How exactly are you defining a "signal" (entry) AND a signal that "worked"? I count 3 buys and 6 sells of which IMO only 4 really "worked" for a winning/working percentage 44.4%. Am I missing something? Just curious.
LOL, are we looking at the same chart? The post chart on the ZN (ten year note) has the following signals: 1) A continuation sell (with the stochastics below 50 at the Open - 8:30am) 2) A buy signal between 10:15am and 10:30am 3) A sell signal at approx 2:18pm 4) A buy signal at 2:22pm 5) A sell signal which resulted in massive profits at approx. 2:35pm That's 2 buys and 3 sells (assuming you got in on the drop from the Open) ... while I realize the color coding is not obvious if you've never seen it before, yellow = buy and blood red (love that color) = sell. silvermotion actually used a more sophisticated color scheme with his charts, which didn't requre any explanation (for me at least), as the actions the trader should take were extremely obvious and laid-out clearly on the chart ... a pity (for those who wanted to learn) that he took them down. Good trading.
I guess the confusion on my part is that there doesn't seem to be a logical correlation between the colors and the stochastics. How are the colors determined?
Oh, it's logical ... it just isn't obvious. The colors represent a measurement of price momentum. If you read back through the thread, you will see other posters giving detailed explanations on how they use stochastics ... in fact on page 2 I believe is a complete synopsis. After that you will see (well, actually, you won't see because he took them down) some brilliant charts constructed by silvermotion which show the measure of the stochastic tool in combination with price momentum (specifically being used to determine whether it is in agreement with the stochastic indicator, or not). After that, you get some rather excellent charts posted by yoohoo on how he uses ribbon stochastics to effectively do the same thing that I and silver motion are doing, which is measuring price momentum as it relates to the stochastic signal. *** Note: What silvermotion, yoohoo and myself are doing is we're showing the readers how they can use stochastics in combination with price momentum to make better trading decisions. What we are not doing is showing the reader exactly how we do it (but the clue about Buffy's B-Line stochastics should be enough for the more enterprising reader).
What system? My system ... and from the looks of it, I'm not the only one around here. ET's an interesting place.
Very nice indeed Clear to me, at least Nice color zones, I assume that the zones are a part of your private methodology. That's ok. It's a good example on how Oscillators can be used in a well worked out methodology. The use of "Range Bars" in this methodology is also excellent Goinglite
I'm probably still missing something but it looks to me you could do away with the stochs and just use the color zones.