The similarity system | Page 377 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Similarity: A Practical Approach 859 replies

Similarity Trading - The ZZBB Method 215 replies

Rainbow similarity 256 replies

Similarity Stuff 17 replies

Directional Similarity 0 replies

Attachments: The similarity system
Exit Attachments

The similarity system

  • #7,521
  • Sep 5, 2014 12:16pm Sep 5, 2014 12:16pm
Quoting samaralala
{quote} so what are you doing now? Long/SHORT?
I am currently still short from 2967, stops to BE.
Debating whether to close at 48 and call it a week.

I am still bear biased. However on the very short term, given where price is, I have a sneaking suspicion that may continue to consolidate. But not really sure.
1H and 15M sequence suggests the next one is down. This is what worries me.... if it does print a bottom on the 15M and it doesn't clear 2920 then we're sideways. What I wish won't happen is sideways until Thurs or Friday.... 3 days of meat grinder.

Attached Image (click to enlarge)
Click to Enlarge Name: EURUSD-1H.JPG Size: 165 KB
A pip is only worth it if you know how much you risked to earn it
  • #7,522
  • Sep 5, 2014 12:18pm Sep 5, 2014 12:18pm
Quoting LITEchild
{quote} That is actually another of my closely guided secrets with respect to TIMING When two consecutive timeframes agrees on a 'sell' or a 'buy', go the next lower timeframe, and trade the next signal in the direction of the 2 higher timeframes! In your case, I would have taken that 15M sell. The joker is working out the right EXIT. {image}
That is essentially what this thread is all about. Yours has included the MTF approach as well, I use it that way also.
  • #7,523
  • Sep 5, 2014 12:20pm Sep 5, 2014 12:20pm
Quoting LITEchild
{quote} That is actually another of my closely guided secrets with respect to TIMING When two consecutive timeframes agrees on a 'sell' or a 'buy', go the next lower timeframe, and trade the next signal in the direction of the 2 higher timeframes! In your case, I would have taken that 15M sell. The joker is working out the right EXIT. {image}

I like your picture what indicators do you use for it?
If you fall, I shall be there. - The floor
  • #7,524
  • Sep 5, 2014 12:20pm Sep 5, 2014 12:20pm
Quoting LITEchild
{quote} That is actually another of my closely guided secrets with respect to TIMING When two consecutive timeframes agrees on a 'sell' or a 'buy', go the next lower timeframe, and trade the next signal in the direction of the 2 higher timeframes! In your case, I would have taken that 15M sell. The joker is working out the right EXIT. {image}
This is one of the "techniques" I used in private for my ZZBB method.
Hence why I use 1H and 15M. The daily direction I ignore from charts as it is known but is reviewed....err daily! LOL
Sync'd legs are powerful.

It's something that I learned from Bradley Cowan using a known scientific phenomenon called sympathetic resonance as well as harmonic resonance.
I play music so it makes sense to me when "things that vibrate" are in sync.

p.s. As an aside, what will really blow people's minds is how these vibrations can be correlated to astronomical timings as well. I've never researched it for FX but does well on indices and futures.
A pip is only worth it if you know how much you risked to earn it
  • #7,525
  • Sep 5, 2014 12:22pm Sep 5, 2014 12:22pm
Alright folks!
It is Beer O'clock!

It's been emotional. Have a brilliant weekend.... let's do this again! LOL

A pip is only worth it if you know how much you risked to earn it
  • #7,526
  • Sep 5, 2014 12:33pm Sep 5, 2014 12:33pm
Quoting samaralala
{quote} I like your picture what indicators do you use for it?
I'm still drawing them manually. I'm having it custom coded right now as we speak. But sometimes I still use the regular MT4 ZZ indie. It's not really the tool per se. It's understanding what you're doing and what the data you're looking at is telling you.
  • #7,527
  • Sep 5, 2014 12:35pm Sep 5, 2014 12:35pm
Quoting Baillie
{quote} That is essentially what this thread is all about. Yours has included the MTF approach as well, I use it that way also.
  • #7,528
  • Sep 5, 2014 12:55pm Sep 5, 2014 12:55pm
IBFX client;s will be transferred to FXCM on sept. 19
IBFX chose not to service individual mt4 platform accounts
any idea how good fxcm are
and what the hell is going on:
first american customers had to switch brokers
now one of the biggest U.S. based brokers is closing it.s doors to private clients
any ideas?
i know its off topic but just wanted to let you guys know.
thanks
  • #7,529
  • Sep 5, 2014 8:44pm Sep 5, 2014 8:44pm
Quoting burnssss
{quote} Can you explain a little more about these signals. (h, k) random? thank you very much
Hi burnssss.

If we assume proposition 1 is true (that is there exists h-recurrent price almost surely)
=>once we identify the transient price forming, we can say that it is very good candidate for a true transient price (because price is almost surely h-recurrent)
=>if price is above the transient price, place buy order (in the hope of price will not touch the transient zone). and vice versa.
=>if price touched the transient price, stop loss.

I choose (h,k) intuitively. so I do not remember what value I have used. At least (h,k) was constant.

Do you have any idea about DNA and revolution? I think we are looking to the same direction.

Quoting Paradiso88
{quote} Nice picture jimsterk. Do you mean after we put some orders, then we must change the h & k value ? Or do you mean something else ?
Hi Paradiso88.

I think we should stick to the constant (h,k).
Although we can use a set of (h,k) depending on the number (and ratio) of trade, I think it is better to try to find the best one.


The problem is that if we assume (h,k) is constant forever but the market is relatively less (or more) volatile like recent eurusd movement,
the probability of transient is really low (less than 0.1% I think).
So I can not place many orders.
EURUSDD seems to place orders with using recurrent price, but I still have no idea about how.
To me, if we want to trade with recurrent price, I think we will have to face and hold drawdown. I do not like drawdown.
Attached Image (click to enlarge)
Click to Enlarge Name: pic1.png Size: 30 KB

Above picture is recent eurusd movement.
Market is less volatile, and only 4 orders are placed from April to yesterday. (last one is not in the picture, but it is 2 days ago at around 1.29200)
All 4 orders worked well though.

Thank you.
  • #7,530
  • Sep 6, 2014 1:51am Sep 6, 2014 1:51am
jimsterk,

The chart is zoomed out too much. And the red indicator makes it even harder to read the bars within those 3 TRZ areas you highlighted. I don't how big your h value is. But there seems to be quite a few more TRZ to play with in this chart.
  • #7,531
  • Sep 6, 2014 4:22am Sep 6, 2014 4:22am
Quoting jimsterk
{quote} Hi burnssss. If we assume proposition 1 is true (that is there exists h-recurrent price almost surely) =>once we identify the transient price forming, we can say that it is very good candidate for a true transient price (because price is almost surely h-recurrent) =>if price is above the transient price, place buy order (in the hope of price will not touch the transient zone). and vice versa. =>if price touched the transient price, stop loss. I choose (h,k) intuitively. so I do not remember what value I have used. At least (h,k) was constant....

Ultimately though, ugh, the net effect is just picking tops and bottoms. No different to any ZigZag.
i don't believe you can use TZ/RZ purely on its own. What about inflection points between T bars?

I believe the discovery of treating separately the occurances of h befor and after current time t is relevant. One idea of k is SL size.... See where that goes. GL
A pip is only worth it if you know how much you risked to earn it
  • #7,532
  • Sep 6, 2014 4:46am Sep 6, 2014 4:46am
vlady - read that you had a chance to see Cloggie trading live. That must have been an education - that guy is a legend.
  • #7,533
  • Sep 6, 2014 4:48am Sep 6, 2014 4:48am
Quoting jimsterk
{quote} Hi burnssss. If we assume proposition 1 is true (that is there exists h-recurrent price almost surely) =>once we identify the transient price forming, we can say that it is very good candidate for a true transient price (because price is almost surely h-recurrent) =>if price is above the transient price, place buy order (in the hope of price will not touch the transient zone). and vice versa. =>if price touched the transient price, stop loss. I choose (h,k) intuitively. so I do not remember what value I have used. At least (h,k) was constant....
Hi jimmsterk,
care, transient areas not work as support / resistance.
By this I mean, only trade in recurrent area. Secure Pips.
example:
if you're currently in an area A, above this zone A is the transient area, you assume recurrent area above the transient area. Any area in the recurring price has 97% probabilities that return to the transient area "h" bars.
For now I find a conclusion from DNA created by eurusdd and type of process used in transient / recurrent area.
Is the independence of variables is assumed, whereby all kinds of combinations are created. Sounds like a smart solution, but probably many combinations processing is a very heavy task.
Pay attention to the following event.
Being A = bullish bar, and B = bearish bar, if h = 5, we have;
X = {A A A A A},
You assume that the coming 5 bars be A?
  • #7,534
  • Edited 10:51am Sep 6, 2014 10:36am | Edited 10:51am
Quoting vlady1974
Coming up to London closing time, the NFP was a bit of pickle to navigate. I must have scalped 15-20 pips and left 20 on the table before finally settling on a short at 2967 with a stop at BE. It's been a bit crazy so I don't mind now if it gets hit. ==============
Thanks Vlady, These help me a lot. I am agree, although we are using scalping method, we must calculate our SL size, it is the key. I love harmonic too ...

Is this an example of a harmonic of 2 different TF ?
http://www.youtube.com/watch?v=Hjm1-fHeUQ8&index=9&list=RDn9xTt9PMuUM
  • #7,535
  • Sep 6, 2014 10:47am Sep 6, 2014 10:47am
Quoting burnssss
{quote} Hi jimmsterk, care, transient areas not work as support / resistance. By this I mean, only trade in recurrent area. Secure Pips. example: if you're currently in an area A, above this zone A is the transient area, you assume recurrent area above the transient area. Any area in the recurring price has 97% probabilities that return to the transient area "h" bars. For now I find a conclusion from DNA created by eurusdd and type of process used in transient / recurrent area. Is the independence of variables is assumed, whereby all kinds of combinations...
Thanks burnssss. It will have a big probability that one of the next 5 bars is B.
Am i right about it ? I think this becomes an Ultimately though ... ?
  • #7,536
  • Sep 6, 2014 10:52am Sep 6, 2014 10:52am
Quoting cielo55588
{quote} Thanks burnssss. It will have a big probability that one of the next 5 bars is B. Am i right about it ?
Yes cielo55588
  • #7,537
  • Sep 7, 2014 5:43am Sep 7, 2014 5:43am
Sunday, some free quiet time to kill.

Transient zone is price range untouched by h number of bars left and right.

What about the opposite. A zone where price is touched by h number of bars left and right. I wonder if there's something there to check out.
  • #7,538
  • Sep 7, 2014 1:08pm Sep 7, 2014 1:08pm
Hi,
First of all, i want to thank Eurussd and all of members here. This is really nice thread i have ever found. I have read this thread, and other Eurusdd's threads. It takes long time, more than 1 month for me to understand these. But i am happy, finally i can finish read them all, and i found it is so amazing.
I have traded Forex for some years (not a full time trader), and i got loss, and loss, and loss . The good indicators i found was : 3 EMA cross for long term trading (H4) and Fibo retrace level (harmonic pattern). I like scalping, so i tried 3 EMA cross on M5, which later blow up my account.
After i find these threads, i am so sure it can help me to recover my loss ....
I will try my best to post what i know about this system, and i am sure you all can help me to reach my target, i see a good discussion from all of you here.
This is my first post, the image describes what i understand from this system. Is my image right ?
Thank you in advance for your kindness ...
Attached Image (click to enlarge)
Click to Enlarge Name: EU-M30-TZRZ.jpg Size: 100 KB
  • #7,539
  • Sep 7, 2014 3:05pm Sep 7, 2014 3:05pm
Quoting Eurusdd
What is pulling EURUSD down? A hint is on the chart below! However, I have already traded this move and the window is closing!{image}
How did you trade that move? Did you sell, or did you buy?
  • #7,540
  • Sep 7, 2014 3:53pm Sep 7, 2014 3:53pm
[quote=Eurusdd, Post 54: "...........I expected a similarity at A after the 1hr bar closed but none appeared.........."

Which bar do you mean? The green one, pointed by your arrow, or the previous red one?

"...so that means price had to go up before it can come down again in order to get similarity!!!.... "

How do you know that price had to go up, before it can come down? It's not clear how you make your trade decisions. Thank You!
8 traders viewing now