chappy, how is MACD related to trendline? I...Instead of setting the trend line on pricebars ..I set it on the place where the macd will cross it's zero line (or as close as I can guess that it will). If you look at the 1st chart I posted ..you should get the idea .By doing it this way you will be entering the trade when the macd is exhausted and the next wave (leg) is beginning. It is a subtle difference but it will avoid many bad entries .Mark it up on the pair that you trade and see if it helps your entry. ....this is the trade I took yesterday for 20 pts.
I need some serious advice and help on day trading FOREX
- Thread starter Melchi
- Start date
A variation on MACD, from Thom Hartle of TAofS&C Magazine, uses settings of 3-8-13 and considers trend to be up when MACD (magenta) line is above zero and down when it is below zero. MACD Avg (yellow) line shows retracements when it crosses MACD - without importantly MACD reversing back over zero level which would just recycle everything. Then MACD Histo changing from LH bar to HL bar for long entry (or vice versa HH to LH for short).
Also for TL's I anchor from closing value of HH of LL, not the high or low themselves.
2 long signals shown below on indicator and arrows above on each (next) bar where entries could have been taken. BTW using this technique and going all the way down to one minute bar a signal would have triggered right on NFP 830am EDT bar but slippage of course would have been a MOFO. Also although I often enter using one minute bars, only with signals generated from a higher time frame.
Also for TL's I anchor from closing value of HH of LL, not the high or low themselves.
2 long signals shown below on indicator and arrows above on each (next) bar where entries could have been taken. BTW using this technique and going all the way down to one minute bar a signal would have triggered right on NFP 830am EDT bar but slippage of course would have been a MOFO. Also although I often enter using one minute bars, only with signals generated from a higher time frame.
Simple answer.
Use globex futures data.
Calculate and chart VWAP with st. dev bands.
Use a simple rolling regression to measure momentum.
Learn about the participants in the market, and what their interests are.
Hedge Funds, Broker Dealers, Globex Speculators, etc.
Remember that many large players in these markets 'outsource' execution to brokers who are using the above metrics (fills relative to VWAP / market impact models, etc.)
Trade micros and/or trade an appropriate level of risk with respect to your income/net worth.
Use globex futures data.
Calculate and chart VWAP with st. dev bands.
Use a simple rolling regression to measure momentum.
Learn about the participants in the market, and what their interests are.
Hedge Funds, Broker Dealers, Globex Speculators, etc.
Remember that many large players in these markets 'outsource' execution to brokers who are using the above metrics (fills relative to VWAP / market impact models, etc.)
Trade micros and/or trade an appropriate level of risk with respect to your income/net worth.
Have you taken a look at this idea?
This London Breakout Strategy trade is not in my wheelhouse but looks like a natural for backtesting...
In the spirit of "believe none of what you read and half of what you see" the links below offer sketches, but it would be pretty cool to see a home-grown backtest of how something like this would work.
The London Breakout Strategy backtest - https://www.dogpile.com/serp?q=The+London+Breakout+Strategy+backtest
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I see your points, but Don Bright Daytrading Co was negative on forex also;
so all those negative warnings could be positive.
On a more positive note, one experienced trader here pictured 4 or 5 trees, fine but better get more than 5 trees to make a market/LOL. Good pics
Regarding multiple timeframe analysis, what combination of timeframes? Please specify the purpose of each timeframe being used.