Quote:
|
Originally Posted by ttt123
I couldn't understand how 12ema worked, what its signals were...
|
chop around the tunnel is in my opinion the major drawback of the 1hr tunnel method. The vegas team uses a 12ema to filter the chop, essentially you don't take a trade until the 12ema crosses through the tunnel. If the 12ema is in the tunnel, or on the other side of the tunnel you do not take the trade. Using this 12ema as a filter helps a little, but it does not completely eliminate the problem of chop.
The vegas team has subsequently developed a 4hr tunnel method that they say is superior and does not have the drawback of chop around the tunnel. The links that newdigital posted are (I think) mainly for the 4hr method.
If chop is a problem (and I know it is) I suggest you look at their 4hr method.