whole lot easier to use this principle,and discuss how this can be used without a fixed stop loss to enable effective and profitable trades.
__ I was reluctant to add the CHF as a currency but now it is making me too much money to bear getting rid of it...
Than you, Slim.
- #1,545
- Mar 5, 2014 12:15pm Mar 5, 2014 12:15pm
- Joined Oct 2012 | Status: Trade Small, Win Big | 4,988 Posts
If you are good at something, never do it for free--Joker
The Parent Push Principle: If nnn/ppp is rising, and ppp/qqq is rising, things not being crazy, nnn/qqq .
Exactly so since the two pairs show the USD being held in common.
To push the child pair, EUR/CHF up would mean that one Euro buys more Swiss franks than before. The money flow is from the frank through the dollar to the Euro. (if from no where else, this would drive the pair up.
So, If the EUR/USD is going up,and the USD/CHF is going up as well, it would be really weird for EUR/CHF not to go up.
Bear in mind that theEUR/AUD and the AUD/CHF are also parent pairs of the same child and can also push it up.
In general the more pairs you can view on screen, the more potential pushes you may be able to observe, and the more pushes a child receives from its parent pairs, the surer and greater its move will be, in general.
I may think I understand something, but if I can't get someone else to understand it, I may be wrong.
You make much progress:
We shall discuss a way to handle the very large number. Fortunately the number of such interrelationships is limited.
You usually use them after the fact to verify you do not have a false breakout, where market peaks above the S/R line and then heads the other way. If this is not clear, ask again. Give other examples if you wish. Our understanding of this peculiar feature of the forex should be crystal clear. I enjoy doing this!
When we get into the Demo it will become quite easy, ( I think).
Now I am starting to spin like a top, let me get my head in gear and let it sink in slowly.
I am glad the idea is new to you. I took me a while to get my brain around it. I gather some find it so painfully obvious that they wonder why I mention it.
I only do because it has the potential to put a person in a position where they can do some real good. To count for something, you know what I mean?
If you think this is fun wait to you see what take this idea puts on Moving Averages....
{quote} Interesting, never looked at it like that before.
Once you get a handle on it, the forex will never look the same again. Now guess what role this concept has in the formation of moving averages, and indicator which has been in use since pencil and paper days, and seems to produce mysterious results...
For instance this caveat:
"Never put in an entry on the wrong side of the 8-bar simple moving average"
is curiously effective, and saved me from many a bad trade.
This sounds like a completely different idea than parent -child pushing, but I shall discuss why I think it is the same idea in different clothing, with probabilistic-ally predictive qualities to it...
Remember the poor!
{quote} Once you get a handle on it, the forex will never look the same again. Now guess what role this concept has in the formation of moving averages, and indicator which has been in use since pencil and paper days, and seems to produce mysterious results... For instance this caveat: "Never put in an entry on the wrong side of the 8-bar simple moving average" is curiously effective, and saved me from many a bad trade. This sounds like a completely different idea than parent -child pushing, but I shall discuss why I think it is the same idea in...
Seriously, jokes aside, hold horses!!! I am going to give you the parent pairs and the child pairs, please tell me if they correct.
{quote} Rap, hold your horses a little, I am busy with excel spread sheet, gathering parent pairs, and child pairs, working with DNA and who is sleeping with who???
I'm not even going to go into grandparents, cousins and brothers. Gee, a kid with 8 sets of parents must have a hard time know who to call daddy.!
I will gladly try to help you: it can be confusing as all get out. I have caught myself in error several times. This is not a thing you do on codeine.
I have found this pattern helpful:
You have the child pair NNN/MMM.
Split that pair into NNN/XXX and XXX/MMM
flow should go through XXX from nnn to mmm for NNN/MMM to go down.
The confusing thing is when your broker gives you XXX/NNN as an option instead of NNN/XXX: Think of XXX/NNN as minus NNN/XXX and you should be okay.
I have worked such as I have up into a chart. Since I keep all the pairs I observe on the screen in little postage stamp windows, I keep them in a certain order, so I can refer to the pair by its number. On the chart I have a little square with the number and name of the pair (in red if I want it to go down) and the numbers of the parent charts in pairs beneath it.(signed + or - and colored red if minus). A quick glance tells me what screens to look at and which direction they should be going in to give the child a push. One is all I need if I am in a hurry.
Now a push from the parents is Pair Specific. No other pair gets this particular push.
A news push, or a market opening push effects all the pairs that contain that currency. This is different. Most folks who play the news play just one of those pairs.
My question is "why not play them all?" we will discuss this later.
An interesting thing about the market openings: at 2AM EST the boys in Frankfurt and Paris sit down to their screens. The boys in London sit down to theirs an hour later. These guys may not like what the other guys are doing. All of a sudden, for no discernible reason at all, one currency or another takes off, without any news event or parent pair pushing them. We will cover this as well.
No, you do not have to be awake in the middle of the night to take advantage of these opportunities.
We'll talk about that,too. For now, if you have lots of pairs open for observations and a handy chart that lets you quickly verify when you suspect a pair is being pushed, you are more than halfway there.
There can be problems with a system like this, especially if, like me, you goof something up. We'll set up a bunch of stuff you can do if that should happen.
JMN5611 pointed out correctly that if you run such a system properly, you won't need these measures. But who does that? (Other than him, of course
)Stay relaxed. It will help you stay well.
- #1,552
- Mar 5, 2014 7:26pm Mar 5, 2014 7:26pm
- Joined Oct 2012 | Status: Trade Small, Win Big | 4,988 Posts
{quote} I'm not even going to go into grandparents, cousins and brothers. Gee, a kid with 8 sets of parents must have a hard time know who to call daddy.! I will gladly try to help you: it can be confusing as all get out. I have caught myself in error several times. This is not a thing you do on codeine. I have found this pattern helpful: You have the child pair NNN/MMM. Split that pair into NNN/XXX and XXX/MMM flow should go through XXX from nnn to mmm for NNN/MMM to go down. The confusing thing is when your broker gives you XXX/NNN as an option...
If you are good at something, never do it for free--Joker
- #1,554
- Mar 5, 2014 7:58pm Mar 5, 2014 7:58pm
- Joined Aug 2012 | Status: Love for all; Hatred for none | 3,566 Posts
Love for all; Hatred for none.
{quote} My biggest trouble is FIFO and numbering my trades properly. That has cost me many a pip! Can't wait for the next installment Rap, keep it up! Pretty it will be time for someone to compile the pdf of your teaching.
I do it all the time! I am very solemn about it. I allow myself only one "Heehh". I call it the "having your cake and eating it too" method.
regards,
- #1,559
- Edited 9:14pm Mar 5, 2014 9:01pm | Edited 9:14pm
- Joined Mar 2009 | Status: Trader | 6,418 Posts
{quote} My biggest trouble is FIFO and numbering my trades properly. That has cost me many a pip! Can't wait for the next installment Rap, keep it up! Pretty it will be time for someone to compile the pdf of your teaching.