I used 60 minute bar charts to find out, if it's profitable to use the closings as a filter. As you see in attached graphics it works. Only if the red line moves up a unit a trade will be opened. If the closing falls back the trigger the position will be closed immediately. A next try is ok. after the trigger line is crossed again, but close out if the trigger line is not hold at the 60 minute closing. The result is about $1675 in 3 days with 21 Trades. Please give feedback.
Just really quick. Your charting and methodology aren't too easy to follow, and speaking for myself, I'm not sure what you're trying to accomplish. Best Regards, Jimmy
JimmyJam, your are right. I am running three threads on elitetrader.com and this one is the one I am most struggling. My charting is not yet consitent and I am with you when you say it's not easy to follow I am doing. I will go in more detail and explain more in the next posts. As I said at very beginning I want to accomplish to be ready to trade the ECM with real money and to be successful. Target date to start was May, 1st. I will move the target date to May, 15th. gg12
To make ist easier and more clear I have following rules from now on. Grid is 10 Ticks. Candles are 60 minute candles. Winning trades are green. Loosing trades are red. Trigger lines are violet. In the unoptimized version of the system all candles which are going through trigger lines will create trades at their closing. System is always in the market. Positions will be always reversed. Please see attached graphics. To see if it's easy enough, please give some comments.
Short trade triggered at crossing of 1.2660 to the downside. Close of 60 minute candle was below triggerline. System will close short position and reverse to long when trigger line at 1.2670 is crossed up at a closing of 60 minute candle.
I am numbering the trades starting with 01 01 Short trade closed with loss -30 ticks (max.). I will round losses up to the next full 10 ticks. 02 Reverse long above 1.2670 done! Long trade will be closed at the end of next 60 minute candle.
Long trade will closed at the end of 60 minute candle below 1.2700. 02 closed with a gain of minimum 10 ticks (rounded down) 03 closed with a gain of minimum 30 ticks 04 closed with a loss of maximal 50 ticks 05 closed with a loss of maximal 20 ticks 06 is a long trade established above 1.2620.
06 Loss 07 Loss 08 Gain 09 Loss 10 Loss 11 Loss 12 Loss 13 Loss 14 Long crossing 1.2670 (60 min candle close) please see attached graphics
14 loss 15 loss 16 loss 17 loss 18 loss 19 gain 20 Very good trade crossing 1.2630 up! System is long. Positions will be closed, if a 60 min candle will cross the grid -10 ticks down on a closing. See attached graphics.
Trade 20 has been very nice, with 90+ gain 21 loss 22 loss 23 loss (long white candle) 24 loss 25 in progress; system is short below 1.2760 Trailing trigger is at 1.2780