Trader28 and Bearbelly, Now that I've changed my trading style... Old program "Omnitrader" gone. New program "E-signal" now in use. By the way this was a big step for me to get rid of my software. It made my heart go pitter-patter!!! So this is new to me, different style and look... So our main indicators are: Macd (12-26-9, Crossover) SMA 3 (+2 horizontal shift) SMA 8 (+2 horizontal shift) So are we kinda following the "Kwikpop" style of trading? Thanks snarlyjack
<i>"But ive backtested the hell out of thousands of combinations of the kind of indicators you are using and I know they are worthless."</i> As a retired systems writer, I can tell you these indicators are 100% worthless for mechanical system success. However, they do indicate price strength = weakness at any moment in time. A body in motion tends to stay in motion... which is precisely why "lagging" indicators do predict future price action with a favorable odds of outcome. Combine the use of these simple chart tools with an understanding of price patterns = behavior, and discretionary trading can be successful. Actually, the simpler the better. <b>Dragon</b>, you are still one stage away from the final evolution as a trader. Systems writing = testing = trading taught me many realities about markets and trading I'd never have learned otherwise. That invaluable education coupled with extensive chart research taught me how to trade circles around the most robust <i>mechanical system</i> any man or computer can create = conjure up. There are no exceptions to that statement. The people in this thread are working their way thru the natural learning curve. I'm not part of their group, but do appreciate the massive efforts involved.
Austinp, Your right... I went back and reviewed this whole thread this weekend. My first thought to myself was, I should have seen this months ago. Apparently, at the time I was originally reading the method I did not comprehend what it was saying. It's taken me about 5 months and a software package change to understand what we are looking. So I guess the moral of the story is...everyone is different and things come at different times. snarlyjack
Hello: I have a couple of things to do today. One of them is to offer a little comment here after you all have had your opportunity to "fix" Trader28's system so that it is "improved".. First, there is one criticism that can be leveled at most people on this site. You don't do your research. Apparently, you are willing to just read about someone's system and then throw money at it "because it sounds good" or "it trades pretty well on the simulator" or "I have been papertrading and it makes money"...Those of you who are guilty of that kind of approach, well you won't be here long. I am not as generous as Trader28. Years ago I learned how to research and characterize markets. I learned just how difficult it is to do correctly and frankly I am not willing to share like he did. What I will do is say this; 1. Trading short term momentum works IF you develop the system correctly. 2. Adding indicators isn't the way to go 3. Adding complexity to the system isn't the way to go 4. While entry strategies are important, it is exits and stop losses that are most important. 5. Currently, no one here (at ET) has shown me that they understand how important it is to develop an effective stop loss strategy From a professional standpoint, after Trader28 put down his basic system, it was all downhill after that. You folks went in the wrong direction. Simpler would have been better. I trade a similar system using only one indicator (I won't say which one) and a stop loss algorithm that I developed to show me which market to trader each morning. Since I tend to be a mean spirited SOB, that is all I am willing to say. I hope it will inspire someone to do their own homework and go the last few yards to the finish line. Good luck Steve P.S. Athough the magazine "Stocks & Commodities" is a complete (in my opinion) rag, there is a pretty good article this month showing an alternative method for figuring stop losses. Article is by Thomas Stridsman.
alright, I for one am looking forward to making money using the SMA3 +2 shift, along with the Macd. I know I can make money with Omnitrader using the Macd plus Guppy Multiple Moving Averages. I like moving averages and the Macd and I know what I am doing. So... let's get this thing rocking (starting tomorrow since this is Martin Luther King Day) and start making ton's of money. I would love to visit Australia. I've got places to go and people to see. And I need money to get it cranking. So let's go... snarlyjack