Simple Trading for a Job

[sinner]

Very volatile on the DAX tonight, I did not trade but thought I better post some good trades while the getting is good, it's essential to see there WILL be losing days, but days like today can make up for it and then some.

Thin red lines are valid, filled trades for +10+spread. I included a couple of thick red lines as potential sell levels just to pique your curiosity.

Day in, day out, test the market. If you are more of a "catch a fire" trader than a "hit and run" trader then try this: when market hits +10+spread take off half your position and move your stoploss to -10. So if you get reversed on, your balance remains intact. If the trade is a runner you can let it run!

 

[Kryzz]

Sinner, what about using the fractals as stop points also, avoiding the costs of the spread when re-entering for a new fractal, or do you still prefer taking the 10 ticks and awaiting a new setup? Totally agree re your sentiment toward trading and keeping it as simple as possible.

 

[sinner]

Sinner, what about using the fractals as stop points also, avoiding the costs of the spread when re-entering for a new fractal, or do you still prefer taking the 10 ticks and awaiting a new setup? Totally agree re your sentiment toward trading and keeping it as simple as possible.

Whatever works for you bro, like I said the main goal is secure some ticks then the exit strategy is up to you. I like the idea of taking a little bit home every day very much. Others like to trail. Some believe you've got to let every winner run.
My opinion is that these are problems every trader would like to have: what to do with all those ticks. My advice: whatever works so long as you don't give them back to the market they came from.

If you are trading futs, spread is low anyway.

 

[investorpaul]

Hi Sinner

Great Thread!

A question I had a look at the system you mentioned and just played around yesterday/last night trading it in a demo account.

In your first post you mentioned to look for a certain pattern to be formed with the candles at which point the price then bounces. You set your fibs up and as long as it doesnt break 50% you wait for it to go one pt higher or lower (depending on whether you are short or long) than the previous low or high prior to entering the trade.

Do the pattern of the candles actually make a difference? I was looking last night and as long as there is a clear bounce and failure to reach the 50% fib and then a continuation of the initial trend then you could still enter the position 1 pt lower or higher than the previous high/low.

is the fractal pattern only needed to confirm that it is a sharper bounce and not just a slow move back up, which could invalidate the trade?

Looking forward to your comments.

P.S. I will be spend more time reading up on this over the w/e so forgive me if I have missed something

 

[sinner]

Do the pattern of the candles actually make a difference? I was looking last night and as long as there is a clear bounce and failure to reach the 50% fib and then a continuation of the initial trend then you could still enter the position 1 pt lower or higher than the previous high/low.

is the fractal pattern only needed to confirm that it is a sharper bounce and not just a slow move back up, which could invalidate the trade?

Mate the clear bounce IS the formation of a fractal. How can the price bounce without forming a fractal?

As an exercise, hold your right hand up with the palm facing you. Your fingers will be the "candles".

Pinkie, ring finger are the swing, rude finger is the fractal high. Index finger and thumb are the pullback. Are you sure you understand this pattern?

 

[fosezzle]

Sinner,

any hints on how you personally identify rangebound markets? Pleeaaase

 

[Trembling Hand]

Sinner,

any hints on how you personally identify rangebound markets? Pleeaaase

Volume moves markets.

 

[fosezzle]

Volume moves markets.

I do appreciate that, TH, but not as easy to track with forex as far as my (probably limited) understanding goes.

Was just curious about how Sinner deals with it relative to this particular "system"/thread.

 

[Trembling Hand]

I do appreciate that, TH, but not as easy to track with forex as far as my (probably limited) understanding goes.

Was just curious about how Sinner deals with it relative to this particular "system"/thread.

Nah, that's not really true in relation to vol & forex. You have futures & ECN where volume is available.

Then its the same as every market as far as observing and figuring out range v trend. Look at what the "other" markets are doing? Equities, Commods etc. Is the money flowing or flip flopping?

As far as this system you will have to wait for sinner to reply I guess.

 

[Porkpie]

I trade a similar method as this but using the trader's trick technique of getting an entry in on the pull back and another above the fractal (eg. the high of the lowest low on a retrace of an upmove). You then take partial profits at the fractal. It is known that the pro's will sometimes whip the market up to prior fractal highs or lows, triggering stops and orders before dumping the market in the opposite direction. The traders trick will allow you to get out with a small profit or breakeven when this occurs. See attached.

Sorry to digress.

 

[tech/a]

Nice explaination of the Ross Hook.
Have 4 of his 5 books.

 

[fosezzle]

Nah, that's not really true in relation to vol & forex. You have futures & ECN where volume is available.

Then its the same as every market as far as observing and figuring out range v trend. Look at what the "other" markets are doing? Equities, Commods etc. Is the money flowing or flip flopping?

As far as this system you will have to wait for sinner to reply I guess.

Not so much a reply to TH, but as a sidenote just wanted to let peeps know that if you want live forex volume data and your market maker doesn't offer it, you can sign up to MB Trading's demo account and download metatrader 4. Simply a matter of right clicking and selecting "Volumes". You will have to subscribe to the newsletter, but I'd consider free volume data worth a little junk mail.

Now to the challenge of reading VSA accurately and not applying it to every single bar... Btw TH, I've studied a bunch of the Tradeguider videos and have learnt a bit about VSA, but if you have any other resources you could recommend relative to volume, I'd be grateful. If not, feel free to tell me to shutup and do my own research. :

(Sorry to mildly digress from Sinner's thread/system).

 

[sinner]

Hi guys,

Sorry I completely forgot about this thread. The British Pound has been keeping me busy.

I am aware of the Ross Hook entry but don't like it. I like to trade the markets structure, which means waiting to be first in line on specific high/low breaks as outlined repeatedly here. Pros bla bla bla is outside of my understanding of the market structure.

Will try and show some ideas about ranging market soon.