Kept noticing that I was leaving so much profit on the table by exiting at the opposite Keltner band. Parabolic seems to be a good trailing stop technique so thats why I switched to it. I'm sure there's a million other ways to trail a stop that would work fine also.
in your experience what conditions has it favored most over the time you've been trading it? have you noticed if it performs better in sideways/congested markets -vs- trends?
This method doesn't do well in trending markets. It does best when the market is range-bound. By using the one losing trade and stop trading for the day, I've been able to avoid getting beaten up during trend days. This has been my best year ever, so next year the ES will probably trend more and give me new challenges.
curious...have you ever played around with $TICK and your divergence meathod? if so...what were you experiences?
Only thing I've noticed with $tick is if the ADX < 30. If you have a trend going, then when $tick pulls back to 0 it's a good place to enter long or short in the direction of the trend. For trend exhaustion, the tick volume for the ES looks promising. I see many trends stop when tick volume goes up above 3000 on a 5 min. bar.
no pm please, I find the inquiring minds of ET are creative at the least. If you were to start a Journal would it be your finished product that you trade now? or would you be looking for something? I know you stated that you will not be starting a new Journal, but I was wondering why? There seems to be some interest? Please excuse my persistence. I only post, as I think you are a good and observant trader. I gain much from Journals, even though I may not trade them. The little tidbits and gems seem to be abundant in them. Michael B.
Lets go one step further and take the SP Ticks and avoid the other stock that do not make up the SP 500. I use a tool in Neoticker and use TICK 16 which will take the last 16 ticks and sum them. This smoothes the tick count and give some good entries. This method is best in Chop and program driven trade environments. I am hunting for a way to deal with Trend Markets avoid fading that move. Any help out there to filter this market environment. I have been working with this for 6 months now and will share my research if any seasoned traders would like to collaborate. I have some other great tools that strictly cover Price Action and Volume. I have studied Wyckoff for 6 years and have used his principals on longer time frames to consistently trade the ES, NQ and AB markets for the last 2 years. I want to automate this method and trade Asia and Eurex. I will collaborate or pay the trader/programmer who has the skills to complete this project. $100 an hour seems the going rate. I also have contacts to raising bigger money once a program is developed with these tools to trade 8 to 10 markets. PM me with any interest.
Iv'e noticed a similar situation with $TICK and alot of times faster CCI will confirm early stages of the trend by breaking +-100 and reversing while the slow CCI stays above or below the 0 line.
hi no_pm - i have taken a quick pass at backtesting this - i don't want to rush to post the results because it's an initial rough draft at best, i.e. needs to be checked for coding errors and most likely needs refinement of the divergence logic - however, if you are interested and have time, i can post a sample of the mechanical trades for some of the recent days and perhaps you can comment if the logic seems to work... here is the mechanical output for the days you have shown... - thanks for sharing and all the best.
Hello Nopm: As I have mentioned in my recent posts, I have been using your system for quite a while. It is one of several systems I have in play. I have made a few changes, but it is essentially the same as when you first posted. I like it. I appreciate your generosity, and would be glad to reciprocate by showing you my changes. PM if you wish. Otherwise I wish you and your family a Merry Christmas. Steve