Initial Balance: 1120.50 - 1113.25 (7.25 points) Value Area as at 11:00 am: 1119.75 - 1116.75 - 1115.25 (4.50 points)
Price opened @1119.75
Today's High and Low as at 11:00 am: 1120.50 - 1113.25 (matching IB)
VPOCs: Top 1128.50 and Bottom 1095.00 (1119.00 was touched) Overnight High and Low: 1122.25 and 1116.75
I expect Mr Market will rotate either Up or Down to extend the daily range. It's trading within yesterday's VA so far.
The highlighted Long met the entry requirement (Method 1), ie
1. EMA(20) blue Up trend
2. EMA(5) black up at least 2 bars
3. Set up bar (in ellipse) Low touching EMA(5) black
4. Set up bar High > EMA(20) blue
5. FI Green
6. ADX Green and above 25
Instead of placing a Buy Stop 1 tick above the HH of the past 5 bars (incl Set up bar) which should be 1120.50, I waited until it broke 1120.75 (High of this morning). It did and I got in at 1120.50. I also adjusted 6-tick SL to 7 ticks @1118.75 (noticed support @1119.00). Took some heat and thought I adjusted PTs from 4/8 to 2/6 (tightened PT by 2 ticks). It's a surprise that both contracts were closed when PT 2 was hit. Well, I will read the BT manual to better understand how it works.
Note: It did hit the revised second PT 6 if I programmed my strategy right.
4 ticks for the first sim 2-contract trade using the revised set up. Done with the morning session and will be back EOD for the afternoon recap.
For my learning purpose, I would like to document Perry's "Do Not Trade" suggestion. You will see the ADX/DMI indicator on Panel 4. I do not have it on my chart because I did not know how to benefit from it. Having read Perry's thread again over the weekend, I have a better idea (not 100% until now).
With Perry's today note, I "finally" can see how I may safeguard late entry and CHOP. Please note the following:
1. ADX = thick green/orange line
2. +DI = thin green line
3. -DI = thin red line
4. When ADX thick green line is above both +DI/-DI lines, we maybe close to the end of the existing Trend. Better SOH and wait for a better opportunity as Perry suggested. I agree 1,000,000,..% now that I understand.
5. When ADX thick orange line is below both +DI/-DI lines, we are in a choppy zone. Again SOH.
Now my challenge: Should I add this useful indicator to my chart? Or replace MACDBB with the same? Or stay as-is!
Favorite Futures: Index,Currency and Energy futures
Posts: 1,701 since Jan 2010
Thanks: 501 given,
Trade and use what is good for you. I have given this forum a whole lot of tools with a lot of explanations what each one can and cannot do, so use what you feel works for you. My only suggestions is cut down on indicators and make trading easy.
The following user says Thank You to perryg for this post: