High Flying Trading (HFT) Method

UNFORTUNATELY abowaik UNSUBSCRIB THIS THRED

The results are not in line with the rules outlined. As Abowaik said, the SLs of the addons were not moved to BE, if they were the results would have been totally different.

You're free to post your opinion, but the implications are still there, maybe I'm not the only one who should select different words.

what most people fail to understand is that the main problem is not the System but the Trader.

one can give a good system to a bad trader, and that trader will still lose on the long run.
a good trader may use a poor system and still make money - by using proper management.

an EA robot could be a great tool -again in the hands of a good trader. Maybe Abowaik can write such an EA for this system(in another thread) which computes the Break Even retraction price. let's say you are in a trend, and you expect prices to go from A to C, but you are some intermediate point B, and with some good profit. How do you protect that profit in case price starts to retrace back towards A ? do you keep the initial SL or move it closer to B (maybe using a lower value MA for SL?) how much more would you gain if price just continues to move from B to C ? is it worth to give up entire profit you have at point B hoping price will reverse and go to C?

[quote=Dreamliner;8724868]Greetings all, now home from my long flight, and will post more of my method.....

Well said Dreamliner; ten points!

Dear , You can easily ignore posts of those whoever you don't like. Let the people express there opinions and also express your's own.

In the positon of the threadstarter, i would never again post here. He has described the strategy and thats it. Simple but true and a really good story. Nothing more to say. The rest is evolution.

Now i am picking his posts and trying to translate it in german with all the pictures from him. Eventually with pictures from planes and rockets.

Many thanks dreamliner, never had read about a strategie in such an originally way.

Michael

The Ea written can't be used to validate the system as it doesn't replicate the business rules for starters.. Like I mentioned before it needs a money management procedure for starters , the most important ComponentRead the the thread properly. If you are going to write an ea. Program it properly don't waist our time

100% agree. Thread starter done his job and now its you and me, to tailor it to suit one's needs.

Here's a good setup.

Hi Dreamliner, and flight passengers. I'm rather new to Forex but I'm working my hardest. Everyone started at some point, and I'm very excited to continue my education. I just found your thread a few minutes ago. I haven't read it all yet, but I'm starting now. Thanks for your time and effort, I'm sure your experience will be of great value to me.

I look forward to adding to this discussion. Happy Trading!!

Did you read the thread properly ? I don't think so.

The EA was built according to the system rules, outlined in post # 39 and post # 54

System Rules :

 

1. Entry :
   1. I use a 34 SMA (smooth moving average) cross as my entry point.
   2. On my initial entry I usually do not move the stop loss. It stays above the previous swing high or low.

   
   

2. Re-Entry: I add on to my trade whenever there is a candle that closes opposite to the trend.
3. Exit :
   1. ​My subsequent entries, however, have no initial stop loss and will be closed upon either of two conditions being met:
      1. ​First, if the market closes above the SMA I will close this trade.
      2. Second, I wait for the market to move in my favor a small amount and then place a stop loss at breakeven plus cost (spread).

   
   

4. If you examine any trend you might question why we place a stop loss on these add-on trades at all. After all, adding on these trades clearly would bring in profits in a real trend, taking advantage of huge Jetstream tailwinds on our flight. Indeed, you may choose not to set a break even on these at all. Backtest it, study it, decide if you want to use this method or let them run, or maybe come up with another method that is different.
   1. The reason I set the break evens on these add on trades is because of rule number one: keep losses small. Sometimes, when the trend gets extended price will come back to the SMA, and all those trades coming back to the SMA will be losers.
   2. The reason to not set break evens on these add on trades is because of rule number two: let winners runand multiply them. In a good trend these add on trades will produce hundreds and thousands of pips, literally compounding your profits on the way to your destination.
   3. So which method should we use? The answer is up to you.
   4. (Post # 55) In this case we did not use the break evens on the add-on trades. Had we added those break evens we would have lost less and won less. Overall it probably would have been less profitable in this case to use the break evens. Sometimes it will be better, in saving some losses; other times a little worse in giving up some profits. Its up to you.

   
   

The EA test I ran was mainly to simulate the example trade DreamLiner posted, so I made it according to the options he chose.

I am sorry if I wasted anybody's time.
Clearly I wasted my time.

Hi abokwaik,
Please do not be discouraged by comments of members who do not understand benefits of automation of trading. I appreciate your work and complement for the hard work you did for developing EA. In the experience of trading 15 years I had lot a lot due to drawback of manual trading which had never gained much. If rules are clear and disciplined then EA definitely work as per rule and eliminate Greed and Fear in trading which is main weakness of human.
I practiced 34SMA method for entry and exit in past and had huge loss due to uncertainty of market behavior when all of sudden it takes turn to be trendy in opposite direction. Once I added additional positions for DAX and due to fundamental it took 180 degree turn and I lost huge money since then I stopped relying on 34SMA, it may be my Greed and Fear. I am again trying to use 34SMA but still not sure whether it could be profitable.
Dreamliner seems to be a super human to identify exact entries and exit due to his trading merit.

Good thread Dreamliner!
Trend trading is the way to go!
What is frustrating is finding a solid trend and it is clear in the postings here.
Without trying to interfere or changing Dreamliners method i would like to add/suggest the following:

The aim of trend traders is to get into strong trends with as little as possible dragged out consolidation periods which will result into multiple entries and stop outs.
Solution:

1. Open your daily and weekly charts.
2. Draw Support and Resistance Levels
3. Place pending orders on these levels
4. Alarms can be set to alert you when these levels are approacehed
5. Trade these VERY powerful bounces for 300 to 1000 pips depending on the currency you have chosen
6. Most currencies gives you at least a 400 pip run on these bounces. ( FEZMAR described these 400 pips runs as ideal in his thread and he takes profit or locks in profit after 400 pips.)
7. By trading these bounces you are filtering out "flat markets" and your edge becomes much more favourable.
8. Adding on these runs along the way will make you smile all the way.
9. These runs from weekly and monthly bounces does not last for ages . Check it out and see for yourself how powerfull they are.......

I have 19 pairs on my "watchlist" and although "bounces" are not an everyday occurance it gives me enough "trend trades"
Hope this helps.
Happy Trading.
Respect to Dreamliner.

A way to filter out the flat markets could be to use charts not based on time (range, renko, pnf with large enough brick size, linebreak).
k

Dreamliner, can you tell us about your Money Management.
I just now have started and will give it a try in my live account with GBPAUD. Could be the beginning of a huge uptrend.

Correct, because he is using SMA34 as a trend indicator.

Regards,
Blackeagle

Thanks Captain! Working through pre-flight checklist ...

You are one of precious asset on FF. Please continue your flight rather getting distractions from people on board for the first time.

Yes fuel is needed for the rocket. My rocket has start and now is on the flight.
After landing and looking for the next travel, i have make some notes.

In the first phase i will have max. trades for all the delay. I have a security exit aswell. I plan only to fire 20% from previous win in the starting phase. So calculate my starting-trades against the security-exit. That means are not the same lot. 10% are taken for the maintance-crew if hedging is needed.
After the take off is done, i quickly make throttle up with another 20%. So i have 50% on the flight.
Another trick if comfortable with it.

First trade 1- 2% say i have won 20%, next i set it all back in the new travel 20% and if all gets okay, yeah massive results happen. If the plain are broken i start again with 1-2%.

Max. 2 in a row.

1% taken - 15 % won
15% taken - 60 % won

now back to 1% because two in a row

1% taken - 1% loss

back to 1% because loss

1 % taken - 20% won
20 % taken - 40 % won

back to 1% because two in a row

... and so on ...

Make a calculation yourself.

Have a nice flight.



Entry at M15

Greets

Michael

http://www.forexfactory.com/attachme...1&d=1454230520

Has anyone bothered to do the math yet? If not you are kidding yourself.

This run up netted 1050 pips for a 375 pip move. Since the OP must have split his capital in 20 to ride this move the 1050 equals 52 pips if all in. That's just 5 pips a day for an average trend move! Since there will be more ranging days than big move days you should expect to make less on average than 5 pips a day!

The problem here is adding on positions well into the trend. If he had gone all in at the start he would have netted 375 pips or 37 per day. You need to front end load your trades if you split them, maybe wait for a pull back and a bullish candle or enter the second and third at 30 and 60 pips profit.

Sorry to be a Debby Downer but the numbers don't lie.