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Pure & simple Abonacci system

  • #61
  • Mar 19, 2014 10:23pm Mar 19, 2014 10:23pm
good one hollow. Just want to know how to use this on gold n silver. i mean the length
Quoting hollowhead
{quote} They both go in the Indicators folder - if you MT4 has upgraded you will need to put them in the Indicators folder that is inside the MQL4 folder. Steve
  • #62
  • Mar 19, 2014 11:34pm Mar 19, 2014 11:34pm
ssaqeel. See post 49
  • #63
  • Mar 20, 2014 12:31am Mar 20, 2014 12:31am
Hello Hollowhead,

Thank you so much for sharing this. It looks brilliant.
Please correct me if i am wrong, what i understand is Abonacci Templates Manual v7-1.1.ex4 draws fib ratios from baselines to number of length and keeps looping it on the chart. The length is the difference pips between two murray lines and murray math indicator draws the lines based on 1440 timeframe with 256 candles(1 trading year) in mind.

Am i right?
  • #64
  • Mar 20, 2014 8:21am Mar 20, 2014 8:21am
HOLLOWHEAD thanks for the comprehensive explanation, I have more questions to ask.
Question 1: In post #49 your base line for GOLD is 1250.00. But when I set up my MM indi. the base line I saw was 1375.00
Am I doing it wrongly or what?
Question 2: When can we say that a level has been broken? I mean by how many pips?
  • #65
  • Mar 20, 2014 8:46am Mar 20, 2014 8:46am
Quoting sepramfx
HOLLOWHEAD thanks for the comprehensive explanation, I have more questions to ask. Question 1: In post #49 your base line for GOLD is 1250.00. But when I set up my MM indi. the base line I saw was 1375.00 Am I doing it wrongly or what? Question 2: When can we say that a level has been broken? I mean by how many pips?
Hi - TBH it won't make any difference - If the length is 1250, you could use any of the MM levels as a baseline. All the baseline does is give a starting place for the phases to start and then repeat/loop.

You could use 1312.5, 1375, 1250 etc. - notice they are 62.5 pips apart. 1250(the length) divided by 20 is 62.5. If you look at the image on the post you reference you can see all the MM levels - you will see 1375 and 1250. As long as the 0%/100% line up with MM levels, its all good.

Great question about what constitutes a break. I don't have hard and fast rules at the moment, it it is probably going to be different depending on whether you are using a 122, 244 or 488 length. I am working on a break is 5 pips (not waiting for candle to close) for 122 - so for 244 I would go with 10pips and 488 with 15pips.
  • #66
  • Mar 20, 2014 9:58am Mar 20, 2014 9:58am
I am trying to improve the system. I am trying to use it in a different way.
Today i took one trade and i was in profit.

I have attached my trade and my reason to trade.
I think i can come up with a better base number and length than Murrey.

Hollowhead, thank you so much !
This is just awesome.


Abonocci is going to be the part of my trading system for forever.

I have been using fib ratios from very long time.

Abonocci changed the way i see fibs and price. This is the first day, first time i am using it.

I think length and base number could be improved.

We can come up with more profitable baseline/length for abonocci.

I am working on one idea that involves developing the baseline and length from previous candle on bigger tf.

Does anyone have more ideas to replace murrey with something else ??

Please share your ideas.
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  • #67
  • Mar 20, 2014 10:31am Mar 20, 2014 10:31am
Quoting fx01
I am trying to improve the system. I am trying to use it in a different way. Today i took one trade and i was in profit. I have attached my trade and my reason to trade. I think i can come up with a better base number and length than Murrey. Hollowhead, thank you so much ! This is just awesome. Abonocci is going to be the part of my trading system for forever. I have been using fib ratios from very long time. Abonocci changed the way i see fibs and price. This is the first day, first time i am using it. I think length and base number could be improved....
I think there's probably a thousand ways to set a baseline. The thing about Bobi's method that is very powerful is that you have many templates with differing lengths giving various targets. Sometimes they appear to conflict, but mostly they create a big picture for a bias and direction and overall target.

So, one of the things I am working through is how can we have the same. The advantage of MM levels is that you can see the small levels inside the bigger ones - this will allow us to be more selective in which signals we take.

In a sense you are right about using higher TF candles. Bobi did calculations based on the high, low and close on the previous years PA. This in essence gave him levels based on a 1 year candle. Bobi is convinced that support and resistance levels or somehow set in the first day of the year. As mad as it sounds, looking at his templates and charts it is very hard to deny. Many members here have seen Bobi call tops and bottoms to the pip - and they were along way away (time and distance) when he made the calls.
  • #68
  • Mar 20, 2014 11:21am Mar 20, 2014 11:21am
Quoting hollowhead
{quote} I think there's probably a thousand ways to set a baseline. The thing about Bobi's method that is very powerful is that you have many templates with differing lengths giving various targets. Sometimes they appear to conflict, but mostly they create a big picture for a bias and direction and overall target. So, one of the things I am working through is how can we have the same. The advantage of MM levels is that you can see the small levels inside the bigger ones - this will allow us to be more selective in which signals we take. In a sense...
I was just going through the thread you mentioned in first post. I am impressed by the way he set up baseline. I personally feel he is using the calculations done through fib points (where the previous price jumped in past).What i feel he is doing is, calculating the phase size/level from past using fib points/caculations.

If you were trading using fib levels or just doing naked chart trading, you will notice how the new candle react based on previous candle. for eg. You will sometimes know that next candle will go 38%, 50%, 76% in opposite and then go back in right direction.

I don't know the exact reason for candle going opposite and then going back forward but i personally feel it is to keep people take wrong positions or the result of instability in emotions of people as well as manipulation.

And almost everytime, that opposite jump is one of the important fib level.



Now, different charts are going to have different phases. You just have to identify the phases level in past and understand what could go next.

Every different chart will have its unique need. Not all charts are going to have same phase and level.

Right now, i am playing with Open, high, low and close of previous candle and various different type of calculations.

Abonacci is awesome. Even when the baseline and length is not perfect, it changes the way you see chart. It gives more emotional stability than other systems.

And this murrey math/abonacci hybrid itself will give eight percent + winning when used with other confirmation.

Maybe i can figure out how he finds the levels based on the previous baseline prices provided by him.
  • #69
  • Mar 20, 2014 11:50am Mar 20, 2014 11:50am
Quoting fx01
{quote} I was just going through the thread you mentioned in first post. I am impressed by the way he set up baseline. I personally feel he is using the calculations done through fib points (where the previous price jumped in past).What i feel he is doing is, calculating the phase size/level from past using fib points/caculations. If you were trading using fib levels or just doing naked chart trading, you will notice how the new candle react based on previous candle. for eg. You will sometimes know that next candle will go 38%, 50%, 76% in opposite...
Great - I have a hunch Bobi used Murrey Math principles - but changed some parameters and calculations. I have spent hours playing with calculations and combos, but I am a 'words' man, not a 'numbers 'guy - so it's beyond me.

But, what I can see from looking at the charts is that when you make the Abonacci phases fit the Murrey Math levels on the daily TF, you can apply a set of entry, TP and SL conditions which will give more than a 50/50 win rate with a higher than 1:1 RR. That to me is a key to long-term successful trading.

With rules like these there is no discretion. There is open on break, close on SL (move to BE if you want). This eliminates all emotions. It is set and forget. No trying to read candles, no lagging indicators, no concerns about news. You just trade the levels and let it work out.

Once you compound winnings - patience is the only battle. Simple (well in theory).
  • #70
  • Edited 12:29pm Mar 20, 2014 12:13pm | Edited 12:29pm
Quoting hollowhead
{quote} Great - I have a hunch Bobi used Murrey Math principles - but changed some parameters and calculations. I have spent hours playing with calculations and combos, but I am a 'words' man, not a 'numbers 'guy - so it's beyond me. But, what I can see from looking at the charts is that when you make the Abonacci phases fit the Murrey Math levels on the daily TF, you can apply a set of entry, TP and SL conditions which will give more than a 50/50 win rate with a higher than 1:1 RR. That to me is a key to long-term successful trading. With rules...
Well, i am sure we can come up with right calculation by just the previous prices provided by him. Murrey maths, or not.
It might not be the exact way he calculated , but again this is mathematics.

2x2= 4, 3+1 = 4, 5-1= 4 and 8/2 is also 4 ..

There are different ways to get calculate and get the same answer.
We will just need 2-3 same answers for confirmation.
  • #71
  • Mar 20, 2014 12:49pm Mar 20, 2014 12:49pm
Quoting fx01
{quote} Well, i am sure we can come up with right calculation by just the previous prices provided by him. Murrey maths, or not. It might not be the exact way he calculated , but again this is mathematics. 2x2= 4, 3+1 = 4, 5-1= 4 and 8/2 is also 4 .. There are different ways to get calculate and get the same answer. We will just need 2-3 same answers for confirmation.
Go for your life fx01- many have tried over the past two years, but if you can nail it then I will fly to wherever you, shake your hand and buy you a drink. Bobi has given a few clues (but they could be red-herrings). He says it's a very complicated calculation that involves all sorts of maths I haven't even heard of, let alone remember. He has software that calculates it.
  • #72
  • Mar 20, 2014 12:50pm Mar 20, 2014 12:50pm
Hey Favorite - welcome back man. Honoured to have you here.
  • #73
  • Mar 20, 2014 1:05pm Mar 20, 2014 1:05pm
Quoting bobha
Hollow, further to your post #52 if anyone is looking at the indices it is a matter of subtracting one MM level from the next and then multiplying by 100. And may I make a suggestion: if you change the MM figures in your template this would cut out one of the steps in the first post. Just makes it a bit easier for everyone. Cheers, Bob
Sorry bobha - I missed your contribution earlier - I'll update the first post shortly with baselines, lengths and put a new template on as you suggest.

Steve
  • #74
  • Edited 1:22pm Mar 20, 2014 1:11pm | Edited 1:22pm
Quoting hollowhead
Hey Favorite - welcome back man. Honoured to have you here.

Hi hollowhead!

Congratulations on your new thread! It is a very interesting project, and I wish you Good Luck!

Quoting hollowhead
So, this means multiplications of 122 work - that's the same as other x.xxxxx pairs. Is this a universal truth based on MM math? So if you want to trade more intraday (1hr), you could use 122 or if you are looking for longer term (4h) you would use 488. I guess you could scalp using size 61.

Now about the scalping. Have you ever tried to trade M1 using your system? I need more time to test it etc., but so far 30 for x.xxxxx pairs and 39 for xxx.xxx pairs looks promising.
Gentlemen always play by the rules. If they can't, they change the rules.
  • #75
  • Mar 20, 2014 1:26pm Mar 20, 2014 1:26pm
Quoting Favorite
{quote} Hi hollowhead! Congratulations on your new thread! It is a very interesting project, and I wish you Good Luck! {quote} Now about the scalping. Have you ever tried to trade M1 using your system? I need more time to test it etc., but so far 30 for x.xxxxx pairs and 39 for xxx.xxx pairs looks promising.
Thanks - I haven't tried scalping this. Scaping is something I want to improve on and really enjoyed your babon thread (it kinda fell apart when you left), but I find it really stressful. But your the man to find the way to scalp this.
  • #76
  • Mar 20, 2014 2:13pm Mar 20, 2014 2:13pm
Quoting hollowhead
Thanks - I haven't tried scalping this. Scaping is something I want to improve on and really enjoyed your babon thread (it kinda fell apart when you left), but I find it really stressful. But your the man to find the way to scalp this.
Gentlemen always play by the rules. If they can't, they change the rules.
  • #77
  • Mar 20, 2014 7:07pm Mar 20, 2014 7:07pm
Thanks bobha

Quoting bobha
ssaqeel. See post 49
  • #78
  • Mar 20, 2014 8:18pm Mar 20, 2014 8:18pm
Good evening friends, I am Brazilian I would like to know the following .. The price levels of Murrey Math (MM) indicator ... this values ​​are changed or remain the same? move to much and how long? For example the USD / JPY pair Level 4/8 101.563 will always be this level or 4/8 will have another price when? Grateful for the attention. I hope everyone here in Rio de Janeiro in the World Cup.
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  • #79
  • Mar 20, 2014 9:22pm Mar 20, 2014 9:22pm
How did you set this up using Ninjatrader? I think this strategy is worth checking out more.


Quoting tmoney5474
This is an example using the ES S+P futures. These are from yesterdays levels. Another quick question. If a target or stop is not hit within todays trading I assume I reset the levels and manage the trade on the new levels (High/Low) that will be created today. Is that right? {image}
  • #80
  • Mar 20, 2014 9:23pm Mar 20, 2014 9:23pm
Is it possible to use this system using Range Bars?
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