News's Chin Stroke Delight
Posted: Thu Jun 13, 2013 11:16 am
So let's get to the bottom of this.
Purpose of thread: a journey of massive chin stroking proportions. Let's see those mandibles shine.
I will be trading what is left of my tiny 500 OANDA account which is down approx 10%.
So here is trade number 1.
See how price has already risen, a LOT. by the time the bar has changed black. This is not a complaint, perish the thought, but a mere observation that hindsight coulda, shoulda wouldas w.r.t near-to bar formations on these charts are, irrelevent Unless you're MO, you don't know how to read these things any better than I.
Hence, no hindsight will be allowed in this thread. Live calls only.
I have yet to see how to react to the bars in real time - whether this thing works on the close of a bar (but the theory is that closes are not relevent as they are random). Point of logic, in that case the high and low of the bar are random too and all points between. So what is the basis for analysis as bar formations must be too, so really I'm trading an MA cross here aren't I? Some more things for me to ponder
Tada: It's all chuffin random isn't it??
So here is a long entry, reasoning: look at the daily chart. Trend is your friend and all that rubbish.
Bar formation, low, inside bar, break to the upside. This formation, on the face of it looks OK BUT hindsight on these charts is not possible. The bars DO NOT show where price actually was.
Why the hell am I going long into that when there's a downside swing? Because I see 'traditional' patterns fail as often as work. Also, plenty of reversals occur without the inside bar pattern too but that's what I'll stick with for the time being.
Using my primitive understanding of space (the fibo tool while great works with fixed sizes, you've got infinitely adjustable size with OANDA and I won't be re-sizing when something goes against, I'lll be in and out. Why? Because again logic dictates with sizing up that as you add, if you let price come back you also lose as fast as you can gain, there's no getting around that. So on a succesful run, if one occurs, it will be enter, profit, pause, resize, enter etc. Nothing fancy.
So here I'm using 40 pips space off yesterdays low.
Red line is my LIS.
1% acct risk (actually a bit more) = 5 quid over 40 pips giving me a size of 0.01: 1000 in OANDA speak.
Chart
Position, lotsize, expansion
And wait
Purpose of thread: a journey of massive chin stroking proportions. Let's see those mandibles shine.
I will be trading what is left of my tiny 500 OANDA account which is down approx 10%.
So here is trade number 1.
See how price has already risen, a LOT. by the time the bar has changed black. This is not a complaint, perish the thought, but a mere observation that hindsight coulda, shoulda wouldas w.r.t near-to bar formations on these charts are, irrelevent Unless you're MO, you don't know how to read these things any better than I.
Hence, no hindsight will be allowed in this thread. Live calls only.
I have yet to see how to react to the bars in real time - whether this thing works on the close of a bar (but the theory is that closes are not relevent as they are random). Point of logic, in that case the high and low of the bar are random too and all points between. So what is the basis for analysis as bar formations must be too, so really I'm trading an MA cross here aren't I? Some more things for me to ponder
Tada: It's all chuffin random isn't it??
So here is a long entry, reasoning: look at the daily chart. Trend is your friend and all that rubbish.
Bar formation, low, inside bar, break to the upside. This formation, on the face of it looks OK BUT hindsight on these charts is not possible. The bars DO NOT show where price actually was.
Why the hell am I going long into that when there's a downside swing? Because I see 'traditional' patterns fail as often as work. Also, plenty of reversals occur without the inside bar pattern too but that's what I'll stick with for the time being.
Using my primitive understanding of space (the fibo tool while great works with fixed sizes, you've got infinitely adjustable size with OANDA and I won't be re-sizing when something goes against, I'lll be in and out. Why? Because again logic dictates with sizing up that as you add, if you let price come back you also lose as fast as you can gain, there's no getting around that. So on a succesful run, if one occurs, it will be enter, profit, pause, resize, enter etc. Nothing fancy.
So here I'm using 40 pips space off yesterdays low.
Red line is my LIS.
1% acct risk (actually a bit more) = 5 quid over 40 pips giving me a size of 0.01: 1000 in OANDA speak.
Chart
Position, lotsize, expansion
And wait