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The DIBS Method... No Free Lunch continues

  • #10,541
  • May 6, 2015 4:03am May 6, 2015 4:03am
Quoting zghnno
<p>{quote} I'm just asking how you manage the winners using ema without using the ema as a filter for entries. Many said they use ema to exit the free runners. None of them mentioned the same ema for entries.
It does not require an EMA for entries. Go long only above Open Line using Inside Bars, short below open line. Which pairs to choose? The Hot ones? which ones are hot? the ones that are moving/have moved the most. Dont play catch up, go with hot ones. Don't think GU has not moved yet, it will catch up ignore it , go with EU if its moving. that sort of thing. if you don't know where to exit, well firstly you should know it before you make entries, but the simplest most effective way besides following an moving average is to exit at profit target zone around 1:5 nothing less than 1:3. But you must first convert it into 1:1 Break even trades.

my 2 cents worth
"...Look for 5:1 RR. I can be wrong 8/10 time yet I'm not gonna lose" PTJ
  • #10,542
  • May 6, 2015 4:40am May 6, 2015 4:40am
Quoting dustbin
{quote} It does not require an EMA for entries. Go long only above Open Line using Inside Bars, short below open line. Which pairs to choose? The Hot ones? which ones are hot? the ones that are moving/have moved the most. Dont play catch up, go with hot ones. Don't think GU has not moved yet, it will catch up ignore it , go with EU if its moving. that sort of thing. if you don't know where to exit, well firstly you should know it before you make entries, but the simplest most effective way besides following an moving average is to exit at profit...
It all make sense except the taking profit... 1:5 (or whatever ever number for the rewqrd) isn't what PC taught. The message was to let it run... How far depends on one's exit method. One way to exit is an EMA. Which brings the question of what to do for days that on the other side of EMA. Example: You decide to exit the free runner on 100 EMA on the daily chart. The trend is down on the daily.. You have an up day with strong pair and perfect setup, you enter long with stop loss below the low of the inside bar. You take half off at1:1... Now the big question what to do with this runner since the price is already below 100 EMA on the daily chart.
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  • #10,543
  • May 6, 2015 4:49am May 6, 2015 4:49am
You wait for price to go on the correct side of the ema first, (because what you have done is that you've taken a DIBS against the trend on the daily time frame. so if you use 100 ema/smal to define your trend then you'll wait for price to cross it. if it carries on in that direction and somewhere a few weeks or months down the line closes down ema. you may take your profits. meanwhile during this journey you may keep taking trades and keep converting them into free trades and allow them to pile up. The "structure" that pc refers to is this.
"...Look for 5:1 RR. I can be wrong 8/10 time yet I'm not gonna lose" PTJ
  • #10,544
  • May 6, 2015 5:08am May 6, 2015 5:08am
Quoting dustbin
You wait for price to go on the correct side of the ema first

Exactly that was my point. Effectively you're saying to include ema as a filter for entries.

This is the only explanation for those who want to use ema to exit the free runner. You have to check if the price above /below the ema when you enter.
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  • #10,545
  • May 6, 2015 5:10am May 6, 2015 5:10am
I'm not saying use it as filter.
"...Look for 5:1 RR. I can be wrong 8/10 time yet I'm not gonna lose" PTJ
  • #10,546
  • May 6, 2015 7:30am May 6, 2015 7:30am
Quoting dfumagalli
I have a question. Assuming I have a typical NY close (GMT-4 / -5) broker with no ability to change the platform time zone, can I achieve an equivalent result by: 1) I open the platform on the hourly time frame. 2) I count 10-11 hourly bars from the NY close bar. This should point me from the -4 / -5 bar to the GMT+6 hourly bar. 3) I take such bar close, which should be exactly the same price I'd see if I looked at the daily chart on a GMT+6 chart. 4) At that point I may draw a vertical line and start looking for DIBS entries for 9-10 hours past...
Anyone could pretty please reply to this question? Thanks.
  • #10,547
  • May 6, 2015 7:36am May 6, 2015 7:36am
zghnno

I think you are trying to complicate what is a simple strategy the way PeterCrowns explained it. I don't want to tell you what to do, but if it was me I would just stick with what Peter says in all of his posts and ignore everything else. Also, exiting with a profit is the most difficult part of trading, unless one uses a fixed t/p. No one gets it exactly right.

Just my opinion.
  • #10,548
  • Edited 1:57am May 7, 2015 1:31am | Edited 1:57am
Quoting dfumagalli
I have a question. Assuming I have a typical NY close (GMT-4 / -5) broker with no ability to change the platform time zone, can I achieve an equivalent result by: 1) I open the platform on the hourly time frame. 2) I count 10-11 hourly bars from the NY close bar. This should point me from the -4 / -5 bar to the GMT+6 hourly bar. 3) I take such bar close, which should be exactly the same price I'd see if I looked at the daily chart on a GMT+6 chart. 4) At that point I may draw a vertical line and start looking for DIBS entries for 9-10 hours past...

Hello!

I would try to answer your question.

Look... it is everything crystall clear here. Do not look too much at daily candles if your broker's time does not match with the European working hours.

Just look at your hourly chart. Find the open time of Europe - and there you have your starting time. Daily charts are more for overall analysis, or for trailing stops. You enter at hourly chart. So just look there for entry. Easy?

Draw horizontal line if you like from the trading start hour. That's it. And then just try not to close your winning trades too fast. Let them develop. Some times you could catch some hundreds-pipping move just from 9-12 pips risk. By trading this method you let the market give you pips or not. It is not about you clever trader. Is about you letting the market give you pips. Not every day of course, and not every month. But time from time.

Good luck!
  • #10,549
  • May 7, 2015 1:42am May 7, 2015 1:42am
Now... look at this example.

I just took one of millions possible trades on Eur/Usd (this is cherry picked example of course, just to show the power of this method. To catch such moves you have tireless trade day in day out, every day. Because no one tells you exactly when such a trend starts. And you could see form the pictures - this is no very smooth move. But it gives pips anyway.)

If you wouldn't catch such moves - this method wouldn't work for you. How to catch them? You have to trade every day.
Attached Image(s) (click to enlarge)
Click to Enlarge Name: EURUSDH1.png Size: 47 KB
Click to Enlarge Name: EURUSDH1_2.png Size: 53 KB
Click to Enlarge Name: EURUSDH1_3.png Size: 61 KB
  • #10,550
  • May 7, 2015 1:44am May 7, 2015 1:44am
How to bigger your chances? Try to open trades in the direction of the bigger timeframes's trends.

You see - when the market moves somewhere - you could do nothing but only make pips, or be not in the position. DIBS allows you to be in the position time before the market starts moving.
  • #10,551
  • May 7, 2015 1:51am May 7, 2015 1:51am
Quoting dim4ik42
Now... look at this example. I just took one of millions possible trades on Eur/Usd (this is cherry picked example of course, just to show the power of this method. To catch such moves you have tireless trade day in day out, every day. Because no one tells you exactly when such a trend starts. And you could see form the pictures - this is no very smooth move. But it gives pips anyway.) If you wouldn't catch such moves - this method wouldn't work for you. How to catch them? You have to trade every day. {image} {image} {image}

This is your goal by trading this method. These moves will be happen sooner or later. Your goal is to be IN from the very get go, or very close to its start. DIBS gives you such a possibility. Your mentality has to let you trail such winning trades long enough. It is not about win money every day or every month.

Entry is not so important in this method. Entry DIBS gives you very small risk. EXIT is the power of this method. Do not make it very complicate. Just look at my pictures. Moves happens. And these are times when you win a lot of money.

So - this is your trading goal TO BE IN such moves.

Hope it helps.
  • #10,552
  • May 7, 2015 2:05am May 7, 2015 2:05am
You must intelligently allocate your trading capital, because you would never know in future if the big move start in three days, or in two months.

"To trade long term moves you have to be able to probe (read: spend money attacking a market) over and over until a trade gets under way that you can ride for a little while." (TRT)

If the market do not trends for some period of time - there is nothing you can do. So - stop a lot of talking about filtering. It would not help you if the market is choppy in overall picture.

This method is technically simple. The hardest part comes from the psychology.
  • #10,553
  • May 7, 2015 4:06am May 7, 2015 4:06am
Quoting dim4ik42
{quote} Hello! I would try to answer your question. Look... it is everything crystall clear here. Do not look too much at daily candles if your broker's time does not match with the European working hours. Just look at your hourly chart. Find the open time of Europe - and there you have your starting time. Daily charts are more for overall analysis, or for trailing stops. You enter at hourly chart. So just look there for entry. Easy? Draw horizontal line if you like from the trading start hour. That's it. And then just try not to close your winning...
Hello,

thank you for your reply!

I am referring to PC's suggestion to look at a very specific daily bar close to determine whether to seek for short or long entries.
I understand that going with the trend after looking at a daily chart should work as well, but I am not just interested at the trend direction but at spotting out if the inside bar formed close to the beginning of the day is to be traded or not.
Such decision is taken if:

1) As you correctly say, the daily concords with the hourly bar.

2) He discerns bars depending on the GMT+6 daily bar close. This is what my question is about. How to get the GMT+6 daily bar close price when the broker does not allow to change that parameter.
I made this assumption: the price of the close of the right hourly bar (right = found by offsetting my broker time zone with GMT+6) should be equivalent to the price of the close of PC's desired GMT+6 daily bar.

That's all what I am asking about. I am not expert at this kind of math, I am just looking to see if my assumption is correct or if it's wrong.

Best regards,
dfumagalli
  • #10,554
  • May 7, 2015 4:17am May 7, 2015 4:17am
Quoting dfumagalli
{quote} Hello, thank you for your reply! I am referring to PC's suggestion to look at a very specific daily bar close to determine whether to seek for short or long entries. I understand that going with the trend after looking at a daily chart should work as well, but I am not just interested at the trend direction but at spotting out if the inside bar formed close to the beginning of the day is to be traded or not. Such decision is taken if: 1) As you correctly say, the daily concords with the hourly bar. 2) He discerns bars depending on the GMT+6...

Well...

Try this way - mark out as more as possible starts of trading days at GMT+6 with vertical lines on 1 hr chart. Then zoom out this hourly chart as more as possible, and now you would see what is going on at bigger picture just with your hourly chart. I do not know if it possible to set preferred times for your charts. I can say with MT4-platform one can't do it. I do this instead by looking at 1 hr zooming out chart.

Hope it helps.
  • #10,555
  • May 9, 2015 1:14am May 9, 2015 1:14am
I find it confusing that PC preaches to trade the strongest pairs whereas TRT preaches to keep "attacking" the range market till you catch the runners.
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  • #10,556
  • May 23, 2015 3:06am May 23, 2015 3:06am
Hi guys very interesting system
Does anyone trade the inside bar 1 hour method in conjunction with another system
I Have a system that works on the daily time frame similar to Daily green/red candle system
This system involves keeping trades for 3 days to 5 weeks demo at the moment
It would be nice to hedge with the inside bar system picking up 20 to 100 pips if the market retraces or
locking in the profits if the trend changes
Of course your broker must allow hedging.
Quote
Confucius Says Women who boils cabbage and peas in same pot is unhygienic
  • #10,557
  • May 23, 2015 9:35am May 23, 2015 9:35am
Quoting zghnno
I find it confusing that PC preaches to trade the strongest pairs whereas TRT preaches to keep "attacking" the range market till you catch the runners.
They are two different types of traders. TRT seems to be fine working a strategy that will subject him to gigantic drawdowns until it pays off. PC appears more conservative.
  • #10,558
  • May 27, 2015 3:47am May 27, 2015 3:47am
And some are just not cut out for trading.
Gone to a better place
  • #10,559
  • Jun 2, 2015 1:12am Jun 2, 2015 1:12am
Does anyone on here trade using this method at the moment?
  • #10,560
  • Jun 8, 2015 4:39pm Jun 8, 2015 4:39pm
Ive come back to it after some time away from trading, i made great pips using the exact outlay of PETER CROWN. i also found with my experience that a lot of the time you had to cut and run with the pips each day, so of now im using 20 period ATR with it
Thank you J16 & Trader Dante
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