Flag trading the trend

2b short at 22

looking to get to 88 33 ticks to make 50 tick daily goal

will lock in 3 ticks

bailed took 18

unless something happens very soon I will settle for 35 today and hope to make at least 65 tomorrow

2b might be setting up or pb to 2b at 23

Why force it, D.? 35 is only 15 off the pace, and soon enough the market will give us another 100+ tick day. No need to risk on trading inferior price action, in my opinion.

the pb to the 2b put me down 6 then got +15 so made goal of 50. It was rolling a hard 8 today lol

I agree was up 35 worst case I end up +20 with 3 contracts still not terrible. price action was weird today. I was trying to take mind off of pain as I have to change dressing which is excrutiating pain

My 2penneth about 2b's, best taken for reversal after large bout of Divergence. Hidden divergence usually over-rides ordinary, which is why in the chart below we get two HD set-ups, (although earlier i declined to trade the second set, it turned out to be a winner in hindsight), and 2 bouts of PD, by the time we get our HH, further HD is not possible and thus a 2B is triggered at the fresh high;



There is actually 3 trades here, 2 HD continuance and then the 2B reversal, first stab and subsequent pullback trade...
I only caught the first one and do not feel very sharp today, thus recording more for my own purposes than anything, hopefully this might make sense to someone else though?! )

I'm wincing here as i'm reading that mate, hope it gets better soon and that you are being suitably nursed?!

just to clarify thing the explanation that DD gave yesterday about 2bs is the correct version created by trader vic. for lack of a better name I just adopted the term to explain my version maybe I should call it something else so no one will be confused since its a 123 that pt 3 takes out point 1 it becomes a broken 123 so maybe I will label it a B123

that nurse would be me wont let anyone touch it

I don't mean to disrupt this thread, but after wasting time with a number of prepackaged systems on here, I realized what I needed to do, thanks to this thread. And that was to actually look at my charts and back test until something that I understood actually produced some sort of consistent results. Thanks to some of the trade ideas contained in this thread, I feel that I've found something that works.

Anyway, after performing a 500-trade back test, done in such a way in Excel that I could modify the management technique to see the outcomes. I tested combinations of Reward:Risk (1:1, 1.5:1, 2:1) as well as a number of set targets (i.e. 6 pips, 10 pips, 12 pips, etc.). Below is a table of the results, sorted by total pips earned, taken by a 75 trade sample in the middle of the period I tested. So my question is, are these acceptable results and extensive enough back testing to warrant forward testing at this point? Obviously a high win rate and high R:R would be ideal, but of course they are inversely related, but is a higher win rate and smoother equity curve better than a 50/50 win rate with a more favorable R:R?

Thanks for any advice -

Here's the thing JM is these stats are based on either or no trade mgmt as I see it. Here's mine and it's all based on parlay in profits. First trade we grab 15 then if we get a pullback to pt 2 where previous trade was we look for 30. But in every trade when we are up 7 stop gets moved to +1. Now it's not 30 or bust when up over 20 lock in 15 up 25 lock in 20 .it's about accumulating ticks (money). So say 2nd trade you net 20 so 2 trades your up 35 ticks from same initial spot. Daily goal is minimum 50 ticks. Do this for a few weeks then increase to 2 contracts and a few more weeks you go to 3 contracts. I Dont trade Wednesday unless a holiday falls on monday 4 days a week 2 hrs a day. So. make 200 ticks in a week at 3 lots makes you 3000.plan the trade then trade the plan

1. What Divergence said.

... always bearing in mind that ...

2. You have to answer this question for yourself : Divergence generously shares what works for him.

As JT pointed out recently, backtesting and real-time trading are very different things, of course. Perhaps D states the single most important piece of advice; 'Plan the trade, trade the plan...'

This further explains my parabolic entry system combined with HD trades. I found, too often i could not find a reason to enter such a trade, with a 123 seldom appearing, but i'm having huge success with this, as explained yesterday.

Take the first parabolic entry after HD has formed, this will often be the second bout within a pullback;



This is an addition trade within a trend, but i'm finding it so successful that i really do not need to look for anything else. I have found that anything taken after normal Divergence has formed can be risky even though HD over-rides normal Divergence. This is still a work in progress, when the trend is strong, (like yesterday), it simply kept recycling through continued HD and normal Neg D didn't seem to do much except create a pullback (as opposed to trend change). At other times, i have had failed trades after such Divergence has formed as it did indeed indicate trend change. Right now i do not have any real idea of how to determine the difference and thus will probably ignore these trades if, as i say, normal Divergence preceeds the set-up...

Procedure... Identify trend, wait for pullback, identify HD, take trade using parabolic dots as entry. R:R 1:1 (but working on trailing ideas!).

In the set up in the above chart, of course, there are several other entries, a tradeable 123, a JT2B and a flagline break to boot, but this is somewhat a rarity...

HD forms to the short side, with crossover on Macd in neg territory.

As yesterday, 2 x bouts of PD with Macd still climbing, 123 or 2b to get long for reversal;