Quote from lynx2004:
I think you are way ahead of me on short-term trading. I'm trying to get a bit of a handle on trading in the shorter timeframes. As an example, I'm still to use any tick charts -- what is the significance of these tick numbers 75, 133, 110, 233, 550 ?
I trade at IB w/ their datafeed. From your comment, am I to read that Esignal datafeed is better?
btw, I'm planning on getting Ensign in January. I take it that from the comments here that most here are happy with it?
Ensign works great for me. I love its flexibility. Ensigal data feed has been very reliable and gives you 100% tick. IB only feeds the sample of the ticks, you'll see a thin hair of tick data on 75 tick chart with IB.
It all depends on which one works better for your system. Or the price fits your TA indicators. If they won't fit well, tweak either the timeframe or the TA parameters to make good fit, then do back-testings. Traders found 75/11/133/233/550 tick can well define the intraday timeframe (short, intermediate, long).
I have a very good/reliable system to make 3-4 trades a day based on 550 tick. I backtested it many times and used it for real, it works. But making 3-4 trades a day is not my style, really boring, working as a full-time trader, it is painnful to sit here and watch it up or down 2-3 points - instead of locking in and getting back again with short-term frames.
I showed you my long-term MACD wraps the short-term MACDs daily charts before. That's the same indicator for 550 tick, it generates basically 3-4 trades a day.
That system is simple, use long-term MACD as the direction of the day. Use short-term as the short-long opprtunites on 550 tick chart.
When the long-term MACD is downtrend and above 0 MACD line, looking for short opportunities. When the long-term MACD is going up and uptrend, looking for long opportunites. Entry and exit based on the short-term MACDs color changing/crossing.
This is the chart for the past two days.
