Q A M Trading Strategy | Page 78 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

WRB/MC strategy:Coder needed to semi-automate my strategy 11 replies

strategy builder/tester for new scalping strategy 1 reply

Trading System versus Trading Strategy: Gaining a Profitable Edge 33 replies

Is opposite of losing strategy a winning strategy? 21 replies

Karmo's trading strategy trading GBP/JPY 2,030 replies

Attachments: Q A M Trading Strategy
Exit Attachments

Q A M Trading Strategy

  • #1,541
  • Sep 16, 2016 6:49am Sep 16, 2016 6:49am
Quoting Masterrmind
{quote} EJ - update {image} 13 longs now in the cycle. Masterrmind...........
EJ - update

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 61 KB


A 10 pip pullback is all it takes to reach BE from about a 37 pip range from 1st entry to 22nd entry.

The downside is the building of potentially dangerous DD.

If price continues to push back towards the DO line the gain accelerates since the 'big lots' are ta the bottom of the chart.

That's the power of these PLS cycles.

Masterrmind............
Master your Mind then Master your Trades
  • #1,542
  • Sep 16, 2016 6:58am Sep 16, 2016 6:58am
Quoting Masterrmind
{quote} EJ - update {image} A 10 pip pullback is all it takes to reach BE from about a 37 pip range from 1st entry to 22nd entry. The downside is the building of potentially dangerous DD. If price continues to push back towards the DO line the gain accelerates since the 'big lots' are ta the bottom of the chart. That's the power of these PLS cycles. Masterrmind............
EJ - update

Q modified to 400 just to keep the exit level above the 1st or highest priced entry.

Masterrmind............ :nerd:
Master your Mind then Master your Trades
  • #1,543
  • Sep 16, 2016 7:05am Sep 16, 2016 7:05am
Quoting Masterrmind
{quote} EJ - update Q modified to 400 just to keep the exit level above the 1st or highest priced entry. Masterrmind............ :nerd:
EJ - update

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 70 KB


Closed out several of the bigger lot entries at NY Open.

Masterrmind.............
Master your Mind then Master your Trades
  • #1,544
  • Sep 16, 2016 8:34am Sep 16, 2016 8:34am
I've got a long cycle on EURAUD around the 1.4930 area, can see this coming down to 1.4875 area so will likely get quite a few trades in....question will be do I get the chance to exit for a profit???
flipfloptrader forum
  • #1,545
  • Sep 16, 2016 8:51am Sep 16, 2016 8:51am
Quoting FlipFlopGC
I've got a long cycle on EURAUD around the 1.4930 area, can see this coming down to 1.4875 area so will likely get quite a few trades in....question will be do I get the chance to exit for a profit???
I'll be looking to load up on EA longs around the 1.4850 level and all the way down to 1.4700 if price complies.

Price is moving nicely to the downside at the moment though which is ideal for my EA shorts but still there is a bit of chart structure to overcome.

The volatiles will always comply with multiple entries ... your wish is certain to be granted.

Monitor your risk and the profit will follow.

Masterrmind............
Master your Mind then Master your Trades
  • #1,546
  • Sep 16, 2016 8:55am Sep 16, 2016 8:55am
Quoting Masterrmind
{quote} EJ - update {image} Closed out several of the bigger lot entries at NY Open. Masterrmind.............
EJ - update

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 61 KB


Several more higher lot entries building the cycle again.

ps. Q modified to 600.

Masterrmind............
Master your Mind then Master your Trades
  • #1,547
  • Sep 16, 2016 9:37am Sep 16, 2016 9:37am
Quoting Masterrmind
{quote} EJ - update {image} Several more higher lot entries building the cycle again. ps. Q modified to 600. Masterrmind............
EJ - update

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 57 KB


Another high lot cluster of trades closed out.

13 long entries remain.

Masterrmind...........
Master your Mind then Master your Trades
  • #1,548
  • Sep 16, 2016 10:40am Sep 16, 2016 10:40am
Quoting Masterrmind
{quote} EJ - update {image} Another high lot cluster of trades closed out. 13 long entries remain. Masterrmind...........
I am wondering about the PLS cycles. It would appear that the larger the cycle the greater the risk, but the greater the risk, the greater the reward. Has this been your experience?

Would closing out cycles early cut your overall return?
If you are good at something, never do it for free--Joker
  • #1,549
  • Sep 16, 2016 10:50am Sep 16, 2016 10:50am
EA

10 trades closed out for profit.

Masterrmind............
Master your Mind then Master your Trades
  • #1,550
  • Sep 16, 2016 11:02am Sep 16, 2016 11:02am
My EA cycle has entered overall profitable territory briefly for the first time since opening last week. The big task now is to avoid closing it too early. I would love for it to dip just below 1.47000 and touch my TP with all trades in positive but I may be asking too much of it. We'll see. If it has to remain open another weekend, so be it.
Don't look down when learning to fly.
  • #1,551
  • Sep 16, 2016 11:16am Sep 16, 2016 11:16am
Quoting jmn5611
{quote} I am wondering about the PLS cycles. It would appear that the larger the cycle the greater the risk, but the greater the risk, the greater the reward. Has this been your experience? Would closing out cycles early cut your overall return?
Precisely right!

Usually I try to allow them a bit of room to develop but its the end of the week and I'm programmed to minimize as many trades as possible heading into the weekend to limit risk on the trading account.

I do let trades run over the weekend though from time to time but prefer to limit it as much as possible subject to leverage being used and other factors.

The way I'm trading the EJ high lot cycles is quite simplistic actually but takes notice of the PA.

I'm allowing the Expert to open trades and as soon as price offers a small pullback I'm closing those trades for profit and the profit is quite high relative to constant lot sequence.

This is what I've called closing out high lot clusters of trades.

I attempt to repeat this process as I've shown on the EJ PLS today.

Cutting out these high lot trades early most certainly reduces the overall return and significantly however, at this end of the week I prefer to close out clusters of high lot trades for quick profitable gains that also reduce longer term exposure in the market.

Imagine if price decides to trend away at the end of the week it will mean the DD increases and potentially multiple higher lot trades left over the weekend with potential gapping issues.

Earlier in the week I might have a different plan altogether and I do plan to show a 40+ level PLS cycle that is taken all the way to profit on every entry but this is not without risk.

Masterrmind.......
Master your Mind then Master your Trades
  • #1,552
  • Sep 16, 2016 11:42am Sep 16, 2016 11:42am
Quoting Platanero
My EA cycle has entered overall profitable territory briefly for the first time since opening last week. The big task now is to avoid closing it too early. I would love for it to dip just below 1.47000 and touch my TP with all trades in positive but I may be asking too much of it. We'll see. If it has to remain open another weekend, so be it.
That's the spirit and provided your account has plenty of available margin give the trades every chance possible.

Sometimes the temptation is there to try and make you close out early but your situation is slightly different from my EJ cycles in that yours have been running for a longer period of time and endured far more DD I would think so why not try to gain a decent reward.

Not asking too much is it?
Lets see what the market has to say about that shall we!

PLS if carefully managed and allowed to run on can really accelerate the growth but the DD can bite very hard if not controlled.

There will come a time I assure you that trades will need to be closed out for loss to prevent DD reaching critical levels.

This is what we all need to control.

Masterrmind.........
Master your Mind then Master your Trades
  • #1,553
  • Sep 16, 2016 12:31pm Sep 16, 2016 12:31pm
Quoting Masterrmind
{quote} That's the spirit and provided your account has plenty of available margin give the trades every chance possible. Sometimes the temptation is there to try and make you close out early but your situation is slightly different from my EJ cycles in that yours have been running for a longer period of time and endured far more DD I would think so why not try to gain a decent reward. Not asking too much is it? Lets see what the market has to say about that shall we! PLS if carefully managed and allowed to run on can really accelerate the growth...

There is indeed plenty of room on the account and I do want to see more pips from this than just BE after enduring all that DD.

I have thought through what I would do if a cycle just went wildly out of control. You are correct, the first few trades will have to be closed at loss. That would result in some relief of DD pressure and allow the price room to move further down the cycle (hopefully finding exhaustion). I think of this option as "cutting-off the tail" of the cycle. If one is using moderation in the lot sizes, this will pose less of a problem and also be less likely in general.

If PLS is being used, those first trades would be the smallest ones anyway. Also, depending on the flavor of PLS used, the BE line will be somewhere closer to the last few bigger trades, as you pointed out, requiring a much smaller pull-back to provide a break-even scenario.

Another option would be a recovery trade. A relatively large* trade placed manually at a reversal point (+ some luck) could also bring the runaway cycle to a more graceful close. Being aware of course that if this doesn't work it could make things much worse. So it is, in my perspective, a last resort approach but one that, if you are good at reading candles and reversals, can help.

I think PLS should be enough to get one out of most sticky situations.

* Relatively large only in relation to the previous trades. Still operating within the low risk profile.
Don't look down when learning to fly.
  • #1,554
  • Sep 16, 2016 9:51pm Sep 16, 2016 9:51pm
Quoting Platanero
{quote} There is indeed plenty of room on the account and I do want to see more pips from this than just BE after enduring all that DD. I have thought through what I would do if a cycle just went wildly out of control. You are correct, the first few trades will have to be closed at loss. That would result in some relief of DD pressure and allow the price room to move further down the cycle (hopefully finding exhaustion). I think of this option as "cutting-off the tail" of the cycle. If one is using moderation in the lot sizes, this will pose less...
It would be useful to discuss the PLS BE point in a little more depth including several examples even if these examples are hindsight or theoretical.

Such examples with varying PLS lot sizing would also be useful including a relationship to account balance.

Therefore, several detailed examples might be posted here when time permits although it should be noted that there are an infinite number of PLS's with low, medium or high lot sizing matched to small, medium and large account sizes so I'll be able to present only a few.

A trader if interested would then need to develop his or her own PLS system since it is relatively unique.

Good practice is to apply the i-Exposure indicator that I've just started to show at the lower indicator window on my charts.

This is useful for not only 1 cycle being traded but when several cycles are being traded at the same time on the account.

A BE price is clearly shown so you know exactly when Pair A can be closed out for a net positive gain if you needed too and you are aware of how far below or above BE all other cycles are as well.

When a larger type cycle is in progress and in relatively large DD its always a good idea to start searching for zones on the chart that allow for 'higher lot opportunistic' trades. So these are taken as internal higher lot cycles within the typically larger longer running cycle. usually suited more towards a CLS type cycle but can certainly be used for PLS too.

If the account has plenty of margin and you've formed an expectation of the types of levels that price is likely to remain between such as longer term support and resistance levels and key handles then you may not want to add in higher lot entries but simply monitor the cycle and trade it to eventual TP or cut trades as the case may be.

I know in some of the cycles I take that I just 'feel' like letting the current cycle unwind without unnecessarily complicating matters.

Case by case basis and a balancing act between current account DD or taking on more DD for potentially a higher gain.

Choices are difficult sometimes but they have to be made.

In the purest sense of growing an account every opportunity should be explored or applied that potentially could lead to higher gains.

If the objective of the account was to grow it at 1% per week then this would be very different to an account that was chasing 1% per day.

Lower gain might equate to lower pain
Higher gain might equate to higher pain

Great that you are operating in your preferred risk tolerance which is on the low side and this is sensible at this stage of the learning curve.

Once a traders experience grows in these types of cycles then he/she can if they wish start to slowly increase exposure but this is a personal matter and only they know what risk they are prepared to take and for what type of minimum likely gain.

Masterrmind............
Master your Mind then Master your Trades
  • #1,555
  • Sep 16, 2016 10:21pm Sep 16, 2016 10:21pm
END OF WEEK SUMMARY

EA [H1 Chart]
Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot2.png Size: 65 KB

EJ [M1 Chart]
Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot3.png Size: 55 KB

Current Exposure
Attached Image

Floating DD is currently @ 4.16%

Masterrmind...........
Master your Mind then Master your Trades
  • #1,556
  • Sep 17, 2016 4:32am Sep 17, 2016 4:32am
Quoting Masterrmind
END OF WEEK SUMMARY EA [H1 Chart] {image} EJ [M1 Chart] {image} Current Exposure {image} Floating DD is currently @ 4.16% Masterrmind...........
nice work master
please say what money managment for each step? how can set lot step?
  • #1,557
  • Sep 17, 2016 9:11am Sep 17, 2016 9:11am
Quoting sanyax
{quote} nice work master please say what money managment for each step? how can set lot step?
Hi sanyax,

Initially very wide stops and a smaller TP is set (usually have no influence on the trades though) but can be adjusted as trading continues ... up to the trader to set.

Cycles can be short term or turn into longer term ones in which case adjustments need to made again for stops and TPs including opportunistic inner high lot cycles with the aim of generating additional profit.

Entry and exits are generally governed by the Expert Advisor based on preferred settings by the user and modified when required to force either net cycles or all positive trades.

Lot step is set in the Expert settings but the PLS determination has not yet been revealed.

Have a read through the thread if you wish and you'll find plenty of information.

ps. I may post the PLS criteria later for an example pair but note that previous PLS cycles have all been crude examples only.

Masterrmind............
Master your Mind then Master your Trades
  • #1,558
  • Sep 18, 2016 7:07pm Sep 18, 2016 7:07pm
Start of a fresh new trading week.

Although 2 cycles are currently in action (currently @ 3.3%DD) I will be looking for another cycle to trade in the Asian session.

Cycles running are : EURAUD [short cycle] + EURJPY [long cycle]

New cycle: ???

Lets find a suitable pair.

ps. cycle will be a CLS @ 0.2 lots.

Masterrmind.............
Master your Mind then Master your Trades
  • #1,559
  • Sep 18, 2016 8:01pm Sep 18, 2016 8:01pm
GBPJPY [M5; 40 - MN 110; CLS 0.2]

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 51 KB


Setup for a CLS @ 0.2 lots

ps. manual entries could also be applied depending on progress.

Masterrmind...........
Master your Mind then Master your Trades
  • #1,560
  • Sep 18, 2016 8:12pm Sep 18, 2016 8:12pm
FF News Calendar (GMT +10)

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 15 KB


Not a lot of data floating around but that doesn't mean price won't move enough for our cycle.

Lets see!

Masterrmind............
Master your Mind then Master your Trades
1 trader viewing now