I have found the Holy Grail indicator for the Dow Jones - 100% right so far

[batsonar]

But even if your not using real money its advisable to have fixed stp and limits. i.e 1% of market price in the DOW as stp and 2% for example as plimit.

I have have used option volatilities to form my stops. take the VIX and use 1/10th i.e 30 VIX = 3% stp and plimit.

Thanks for that. I like to learn good tips from other people and make a "robust" trading system. When you use the term "plimit" does that mean profit limit? Taking your profit at 2% of the DOW price?

 

[0FXTrader0]

Yeah profit limit. By using option volatilities aka Vols you will have wider stops in volatile markets like we have currently in the US equities and smaller stops in less volatile times. Well worth using the VIX which is option volatility on the SP500 there is a DJIA VIX which would be better for your system of trading the DOW

 

[0FXTrader0]

30 VIX means the options market is pricing in an up or down move of 30% on the year for the SP500

 

[batsonar]

30 VIX means the options market is pricing in an up or down move of 30% on the year for the SP500

I have just been reading online that trading strategist use a 1:3 risk ratio or greater. To be honest I usually take my profits at each signal change but might use the 1:3 risk ratio to experiment.

 

[0FXTrader0]

If you mean risking 1 for 3 profit 3/1. This is ideal but I have found setting up trades that enable this is not as easy as on paper.

 

[batsonar]

If you mean risking 1 for 3 profit 3/1. This is ideal but I have found setting up trades that enable this is not as easy as on paper.

You can set up any risk/reward ratio on the Trading212 practice or real account. You just need to set your stop loss and profit limit separately. Also I am taking your advice on a 1:2 risk/reward ratio. Sounds better to me. I will try it in my system.

 

[0FXTrader0]

sure any ratio can be setup. But getting the market to follow said ratio is not easy. I find am taking profits before the limit most of the time in FX anyways.

 

[batsonar]

The Dow Jones closed today Monday the 1st February 2021 at 30,211.91 +229.29 (+0.76%).

I am using 17 indicators in my "BATSONAR" trading system. At the close of trading today, 4 out of the 17 indicators are giving a "Buy" (Long) signal. Personally I would not go "Long" on the DOW unless at least 9 out of the 17 indicators were giving a "Buy" signal. Also I would be wary of going "Long" on the DOW because the upside might be limited because on my chart there is a "Pivot Point" resistance level at 30,434. Next "Pivot Point" support level is at 29,596.

 

[batsonar]

WOW!.........The Dow Jones is UP by 594 points to 30,806 on the 2nd February 2021 at 4:40 pm GMT. That rise caught me "off guard". In my last post, after the close of the DOW yesterday, I said that 4 out of my 17 indicators were giving a "Buy" (Long) signal. I had been thinking that I should wait until 9 out of 17 indicators gave a "Buy" signal before going "Long" but maybe that is not the case. Maybe I just need 4 or 5 indicators out of the 17 to give a "Buy" or "Sell" signal. My "BATSONAR" trading system is still a "working progress" and I am still learning how to use the system. I have written down the 4 indicators that gave a "Buy" signal yesterday for future reference. I will have to see over a period of time how these indicators work and which ones work the best and consistently. Maybe some of the 17 indicators give better "Buy" signals and some others give better "Sell" signals. I really need to thoroughly test the system out over time. Please bear with me.

 

[batsonar]

The Dow Jones closed today Tuesday the 2nd February 2021 at 30,687.48 +475.57 (+1.57%).

I am using 17 indicators in my "BATSONAR" trading system. At the close of trading today, 16 out of the 17 indicators are giving a "Buy" (Long) signal. Because of the big rise today the DOW could pull back slightly tomorrow and then over the next few days possibly resume its rise.

On my chart there is a "Pivot Point" support level at 30,434 and a "Pivot Point" resistance level at 31,012. It is possible we shall see the DOW move up to this level.

 

[batsonar]

 

[batsonar]

 

[batsonar]

The Dow Jones closed today Tuesday the 2nd February 2021 at 30,687.48 +475.57 (+1.57%).

I am using 17 indicators in my "BATSONAR" trading system. At the close of trading today, 16 out of the 17 indicators are giving a "Buy" (Long) signal. Because of the big rise today the DOW could pull back slightly tomorrow and then over the next few days possibly resume its rise.

On my chart there is a "Pivot Point" support level at 30,434 and a "Pivot Point" resistance level at 31,012. It is possible we shall see the DOW move up to this level.

This Post turned out to be correct. The Dow Jones closed "UP" today Thursday the 4th February 2021 at 31,055.86 +332.26 (+1.08%).

On my chart there is a "pivot point" resistance level at 31,012 but because the DOW has closed above this level, it now becomes a support level. In my opinion the DOW could go higher over the next few trading days unless it stalls at this "pivot point" and falls back.

 

[batsonar]

 

[batsonar]

The Dow Jones closed today Friday the 5th February 2021 at 31,148.24 +92.38 (+0.30%).

My "BATSONAR" trading system is using 17 indicators. Not one of them is giving a "Sell" (Short) signal at the close of trading today. However they are starting to show "overbought" signals, so it is possible the DOW could fall over the next few trading days and this could trigger "Sell" signals on some of my indicators. Keep checking back here after the close of the DOW each day. Also clink on the "Watch" this thread button at the top of this page to keep up to date with my signals.

 

[batsonar]

 

[counter_violent]

Hey Batty,
Try the new S+P weekly forecast competition.

https://www.trade2win.com/threads/s-p-500-free-weekly-competition-for-2021.239365/

 

[batsonar]

The Dow Jones closed today Monday the 8th February 2021 at 31,385.76 +237.52 (+0.76%).

My "BATSONAR" trading system is using 17 indicators. Not one of them is giving a "Sell" (Short) signal at the close of trading today. The DOW may push higher over the short term.

 

[0FXTrader0]

looks like a good time to fade the grail if all indicators are bullish I would take the sell

 

[batsonar]