The ideas that I trade by:

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MightyOne
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Postby MightyOne » Sun Aug 10, 2014 10:20 pm

You guys have done well, you are growing quickly :)

Here is an area where many people make mistakes...

What exactly is a BDP? Is it 2x? Lets explore:

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MightyOne
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Postby MightyOne » Sun Aug 10, 2014 10:43 pm

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MightyOne
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Postby MightyOne » Sun Aug 10, 2014 10:50 pm

Now I feel like Steve Nison when he was asked what exactly a doji looked like.
Mr. Nison responded something like "show me a candle and I'll let you know if it is a doji"

Patterns can look almost exactly the same but have different meanings...
I guess that is why so many people value confluence. :D

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Postby adaseb » Mon Aug 11, 2014 12:24 am

What is BOx? BWx? WDx? HTx?

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xXx
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Postby xXx » Mon Aug 11, 2014 5:55 am

Thank you MO for your wisdom.
I try to be a space warrior but there is a problem :)
I hope for a breakout instead of taking what is possible on smaller TF (trying to catch the longterm).
I have my Position at the bottom and I have entered long at green square and was hoping for a breakout at the red circle.
The price touched the line at the red circle and then retraced (I suspected that the price may turn around there but THE HOPE for a breakout was greater :( ).
Instead of taking profit and re-enter lower with bigger size I am still sitting and waiting with the same size :roll:
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MightyOne
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Postby MightyOne » Mon Aug 11, 2014 7:03 pm

xXx wrote:Thank you MO for your wisdom.
I try to be a space warrior but there is a problem :)
I hope for a breakout instead of taking what is possible on smaller TF (trying to catch the longterm).
I have my Position at the bottom and I have entered long at green square and was hoping for a breakout at the red circle.
The price touched the line at the red circle and then retraced (I suspected that the price may turn around there but THE HOPE for a breakout was greater :( ).
Instead of taking profit and re-enter lower with bigger size I am still sitting and waiting with the same size :roll:


Your box size is way too big! It should be between 15 & 35 pips.

In the past I would oversize my space to catch a falling knife by now I am a little less generous with my pips :lol:

Using position types & without knowledge of triangles we would do something like this:
Catch price from a BOx with 35 space, exit based on the 15 minute chart, re-position at a better extreme, & re-enter.

Image


Now lets take a closer look using what some of you cannot be bothered with :lol:
A basic knowledge of triangles would leave you sitting long at max or near max size at the same position:

Image


Take a professional scalper with a $10,000 account, he has a 'great day' and makes 80 pips at $4.90/pip ($392).

How many pips do you think that he made at max size?
The answer is about 8 pips!

If he had a great day every day for 42 days he would have $16,464.

A trader of space, using the same initial lot size, has less consistent results over the short term than the day trader & often laments the fact that he spends days to achieve what a day trader made in a few hours work.

Sometimes he might even feel that he would be better off day trading!

And then it hits, a rocket ship is launched, and he is sitting in a day/week trend making $49/pip and profits 613 pips, over a two month period, and his account goes from $10,000 to $40,000 w/ a max size now at $196/pip & he is one trade away from jumping to $160,000.

The day trader would hit ~$100,000 at the end of the year working his ass off.
A space trader could easily reach $150,000 spending many months just rocking back and forth in a leather chair; he knows that it is not about a pip, it is about how much each pip is worth.

Keep your eyes on the prize

Continue to do what other won't & you will reach numbers that others cannot hope to achieve.

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MightyOne
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Postby MightyOne » Mon Aug 11, 2014 7:12 pm

adaseb wrote:What is BOx? BWx? WDx? HTx?


http://kreslik.com/forums/viewtopic.php?p=77473#77473

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xXx
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Postby xXx » Mon Aug 11, 2014 7:15 pm

The horizontal lines are quite easy to get but now the cones, trangles :evil:
If life was so easy...
I was oversizing my space as sometimes cannot trust my eyes and prefer have to have the buffer and I still remember your old posts saying: Always oversize your space
I have calculated the numbers myself and I am totally getting what you are saying.
In general I am still holding in and hoping for the long run...

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Postby MightyOne » Tue Aug 12, 2014 4:13 am

Triangles are easy, simply look for price coming together or drifting apart & then filter out the breakouts.

I don't remember saying ALWAYS, but I do remember saying oversize your space when fading.

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xXx
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Postby xXx » Tue Aug 12, 2014 8:56 am


The question is not when I enter but when I am wrong.

Price has been closing lower so this is a low probability long trade:

a) define when you are wrong
b) oversize your space
c) enter the trade

If you are not wrong then you are right and if you are right then you keep buying.


8)
That is the way I remembered :wink:
What about 40% rule of LIS/LOS?

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