I was trying to use pair of 4 and 8 minutes chart to trade your system by replacing EMA 20 with SMA 40 in jeffsUniversalMovingAverage indicator. As shown in the attached chart, both 4 and 8 minutes charts show a lot of "End Trend "zones. Could you please offer advisement for improvement? TIA!
Favorite Futures: Index,Currency and Energy futures
Posts: 1,701 since Jan 2010
Thanks: 501 given,
Firstly the 4 and 8 min charts has NO relation to the 4 and 8 Range charts. The DMplus is showing exactly what the 4 min charts bars are showing i.e. end of trend. You have taken something that works and trying to change all the parameters. Maybe try a 5 and 15 min charts.
The following user says Thank You to perryg for this post:
i would suggest a 5- and 30 min charts - i like the min charts but i find for this great system you got to follow all the rules - 4 range works best for me - i look at the 8 range as well but usually trade of the 4 range - the 8 keeps you out of moves but i like the action - with alittle learning and using market action you can do very well
Thank you Perry for disclosing you trading platform and taking on the challenge of starting and maintaining a futures.io (formerly BMT) thread. I have abandoned all other methods and I have been doing sim trading with method 1. I have read the tread twice, a few months back when the tread was with less pages and again for which now I am current. Like you wrote you either bend the rules or you follow the rules. So while I sim trade and "follow" the rules, I encounter chart situations where I develop questions. I was going to reread the tread again to answer my questions, but I decided to post today's E6 chart and ask the questions.
I am trying to just read the chart and at this time I am just working with the 4 Range E6 chart. I am not concerned with Murrey math. My first question deals with the black EMA 5 moving at least 2 bars in one direction. I know two bars is two bars, so looking at the left side of my chart where I marked the "short set up bar?", to me is a short set up bar. correct? Or is the bar before qualifying as a set-up bar? And then to the right of the chart where I list 1 thru 5 in the chop. At 1 the EMA 5 turns direction on the bar before, so after the bar paints at 1, does that count as at least two bars? Or do I need one more bar? At 2, is that a short set-up bar? At 3, after the bar paints, is that at least two bars? Are 4 and 5 poor examples of at least 2 bars? As the EMA 5 turns and reverses, I was having questions on which bar counts as the first bar as sometimes the EMA 5 turns at the wick of the bar. So is turning at a bar part of "must have gone ___at least 2 bars or more"?
In the middle of the down trend to the left of the chart, I marked three set-up bars with arrows. The first two set-up bars with the double arrow, the DM+ was changing condition as the bars painted. Do you consider these set-up bars valid to enter a short position? At the time the third set-up bar painted the ADX was 'RED', but at the entry price the ADX was "GREEN", is this a valid entry?
Thanks for your time and consideration, Tiberius.
Last edited by Tiberius; November 1st, 2010 at 09:26 PM.
Reason: missing my attachment
The following 3 users say Thank You to Tiberius for this post: