Baruch's Forex System Journal

Baruch · Apr 2, 2004

Quote from Scientist:

I exited rest here at 108, +50

I've had enough for today folks. I'm up over +250 per contract (you can count), and it's starting to bore me, no real trend or anything today. I would have loved to have been riding a 300+ trend on top of this, but here we go. It's one of those choppy no-direction days. I did countless trades on other things, too, such as ER2, ES, and another currency, but I decided to keep it to EUR, to keep it short & simple.

Now, I wanted to post a string of my trades for just one day (rather than just sporadically, like before), so you and everybody else get an idea what I do, and that it works, and how to do it.

Another reason of course was a little voice in my ear to give Trend Fader a good one on his eye! So, you should all be grateful towards brother Trend Fader, because without his comments, perhaps I would have never bothered! Long live Trend Fader!

Seriously though. I hope you had fun and picked up something. It's really rather simple stuff. Most entries were fine-tuned with tape-reading, but this can be done via experience only. Keep watching tapes, and you'll get there. Apart from that, just channels and fibs, the simplest things work best, because they work out of self-fulfilling prophecy.

I will try to answer any questions that arose as to my methods / trades, as soon and as best as I can. I have nothing to hide.

A great thanks also to the host, Baruch, for having me here. Baruch own3z!

Best Regards,
Scientist
More...

Hi genosse Sci,

You are welcome.

panyc · Apr 4, 2004

hi Baruch

which moving average are you using? and why such a long
time base for your RSI?

jerome

bgp · Apr 4, 2004

thank you baruch.

Baruch · Apr 5, 2004

Quote from panyc:

hi Baruch

which moving average are you using? and why such a long
time base for your RSI?

jerome
More...

Hi Jerome,

1. Just a simple MA. (Keep it simple, stupid...).

2. It seems to work best. But now I am testing momentum - setting 89.

Baruch · Apr 5, 2004

Quote from bgp:

thank you baruch.
More...

Hi bgp,

You are welcome.

panyc · Apr 5, 2004

I use EMA20 personally, making use of RSI, momentum and slow stochs to determine my entry and exit positions. Though my
results are certainly not as spectacular as yours.

I took a look at your rules and I found the RSI strange, because
on my charts, RSI50 is above 55 most of the time and yet long
positions appeared correct. Do you consistently trade with RSI
>55?

And what sessions do you trade? Me primarily NY session. Just
wondering if you trade apart from NY and London since some of
the cross-overs take place at times other than these.

Jerome

Baruch · Apr 5, 2004

Quote from panyc:

I use EMA20 personally, making use of RSI, momentum and slow stochs to determine my entry and exit positions. Though my
results are certainly not as spectacular as yours.

I took a look at your rules and I found the RSI strange, because
on my charts, RSI50 is above 55 most of the time and yet long
positions appeared correct. Do you consistently trade with RSI
>55?

And what sessions do you trade? Me primarily NY session. Just
wondering if you trade apart from NY and London since some of
the cross-overs take place at times other than these.

Jerome
More...

Hi panyc,

1. I think EMA20 is too short-term.
2. Yes, I had BIG problems with RSI. That's why I am testing momentum - and trading without indicators.
3. Yes, that's also a BIG problem - if you read the whole thread, you will know that. I can't afford to sleep, because some of the best signals arrives when I sleep...

Jayford · Apr 5, 2004

Quote from DrBungle:

Hello again

Scientist, Jayford and others...

I am always very wary of the risk associated with trading futures. By "risk" I am now referring to a event when the market will move so quickly that you can not get out even if you have proper tight stops in place. In index futures it is simple to calculate how much of the underlying you are controlling per contract and estimate what is the worst case scenario. But how about currency futures (6e, 6b etc)? What is the worst that one can reasonably expect? What is a reasonable amount per contract that one should have in the account?

]
More...

No more risk with currency futures than ES in my opinion. Never had a prob exiting. I only day trade the most liquid contracts.

Am considering a shift to long term trading though, so I may start trading everything under the sun.

Jay

panyc · Apr 5, 2004

is there any particular reason why you feel that EMA20
is too short term? it seems to generate more entry
positions than MA50...

jerome

Baruch · Apr 5, 2004

No signals today. No trades today.