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I don't think it's Brooks's fault that his works didn't spawn thousands of millionaires. People easily wreck even mechanical systems, not to speak about investing enough time into deliberate practice of discretional approach. And I think that is wonderful, because achievement is relative...

Of course we describe our approach (more exactly our individual variations of approach, since my approach is derived from Xspurt's tactics but differs in some elements). And yes, probably it is more optimal than Brooks's methodology. Probably not. Because as I said, ES can be traded pretty...

One more thing: all said above is related to trading the Euro. ES in my view, can be quite well traded bar by bar using 5-min chart alone. Not sure about stocks, never seriously traded them.

Forgot to mention one thing: Entries for me are far not always bar by bar signals. Quite often good entries are simple breakouts on micro-timeframes, which fit well in the bigger context (like today, when daily and hourly picture suggested rally all day and every dip or even new high simply...

I never stated that bar by bar is the most effective trading tactics. For me, the most effective way to trade is combining price action of several timeframes, to take low risk entries on small timeframes within the context of bigger timeframes. As for moving averages, formations etc. I...

Yes, there are many ways to skin the cat, as one Chinese billionaire said last December. http://abcnews.go.com/blogs/headlines/2012/01/death-by-cat-meat-chinese-billionaire-poisoned/ :D Sorry, couldn't resist from bringing that analogy.

Another example of a trade, which basically does not require any pre-defined stop-loss at all (aside from catastrophic stop of 6 pips :D ). Such trades either work immediately or you kiss them goodbye. http://www.cornixforex.com/2012/01/eurusd-scalping-with-very-tight-stop-example/

EURUSD just provided an example of price action in it's most beautiful form. :) http://www.cornixforex.com/2012/01/precise-trendline-retest-pattern-eurusd-provided/

Yeah, thats what most "TA works or not" threads stumble upon. People refuse to admit this is not mechanical kind of human activity. It's is more like professional music or sports, activity which demands extreme focus, considering all the smallest details, nuances and of course, context. If...

Yeah, gap today acted (and still acts) as a very strong resistance. Price never exceeded this level by more than 1 pip and every time bounced back down at least 20 pips. If one is simply focused enough to spot such high probability levels, very tight stops can be applied successfully.

An example of trade from today, when 6 pips + spread stop was enough and even that, because I was not patient enough to wait for a confirmation in which case trade would almost not go against me at all. http://www.cornixforex.com/2012/01/example-of-eurusd-scalp-trade-with-tight-stop/

Personal read, based mostly on support/resistance levels which are likely to reverse price and how price reacts when approaches them.

Well, 2 ticks is more of an extreme. Most of the time it's like 6 or even 10+ (when volatility is very high and so is noise level). As for those which stop you out and go in your favour there are two nuances: 1) if reason to take the trade is still intact, you may try for a "2nd mouse"...

Yes, I appreciate critical views, they motivate for sure. Seriously.

They key to successfully using tight stops is simply to wait when momentum is about to explode, preferably in the direction of some bigger swing. That's it, not hard technically at all.

Thank you. Oanda. Only use futures around news, when Oanda tends to increase spreads in an upredictable manner.

Here are examples of actual trades made in October 2011. How in the world you would need more than 6 pips stop on those signals, which are obvious momentum breakouts? In the first case it never went against the trade by even 2 pips if remember right. And such trades do happen every day. Just...

By the way again, before I met Xspurt a few years ago, I also couldn't imagine how 6 or less pip stops are possible. But things change. World is more how we see it. :) What is "objective" for one is "fantastic" for another.

Think outside of the box. Imagine 2 pips stop which works in 20% of time (in reality much more often than that), but when works, makes say 50 pips profit. I am sure you wouldn't refuse to average like that. :p

By the way, from psychological point of view it is so much better to be afraid to get a big loss and bail out for a small loss than be afraid to admit your signal not working and hold on for a bigger loss. The second case leads to epic blow ups, not the first one.