Simple Profitable Method

[wee man]

Here is a better marked chart, the 9.44 crossover is not a valid long, I think?

 

[narballs]

been following this post great work~

 

[Bearbelly]

Looks to me like when the macd is running parallel to the zeroline your in a high risk area. Much better when it is a good distance away from zeroline and then starts heading for the zeroline.

 

[WarEagle]

Quote from wee man:

the 9.44 crossover is not a valid long, I think?

Not a valid cross, its under the zero line.

sevenfirs, I think you are watching the histogram instead of the signal line for the zero cross...the histogram will cross zero every time the lines cross since that is what it is measuring (the difference between them)...you want signal line crosses of zero and signal line crosses of the MA when also above zero (for longs, reverse for shorts).

 

[WarEagle]

Also make sure you are marking the trades on the correct bar.

 

[sevenfirs]

Another chart

 

[mwahal]

Quote from WarEagle:

Also make sure you are marking the trades on the correct bar.

WarEagle,

I did raise the point earlier but T28 says that it doesnt matter and he will take the position in the middle of the bar. But that is based on his discretion and we cant back test that. [See my posts on page 36-37].

Thanks

Mudit

 

[wee man]

Seems pretty clear now, - dont forget to have a quick looksee at the 10 min charts as an extra confirmo ...so, with a bit practice we should all be sending t28 a cut of our swag ....

 

[WarEagle]

28 may jump in earlier on an intrabar cross based on his experience trading the method, but in a backtest you are only cheating yourself if you take the trade early since in realtime we don't know if there even was an intrabar cross and we don't know how the bar will eventually close. You will also never see the intrabar crosses that failed since they will no longer show on the chart. So for the purposes of evaluating a method you can only use a strict interpretation of the rules on the bar close or else you are setting yourself up for disappointment.

Once you are getting the signals correct per the rules, then you can start using discretion in realtime to (hopefully) improve your results.

 

[trader28]

Quote from Bearbelly:

Much better when it is a good distance away from zeroline and then starts heading for the zeroline.

Good point, love those trades, you can see them building steam as they approach Zero and quite often I will try to anticipate them to get a better price