Free, Simple Index Trading System - Many Pips Per Day

[walker782000]

I want 2-3 systems because if one breaks down at least you have more aresenal left.
I cant seem to get the right paramters on the MACD, and stochastics, when i use both i end up getting contradictory signals. You must of spent ages tweaking yours, mine just seems to be hopeless. I respect your creativity, and skill at system development, you clearly put a lot of effort into your work. I try hard but get no where at development, i get lucky with a few trades using my MACD and Stochastics, but nowhere near a level I would deem tradeable for reasonable profit. The hard thing about it is, its solitary, I have a friend whose a good trader, but he specialises only in Oil, and he uses simple moving averages and it works for him, he doesnt seem to experienced with MACD and Stochastics and stays away from indices.

 

[walker782000]

I have read books on divergence, and a lot of traders argue that, divergence can often give false signals, although mostly accurate, the stop tends to get taken out thus ending in a losing trade. How do you avoid that? you must have worked hard to tweak ur divergence system, mine is going nowhere.

 

[walker782000]

Are you using stops with ur divergence system? do they ever get taken out too early just before a reversal?
thanks mate.

 

[nkruger]

I want 2-3 systems because if one breaks down at least you have more aresenal left.
I cant seem to get the right paramters on the MACD, and stochastics, when i use both i end up getting contradictory signals. You must of spent ages tweaking yours, mine just seems to be hopeless. I respect your creativity, and skill at system development, you clearly put a lot of effort into your work. I try hard but get no where at development, i get lucky with a few trades using my MACD and Stochastics, but nowhere near a level I would deem tradeable for reasonable profit. The hard thing about it is, its solitary, I have a friend whose a good trader, but he specialises only in Oil, and he uses simple moving averages and it works for him, he doesnt seem to experienced with MACD and Stochastics and stays away from indices.

It does take a while to develop a system of your own. Stick at it. I remember thinking I had finished a system about a year ago (see my IBEX thread) but that was only the beginning !! The longer you work on it, the more you get to know it, live with it, become confident with it. In the end it becomes part of you. The other thing that comes with working on it for such a long time (in real time) is that you start to recognise patterns and foibles of your chosen market (choose just ONE to start) and with that comes CONFIDENCE.

You also mention about divergence trading giving false signals. To combat this you have to use something that will confirm the signal. You can't use another oscillator otherwise you'll get into multi collenarity problems so try something like a Weighted MA or parabolic SAR. You'll often find that the 1st signal you'll get from oscillator divergence is a 'trial' and the 2nd one will work, as it is usually a signal for trend change (especially if you're using +5 min charts)

 

[walker782000]

Thankyou for the advice Nkruger, its very useful.
best regards

 

[walker782000]

Anyone using pivot point system? any ideas around this indicator- where can you get OHLC for currencies?

 

[rathcoole_exile]

Anyone using pivot point system? any

i never trade without them

 

[walker782000]

i never trade without them

are you using a strategy around pivots?

 

[rathcoole_exile]

i use them for entries and exits in conjunction with Opening Gap Closes, breakout from overnight range etc
i usually use resting Buy Stop and Buy Sell orders for all of my trades

 

[walker782000]

Anyone using an EOD system which is automated?

 

[rathcoole_exile]

are you using a strategy around pivots?

btw, PPs work VERY well in conjunction with Captain Currency's 3 Ducks system

 

[Vaco]

Trading is a wonderfull thing,

Its amazing how traders can have almost complete opposite systems and both make money,

Part of what I'm doing is selling the high, buying the low and thats working for me.

JUst goes to show tht the most important factor in trading is risk/reward and money management.

 

[Jeff6969]

I bought the 'Foolproof Earlybird Trading System' and it simply doesn't work.When you know what the system is and look at the historical charts you can see that it fails many times,the 80% success rate quoted is FAR too high,in my (costly) experience the figure is more like 40%.I hope this helps anyone who is interested in this system.