Tuning a system to pinpoint breakouts at the very start of a cycle, but also the start of dumb money volatility near the end of a cycle.

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wiggo75
Join date: 2017.01.06
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#1
Pava
Join date: 2009.01.05
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#2
wiggo75:
Here's a system I've been workin on for quite some time.  Feel free to take advantage of it, but make sure you give me some thoughts to try and enhance it.
makes me nervous
wiggo75
Join date: 2017.01.06
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#3
Pava:
makes me nervous
Here's a good remedy to that problem Pava.....probably the only one come to think of it.
Pava
Join date: 2009.01.05
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#4
wiggo75:
Here's a good remedy to that problem Pava.....probably the only one come to think of it.
I'm scared of dark places
wiggo75
Join date: 2017.01.06
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#5

Only take trades when the large red 40 stoch is moving in a direction, or more effectively, when the two faster red stochastics show that there's going to be a direction change with the 40.   Notice that the highest price action takes place when the  green and yellow koufer cycle has gone above 65 line or bellow 35 line, just prior to reversal.  I call that the stoploss kill zone......The harder it pushes against the 0 or 100 line prior to reversal breakout, the quicker you'll be stopped out if you're too early.......Wait for symphonie indicator to signal whilst keeping an eye on the red stochastics.  

A prime area to watch for the greatest price action is when blue dynamic zone stoch indi is bouncing off the slower red upper and lower dzs, whilst keeping an eye on the three red stochastics, again, for that direction change.  Also for the greatest price action, the white bb will squeeze up on the DZS........wait for the SEI  v3 signal, notice the direction of the red stochs, or that possible change according to the faster red stochs, wait for the bar to close, and get ready for action.  The i-shark overbought/oversold indi overlaid with the SEI v3 works with that as well.

The SEI v3 does repaint, but you'll notice that with a back test, the history dots are still potentially profitable, make sure you're always looking back to the 1 min chart to know when to cut trade, using the same system in reverse.  Come up with your own stoploss system.  I use Bemac trademanager, it's free.   

I like to use the fast moving blue and white RSI Lido to really define the direction of the volatility, where all the weight is in real time, it tells me early if i've jumped in too prematurely judging by where the volatility is in its pendulum action.

 If you can master dumb money volatility trades just prior to reversals, focus on those trades at the normally worst times, ie, in the morning. Trade reversals primarily, at the normally good times.  

As always, only take trades as close as possible to the bar close.

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 Be wise as serpents, and harmless as doves.

wiggo75
Join date: 2017.01.06
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#6
DMNIK
Join date: 2013.11.10
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#7

In the template there is a complete system.

Picture-such

 


JimClark
Join date: 2009.03.17
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#8
DMNIK:

In the template there is a complete system.

Picture-such

 


Yepp, please complete the tpl.

xard777
Join date: 2006.03.29
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#9
wiggo75:
Here's a system I've been workin on for quite some time.  Feel free to take advantage of it, but make sure you give me some thoughts to try and enhance it.

Hi There, Very impressed with your setup... I like the way you think!... Nice.

Keep up the good work.

Xard777 

wiggo75
Join date: 2017.01.06
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#10
DMNIK:

In the template there is a complete system.

Picture-such

 


Probably a stupid question....but you've placed all the indis iv'e posted in the right folder, right?
wiggo75
Join date: 2017.01.06
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#11
Notice the false signal being on the wrong side of the grey i-shark line.  The red stochs are clearly heading downwards sharply.  the encircled yellow and green koufer indi area is the dumb money zone.  The price drops sharply directly prior to the end of the 5 minute cycle as the koufer line pushes hard against the 0 line.  refer to 1 minute chart always, especially as the koufer and the RSI lido start arcing.
wiggo75
Join date: 2017.01.06
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#12
This is the 1 minute chart of the same position.  Notice at each stoploss killzone (the red x's) where the reversal has faked out, the price has exponentially spiked downwards at the green arrows.  We've got a signal on the right side of the i-shark line this time, and the white bb has squeezed up on the DZS, but notice the red 40 stoch is falling sharply, the green and yellow koufer has broken free before the false signal anyway, so therefore we wait for the next cycle on this chart where it ends at the gold arrow where we have the new signal. The 2 signals in between showing to go short are potentially profitable as you're going with the dumb money, but the fact that the red 40 stoch is hard on the 0 line waiting to go long makes it a very unwise decision, the blue and white lido is also in the dead zone with nothing really behind it at all to go down a great distance as it's already happened noticing the huge build up prior to the last huge spike downwards.  It comes down again into that killzone which is apparent prior to the start of the true cycle.   Soon I'll be adding my customized ADX indicators to really pinpoint trade execution and stop areas.
wiggo75
Join date: 2017.01.06
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#13

Let's go a step back.  Notice the signal to go short at the red arrow, but look at the white bb on the DZS (middle indi window).....It's still widening, as there's still upwards volatility, it's also exemplified with the behaviour of the faster red stochs, it's showing a spike down but the price really does nothing, that little bit of volitility remaining is still upwards, it's coming to the end of it though, as we have that spike right before the green arrow, the very start of the next full cycle.  There's another little dummy breakout shown with the last blue bar between the verticle lines, but again, zoom in on those faster red stochs and look at their position,  the true cycle can't start if those faster red stochs are heading upward as sharp as they are shown buy the red arrow in the 2nd pic. (To negotiate these areas, especially that 30 or so pip wick at the green arrow in the first pic, learn how to use tick charts to break it down even further.   If someones an expert on tick charts, info would be highly appreciated.) The yellow and green koufer has already taken off, but remember, that position is even better, as price acceleration is normally apparent above the 65 or below the 35 lines, exactly where it is at the signal, hence the huge spike downwards, and that is where the blue and white RSI lido works.  The erratic pendulum action of the lido end will show the last remaining upward volatility being exhausted prior to it hammering down, meeting the exponential acceleration (take note of the price,) of the yellow koufer.

 https://www.youtube.com/watch?v=LG-rXGbuFd4

wiggo75
Join date: 2017.01.06
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#14

Iv'e based my ideas off Anne-Marie Baiynd's correct use of stochastic settings and overlays, and I'm attempting to define it down to a molecular level.  Here's a very informative video.

 

 "In this one hour class, Anne Marie will walk you step by step through actual past trades from Tradingbook.com that illustrate the clear principles surrounding how she uses her favorite, and often overlooked, momentum based indicator.

Join us for this high impact, career changing webinar to discover one of the most reliable indicators in all of technical analysis. Consistent results come from structured and straightforward trading, and that's exactly what this indicator helps you achieve."

 

 https://www.youtube.com/watch?v=UCazDCsHsC0

 

Sound cuts out around 16 minutes for a little bit. 

wiggo75
Join date: 2017.01.06
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#15
Using ADX indis iv'e just customized.  Top one for going short, bottom for long.