Scalping FX with Cyrox Rainbow

[G-Zilla]

Tayser,

Im slowly working my way through the closed Cyrox thread on forex factory. There is a lot of reference to Linuxtroll's ebook. Do you recommend buying that or just reading the thread a few times and other forum reading?

Cheers,
Matt

 

[Andy_aus]

Nah i missed it tayser, im mainly looking at EUR / JPY... some nice breakouts around american market session opening times last night.

I think ill start with 20 second and slowly work my way down.... but ive had most of my successes with a slower tf.

Are you using simple at market orders to jump in and out with the 1 second tayser.

 

[tayser]

Tayser,

Im slowly working my way through the closed Cyrox thread on forex factory. There is a lot of reference to Linuxtroll's ebook. Do you recommend buying that or just reading the thread a few times and other forum reading?

Cheers,
Matt

You don't really need to buy it... if you've got a spare $100, go for it, it's quite concise. In saying that, you can pick up just as much from the various threads, and there's a forum dedicated to it (www.cyrox.com - also where you buy the ebook).

I bought it out of courtesy to Linuxtroll/TRollmann giving us the method for free.

Andy: yep, market orders in/out. Sometimes limits on the way out - this is something I'm likely to play around with over the next month or so. If you're just starting out, don't fuss over complex orders, just use market - EFX Navigator's execution's pretty good.

 

[Andy_aus]

Man, ive been trialling oanda fx game just to get a grasp of it.

My conclusion from doing that is that it sux, im like 80-90 dollars down as soon as i start a position which means that it needs to move 4-5 pips in my favour just to break even. Im trialling a 10,000 account and its depressing to see that you are down 1% of your account just for entering a position. Anyone find the same thing? or should i just persist and get good at it?

 

[tayser]

Spreads are naturally enormous tonight. Playing a little bit on the greedy side, burned me, however have made it back and am stopping now.

Ouch:

Time Order ID Message Event TIF Orig Trader ID
19:08:07 0wk002s:091x-00 Sell Short 1000000 AUD/JPY @ Market on MBTX [expiring: 16/06/2008] (1000000 traded at 89.93) Filled GTC
19:14:01 0wk002s:09ev-00 Buy 1000000 AUD/JPY @ Market on MBTX [expiring: 16/06/2008] (1000000 traded at 89.81) Filled GTC
20:00:04 0wk002s:0az9-00 Buy 1000000 AUD/JPY @ Market on MBTX [expiring: 16/06/2008] (1000000 traded at 89.92) Filled GTC
20:00:37 0wk002s:0b0u-00 Sell 1000000 AUD/JPY @ Market on MBTX [expiring: 16/06/2008] (1000000 traded at 89.79) Filled GTC
20:08:54 0wk002s:0b5q-00 Sell Short 1000000 AUD/JPY @ Market on MBTX [expiring: 16/06/2008] (1000000 traded at 89.75) Filled GTC
20:11:31 0wk002s:0b96-00 Buy 1000000 AUD/JPY @ Market on MBTX [expiring: 16/06/2008] (1000000 traded at 89.65) Filled GTC
20:11:57 0wk002s:0b9h-00 Sell Short 1000000 AUD/JPY @ Market on MBTX [expiring: 16/06/2008] (1000000 traded at 89.57) Filled GTC
20:12:48 0wk002s:0b9w-00 Buy 1000000 AUD/JPY @ Market on MBTX [expiring: 16/06/2008] (1000000 traded at 89.52) Filled GTC

+ 9 real pips on my Oanda account earlier today (not at the above lot sizes unfortunately though ).

 

[disarray]

does anyone use pivot points in ninjatrader? if so, do you enter the trading session time to calculate them, and if so, what times do you enter on your charts.?

i was mucking around and trying to set them but default time is 12am - 12am but that would bugger up the pivot point calculation wouldn't it? so i set 8-4 on AUD/JPY chart, 6pm - 3am on the EUR/JPY chart, 7-4 on GBP etc but outside of those times the chart stops feeding price data because it thinks the session is closed.

cheers

** nm, sorted **

from ninjatrader site

Another method you can use to match NinjaTrader pivots with the pivots published is to use the daily bars option available in the NinjaTrader pivot indicator in version 6.5 or later. With this option, NinjaTrader will calculate the pivots based on the previous day’s HLC values as reported by your data provider’s daily bars. This approach will remove the need to fondle with the chart’s session begin and end times and will continue to allow you to chart pre-market and after-hours trading, but if your data provider does not support daily bars beware that the indicator will revert back to using session times for pivot calculations.

 

[tayser]

^ awesome, time to fiddle with Ninja methinks, thanks for that!

Done - and all on one chart today!

Time Order ID Message Event TIF Orig Trader ID
20:01:20 0wm0c2s:0b96-00 Buy 500000 AUD/JPY @ Market on MBTX [expiring: 18/06/2008] (500000 traded at 91.55) Filled GTC
20:01:47 0wm0c2s:0b9u-00 Sell 500000 AUD/JPY @ Market on MBTX [expiring: 18/06/2008] (500000 traded at 91.56) Filled GTC
20:04:11 0wm0c2s:0bff-00 Buy 500000 AUD/JPY @ Market on MBTX [expiring: 18/06/2008] (500000 traded at 91.63) Filled GTC
20:05:14 0wm0c2s:0biv-00 Sell 500000 AUD/JPY @ Market on MBTX [expiring: 18/06/2008] (500000 traded at 91.68) Filled GTC
20:10:15 0wm0c2s:0bsq-00 Sell Short 100000 AUD/JPY @ Market on MBTX [expiring: 18/06/2008] (100000 traded at 91.46) Filled GTC
20:10:49 0wm0c2s:0bu8-00 Buy 100000 AUD/JPY @ Market on MBTX [expiring: 18/06/2008] (100000 traded at 91.44) Filled GTC
20:16:26 0wm0c2s:0c5e-00 Buy 100000 AUD/JPY @ Market on MBTX [expiring: 18/06/2008] (100000 traded at 91.32) Filled GTC
20:17:14 0wm0c2s:0cj8-00 Sell 100000 AUD/JPY @ Market on MBTX [expiring: 18/06/2008] (100000 traded at 91.38) Filled GTC

1(0), 5(4), 2(1), 6(5). Commission's now worth about 0.9 pips, so even on the first trade I still made (albeit only a little) a bit of cash...

 

[johnnyg]

Looks like your going along well tayser. Finally got my stop to work, Using a market + trailing atm like you said. Im starting to demo abit more serious and using lot sizes equal to or close to what ill use when and if I go live. I usually trade 10 lots using a margin of ~1K. So far im finding it abit easier to use a slower moving chart (1,2,5min chart) and watch for when the candle either breaks up threw the spine or down threw it. I set a trailing stop of 0.20 (20 pips) however if i feel its going against me ill close the order. So far since Monday night my trades have gone as follows.

Short AUDUSD 10 lots +12pips - $120+
Short EURJPY 10 lots +55pips - $528+
Short EURJPY 15 lots +10pips - $124
Short AUDUSD 15 lots -1pip - $9- (got stoped out)
Short AUDUSD 15 lots +5pips $54+
Long EURJPY 15 lots +4pips $60
Short EURJPY 10lots +16pips $152

Still want to play around alot with different time frames to see which feels the best for me and log alot more results/ideas. Im not sure if youd call my trades scalping but am interested to hear thoughts/opinions.

Regards Johnny,

 

[tayser]

good stuff. I keep a M1 chart of EUR/JPY, GBP/JPY and AUD/JPY running on my second screen with a bog-standard GMMA + pivots and pretty much use it for confirmation. It really depends on the prevailing market conditions, but it's been good to refer to the M1 chart in the past few days - bigger movements and are much easier to spot on the slower chart - in fact I've noticed I've been looking at the slower chart more often than the second chart this week and actually swapping both charts roles!

The only thing I would recommend is sticking to one pair, or one group of pairs. I.e you're trading crosses to the USD and JPY. XXX/USD and XXX/JPY pairs have dramatically different characteristics - for one the JPY will move many more pips than a USD pair in the same timeframe and another at this point in time, the Yen is strengthening and Uncle Sam's Peso is weakening, therefore any yen cross will yield more for you than a Yank buck cross atm - you'll find it a lot easier to make roughly the same pipage more consistently if you stick to one sole pair, or stick to the same group.

I started with EUR/JPY as LT's E-book suggests and have since moved to AUD/JPY primarily, but I keep an eye on Euro, Sterling and Aussie to the Yen. All three don't move in synch, but it takes a lot less screen time to successfully move between them than say going from a XXX/JPY to any XXX/USD or EUR/XXX.

Apologies if you're more experienced in FX trading than me (doesn't take much to have more than me!), but HTH.

 

[Andy_aus]

Semi retarded question tayser... how do you get ninja trader to zoom out a bit. I cant get the zoom similar to that of my oanda chart. I also noticed that the v line isnt set at 5 minutes in your charts... is there a way to do this?

Thanks

 

[disarray]

CTRL + UP / DOWN to zoom in and out

ALT + UP / DOWN to make the bars thicker

 

[johnnyg]

Cheers for the tips Tayser. LOL im only an amauter at this game. Only been demoing for the last 2-3weeks. Look forward to learning alot more.

 

[tayser]

Meh, can't be arsed - in weekend mode already Enough for today.

Time Order ID Message Event TIF Orig Trader ID
20:12:10 0wn082s:0bl1-00 Sell Short 100000 GBP/JPY @ Market on MBTX [expiring: 19/06/2008] (100000 traded at 197.26) Filled GTC
20:13:53 0wn082s:0boo-00 Buy 100000 GBP/JPY @ Market on MBTX [expiring: 19/06/2008] (100000 traded at 197.14) Filled GTC

 

[Andy_aus]

AUD / JPY for me tayser, being aussie the times suit me nicely.

Have u quit ur job yet?

By the way that last trade u did, u entered a little bit too early for my liking, i would have waited for a clearer break of support. Any comments? im still learning

 

[tayser]

hah, no, haven't quit - gotta go live first 197.30 above was a resistance line, so you take the contrarian view once the move is complete (usually is when it hits S/R).

Anyhow, battling against enormous spreads, 1 pip on the pome-dollar will do me for Easter Monday...

Time Order ID Message Event TIF Orig Trader ID
16:25:29 0wr002s:03j0-00 Sell Short 100000 GBP/JPY @ Market on MBTX [expiring: 23/06/2008] (100000 traded at 197.48) Filled GTC
16:45:17 0wr002s:044t-00 Buy 100000 GBP/JPY @ Market on MBTX [expiring: 23/06/2008] (100000 traded at 197.45) Filled GTC

 

[tayser]

5 pips on EUR/USD after the favourable German news release tonight - only 5, I'm such a pussy!

 

[tayser]

Date with the Euro tonight... Happy with trades 1 & 3 - continuation patterns, Trade #2 I was far too late in entering and Trade #4 I was late, but it paid off, in and out very quickly.

Time Order ID Message Event TIF Orig Trader ID
18:06:50 0wu002s:07nj-00 Buy 150000 EUR/USD @ Market on MBTX [expiring: 26/06/2008] (150000 traded at 1.5786) Filled GTC
18:07:11 0wu002s:07pb-00 Sell 150000 EUR/USD @ Market on MBTX [expiring: 26/06/2008] (150000 traded at 1.57923) Filled GTC
18:17:57 0wu002s:083j-00 Sell Short 150000 EUR/USD @ Market on MBTX [expiring: 26/06/2008] (150000 traded at 1.5781) Filled GTC
18:20:03 0wu002s:0868-00 Buy 150000 EUR/USD @ Market on MBTX [expiring: 26/06/2008] (150000 traded at 1.5783) Filled GTC
19:17:16 0wu002s:0bsp-00 Buy 150000 EUR/JPY @ Market on MBTX [expiring: 26/06/2008] (150000 traded at 156.71) Filled GTC
19:18:23 0wu002s:0bx1-00 Sell 150000 EUR/JPY @ Market on MBTX [expiring: 26/06/2008] (150000 traded at 156.88) Filled GTC
19:20:46 0wu002s:0c5d-00 Sell Short 150000 EUR/USD @ Market on MBTX [expiring: 26/06/2008] (150000 traded at 1.5737) Filled GTC
19:21:06 0wu002s:0c7e-00 Buy 150000 EUR/USD @ Market on MBTX [expiring: 26/06/2008] (150000 traded at 1.5732) Filled GTC

6.3 (4.8), -2 (-3.5), 17 (15.5), 5 (3.5) - 24.3, (20.3). More than enough.

 

[tayser]

Some more Euro lovin' tonight.

-2.4, 7.3 + 3.5 pips earlier today...

 

[tayser]

And some demo pips (EUR/USD edited image in above post):

Time Order ID Message Event TIF Orig Trader ID
21:46:06 0wv002s:0k2k-00 Buy 150000 EUR/JPY @ Market on MBTX [expiring: 27/06/2008] (150000 traded at 158.09) Filled GTC
21:51:29 0wv002s:0ka5-00 Sell 150000 EUR/JPY @ Market on MBTX [expiring: 27/06/2008] (150000 traded at 158.15) Filled GTC
22:19:49 0wv002s:0ljo-00 Buy 150000 EUR/USD @ Market on MBTX [expiring: 27/06/2008] (150000 traded at 1.5825) Filled GTC
22:23:11 0wv002s:0lqg-00 Sell 150000 EUR/USD @ Market on MBTX [expiring: 27/06/2008] (150000 traded at 1.5832) Filled GTC

reason for holding on to the trades: M1 GMMA had both groups of averages in an upward trend and the EUR/USD was heading for a resistance line @ 1.5840.

 

[tayser]

Some weekend reading: http://www.cyrox.com/forum/index.php?topic=4.0

FlashCall's turned himself into a true blue pip machine, also look at his blog (http://www.scalpalot.com/)