PebbleTrader wrote:It's like what bredin said a few posts back:
bredin: "Looks to me like its ensuring that a single candle cant wipe out your position, giving time to reassess and adjust lots."
I think i understand it now.... if one candle closes over my line (if/then los) the Box should be big enough that the candle closes not over my 40% line
"you are giving up too much space for the TF traded if the candle close over the 40% line of your Box"
If your box were 10,000 pips would you draw your IF/THEN at the 40% RET when trading the hourly chart?
The IF/THEN is BASED ON THE CHART!
If you feel that you need to draw your IF/THEN above the 40% RET then you are on a chart that is too large for you.
In other words, the "40% RULE" is only there to stop you from doing something stupid.
It was clear to me that the if/then los line is based on the chart(ZL,S/R,Fatcat...) and is not the 40% RET of my Box.
the only thing that was not clear to me : how big my Box should be.
but now i think i know how to size it. The Box should be big enough that the 40% RET not get reached (after a candle closed above the IF/then los linie)
No matter where life takes you, you will always check the market and always want to continue being a part of it. It's like that first true love, it will always be there no matter what the distance, no matter whether they are alive or dead.
PebbleTrader wrote:It's like what bredin said a few posts back:
bredin: "Looks to me like its ensuring that a single candle cant wipe out your position, giving time to reassess and adjust lots."
I think i understand it now.... if one candle closes over my line (if/then los) the Box should be big enough that the candle closes not over my 40% line
"you are giving up too much space for the TF traded if the candle close over the 40% line of your Box"
If your box were 10,000 pips would you draw your IF/THEN at the 40% RET when trading the hourly chart?
The IF/THEN is BASED ON THE CHART!
If you feel that you need to draw your IF/THEN above the 40% RET then you are on a chart that is too large for you.
In other words, the "40% RULE" is only there to stop you from doing something stupid.
It was clear to me that the if/then los line is based on the chart(ZL,S/R,Fatcat...) and is not the 40% RET of my Box.
the only thing that was not clear to me : how big my Box should be.
but now i think i know how to size it. The Box should be big enough that the 40% RET not get reached (after a candle closed above the IF/then los linie)
PebbleTrader wrote:It's like what bredin said a few posts back:
bredin: "Looks to me like its ensuring that a single candle cant wipe out your position, giving time to reassess and adjust lots."
I think i understand it now.... if one candle closes over my line (if/then los) the Box should be big enough that the candle closes not over my 40% line
"you are giving up too much space for the TF traded if the candle close over the 40% line of your Box"
If your box were 10,000 pips would you draw your IF/THEN at the 40% RET when trading the hourly chart?
The IF/THEN is BASED ON THE CHART!
If you feel that you need to draw your IF/THEN above the 40% RET then you are on a chart that is too large for you.
In other words, the "40% RULE" is only there to stop you from doing something stupid.
It was clear to me that the if/then los line is based on the chart(ZL,S/R,Fatcat...) and is not the 40% RET of my Box.
the only thing that was not clear to me : how big my Box should be.
but now i think i know how to size it. The Box should be big enough that the 40% RET not get reached (after a candle closed above the IF/then los linie)
...
thanks MO,
there should be 1/3 left of your Original Box size if a candle closed above your IF/THEN LOS LINIE.....correct?
No matter where life takes you, you will always check the market and always want to continue being a part of it. It's like that first true love, it will always be there no matter what the distance, no matter whether they are alive or dead.
PebbleTrader wrote:It's like what bredin said a few posts back:
bredin: "Looks to me like its ensuring that a single candle cant wipe out your position, giving time to reassess and adjust lots."
I think i understand it now.... if one candle closes over my line (if/then los) the Box should be big enough that the candle closes not over my 40% line
"you are giving up too much space for the TF traded if the candle close over the 40% line of your Box"
If your box were 10,000 pips would you draw your IF/THEN at the 40% RET when trading the hourly chart?
The IF/THEN is BASED ON THE CHART!
If you feel that you need to draw your IF/THEN above the 40% RET then you are on a chart that is too large for you.
In other words, the "40% RULE" is only there to stop you from doing something stupid.
It was clear to me that the if/then los line is based on the chart(ZL,S/R,Fatcat...) and is not the 40% RET of my Box.
the only thing that was not clear to me : how big my Box should be.
but now i think i know how to size it. The Box should be big enough that the 40% RET not get reached (after a candle closed above the IF/then los linie)
...
thanks MO,
there should be 1/3 left of your Original Box size if a candle closed above your IF/THEN LOS LINIE.....correct?
or more in a perfect world
Please note that the reason I leave ~1/3 space is that I like to set my position on 80-60% RETS when working with small charts.
The deepest RET that I set is 40% and that is only when I believe there will be a fast move in my favor; if you set anything closer than 60% you had better be more than pretty sure.
here is my first try at using my sword by adding lots.....if it breaks the box low i add 1 lot to my position
No matter where life takes you, you will always check the market and always want to continue being a part of it. It's like that first true love, it will always be there no matter what the distance, no matter whether they are alive or dead.
I was thinking that you could also start with smaller lots than your total risk% and average in if price goes against you towards your 40% line...
*edit - obviously you wanna get the whole position out there as price moves in your favour... and the cool thing is you can still maintain a large pincushion if you do it gradually... Striking big on pullbacks and wicks...
MightyOne wrote:The fear is strong in you trainees, but we will make soldiers out of you yet
okok its not a sword its more a paper knife that i use in the trade above...
hmmm this picture is not so easy to understand...
why do the Boxes not begin at 1,3372 (7/7) ?
i have to think about it a little longer....
No matter where life takes you, you will always check the market and always want to continue being a part of it. It's like that first true love, it will always be there no matter what the distance, no matter whether they are alive or dead.
Jalarupa wrote:I was thinking that you could also start with smaller lots than your total risk% and average in if price goes against you towards your 40% line...
*edit - obviously you wanna get the whole position out there as price moves in your favour... and the cool thing is you can still maintain a large pincushion if you do it gradually... Striking big on pullbacks and wicks...
initial box was 141pips with 7lots....price goes down....initial box grows to 236pips......price closed over something....new if/then los.....increase to 8lots and shrink the Box to 206pips.
thats what i did or try to do...
No matter where life takes you, you will always check the market and always want to continue being a part of it. It's like that first true love, it will always be there no matter what the distance, no matter whether they are alive or dead.
Im in that as well, added some lots last night... price is still well away from my average line (which just happens to be the IF/THEN line as well)
My next average line and RiskSpace is planned....
here is my first try at using my sword by adding lots.....if it breaks the box low i add 1 lot to my position
.gif "BlackEye")
