I dont particularly like Nihaba's style because he complicates things with looking at several timeframes and also with the multiple contract exit / sizing stragies. The strategy I have looks at only one time frame and has a simple 1 contract breakeven, let other ride exit management.
Agree...don't rely on testing done by anyone else. Do your own based on your own trading style and not on the trading stlye of someone else. Be careful about win/loss ratios...they can be misleading sometimes. I've seen too often a trader with a good win/loss ratio but not profitable in dollars. Losers in dollars are greater than winners in dollars or not having the ability to ride winners (too many early exits out of profitable trades). True. However, they should be close when comparing % or ratios of stats from one time frame to another time frame eventhough they will be different. Don't get candlestick patterns confused with position size management. Those are two entirely and unrelated topics Besides...position size management is nothing new to anyone that trades more than 1 contract... Nothing complicating unless your not trading size. As for timeframes... I trade whatever my trade signal appears on. I don't get fixated on one chart interval nor do I believe there's a holy grail interval. Your goal should be to exploit whatever the market shows you...regardless if its the 1min, 2min, 3min, 4min or whatever chart interval your using. Nothing complicated about this either... Put two or three different intervals on your monitors and leave it alone... Then sit back in your chair and wait for something to develop...if not...read a magazine (see sarcasm below). You may get no trade signal on the 5min chart but suddenly when you turn your eyes to look at your other chart...you may see a signal on the 15min chart interval. Not sure what's complicated about that. Now...if you have questions about Tweezers or Hammers... Just ask or search it at ET (most likely already discussed). By the way...your thinking that looking at more than one chart interval or scaling out of a position size is complicating... Reminds me of a conversation I had with someone that said to me at breakfast many years ago... reading the newspaper and eating at the same time isn't good eating habits... I replied... I can sit on the toilet while reading a magazine also... NihabaAshi
Welp. I'm talking about... you make decision about trading on timeframe A while taking into account whats happening on timeframes B and C. Yes, thats too complicated for me and I can do the toilet magazine thing too. But not eating with a newspaper!!