Cutting the cord with M1 scalps

I have seen this available and even played with it a little, but I will admit that I do not know how to use it. How are you using it?

Well there are 5 basic orders that can be had. Buy-limit or stop, sell-limit or stop, or market. The 1st four are done by clicking in an order next to an appropriate price. The market order is done by clicking the buy or sell order at the bottom. The way it works is it lists a range of prices, top part pink, bottom part blue. the point where they meet is the current bid/ask. If say - I want to get an order in to sell, say I feel like price has come down, but it I believe it's going to come back up and retest a certain level - I can then click on that arrow next to the level I want in the Depth of Market tool - or DOM. So for instance - AUD just hit .88000 going down - say I wanted to try to get back in @ .88031 - I would then click an order then @ that spot on the DOM. It's just a way to place pending orders. Of course - it's not quite that simple - the other thing that has to be considered is whatever your spread is. So if I want an order @ .88031, I would need to back out the spread - say it's 1 pip just for simplicity sake - I'd put it in @ .88021. It may seem a bit odd if you haven't used it before. But once you've used it, and gotten handy @ it - it's an invaluable tool - saves a ton of keystrokes and/or clicks of the mouse.

Mongolian

Also - you can set your Stop, lot size and take profit - all from the bottom of the DOM there. I know you can probably see it, but just wanted to add. Also - the close button. I like that.

I took this trade off the M5 chart. You can see how obvious it was as a buy, not a sell, on the M1 chart however. I shall stick with my M1 charts.

In this one now. More in line with what I am supposed to be doing. Unfortunately, not working.

first trade today. Entered based on strong vs weak, MAs, and stoch at top and crossing down. Did not pay attention to the red RmDn, oops. It drew back to the 70 SMA then came down , the 0.5 is about as good as it was going to get. I got out because of obvious lack of momentum and pinbar on M5 and M15.

After a disastrous day yesterday, I will take what I can get. I did notice that many of my entries are between midquarters and quarters vs. being on them. That might be a good fix to help me out. In this trade, If I had the sell placed at the midquarter, my 0.5 turns into 5 pips.

This is what I have been waiting for the past hour. The pop north. I did not take the trade on the first retest because the CCI never went to -100.

Hope you caught it , I'm going to hold this one as its just reversed see What I get out of it????

Out for nout!!!

just can't trust these one minute charts, gonna go up a timeframe or two and start an end of day system using an EA that enters and trades exactly as I do but on a 5 min chart. The idea is to trade daily top trenders off of a 10lwma on my TTindy and then whenever the 5 min 100lwma turns in the direction of the daily trend my EA takes every 8 CCI signal there after and holds until 100lwma turns back down... Then bank top couple of entries and leave the first entry to ride the daily trend until the 10 lwma turns back down...

Means I can work whilst my trading is going on in the background slowly building my account up until I can cut that bloody cord, once and for good...

Wanna join me????

Sounds interesting. I have never been an EA guy because they invariably fail at some point. As long as you tweak it when markets change you will be alright I suppose. I will look at that on a manual basis first.

As opposed to manual traders like you and me who don't fail???????

Clive, can you be kind and put all this on a chart and post it?
sounds interesting, but I am kind a visual type when it comes to trades, I think

I am fully with you about M1 alone being sort of hard on a trader. Almost all my trades come from M5 for this reason...on the other hand M1 is a good trigger to those.

Hi Profitfarmer, love that name....

yea I know what you mean "a picture paints a thousand words" sure I will do it later when I get home as at work right now, but the theory is very simple, price can only go up or down, its not complicated so all we want is to identify a strong trending daily chart with its 10 lwma almost vertical then I think its fair to say whenever its 5 min 100lwma slopes up we should be buying the nuts off it shouldn't we????

Well my little EA called, wave trader, does exactly that soon as the 100lwma turns up on the 5 min it starts buying every dip, pullback., eg CCI signal until the 100lwma turns back down again. Then it banks all open trades apart from the first one that is left to hold on the daily 10lwma turning back down. So what we're doing is buying the daily trend on a 5min timeframe, I can show you some runs where we would of made thousands of pips doing just that on the strategy tester.

Its really clever because if 5 min keeps going down it won't take a single trade. However soon as it turns up its all over it like a rash.... Bank profits from each run and let the first entry hold see if it sticks through the inevitable 70% pullback. If you can imagine a 30 day run when the 10lwma just points up then there would probably be a 5 min 100lwma turn up everyday so there would be 30 trades holding one from each day. A typical 30 day run on say gbpusd could be as much as a 1,000 pips with 30 little 5 min trades holding plus all the 5min entries we would of banked...

The key is to identify when to drop the wave trader on which I reckon is after a daily pullback say a couple of red candles, but the truth is as long as the price doesn't turn up it wont trade...so no harm done if it doesn't turn back up with the daily trend. Only problem is if it turns up then quickly turns back down, thats your losing trade but the secret is very small losses compared to when we get it right BIG BIG winners...

Its an end of day system because all we do is identify strong trending daily pairs that we believe are going to turn back with the trend the next day and drop it on. Thats the key identifying those days???

anyway must get back to work catch up later...

Sorry capstone hope you don't mind me hijacking your thread today will move to mine if you like...

thx Clive, let me know when/where you post that pic.
I am always open for new ideas, but not prefer forward testing of them.

like capstone M1 chart divergences...only found too many whipsaws to let use of tight SL, and too many fake moves to make it worth.
but without trial, there wont be knowing.
40-50 live trades already enough to get a feel if to continue or look other options rather.

Lol. That is true. Some people love EAs, I m not one of them however. I will be interested to see your progress on it! I do not mind the idea of using the daily to determine your bias. That is what Udine does in his thread. It makes sense and is based on sound ideas.

Hmmm I'm not convinced the daily direction does us much good on the 1 minute timeframe as its just too far away and nearly every good move up on the 1 min has a 70% plus retrace. You wouldn't think so if its moving up the page but the overlaps are enormous bit like a drunk walking home 2 steps forward and 3 back but he still gets home somehow...

No I'm only talking about the top 3 daily pairs that have the steepest 10 lwma slope so pretty much just going in one direction and only then I'm thinking 5 minute direction not 1 minute. Heres my TTindy setup for the 100lwma on the 1 min and the 10lwma on the daily.



Top 3 daily pairs are GBPJPY,CADJPY and AUDJPY so lets look at their three 5 min charts with just the 100sma (its smoother than lwma) and no candles for clarity. The vertical lines are market opens yellow and green FO and LO red NYO and dark green Sydney and brown Tokyo. Notice how these moves start at market opens??







Heres the AUDJPY chart zoomed in a bit closer with the candles back on and I've marked all the CCI signals with it set at 8.

Can you see how the 5min 100sma turns up green and then take a look at the CCI signals that follow each turn up , see how many entries there are??? I did a quick strategy test on this run alone and it made just over $234.76 at 0.1 lots per trade.



The EA does exactly what I do when I trade the 1 min , it waits for the 5 min 100lwma to turn up then buys every dip eg CCI signal I'm thinking of changing the CCI signals to a 14 or maybe 20 period just to reduce the risk a bit. It holds these trades until the SMA turns back down again then it closes out all trades , the last few would probably be losers but the first 13 would be winners. By the way it puts the trades to BE after the 2nd pullback turns back up so basically waits for one retest of your entry then goes to BE, usually we don't have more than 2 trades at risk, not at BE at any one time.

I'm chatting to Ted about changing it so that when the 5min sma turns it closes out all trades apart from the first one and holds that until the daily 10lwma turns south again.Basically we're loading the daily run on each turn up with one trade to run and banking the others, I've found if they get left on then the retracement takes them all out so best to bank each run. If a daily pair goes the same way for say 30 days then you would have 30 days of banking profits and 30 trades holding until the 10lwma turns back down.

The beauty of this whole setup is that if you're right about direction and the daily trend continues you make a fortune but if wrong you lose a relatively small amount. The ultimate of a successful trader, small losses big winners and by trading the daily trend but entering on the 5 min timeframe hopefully a lot bigger winners!!!

All done automatically whilst you sleep or work..... Just have a look at it at end of each day and choose the pairs to drop it on for the next day. Basically our top 3 TTindy trenders or maybe a possible reversal trade on a daily that if it reverses makes us some money but if it doesn't and the 100lsma doesn't turn nothing lost...

I've done some back testing and if you catch a move the results are unbelievable. Now heres the scary bit, if you drop it on and you're wrong and the price plummets downwards , no problem as the SMA never turns up it won't take a single trade. Of course if it turns up for a while then turns down you will have some losers but the idea is to drop it on strong trending daily pairs only so shouldn't really happen as you can see from the examples above...once the 5 min turns up it keeps going for a while...

Lastly just have a look at this GBPAUD chart just to wet your appetite I've done a strategy tester run on that 1440 pip run, look how vertical the 10lwma is it would of surely been top of our TTindy???



Heres the report....



Couple of figures to note here:

That was a 17 day run, a month basically.
Trade size was fixed at 0.1 lots $1 per pip basically.
Total profit $13,928.80 thats 13,928 pips.
Average winner $338.35 average loser $16.33 thats an average RR of 1:21:drooling_face:
Largest winner $1113.18 largest loser $88.09
Absolute drawdown $93.24

Not bad figures are they??? Oh and by the way, this could of been acheived on a $1,000 account....Makes you think doesn't it???

Now I know I hand picked that run and I wouldn't expect to get that every month for sure but to be honest theres been a lot bigger runs in the past I just picked that one because it was recent and I had enough data to test it. I've tested it on smaller runs and the results are just as impressive. The point is it proves this EA can make money when you catch a daily run all we have to do is place it on the right pair, the beauty of it is if you're wrong and price goes totally the opposite way no damage done as it won't take a single trade and if it does turn up and straight back down then a relatively small loser.

In fact I recommend putting it on when price is going the wrong way, pulling back, and when it turns back up away it will go...

Well there you go, a lot of forward testing to be done on it yet but its early days and I'm testing it on my demo if it proves to work well we're away....

Sorry to clog up your thread but this is the last time I do it but I had to show you this little beauty, been messing around running strategy tester on a few setups we might have traded and so I tested it on this chart of CADJPY...

Its 10lwma is nearly vertical so its top of my hrly TTindy which by the way is set to 240 equating to a 10lwma on the daily. Just had 2 pullback days so drop on EA ready for a turn up back with the trend next day...



heres the strategy tester results...



It made $856.05 in just 3 days trading with 0.1 lots trade size, some great figures are:

Absolute drawdown $19.83
average winner $69.42
average loser $3.86 which means an average RR of 1:18
Total profit $856.05 which equates to 856 pips!!!

To test what happens when you get it wrong I ran the same test but selling only so tried to sell whenever 100sma turned down, so about as wrong as you can get it for 3 days and guess how much it lost???? $44.07 !!! And that was a complete opposite to against a massive uptrend!!! See what I mean ??? when you get it wrong its peanuts compared to getting it right!!! In fact the first day going the wrong way would of lost you $11.82...after that you might take it off...

Crazy results or what????

catch up with you tomoz, gotta do some more back testing this is getting me excited....

A couple of winners last week that never got posted. They can be seen in the TE. Here was a late lunch trade on EURUSD. Wanted to hit the 50 BRN, but I have an apt in a couple of minutes, so I cannot wait on this trade. I owe, I owe, so off to work I go....

I played some cards last night...so I am tired! I have not even opened a chart yet today. I love playing cards though, especially when I walk away with profit.

what do you play?