Trends Continued

After doing some backtesting on my strategy, I’m getting some good numbers but there are many missed opportunities. It turns out, some kind of combination of Trend Strategy 1, and Trend Strategy 3 (Trend Pop) would be ideal. In the picture below, even though the TRENDDIRECTION indicator has established the trend, the CCI and SSD […]

Making Money on Trends

There are many different opportunities for Trends. Here is what I have discovered. 1) Entry on a slight reversal in a strong trend. So the trend loses a bit of strength which provides an optimal time to enter and continue riding the trend. The example below is from AUDJPY –Mid March to Mid April 2011. […]

Oversold vs Not Overbought?

So interesting point I noticed today that might be worth keeping in mind for future reference. Often we think about an indicator value crossing some limit to mean something, for example, in SSD if it crosses over the overbought line then it is overbought. Likewise if it crosses under the oversold line then it is […]

Back to Trending Strat

I’ve spent the last week and a bit doing more research and studying. I need more strategies to supplement the two simple strategies I have running now – the continuation and the panic/retracement strategy. It is said the market can do one of three things, Go Up, Go Down, or Go Sideways. Currently, I don’t […]

My optimization metrics

I have decided to document what metrics and process I use to determine a “good” strategy. Final Balance:       The amount of money left after the testing PT/LT Ratio:          The number of Profit trades over the number of Loss trades. Exp Profit:             The Total Profit divided by the number of Profit trades. Exp Loss:               The […]

Other Currency Pairs

My existing continuation and panic/retracement strategies have been live for two weeks and not made any trades yet … I’m getting impatient. The ideas behind the strategies are solid, so why not give them a crack on other currency pairs. I’ve discovered the following strategies. Obviously some work better than others, so the ones I […]

New Indicators

Today I implemented several indicator ideas that have been on the backlog. Firstly I implemented the RAVI indicator. It seems to be a good indicator of trend strength and good for finding trends. Apparently it is superior than ADX as it is not as laggy. I made a slight variation so that the application of […]

Long trailing stops

Today I made an interesting discovery. While playing around with trailing stops, I noticed that the Panic and Retracement strategy yielded ridiculous profit if a large trailing stop was put on. It appears that the strong retracement picked up by the strategy marks the start of a long trend, and having a rather large stop […]

Continuation Strategy, Fail-Safes, and Scaling

I’ve been looking for a strategy that trades more frequently. Looking at the m15 chart, I noticed that many mini-trends usually have a significant price move compared to previous bars, and additionally have many bars in the same direction at the start of the trend… i.e. it has strong momentum at the start of the […]

VPS and Trade Frequency

After implementing the Panic and Retracement strategy, it kind of hit me that I need some way to have my strategies running all the time (so not just on my laptop). It’s particularly important for strategies like Panic and Retracement where the trade frequency is only a handful per year. I have now applied and […]