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LFX Trading Proverbs

  • #61
  • May 6, 2014 6:57pm May 6, 2014 6:57pm
As a personal request to all the trolls that read my thread and then provide their witty commentary on another thread, please do me a favor. I really do not think calling a winning technique a "Holy Grail" is appropriate. The Holy Grail was the cup used by Jesus at the Last Supper. It has nothing to do with trading and I find it extremely offensive to use that term. If you insist on classifying my technique as something "mystical", then call it a Flying Pig. Supposedly they don't exist, and that analogy is way less derogatory to our Lord and Saviour Jesus Christ.

Thank you!!
You cannot be extraordinary by being normal
  • #62
  • May 6, 2014 7:08pm May 6, 2014 7:08pm
Quoting dkrock
May 5 trading was a terrible trading day for my primary currencies. There was only one instance of a high probability trade, but I had already given up on the day and wasn't online to take it Thankfully, today was better. I do not trade EURUSD, but since it is one of the most popular pairs, here is today's example of my technique. Remember, you are only seeing one indicator. The 30M is really nice and comfortable looking The 5M is a bit more choppy. Normal trade watch hours for me are midnight to noon. On the chart, that is 0700 - 1700. This...
I think the 5M chart might be a bit more accurate but looking @ the 30M chart I think if you wait for the candle to close the entry wouldn't be as good as it may look after the fact. I don't know what your entry is for sure but looking @ the lower indi each line from one candle to the next is going to be a straight line as it plots the exact point as soon as the candle closes. Looking at each line segment the lines would be slightly open (not crossed or even touched) at the close of candle #1. At the close of candle # 2 the lines are crossed & above the MA but entry would be around 1.3908 so if exit was @ the exact high the total move would be about 41 pips. Still a nice profit but that also assumes an exit @ the exact high. Not arguing about the profitability of the method but always seems a little easier after-the-fact.
Not looking for an argument as there's plenty of those on other threads just pointing out how indis can be a bit misleading on a historical chart.
Attached Image (click to enlarge)
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  • #63
  • Edited 9:36pm May 6, 2014 7:14pm | Edited 9:36pm
I understand your point. However, I trade forward. The indicator works in real time. In fact, all the supporting indicators work in real time too. I dismiss ANYTHING and EVERYTHING that does not work. Been there, done that. I know what works consistently, in my opinion. This technique has over 14,000 hours of analysis, demo, and live trading on it. I appreciate your analysis and critique, but there is a truckload of history and knowledge behind this.

Edit: In the spirit of trader comradery, I agree it is difficult to make exact entry and exit points in every situation while reviewing historical charts. I always try to leave some wiggle room when reviewing them. Remember, you are only seeing ONE indicator, and in this case my trend line too. I opened Strategy Tester and took some screenshots for you. I hope you can see why I don't understand your candle close necessity. The 0630 candle would have stole your lunch
Attached Image(s) (click to enlarge)
Click to Enlarge Name: eurusdm30 0600.png Size: 25 KB
Click to Enlarge Name: eurusdm30 0630.png Size: 26 KB
Click to Enlarge Name: eurusdm30 0700.png Size: 29 KB
You cannot be extraordinary by being normal
  • #64
  • May 6, 2014 7:21pm May 6, 2014 7:21pm
Quoting dkrock
I understand your point. However, I trade forward. The indicator works in real time. In fact. all the supporting indicators work in real time too I dismiss ANYTHING and EVERYTHING that does not work
I know I shouldn't even respond as I'll be heading for the "ignore list" but there's a first time for everything

I agree that it looks like your indi works pretty good. I was only disagreeing with the 62 pips on the first trade as I believe you wouldn't have the buy signal until around 1.3908 so to 1.3949(exiting @ exact top) is 41 pips. While candle #2 is being created, the blue & yellow lines of the indi will be moving up & down so you'd have to "guess" that they will be crossed & above MA if you wanted to get in early enough to get the 62 pips. If you look closely @ the indi below candle #1, the lines were not crossed & were below the MA.
  • #65
  • May 6, 2014 7:27pm May 6, 2014 7:27pm
DRock,

Sure would love to get your indicators and template.
  • #66
  • Edited 9:44pm May 6, 2014 9:27pm | Edited 9:44pm
Quoting srt
{quote} I know I shouldn't even respond as I'll be heading for the "ignore list" but there's a first time for everything I agree that it looks like your indi works pretty good. I was only disagreeing with the 62 pips on the first trade as I believe you wouldn't have the buy signal until around 1.3908 so to 1.3949(exiting @ exact top) is 41 pips. While candle #2 is being created, the blue & yellow lines of the indi will be moving up & down so you'd have to "guess" that they will be crossed & above MA if you wanted to get in early enough to get...
No. We are talking about trading. That keeps you here Please read the post again. I tried to answer your query. It is not a currency I trade, so I know it was only an estimate. I have no real time data. So, I checked it out. The white line had not been crossed, but I am in the buy range, so yellow/blue crosses are legitimate. If the yellow line struggles to cross the white line, then I consider it resistance and prepare to exit for any reason. Usually, if I don't, the reversal candle is large and fast and I end up losing pips I could have kept. In a few minutes though, the yellow broke through the white easily.

In this case we have a yellow/blue cross in the buy portion of the range, a previous candle that broke above the previous high, and a trend line break. Alternately the 5M signal is also out of range. Actually, the 5M trade started at 0635. I only started counting at 0700 because it is my normal market trading start. My technique was screaming buy on both the 30M and 5M. Super high probability. Of course the issue is entry point. If I adhere to a strict 0700 trading business open time, then I would have missed the actual trade start at 0635. It is all estimation, and I try to do my best to make it as real as possible. I take analysis serious because the results determine whether or not I put real money in the market. Cheating signals or lowering my integrity to actual results, only threatens my account. But, I understand your analysis, and hope you will continue to challenge the integrity of the technique. As long as I am able to provide feedback to your feedback, and vice versa, then we all become better traders
You cannot be extraordinary by being normal
  • #67
  • Edited 10:46am May 7, 2014 8:55am | Edited 10:46am
Hi DRock, Yes- I could not resist to back engineer the indi that you show on your posted charts. Im sure that the main indi you are showing is the TDI with the white line being a added indi to the main TDI. I am not sure what the white added indi is at this time. I think its either a SMA, stochastic or a momentom indi??
That being said. Would like to know more about your sys, and I do appriciate your time to write this thread and I will read with great interest.
Live today like theres no tomorrow-- Prioritize like you will die today
  • #68
  • Edited 2:15pm May 8, 2014 1:59pm | Edited 2:15pm
Quoting iamsovereign
Hi DRock, Yes- I could not resist to back engineer the indi that you show on your posted charts. Im sure that the main indi you are showing is the TDI with the white line being a added indi to the main TDI. I am not sure what the white added indi is at this time. I think its either a SMA, stochastic or a momentom indi?? That being said. Would like to know more about your sys, and I do appriciate your time to write this thread and I will read with great interest.
In my previous post I said my system trades forward, so since the TDI updates on candle close, I do not use it.

Actually, I don't use any RSI indicators. However, if you want to use RSI indicators, I recommend the attached ones.

The slope direction line is like putting an RSI on the candles and it will change color as price goes up and down according to your input.

The QQEA is similar to RSI, but allows for crossovers. While you can add levels 30 and 70 for the high and low, I think 45 and 55 will do you more good. You can use other indicators to find high and low, but if the main line is in between the 45 and 55, it shows consolidation. Up to you how you use it though.

The QQE Pcm is another really nice tool. With it you have 0 line crosses, main line crossovers, and a couple of alerts. It allows for the most customization.

I also have an indicator that transforms your TDI into a histogram, if you are interested in using TDI. I also have a TDI that provides you visual alerts, meaning it tells you trend direction and buy/sell recommendations. Let me know.

Here is a pic so you can see them.
Attached Image (click to enlarge)
Click to Enlarge Name: eurusdm30.png Size: 36 KB
Attached File(s)
File Type: mq4 Slope Direction Line.mq4   4 KB | 794 downloads
File Type: mq4 QQEA.mq4   3 KB | 933 downloads
File Type: mq4 QQE Pcm smoothed new histo alerts.mq4   10 KB | 1,018 downloads
File Type: mq4 Traders_Dynamic_Index_VISUAL_ALERTS New.mq4   20 KB | 879 downloads
You cannot be extraordinary by being normal
  • #69
  • May 8, 2014 2:41pm May 8, 2014 2:41pm
How do you get the Bollinger Bands in the lower window? I tried and they keep going in top window.
  • #70
  • May 8, 2014 3:48pm May 8, 2014 3:48pm
Quoting rcbarlow
How do you get the Bollinger Bands in the lower window? I tried and they keep going in top window.
Change the base price to First Indicator data, then it should show up down below.
  • #71
  • May 8, 2014 5:33pm May 8, 2014 5:33pm
Quoting rcbarlow
How do you get the Bollinger Bands in the lower window? I tried and they keep going in top window.
Ive attached the TDI indi that will give you the BB bands and the cross over mas that you have seen on dkrocks charts. (it looks the same - only gussing here)
Just make sure that you have the colors set to on- 1, 2, 3, colors in the TDI settings, this will be the BB bands. In the inputs - you can change settings for the volatilty bands as well.

Attached File(s)
File Type: mq4 TDI Red Green.mq4   9 KB | 671 downloads
Live today like theres no tomorrow-- Prioritize like you will die today
  • #72
  • Edited 6:02pm May 8, 2014 5:40pm | Edited 6:02pm
Quoting dkrock
{quote} In my previous post I said my system trades forward, so since the TDI updates on candle close, I do not use it. Actually, I don't use any RSI indicators. However, if you want to use RSI indicators, I recommend the attached ones. The slope direction line is like putting an RSI on the candles and it will change color as price goes up and down according to your input. The QQEA is similar to RSI, but allows for crossovers. While you can add levels 30 and 70 for the high and low, I think 45 and 55 will do you more good. You can use other indicators...
Thanks Dkrock for the reply, Your sejestions are very much apprisiated, I will be cking and trying some of your sejestions.

I am not indicator heavy in my trading. but always wanting to learn for am I a gaget type of person. If I find benifit I will conform, always flexible.
Key words- my system trades forward.
Live today like theres no tomorrow-- Prioritize like you will die today
  • #73
  • May 9, 2014 12:03am May 9, 2014 12:03am
Quoting iamsovereign
{quote} Ive attached the TDI indi that will give you the BB bands and the cross over mas that you have seen on dkrocks charts. (it looks the same - only gussing here) Just make sure that you have the colors set to on- 1, 2, 3, colors in the TDI settings, this will be the BB bands. In the inputs - you can change settings for the volatilty bands as well. {file}
Just to be clear, I do not use the TDI.

I mentioned about the TDI histogram. It points to Red Green, so since that is the TDI you use, it is ready to go This indicator will transform your TDI from lines to bars.

For everyone else, you must have both Red Green and this indicator in order for it to work. It pulls its data from the Red Green TDI that iamsovereign provided in Post 71.
Attached File(s)
File Type: mq4 TDI_Histo.mq4   2 KB | 718 downloads
You cannot be extraordinary by being normal
  • #74
  • Edited 1:02am May 9, 2014 12:36am | Edited 1:02am
Quoting candero
{quote} Change the base price to First Indicator data, then it should show up down below.
Thank you for helping candero.

rcbarlow,
If you are using the Bollinger bands in the "Indicators" file, then you left click your mouse and hold it down. Drag the Bollinger band on top of the indicator. Then let go. Where it says "Apply To" click on the drop box. It probably says Close. Highlight "First Indicator's Data" and left click. Input your period, deviations, and color choice, and then click "OK".

If you are going to use a combination of Bollinger band and moving averages, the Bollinger band MUST be the first indicator you add. Otherwise it could attach itself to one of your moving averages. Unfortunately you can only put ONE Bollinger band on top of an indicator. Any additional Bollinger bands will attach to the first Bollinger band and not the main indicator. However, you can input multiple moving averages as long as you input them against the first indicator. If you input a moving average against the "previous indicator's data" and there is already a Bollinger band or moving average on the indicator, it will draw to one of them and NOT to your main indicator.

Just pay attention as you add Bollinger bands and moving averages to indicators. The order to add them is a little tricky.
You cannot be extraordinary by being normal
  • #75
  • May 9, 2014 7:04am May 9, 2014 7:04am
dkrock,

Thank you very much for your informative reply.
  • #76
  • May 9, 2014 5:09pm May 9, 2014 5:09pm
Quoting rcbarlow
dkrock, Thank you very much for your informative reply.
You are welcome. I know you are anxious to work on your ideas, so I wanted to be sure you had enough information on how to create elaborate tools
You cannot be extraordinary by being normal
  • #77
  • Edited 5:36pm May 9, 2014 5:10pm | Edited 5:36pm
Today's trading was the easiest I have seen in weeks!! I wish they were all this predictable I hope you did well

Here is today's EURUSD 5Mchart using the QQE PCM indicator I showed you in Post 68. I don't use this indicator so it is not quite as accurate as what I do, but it shows you what is possible once you understand the concept of equilibrium. These results indicate being the market continuously, so you can see they need some additional filter.

Gross 93 pips - (6 trades @ 2 pips spread each) = 81 pips net.
Attached Image (click to enlarge)
Click to Enlarge Name: eurusdm5.png Size: 52 KB
You cannot be extraordinary by being normal
  • #78
  • May 10, 2014 1:58pm May 10, 2014 1:58pm
Any chance of telling us what settings you are using?
  • #79
  • May 12, 2014 5:09am May 12, 2014 5:09am
Quoting dkrock
Today's trading was the easiest I have seen in weeks!! I wish they were all this predictable I hope you did well Here is today's EURUSD 5Mchart using the QQE PCM indicator I showed you in Post 68. I don't use this indicator so it is not quite as accurate as what I do, but it shows you what is possible once you understand the concept of equilibrium. These results indicate being the market continuously, so you can see they need some additional filter. Gross 93 pips - (6 trades @ 2 pips spread each) = 81 pips net. {image}
Dk, the middle line (zero line) in QQE, do you consider it as the equilibrium or the apex of it?
  • #80
  • May 12, 2014 1:46pm May 12, 2014 1:46pm
Quoting candero
{quote} Dk, the middle line (zero line) in QQE, do you consider it as the equilibrium or the apex of it?
The 0 line would be equilibrium. So the apex would be when the indicator is farthest away from the 0 line, although with this indicator it is sometimes the 0 line cross. You can see the indicator signal is pretty choppy too.

Because this indicator shows inconsistent apex's, it is one reason I do not use it. If you just want it to be an entry signal, then it might be useful to you, but the exit signal is inconsistent to me.
You cannot be extraordinary by being normal
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