This is the direction I'm currently heading. I'm trying to keep it as simple as possible. When I use MTF I often find myself not taking a trade due to something missing on one TF and then missing a good trade. And then taking a trade due to seeing something on MTF and getting a bad one. I prefer simple and take all the setups.
JPG is best cause it's smallest. BMP are huge.
PS: If multiple timeframes work for some people then nothing wrong with it. I don't try to convince anyone, I think there are endless ways to make money trading. No "one way".
PNG for best image and file size combination. JPG still better than BMP
Regarding MTF, what I say is don't look to multiple time frames for signals... look for confirmation. Trade just one chart, don't trade three. So if I have three charts up, I pick one that I trade (signals) and the other two are for confirmation.
Confirmation does not mean the same setup and signal. Confirmation means it is heading with me and not against me.
Don't try to take signals from three different charts unless you are already making huge money consistently.
Due to time constraints, please do not PM me if your question can be resolved or answered on the forum.
Need help? 1) Stop changing things. No new indicators, charts, or methods. Be consistent with what is in front of you first. 2) Start a journal and post to it daily with the trades you made to show your strengths and weaknesses. 3) Set goals for yourself to reach daily. Make them about how you trade, not how much money you make. 4) Accept responsibility for your actions. Stop looking elsewhere to explain away poor performance. 5) Where to start as a trader? Watch this webinar and read this thread for hundreds of questions and answers. 6) Help using the forum? Watch this video to learn general tips on using the site.
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The following 2 users say Thank You to Big Mike for this post:
The more I read, the more confused I get... I must have a pea brain, or, most of you are looking for something that's not there... and although there are some valuable bits of information in every thread, I think we're all "lost Seekers of the Holy Grail" ... Whatever charts or indicators we use, or develope, or tweek, it's all there in front of us already. It all comes down to money management. Plain and simple. I make $1000 to $2000 a day, 4 out of 5 days, using the same setup entry and exit strategy, and I never deviate from it. I trade only the ES, 2 hours a day. But most days I'm done trading in the first hour, and turn the computer off. Then I go run my other business for 8 hours, and make less than $500 a day. I've used the TVGR Gap Rule for 2 years, everyday. I read about it several years ago, tried it, and it works. I consider myself a beginner, because I only trade the opening gap, and cycle-scalp the first hour, or so. There are so many smart people here at futures.io (formerly BMT). I am intimidated, and embarrassed to even attempt to contribute. I don't know the first thing about programing, how to back test anything. I marvel at most indicators, but honestly have know idea how to use them. Trade Station looks like a kaleidoscope, and scares the h_ll out of me. I keep a daily journal, but written in pencil. I never risk more than 5% of my account, so I've never even come close to blowing it up. I have a passion for making money. But my weakness is in not having any idea how or when to let profit run. Wait for outliers. I always enter 20 contracts, and at 4 ticks cash in 10, and 8 ticks cash in the remaining 10. If a trade goes against me, I'm out. I've tried leaving a portion of the spread run, but felt so much stress, that I wish I hadn't... My chart setup is SMA 200 100 50, EMA 15. Stochastic 3,5, with a 50% constant line. and MACD 5, 20, with signal line at 30, for momentum. I watch the 15min- 30 min chart for the cycle, or short trend, and enter from the 3 min chart with confirmation leading from the %K diverging %D, and MACD leading off of "0", up or down. Day Trading 101, isn't it? I know some of you super smart people here have figured out a way, with high probability, for staying in a trade longer. I would really appreciate some help with this.
The following 4 users say Thank You to Patrick17 for this post:
Wow, I can't imagine why you feel intimidated or embarrassed . . . sure, it's always great to improve one's skills and profits, but you've obviously become very good at consistently extracting solid profits from the market pursuant to a well-conceived and disciplined plan. I think you should take a bow and start handing out tips to your fellow traders! I'll be interested to see what other responses your very interesting post stimulates; I"m certainly not qualified to start giving you pointers! To the contrary, I aspire to emulate your simplicity, control and fine results.
The following user says Thank You to Turtleman21 for this post:
Hi Patrick, thank you for posting & sharing your experience. I want to congratulate you for having the discipline to continue your method day in and day out, that is very impressive.
I googled TVGR and I couldn't find anything. I'm interested in learning more about this. Would you mind posting a few charts with your trades? In the past I've worked on gap trades and I could never get something that was profitable without large drawdowns, so I'm interested.
For your question, here is what I do which you may find useful. I keep record of my trades and note the MAE (most it went against me) & MFE (most it went in my favor, after I'm out of the trade). Let's say I have 10 stop & 10 target. It goes against me 8 and goes on to +40. After I have a lot of trades I analyze this and I put the data into excel and play with it. I try different stop & target values and find out what combination gives me the highest profit. Then I go from my current target to my desired target one tick at a time. In my current setup I go for 6 ticks. After I get some more data I want to increase it to 7.
I've found that pushing out my target will lower my win rate. This is ok as long as it's more profitable that way. But having a high hit win rate also has it's advantages psychologically especially when trading many contracts. I'm not sure I'd trade a little more money in exchange for having more losing days. I'm looking for a stable income.
The following 3 users say Thank You to cunparis for this post:
Patrick, I agree with cunparis -- if you're willing, could you share some charts of your trades, and perhaps explain your entry conditions and your stop strategies? Your current exit strategy seems straightforward, but how do you use TVGR to enter on a 3 min chart and where do you put your stops?
I know you asked for assistance, rather than offered it, but I think you've got things you can teach us also. Thanks!