Scalping FX with Cyrox Rainbow

[prawn_86]

Got massively caught out playing with the resistance the 2nd time

Short 1: +2
Short 2: -10

 

[prawn_86]

Well after my first week of serious demoing, i finished up negative 21pips.

I suspect my main problem is not realising a bad trade and holding too long, hence causing my losers to be larger than my winners.

From next week i will keep an individual trade plan, so i will be able to graph all my seperate trades, not just aggregates.

Lots learnt, lets see if i cant improve next week...

 

[Andy_aus]

Keep on going prawn, ive been in my 4th week of demoing... slowly getting more confident at it, and even put a few real trades in today.

... baby steps hey. Apparently it takes a few months... but you will get there

 

[tayser]

post news releases is one of the best times to scalp....... smooth trends up and down, good time to up your lot size too

Time Order ID Message Event TIF Orig Trader ID
23:35:03 0x20i2s:0pbv-00 Buy 600000 AUD/JPY @ Market on MBTX [expiring: 4/07/2008] (600000 traded at 93.42) Filled GTC
23:35:39 0x20i2s:0pli-00 Sell 600000 AUD/JPY @ Market on MBTX [expiring: 4/07/2008] (600000 traded at 93.63) Filled GTC
23:41:37 0x20i2s:0rf5-00 Buy 300000 GBP/JPY @ Market on MBTX [expiring: 4/07/2008] (300000 traded at 203.86) Filled GTC
23:41:55 0x20i2s:0rhm-00 Sell 300000 GBP/JPY @ Market on MBTX [expiring: 4/07/2008] (300000 traded at 204.11) Filled GTC

21(20) + 25(23) = 43 pips all up.

 

[prawn_86]

post news releases is one of the best times to scalp....... smooth trends up and down, good time to up your lot size too

21(20) + 25(23) = 43 pips all up.

Wow, well done!

What site do you use to know what news is coming out? And does it give a live news feed?

 

[tayser]

mainpage of: www.forexfactory.com

sign up for a forum account there and set your timezone and the mainpage will show your local times.

 

[nizar]

post news releases is one of the best times to scalp....... smooth trends up and down, good time to up your lot size too

Good to see you are getting some of the GBP/JPY action.
It gives some beautiful trends.

How was the spread?

And what exactly is your lot size?

 

[tayser]

the spread is the least of your worries after news releases when you look at the range of movement. All my ninja charts I've posted shows the lot size I've used underneath.

 

[prawn_86]

+5 (thats my daily target) on first trade of London open

Reason i held on into that down sike was that i had purchased just before open, when it had broke heave resistance around .6. I was confident it would keep going up on the bell.

Had a vicious downturn in the end. Lucky i got out when i did...

03:31:50 AUD/JPY Executed Sold 30000 AUD/JPY at 94.70
03:28:12 AUD/JPY Executed Bought 30000 AUD/JPY at 94.64

 

[prawn_86]

+8 pips tonight

Not too sure what was happening during my 2nd trade. The bid was above the ask

All shorts strangely enough.

Happy with those trades actually...


03:17:31 AUD/JPY Executed Sold Short 30000 AUD/JPY at 94.60
03:18:42 AUD/JPY Executed Bought 30000 AUD/JPY at 94.62

03:19:11 AUD/JPY Executed Sold Short 30000 AUD/JPY at 94.57
03:22:05 AUD/JPY Executed Bought 30000 AUD/JPY at 94.50

03:30:20 AUD/JPY Executed Sold Short 30000 AUD/JPY at 94.53
03:31:01 AUD/JPY Executed Bought 30000 AUD/JPY at 94.47

 

[roland]

I scored a few pips here. For me, I instantly got better results when I switched from 1 second to 5 seconds.

Also I am being more patient in waiting for a good spread in the rainbow - the decision is also influenced by any sign of the spine breaking through the first couple of colours.

 

[prawn_86]

I scored a few pips here. For me, I instantly got better results when I switched from 1 second to 5 seconds.

Also I am being more patient in waiting for a good spread in the rainbow - the decision is also influenced by any sign of the spine breaking through the first couple of colours.

17 pips all up. Well done

I think you should be careful if you are buying in before the price crosses the final WMA (the spine) as alot of the time the price will pull back into the rainbow to consolidate, then continue to move in its previous direction.

Your second trade was textbook Much higher probability than your 1st trade

 

[roland]

17 pips all up. Well done

I think you should be careful if you are buying in before the price crosses the final WMA (the spine) as alot of the time the price will pull back into the rainbow to consolidate, then continue to move in its previous direction.

Your second trade was textbook Much higher probability than your 1st trade

I agree, the pips on my chart are where the trade actually ocurred, my decision happened a little differently on that first trade - the spine was properly set - must be the couple of pips commission distorting the representation.

 

[roland]

went against my observations with the spine breaking through the yellow bands - even though the spread was looking good

Bought long at .48, sold at .44 - lost 4 pips

is turning again now and could have held for a profit - hard to know when the risk outways the reward

 

[tayser]

Entry 1 roland is exactly what you should be looking for: overall trend is downward, price takes a breather and jump in as soon as it returns to the previous trend (when flame disappearts into the rainbow). Price took a breather because it's hit the .50 level. Usual behaviour across all yen crosses: bounces 5-10 pips either side of the .50 and .00 levels unless the down/up move is significant - which for you it was, and you can use this type of trade to your advantage (it's a high probability setup): price will eventually gravitate towards it.

re: 1 or 5 second chart, whatever you're comfortable with, use it.

I grabbed 4 on the pome-dollar before, can't do much this week, work's killing me and the new open times are no help either

for reference (AEST):

Sydney open 8am
Tokyo/Hong Kong/Singapore open 10am
Paris/Frankfurt open 4pm
London open 5pm
New York open 10pm.

 

[roland]

Is it a trick of optics or perception to feel that shorting is easier? Seems like I am now waiting for tops and looking for a fall before I enter....

 

[prawn_86]

Bought long at .48, sold at .44 - lost 4 pips

Just being pedantic here, but including commision that is a 5 pip loss.

Is it a trick of optics or perception to feel that shorting is easier? Seems like I am now waiting for tops and looking for a fall before I enter....

Perhaps it is the overall trend tonight. All mine were shorts, and if you look at the 1 or 5 min chart maybe that shows a downtrend (im not sure,my charts are not open)

 

[G-Zilla]

hi guys,

Im going to start posting my nightly trades to keep me honest and only take the high probability stuff.

My thoughts before taking this trade was:
- price broke out from 160.80
- trend was beginning as the purple WMAs were starting to show
- decided to get in when spine crossed the 5min vertical line

Got out at 160.70

+7 pips, hopefully more to come!

(PS: Let me know if my trade logic is wrong)

 

[prawn_86]

Welcome G-zilla

I take it you are trading the EUR/JPY?

Happy scalping

 

[G-Zilla]

hi prawn! yep, EUR/JPY for me.

Have you guys found that your stricter with your trades when you post online?

My biggest issue is being trigger happy and trading too much, hopefully showing my trades will reduce that