"Beeflover, I totality agree with you... But just a few comments. 1). I have found that you can get 7 points at least every hour trading the (YM) with very little risk. (7 x 5 = $35.00 an hour. or 35 x 6 hrs a day = 210.00 a day) very little risk. 2). I would like to be able to simplify the system even more. Get down to 1 indicator. The question is: which one and at what setting's. A). SMA3 +2 shift. Very nice indicator. (this one stays) B). Macd 5-13-6. Very nice indicator. (this one stays) C). Stoch 14-1-3. Very nice indicator. (not sure which is best ?) D). Stoch 5-2-3. Very nice indicator. (not sure which is best ?) snarlyjack" RIP SPM ...
Still a simple enough method, though what is the R:R to make it consistently profitable? (MACD on 10>0)
IMO this was a busted trade, even though it shifted 2.5 pts. I think one has to look out for more favourable conditions then 10 min MACD>0. In the end of it all 2 min MACD serves as a trigger, not as a directional reversal, it can though if higher time frames are also lined up for a move, IMHO.
Hi MoO6, do you mean your short term trading YM with something similar to the simple system I outlined? Maybe you can describe for me what your doing. I believe Snarly is looking at two Stochastic indicators because these were recommended by Jack Hershey. I give Jack a hard time because he talks so far over my head. I think he's trying to help us though. I don't know how the two Stocs complement each other. Why the heck do we need two? I just went through several days charts and when the 14,1,3 is pegs 0 or 100 a swing is near. I do not take the first cross of the 3sma+2 but I usually take the second. Second mouse usually gets the cheese. Some successful trader said that. I also watch for significant divergence between price action and the stoc. For direction I'm pretty much going with where the price is compared to the previous days closing range. Overnite highs and lows are very key also. For example look at the double bottom formed just before open today. I bought the pull back to this bottom right after open. I sold 10632 later in the day. I rebought at 10605 but stopped out. The next swing lower I bought 10685 when the overnite dbl bottom held after lunch. That's the good news. I got stopped out 4 times late in the day. I notice that the stoch did not peg 0 or 100 in any of these trades so I believe the signals were not optimum. I'm doing good on paper with this, I'm going to work on it more before I put anymore savings back in my futures account. Have a good weekend all. It's almost cocktail time here in MN
Ensign has a library of intraday charts that you can replay at your leisure and test these things out. Im hoping to get about a couple of weeks worth in this weekend.
hey BB, I'm using Ensign now too. What are you up to anyway. It sounds like you were getting whiplashed pretty bad trying to trade the T28 MACD w sma system. I probably should not have traded ER2 not being familiar with it. I've traded YM since the $5 ticket came out. I'm a loser but not a newbie, just a successful trader wannabee. I run a small business but I'd rather trade. I'd rather trade than do almost anything, except fish and drink maybe. keep on keepin on I guess
Snarly Can I ask what is the longest span you tried to trade the original system exactly as outlined by the OP?
what's an op? Snarly has described his charts very well but I'm not sure what his actual signals are. Help Snarly. why two stocs? what's a signal on your charts? Find an arrow marker to put on your next chart post with some explanation on how you are interpreting the indicators. Ya know those bars with a big long tail. Like the market goes bing bing bing bing bing bing bing in one direction then retraces bing bing bing bing and closes. A friend used to call these "spikey thingys." Like the bar where YM hit 10635. I'm working with fade the spikey thingy at key S/R, but you gotta be quick because the markets hot.