ok we have 0836 almost to the pip. now i will wait for another significant retrace which may or may not happen before the next move down.

I did find a commercial site with some on (obviously silly money)

You named it: like most commercial offers in FX, silly money.

I am looking at building some new currency strength indicators one based on pip movement with a start from 0 function (market open Monday) and one based on ATR. Has anyone come across any, thoughts ??

Thoughts:

Pips…[Read more]

if we are on second leg down then we should see a move of at least 0836 (if your into Elliot Wave it would be going into leg 3)

if its not the second leg i have no idea where its going to go.

if we are on leg 2 then we should see a move of at least 0836

if its not the second leg i have no idea where its going to go.

chris lori has the same view on inefficiencies as i do. he also tries to explain why gaps happen.

i know this isnt ss or indicator based sim divergence but i believe it is still relevant to the original post

I have no idea why MT4 standard MA would not work set to period = 1. On my platform, it just shows the raw price according to your choice, without any smoothing. That’s how it should be.

If not: have you tried reinstalling MT4? (Sorry if this has been suggested before, I don’t follow the whole thread).

If there’s an issue with the installation…[Read more]

I have no idea why MT4 standard MA would not work set to period = 1. On my platform, it just shows the raw price according to your choice, without any smoothing. That’s how it should be.

If not: have you tried reinstalling MT4? (Sorry if this has been suggested before, I don’t follow the whole thread).

If there’s an issue with the installation…[Read more]

@Roni26:

Surprise surprise the ‘bitch’ comes out in you again.

@forexhard:

You are a poser, a pretender, a troll and a time waster.

I kindly ask both of you to get back to a more appropriate diction. Personal accuses like these remind me of some of the worst threads I know from FF. It would suit this community far better if you could control you…[Read more]

@pipatronic: nice vid, thanks for it!

Contentwise, though, there’s nothing really new as compared to our recent written discussion. My opinion stated here is still valid.

If hedging helps you in your trading approach, just go ahead. But when developing an EA I do not see a reason to go that way, because a quick exit and re-entry is easier to…[Read more]

Hmm – I understood “diversification” like entries in different pairs …

Yes, I used the term diversification a bit loosely, and I said ‘kind of diversification’ to emphasize this.

Please take it like this: since you don’t know where exactly the ‘ideal’ entry point with the smallest drawdown would be, you ‘diversify’ your entries by griddin…[Read more]

I do not know in detail how @MTH2014 sets up his grids. But in general this fits perfectly the arguments PipMeUp @ FF lays out in the last chapter of his paper, as stated above. It’s some kind of diversification of your entries trying to even out potential drawdowns caused by short term volatility.

When entering a trade, you do not know in…[Read more]

I do not know in detail how @MTH2014 sets up his grids. But in general this fits perfectly the arguments PipMeUp @ FF lays out in the last chapter of his paper, as stated above. It’s some kind of diversification of your entries trying to even out potential drawdowns caused by short term volatility.

When entering a trade, you do not know in…[Read more]

I wonder if it is a physiological thing (for me)

Hmm, do you mean ‘psychological’ ?

‘Physiological’ might mean that your trades are causing you a stomachache, or worse. I don’t hope so!

As announced earlier, I would like to come back to the topic Reward to Risk Ratio, RR.

To kick off a discussion, let me start with two links to external sources this time, which at least at a first glance seem contradictory in their respective conclusions.

First Hanover @ FF again, see here, and one quote from that post:

RR (in the conventional…

[Read more]

Okay see attached on hedging …

Good point! Now let’s put on our accountant’s glasses and change our action on your scenario slightly, without changing the scenario itself:

Replace ‘open short hedge’ by ‘close trade’
Replace ‘short closed’ by ‘re-enter trade’

Taking the nit-picking accountant’s view: what would be the difference between…[Read more]

Okay see attached on hedging …

Good point! Now let’s put on our accountant’s glasses and change our action on your scenario slightly, without changing the scenario itself:

Replace ‘open short hedge’ by ‘close trade’
Replace ‘short closed’ by ‘re-enter trade’

Taking the nit-picking accountant’s view: what would be the difference between…[Read more]

The question is, can’t we take advantage from it?

Sure we can, as long as we are correct about predecting that the market will stay in that range while our trade is open. My point is, that this is not ‘market-neutral’, like claimed by some authors. If price leaves the range and starts to trend, we loose.

Now think about using two equal sized o…

[Read more]

The question is, can’t we take advantage from it?

Sure we can, as long as we are correct about predecting that the market will stay in that range while our trade is open. My point is, that this is not ‘market-neutral’, like claimed by some authors. If price leaves the range and starts to trend, we loose.

Now think about using two equal sized o…

[Read more]

Once I’ve thought that hedging would be the solution for everything. … That would work fine for some time. But in the long run the market will reach an extreme state …

That’s the point: relying on hedged grids consisting either of limit or stop orders, is a pseudo-strategy heading straight for the annihilation of the account. If your entry s…[Read more]

To hedge or not to hedge?

Pro hedging: http://www.forexfactory.com/showthread.php?p=6544091#post6544091
Contra hedging: http://www.forexfactory.com/showthread.php?p=8868124#post8868124

My personal conclusion: from a pure system developer’s perspective, I would always follow the contra arguments. When it comes to highly leveraged trades in…[Read more]