websouth's shared Price Action templates - futures io
futures io futures trading



websouth's shared Price Action templates


Discussion in NinjaTrader

Updated
      Top Posters
    1. looks_one Big Mike with 4 posts (6 thanks)
    2. looks_two sharky with 3 posts (0 thanks)
    3. looks_3 websouth with 3 posts (10 thanks)
    4. looks_4 jdella with 2 posts (0 thanks)
    1. trending_up 11,812 views
    2. thumb_up 18 thanks given
    3. group 11 followers
    1. forum 23 posts
    2. attach_file 7 attachments




Welcome to futures io: the largest futures trading community on the planet, with well over 125,000 members
  • Genuine reviews from real traders, not fake reviews from stealth vendors
  • Quality education from leading professional traders
  • We are a friendly, helpful, and positive community
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts
  • We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

(If you already have an account, login at the top of the page)

 
Search this Thread
 

websouth's shared Price Action templates

(login for full post details)
  #1 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,785 since Jun 2009
Thanks: 32,313 given, 97,573 received

I hope you've been monitoring the Downloads section, because websouth has been busy. Today he posted something that caught my eye more than usual.

See screen shot, attached.

He calls it "bigTape". You can download it here:


What caught my eye was the way in which he approaches things. I find his approach fascinating. I do not intend to speak for websouth, but my interpretation is he is trying to make people realize that a bunch of indicators aren't what's important, it is how you interpret them -- or better yet, how you interpret price action.

How many indicators in your war chest are predictive? Meaning how many of them do something based on a model of some sort, and not based on price? I'm guessing not many. Most people's indicators are historical or reactive based on price.

So with the template websouth has shared, I believe he is trying to emphasize an alternative and simple approach to reading price action without relying heavily on historical indicators.

I hope he doesn't mind me starting a discussion

You can find more of his shared work here:
https://futures.io/local_links_search.php?action=show&userid=364&sort=d

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Attached Thumbnails
Click image for larger version

Name:	folds.jpg
Views:	1168
Size:	245.8 KB
ID:	1715  
Follow me on Twitter Visit my futures io Trade Journal Started this thread Reply With Quote
The following 2 users say Thank You to Big Mike for this post:

Can you help answer these questions
from other members on futures io?
COTbase for quant trading?
Elite Algorithmic NinjaTrader Trading
Webinar: Finding your own way in trading w/Adam Grimes
The Elite Circle
If ES tracks SPX, why do support/resistance, Level 2, vo …
Emini and Emicro Index
Short Interest Ratio indicator?
ThinkOrSwim
Indicators for pair trading MES and M2K
Platforms and Indicators
 
Best Threads (Most Thanked)
in the last 7 days on futures io
Selling Options on Futures?
109 thanks
Battlestations: Show us your trading desks!
108 thanks
Rank your Futures vs Stocks trading priority
55 thanks
Want your NinjaTrader indicator created, free?
27 thanks
Whats this confusion with margins?
23 thanks
 
(login for full post details)
  #2 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,785 since Jun 2009
Thanks: 32,313 given, 97,573 received

Inspired by websouth, I created a new indicator called Wave.

Attached are some screens. A more detailed discussion is on the VIP forum, and the indicator is available for download for VIP users.



It's the top panel stuff in the screens.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Attached Thumbnails
Click image for larger version

Name:	2009-09-06_0317.png
Views:	513
Size:	216.0 KB
ID:	1726   Click image for larger version

Name:	2009-09-06_0317_001.png
Views:	392
Size:	178.9 KB
ID:	1727   Click image for larger version

Name:	2009-09-06_0317_002.png
Views:	309
Size:	178.5 KB
ID:	1728   Click image for larger version

Name:	2009-09-06_0318.png
Views:	322
Size:	183.9 KB
ID:	1729  
Follow me on Twitter Visit my futures io Trade Journal Started this thread Reply With Quote
The following 4 users say Thank You to Big Mike for this post:
 
(login for full post details)
  #3 (permalink)
UK
 
 
Posts: 3 since Jul 2009
Thanks: 0 given, 0 received


I agree this is a great way of looking at a chart. Just scrolling back through the chart you can see what a great job the 'folds' do in making S/R jump out at you. Really like it.

Reply With Quote
 
(login for full post details)
  #4 (permalink)
Neubrandenburg, Germany
 
Experience: Advanced
Platform: R
Trading: Stocks
 
wh's Avatar
 
Posts: 538 since Jun 2009
Thanks: 298 given, 504 received

i have not see the code ... but nice diplacement mike.

wh

Reply With Quote
 
(login for full post details)
  #5 (permalink)
Perdido Beach, AL
 
Experience: Intermediate
Platform: graph paper
Trading: Guitar
 
websouth's Avatar
 
Posts: 1,150 since Jul 2009
Thanks: 1,094 given, 1,312 received

Thanks Mike for the interest.

So with the template websouth has shared, I believe he is trying to emphasize an alternative and simple approach to reading price action without relying heavily on historical indicators.

Yup.

So draw a line in the sand and place your bets...
Is price going up or down? The answer is always both.... What?

If you say UP then I can zoom out or in and always show you that the price is really going DOWN in the opposite direction in another time frame or view reference. Whether the price is going up or down depends on you. Kinda crazy talk, huh? But your trading account and risk tolerance decides the time frame you should trade. Which in turn decides whether price is going up or down... Are you a scalper, Swinger, or Big Money trader?

Attached Thumbnails
Click image for larger version

Name:	3RingCircus.jpg
Views:	680
Size:	168.1 KB
ID:	1782  
Follow me on Twitter Visit my futures io Trade Journal Reply With Quote
The following 7 users say Thank You to websouth for this post:
 
(login for full post details)
  #6 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,785 since Jun 2009
Thanks: 32,313 given, 97,573 received

Hi websouth,

I appreciate all the work you've done with your templates. Hopefully more people will check them out and benefit from them after this "radical" approach makes them rethink their methods.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my futures io Trade Journal Started this thread Reply With Quote
 
(login for full post details)
  #7 (permalink)
Ottawa, Canada
 
Experience: Beginner
Platform: Ninja
Broker: Mirus,Zen-Fire
Trading: Currencies
 
Posts: 114 since Jun 2009
Thanks: 99 given, 75 received

Hi Websouth,


Thanks for your contribution for fellow traders.
your templates will give ideas to new traders that
how to make trading simple and profitable

SSS

Reply With Quote
 
(login for full post details)
  #8 (permalink)
Arcata, CA
 
Experience: Intermediate
Platform: NinjaTrader
Trading: index futures, oil
 
Saroj's Avatar
 
Posts: 486 since Jun 2009
Thanks: 232 given, 413 received


Big Mike View Post
Inspired by websouth, I created a new indicator called Wave.

Attached are some screens. A more detailed discussion is on the VIP forum, and the indicator is available for download for VIP users.



It's the top panel stuff in the screens.

Mike

That's a fine indicator, Mike.. thanks!

Reply With Quote
 
(login for full post details)
  #9 (permalink)
Concord, NH USA
 
Experience: Intermediate
Platform: Ninja trader
Broker: AMP/CQG
Trading: ES
 
jdella's Avatar
 
Posts: 182 since Jun 2009
Thanks: 138 given, 113 received

I tell you there is alot to be said for trading just the one line template, out of everything I tested this morning, that has worked the best, I'm really going to take a hard look at this one. Thanks for all your hard work and also more importantly getting us to think.

Jeff

Reply With Quote
 
(login for full post details)
  #10 (permalink)
Perdido Beach, AL
 
Experience: Intermediate
Platform: graph paper
Trading: Guitar
 
websouth's Avatar
 
Posts: 1,150 since Jul 2009
Thanks: 1,094 given, 1,312 received


FOR FOREX ONLY :

OK - here's another idea from the "radical". Call it OPM (other peoples money). Do you ever place a trade and get stopped out only to find the price reverses and goes in your original direction? If this has never happened to you then you have never traded....hehe.

Note: I don't trade ES, CL, or ZN ... I trade currencies so this may or may not apply.

This is to be done as a supplement to your regularly scheduled trading...

So try this - trade 10 times as small with a stop 10 times as wide. (or 100 times as small with stops 100 times as wide - experiment) ) Same money right.
Let's use dollars for example. Say you typically set a stop loss at a risk of 5 pips/ticks and you put on trades @ $40 a pip so the value of the risk to you is $200. So change that to 50 pip stop loss and trade smaller @ $4. a pip. Hardly seems worth your time, right? Keep reading.

Figure out how to risk the same money you do now but widen your stops. If you can't pick a direction with a stop 5 pips wide how about 50 pips wide or 100. This is mildly interesting up to now but what you do next is take your profit (you were profitable, right? If you weren't you risked no more than usual but got to play a little longer term) and add it to your original stake. Then the next trade is put on using your new larger buying power so you may be @ $6 a pip but the stop is still a money stop in other words keep it @ losing your original $200. Stop loss = AccountValue before first trade - $original risk.

So you put on trade 2 and you still have a risk the same as your first trade. Keep doing this and pyramid the amount of money you trade with but keep the stop as original. After a few trades you can move your money stop up to even and you are now playing for free with huge stops because you are only using winnings to trade. So soon you are swinging $20,000 on a trade with a stop loss @ letting it go to zero. (don't do this...hehe) But that is a lot of breathing room to get on the right side of a trade.

This idea bugs people because they want to take profits or they can't stand to "give back" profits. But if you think about this. An 80% drawdown once this gets going is cutting into "potential" profits not your trading money at this point. Yes it sucks but you are out the little time it took to put the trades on and you are still profitable from your original stake. You are using your winnings to trade with. This system can scale faster than you think. The only thing to control is your nerve. You would not want to see $100,000 turn back to flat even but what if it did? This is a side bet you originally risked $200 on. Take that "system" you have that you like but it has 80% drawdown and give it a whirl...
You may need to change your charts to think longer term bigger stops.

My personal results with this? Largest return - I have turned this side bet into a 60x my money winner.

Follow me on Twitter Visit my futures io Trade Journal Reply With Quote
The following 2 users say Thank You to websouth for this post:
 
(login for full post details)
  #11 (permalink)
Concord, NH USA
 
Experience: Intermediate
Platform: Ninja trader
Broker: AMP/CQG
Trading: ES
 
jdella's Avatar
 
Posts: 182 since Jun 2009
Thanks: 138 given, 113 received


websouth View Post
Mike,
OK - here's another idea from the "radical". Call it OPM (other peoples money). Do you ever place a trade and get stopped out only to find the price reverses and goes in your original direction? If this has never happened to you then you have never traded....hehe.

Note: I don't trade ES, CL, or ZN ... I trade currencies so this may or may not apply.

This is to be done as a supplement to your regularly scheduled trading...

So try this - trade 10 times as small with a stop 10 times as wide. (or 100 times as small with stops 100 times as wide - experiment) ) Same money right.
Let's use dollars for example. Say you typically set a stop loss at a risk of 5 pips/ticks and you put on trades @ $40 a pip so the value of the risk to you is $200. So change that to 50 pip stop loss and trade smaller @ $4. a pip. Hardly seems worth your time, right? Keep reading.

Figure out how to risk the same money you do now but widen your stops. If you can't pick a direction with a stop 5 pips wide how about 50 pips wide or 100. This is mildly interesting up to now but what you do next is take your profit (you were profitable, right? If you weren't you risked no more than usual but got to play a little longer term) and add it to your original stake. Then the next trade is put on using your new larger buying power so you may be @ $6 a pip but the stop is still a money stop in other words keep it @ losing your original $200. Stop loss = AccountValue before first trade - $original risk.

So you put on trade 2 and you still have a risk the same as your first trade. Keep doing this and pyramid the amount of money you trade with but keep the stop as original. After a few trades you can move your money stop up to even and you are now playing for free with huge stops because you are only using winnings to trade. So soon you are swinging $20,000 on a trade with a stop loss @ letting it go to zero. (don't do this...hehe) But that is a lot of breathing room to get on the right side of a trade.

This idea bugs people because they want to take profits or they can't stand to "give back" profits. But if you think about this. An 80% drawdown once this gets going is cutting into "potential" profits not your trading money at this point. Yes it sucks but you are out the little time it took to put the trades on and you are still profitable from your original stake. You are using your winnings to trade with. This system can scale faster than you think. The only thing to control is your nerve. You would not want to see $100,000 turn back to flat even but what if it did? This is a side bet you originally risked $200 on. Take that "system" you have that you like but it has 80% drawdown and give it a whirl...
You may need to change your charts to think longer term bigger stops.

My personal results with this? Largest return - I have turned this side bet into a 60x my money winner.

I find this theory fascinating, although I must admit I'm still a bit confused. Lets say that normally you would risk 10 tics in the CL which is 100.00 per contract and you are shooting for a 10 tic PT would you now raise that 10 tic stop to 100 which is 1000.00 per contract? Do you still have the 10 tic PT? And once you get the profit, you're saying that you continually do this with the same 100 tic stop but now perhaps trading additional contracts for the same 10 tic profit? Do I understand the idea correctly?

Thanks,

Jeff

Reply With Quote
 
(login for full post details)
  #12 (permalink)
Scarborough, Ontario
 
Experience: Intermediate
Platform: NinjaTrader, MetaTrader
Broker: Mirus/Zenfire
Trading: CL, EURUSD, 6E
 
LordAlfa's Avatar
 
Posts: 88 since Jul 2009
Thanks: 7 given, 48 received

Can't really with futures because the contract minimum is one and the tick gain/loss is fixed, eg 12.50 for 1 tick on ES (S&P).

I know what you mean in FOREX it is the position size or lot size.

The room to move in futures need to be wider. Especially fast moving animals like CL, crude. I have experienced that crude with a 4 tick SL will not work because it moves so fast that the SL sent to the exchange is not valid because the price has moved way beyond your SL target.

A similar method I use is with one contract in consolidating position.

Use 1 contract or lot instead of 2 or more to scale out. Minimizes your risk. Imagine your big target but you need small step to reach it. This is an extreme scalp with a bigger picture in mind.

Enter 1 contract with a pre-determined stop that you are comfortable. 4 ticks
Take profit earliest that you are sure you can take, eg 4 ticks.
Enter where your exit was and now place the stop where your original 1st entry stop was. This means your stop is now 8 ticks behind.
Now my target is bigger with money already in the pocket. This is consolidating the position. I can also choose to close the positions based on situations like eco news or when my gut is wrenching "this look bad". I can exit say at 61.8% extension and wait to enter at a discount to further enhance my profitability and move my stop to a comfortable level. Still bearing in mind that I have money in the pocket confirmed.
This bearing in mind of the big picture but scalping my way there and giving back little or if you are confident, place the stop in your original first contract's stop.

Hope it makes sense.

Follow me on Twitter Reply With Quote
The following 2 users say Thank You to LordAlfa for this post:
 
(login for full post details)
  #13 (permalink)
Perdido Beach, AL
 
Experience: Intermediate
Platform: graph paper
Trading: Guitar
 
websouth's Avatar
 
Posts: 1,150 since Jul 2009
Thanks: 1,094 given, 1,312 received

Ha ha - now I am the one confused...

I find this theory fascinating, although I must admit I'm still a bit confused. Lets say that normally you would risk 10 tics in the CL which is 100.00 per contract and you are shooting for a 10 tic PT would you now raise that 10 tic stop to 100 which is 1000.00 per contract? Do you still have the 10 tic PT? And once you get the profit, you're saying that you continually do this with the same 100 tic stop but now perhaps trading additional contracts for the same 10 tic profit? Do I understand the idea correctly?

I don't know what this means - raise that 10 tic stop to 100 which is 1000.00 per contract?

Raise the stop amount yes. The contract amount ? I trade currencies and don't know the translation. You should be trading less money with larger stop. The Risk$ is still equal to your usual play. Profit target should be higher and you have more wiggle room to get there. 10x or more. Futures may not scale like this. I can trade Spot Forex as low as @ 50 cents a tick. You are essentially playing on a larger time frame and trading less stressfully. If you pyramid the profits giving them time to get there you can trade with "their money" after a few trades. "Their" money + less time looking at charts =

If you can get your stop far enough you can play multiday which can turn into crazy money.


edit - looks like from post above that futures doesn't work like this. Sorry. Different animals...

Attached Thumbnails
Click image for larger version

Name:	multiday.jpg
Views:	404
Size:	205.9 KB
ID:	1815  
Follow me on Twitter Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to websouth for this post:
 
(login for full post details)
  #14 (permalink)
Scarborough, Ontario
 
Experience: Intermediate
Platform: NinjaTrader, MetaTrader
Broker: Mirus/Zenfire
Trading: CL, EURUSD, 6E
 
LordAlfa's Avatar
 
Posts: 88 since Jul 2009
Thanks: 7 given, 48 received

Even 6E, EURUSD futures will close at intraday. Though at $12.50 a tick, 6E is also very profitable. You can try it intraday. One contract margin is $1000 or $500 depending on the broker.

I know what you are saying. I think my method is similar. Using 1 contract and getting in where the exit was and leaving the stop at the original location of the 1st entry. That I lose only my original intended money.

Follow me on Twitter Reply With Quote
 
(login for full post details)
  #15 (permalink)
KL
 
Experience: Intermediate
Platform: NT
Trading: es cl ym
 
Posts: 37 since Sep 2009
Thanks: 10 given, 36 received

Hi All.

I have the same problem when I trade CL. I do well when its trending but chop mode always hits my stop and then go in my intended direction. I figure my stops were too tight. But I also didn't want to widen stops.

I found out that I could trade cl with micro lots with some forex brokers. I could go up to $1 per tick instead of the normal $10 per tick if routed direct to the exchange. So now I can widen my stops, take higher targets and have less stress.

I think this is only a problem for traders like me who have less than $10000 account. CL can move 30-50 ticks in a blink.

But of course some of these forex brokers have their setbacks too, I think they run their own price exchange so you must find a reliable one. The one I trade with has the exact price spreads as my Ninja/Zen Fire DOM. So no problem so far.

Cheers.
Joel

Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #16 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,785 since Jun 2009
Thanks: 32,313 given, 97,573 received

Slightly off-topic, but you may look at QM. It's the mini version of crude. However, I looked at it and hated it... but to each his own.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my futures io Trade Journal Started this thread Reply With Quote
 
(login for full post details)
  #17 (permalink)
Dallas,TX
 
Experience: Intermediate
Platform: NinjaTrader, OpenQuant
Broker: Zaner/Zen Fire
Trading: ES,6E,6B,GC,CL
 
Posts: 598 since Nov 2009
Thanks: 176 given, 120 received

B Mike

is it possible to add a "Arrow" in the Visual at the entry like how is shown in Roonius's SuperTrend. It helsp a lot to spot the entry and it looks very clear in the chart.

In fact, wanted to ask the same for TripleEMA or TrendBars and am sorry I am not coder so don't know how to add it myself

Reply With Quote
 
(login for full post details)
  #18 (permalink)
MIAMI,FL
 
Experience: Advanced
Platform: NinjaTrader
Broker: Private
Trading: Zn,6E,6J
 
sharky's Avatar
 
Posts: 1,060 since Jun 2009
Thanks: 624 given, 3,900 received

if your a vip subscriber i already did a triple ma dots just look in triple ma thread...sharky

KILLING THE MARKETS DAILY
Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #19 (permalink)
MIAMI,FL
 
Experience: Advanced
Platform: NinjaTrader
Broker: Private
Trading: Zn,6E,6J
 
sharky's Avatar
 
Posts: 1,060 since Jun 2009
Thanks: 624 given, 3,900 received

traderjoel why dont you just try a different market like the 6e or 6j i think that by just going mini will not fix any problems you either need to work thru why youe not able to stay out of chop or move to another market thats alittls slower on the moves maybe even try the xn or the zb...sharky

KILLING THE MARKETS DAILY
Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #20 (permalink)
MIAMI,FL
 
Experience: Advanced
Platform: NinjaTrader
Broker: Private
Trading: Zn,6E,6J
 
sharky's Avatar
 
Posts: 1,060 since Jun 2009
Thanks: 624 given, 3,900 received

and try the sharkband set to 8 or 10 and trade breakouts of the s/r zones or put a bolinger band on your chart there are many ways to stay out of chop,try the sharkfin set to 5 or 6...sharky

KILLING THE MARKETS DAILY
Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #21 (permalink)
france
 
Experience: Beginner
Platform: nt
 
mea109's Avatar
 
Posts: 201 since Oct 2009
Thanks: 1,776 given, 56 received

Mike, What is the type of MA you use? for build "w0down" and "w0up"
it approaches the 14 wma
but this is not exactly the same
thank you

Reply With Quote
 
(login for full post details)
  #22 (permalink)
Chicago, IL
 
Experience: Intermediate
Platform: NinjaTrader
Broker: AMP, CQG
Trading: CL
 
Posts: 1 since Nov 2014
Thanks: 0 given, 0 received

Has the futures.io (formerly BMT) wave been converted for NT 7 or is there something else out there thatís similar?

Thanks

Reply With Quote
 
(login for full post details)
  #23 (permalink)
Princeton, Texas,United States
 
Experience: Beginner
Platform: Ninjatrader
Trading: ES
 
Posts: 42 since Oct 2010
Thanks: 335 given, 40 received

Has the bmt wave been converted to nt8?

Reply With Quote
 
(login for full post details)
  #24 (permalink)
chicago, illinois
 
Experience: Master
Platform: NinjaTrader
Trading: oil
 
Posts: 8 since Sep 2012
Thanks: 1 given, 1 received

I too am interested in this indicator. Does anybody know if it is available for NT8? I can't find it anywhere. Anybody able to help convert it to NT8?

Many thanks!

Reply With Quote


futures io Trading Community Platforms and Indicators NinjaTrader > websouth's shared Price Action templates


Last Updated on June 27, 2020


Upcoming Webinars and Events
 

NinjaTrader Indicator Challenge!

Ongoing
 

Battlestations! Show us your trading desk - $1,500 in prizes!

March
 

Importance of Finding Your Own Way w/Adam Grimes

Elite only
 

Journal Challenge w/Jigsaw

April
     



Copyright © 2021 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts