NexusFi: Find Your Edge


Home Menu

 





Mystery Chart


Discussion in Traders Hideout

Updated
      Top Posters
    1. looks_one hondo69 with 11 posts (6 thanks)
    2. looks_two lolu with 11 posts (0 thanks)
    3. looks_3 sharky with 6 posts (9 thanks)
    4. looks_4 Zoethecus with 6 posts (1 thanks)
      Best Posters
    1. looks_one sharky with 1.5 thanks per post
    2. looks_two hondo69 with 0.5 thanks per post
    3. looks_3 Zoethecus with 0.2 thanks per post
    4. looks_4 Silvester17 with 0.2 thanks per post
    1. trending_up 22,098 views
    2. thumb_up 18 thanks given
    3. group 5 followers
    1. forum 45 posts
    2. attach_file 15 attachments




 
Search this Thread

Mystery Chart

  #1 (permalink)
 
hondo69's Avatar
 hondo69 
Austin, TX
 
Experience: Intermediate
Platform: NinjaTrader
Trading: Currencies
Posts: 162 since Jun 2009
Thanks Given: 57
Thanks Received: 248

Today's puzzle begins with a few basic assumptions:

* You are only allowed one chart and one indicator (examples attached)

* You may select one only trade from each of the examples

* The only clue you are given is that it is a 9-range chart


Would you take any of the trades? If so, which ones?

Attached Thumbnails
Click image for larger version

Name:	Mystery1.jpg
Views:	360
Size:	61.6 KB
ID:	5750   Click image for larger version

Name:	Mystery2.jpg
Views:	305
Size:	60.6 KB
ID:	5751  
Started this thread Reply With Quote
Thanked by:

Can you help answer these questions
from other members on NexusFi?
NexusFi Journal Challenge - April 2024
Feedback and Announcements
Better Renko Gaps
The Elite Circle
Exit Strategy
NinjaTrader
My NT8 Volume Profile Split by Asian/Euro/Open
NinjaTrader
Futures True Range Report
The Elite Circle
 
Best Threads (Most Thanked)
in the last 7 days on NexusFi
Get funded firms 2023/2024 - Any recommendations or word …
61 thanks
Funded Trader platforms
39 thanks
NexusFi site changelog and issues/problem reporting
26 thanks
The Program
18 thanks
GFIs1 1 DAX trade per day journal
18 thanks
  #2 (permalink)
 
hondo69's Avatar
 hondo69 
Austin, TX
 
Experience: Intermediate
Platform: NinjaTrader
Trading: Currencies
Posts: 162 since Jun 2009
Thanks Given: 57
Thanks Received: 248

Oh grasshopper, you missed the point of the exercise.

You may take a trade anywhere on the chart as long as it fits your trading style.

Started this thread Reply With Quote
  #3 (permalink)
 
lolu's Avatar
 lolu 
Lagos, Nigeria
Market Wizard
 
Experience: Intermediate
Platform: NinjaTrader, SierraChart
Trading: Euro Currency & Oil
Frequency: Daily
Duration: Hours
Posts: 2,552 since Jun 2009
Thanks Given: 1,049
Thanks Received: 1,678



hondo69 View Post
Today's puzzle begins with a few basic assumptions:

* You are only allowed one chart and one indicator (examples attached)

* You may select one only trade from each of the examples

* The only clue you are given is that it is a 9-range chart


Would you take any of the trades? If so, which ones?

Yes, I'll take the trades that take-off from the consolidation areas.

Is this a "naked" chart ?

Lolu

Visit my NexusFi Trade Journal Reply With Quote
  #4 (permalink)
 
hondo69's Avatar
 hondo69 
Austin, TX
 
Experience: Intermediate
Platform: NinjaTrader
Trading: Currencies
Posts: 162 since Jun 2009
Thanks Given: 57
Thanks Received: 248

Yes, it's more or less naked. But the colored bars are nothing more than a type of moving average. I've just set the line style to hash, and the width to 90.

Started this thread Reply With Quote
  #5 (permalink)
evroom1
sarasota fl
 
Posts: 42 since Dec 2009
Thanks Given: 31
Thanks Received: 15

one long one short

Reply With Quote
Thanked by:
  #6 (permalink)
 
lolu's Avatar
 lolu 
Lagos, Nigeria
Market Wizard
 
Experience: Intermediate
Platform: NinjaTrader, SierraChart
Trading: Euro Currency & Oil
Frequency: Daily
Duration: Hours
Posts: 2,552 since Jun 2009
Thanks Given: 1,049
Thanks Received: 1,678

hondo,

I broke the rule with a regular Renko chart (see my attached chart snapshot for today's 6E).

This mystery chart looks tradeable. Do yo use it at all ?

Lolu

Attached Thumbnails
Click image for larger version

Name:	MysteryChart.png
Views:	294
Size:	83.9 KB
ID:	5859  
Visit my NexusFi Trade Journal Reply With Quote
  #7 (permalink)
 Zoethecus 
United States of America
 
Experience: Advanced
Platform: NT
Posts: 1,145 since Aug 2009


hondo69 View Post
Oh grasshopper, you missed the point of the exercise.

You may take a trade anywhere on the chart as long as it fits your trading style.

Correction my little lotus blossom: You may take a trade anywhere on the chart as long as it is profitable.

Reply With Quote
  #8 (permalink)
 
hondo69's Avatar
 hondo69 
Austin, TX
 
Experience: Intermediate
Platform: NinjaTrader
Trading: Currencies
Posts: 162 since Jun 2009
Thanks Given: 57
Thanks Received: 248

I'm experimenting with this chart right now. Being a Holiday week the market may not be ideal for testing, but I can show you what I'm planning.

First, the main idea is to filter the noise, thereby creating a calmer and simplified trading environment. The chart does that by default. Secondly, identify primary areas of support and resistance by drawing red lines on the chart.

Should the market be in a down trend, only take short trades that break below support. To enter, I've set my sell stop 3-4 ticks below an existing support line. This has worked pretty well, good for 5-10 ticks when it works. But I'd really like to refine both entry and exit methods if it continues to prove to have merit.

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

My rules for entry are to be governed by my stop, which I've set for 7 ticks for now. With a stop of 7, I want it placed 3 ticks above the red line. Should price reach those 3 ticks I don't want to be in the trade. So this is the point I've set to show me where I was wrong. Therefore, my entry point is 4 ticks below the line since I'm going short.

I figure 4 ticks below line shows a commitment by the market. Trading multiple contracts, I'll take off all but one of them when I reach +4 or +5, then let the last one ride.

I think this is worth pursuing because it feels comfortable to me. Some more testing and tweaking is definitely needed but I'm staying with it for now.

Attached Thumbnails
Click image for larger version

Name:	mystery_lines.png
Views:	322
Size:	22.9 KB
ID:	5869  
Started this thread Reply With Quote
Thanked by:
  #9 (permalink)
 
lolu's Avatar
 lolu 
Lagos, Nigeria
Market Wizard
 
Experience: Intermediate
Platform: NinjaTrader, SierraChart
Trading: Euro Currency & Oil
Frequency: Daily
Duration: Hours
Posts: 2,552 since Jun 2009
Thanks Given: 1,049
Thanks Received: 1,678


hondo69 View Post
I'm experimenting with this chart right now. Being a Holiday week the market may not be ideal for testing, but I can show you what I'm planning.

First, the main idea is to filter the noise, thereby creating a calmer and simplified trading environment. The chart does that by default. Secondly, identify primary areas of support and resistance by drawing red lines on the chart.

Should the market be in a down trend, only take short trades that break below support. To enter, I've set my sell stop 3-4 ticks below an existing support line. This has worked pretty well, good for 5-10 ticks when it works. But I'd really like to refine both entry and exit methods if it continues to prove to have merit.

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

My rules for entry are to be governed by my stop, which I've set for 7 ticks for now. With a stop of 7, I want it placed 3 ticks above the red line. Should price reach those 3 ticks I don't want to be in the trade. So this is the point I've set to show me where I was wrong. Therefore, my entry point is 4 ticks below the line since I'm going short.

I figure 4 ticks below line shows a commitment by the market. Trading multiple contracts, I'll take off all but one of them when I reach +4 or +5, then let the last one ride.

I think this is worth pursuing because it feels comfortable to me. Some more testing and tweaking is definitely needed but I'm staying with it for now.

hondo,

I took the attached trade @ 9:10pm (GMT+1) before I read your above post; and the trade just conforms with your trade setup (except that I did not set a Stop Loss). The SHORT entry (2 contracts) was 4 ticks below the drawn thick red line (Support). The entry was @ 1.4333 with Profit Target 1 taken @ 1.4328 (5 ticks) and Profit Target 2 @ 1.4323 (10 ticks). I'm still on SIM mode with the expectation of going LIVE in January 2010.

Please, share your experience with me and interested forum members on this "Mystery" chart.

Lolu

Attached Thumbnails
Click image for larger version

Name:	Trade23_12_2009_9pmGMT+1.jpg
Views:	302
Size:	89.8 KB
ID:	5875  
Visit my NexusFi Trade Journal Reply With Quote
  #10 (permalink)
 Zoethecus 
United States of America
 
Experience: Advanced
Platform: NT
Posts: 1,145 since Aug 2009



hondo69 View Post
I'm experimenting with this chart right now. Being a Holiday week the market may not be ideal for testing, but I can show you what I'm planning.

First, the main idea is to filter the noise, thereby creating a calmer and simplified trading environment. The chart does that by default. Secondly, identify primary areas of support and resistance by drawing red lines on the chart.

Should the market be in a down trend, only take short trades that break below support. To enter, I've set my sell stop 3-4 ticks below an existing support line. This has worked pretty well, good for 5-10 ticks when it works. But I'd really like to refine both entry and exit methods if it continues to prove to have merit.

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

My rules for entry are to be governed by my stop, which I've set for 7 ticks for now. With a stop of 7, I want it placed 3 ticks above the red line. Should price reach those 3 ticks I don't want to be in the trade. So this is the point I've set to show me where I was wrong. Therefore, my entry point is 4 ticks below the line since I'm going short.

I figure 4 ticks below line shows a commitment by the market. Trading multiple contracts, I'll take off all but one of them when I reach +4 or +5, then let the last one ride.

I think this is worth pursuing because it feels comfortable to me. Some more testing and tweaking is definitely needed but I'm staying with it for now.

I must say, this chart looks so good I could eat it. Just when I try to go cold turkey and kick paint bars, this gives me second thoughts about that decision.

Would love to learn more when you're ready. All the best with this.

Reply With Quote




Last Updated on January 11, 2010


© 2024 NexusFi™, s.a., All Rights Reserved.
Av Ricardo J. Alfaro, Century Tower, Panama City, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada)
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.
About Us - Contact Us - Site Rules, Acceptable Use, and Terms and Conditions - Privacy Policy - Downloads - Top
no new posts