Munchie "the noob" dude's Virgin Trading journal

[Hotch]

it's "have" not "of"

A capital letter starts the sentence and a full stop ends it. Think the point which needed to be made has been made, and so hopefully the thread can get back on topic.

Good luck Munchie.

 

[munchiedude]

A capital letter starts the sentence and a full stop ends it. Think the point which needed to be made has been made, and so hopefully the thread can get back on topic.

Good luck Munchie.

thanks hotch

watching both eurusd and ftse 100 atm. sentiment seems mildly bullish atm, have pending order set with targets outlined in my previous post.

no major economic news out today, so we'll see if either of them hold their gains so far.

 

[munchiedude]

heres my first chart, outlining the pending order (green) and the s/l t/p levels (red)

order is still quite far away from the price at present...

 

[Shakone]

stop loss looks about twice the size of target point. Is that correct?

 

[munchiedude]

stop loss looks about twice the size of target point. Is that correct?

no, its a short order at green line with stop loss at the red line above and t/p level at the bottom line.

its approximately 2:5 risk reward.

does look like its not happening atm, given the flat movement and low volume of the eurusd atm but hey, its experience nonetheless lol

 

[Shakone]

Ahhh ok, good. Best of luck munchie.

The only thing I would say regarding MACD and so on. Is that people enter orders at various prices. Their reaction (wanting to get out, take profits, or stay in) is not usually based on whether an indicator says this or that. Consider for yourself, that you entered long at a price, and you are comfortably in profit, price keeps rising, the MACD turns down slightly, but price keeps rising. Which are you going to listen to more, the open position that's showing your profits are increasing by the second, or the MACD that's telling you to short? In that position, are you in any urgency to close your position? What matters is price. If derivatives of price help you, by all means use them. But I don't think they help much.

 

[munchiedude]

Ahhh ok, good. Best of luck munchie.

The only thing I would say regarding MACD and so on. Is that people enter orders at various prices. Their reaction (wanting to get out, take profits, or stay in) is not usually based on whether an indicator says this or that. Consider for yourself, that you entered long at a price, and you are comfortably in profit, price keeps rising, the MACD turns down slightly, but price keeps rising. Which are you going to listen to more, the open position that's showing your profits are increasing by the second, or the MACD that's telling you to short? In that position, are you in any urgency to close your position? What matters is price. If derivatives of price help you, by all means use them. But I don't think they help much.

thanks shakone for your feedback. you make some valid points in your post and i agree that price action is by far the better indicator over any indicator.

primarily, im using the macd to focus on a change from +ve to -ve trend movement as a general indicator for possible entry and reversal of trend over a longer TF of say 1 hour and then hone in on shorter TF to tune my entry.

wrt to exits, im looking to major round numbers and key sup/res levels rather than macd to weaken. the stocs im using for both entry and exit.

all the indicators are just that in my mind, indications of reversal and price weakness or momentum and ultimately it will be a combination of all factors outlined to decide whether to enter/exit or not.

obviously not an exact science or some might scoff at its simplicity, however im always very open to feedback likes yours and value them above my own views as i neither have any ego nor stubborness to accept anything that could help me improve my trading!

 

[munchiedude]

quick update: eurusd doesnt look like moving to the bear side for today, pending order still in place altho not expecting it to be triggered.

 

[Hotch]

That's a sell Shakone.

 

[munchiedude]

update: i think whats becoming clear so far is that the chart and pending order ive placed is based on 1hr macd crossover and for that, unless a hugely volatile mkt, i would be swing trading as opposed to day trading *make notes*

pending order cancelled as likelihood of reaching it today is small and my strategy is more for day trading rather than swing trading.
changing TF to T30

 

[munchiedude]

eurusd breakout on the upside confirms my thoughts that my pending order wouldnt be likely hit today.

thoughts: missed the breakout or still room to get in?

 

[munchiedude]

eurusd testing major res level 1.4433...possibility to trade breakout but sticking to my principle strategy.

would be interesting to see how it plays out...

 

[munchiedude]

breakout to the upside confirmed above 1.4433, grats to those that traded breakout, no crossovers for me today as eurusd and ftse 100 both maintained momentum as the bulls take a firm hold. no trades for today.

 

[munchiedude]

daily charts on eurusd shows macd crossover to be confirmed today. if confirmed, im looking to trade shorter term crossovers (<t30) with a bias being long

same r:r.

 

[rathcoole_exile]

Think the point which needed to be made has been made,

no, the point I suggested was to take any number and use it as a trigger

you got a hard on trying to wind me up about using MP
without recognising that there's a difference between using a previous price point as a reference point, and using a lagging indicator as an entry signal

i even suggested using round numbers, slopes, ANY bloody thing, as long it's pre-determined and you have a plan of execution for when, or if, price hits your trigger

the OP can ignore my advice, that's fine, fkkkk him I don't care,
i was just trying to help a new trader in my own way

 

[rathcoole_exile]

don't mislead the thread into a debate about the merits, or otherwise, of Market Profile.

My point was that's possible, just one suggestion out of many, to use MP VAs as triggers for trades, that then don't require hours and hours of fruitless screen-watching, hoping for next great MACD cross over or whatever.

As an example, here's yesterday's DJ30, with VAs derived from previous session MP

As you will see, planning to go Long at the VAH afforded two entry opportunities, and lo and behold where was the best place to exit ? A round number.

One could just as easily have planned to go Short at the VAH, that's not the point.
The point is to have a plan and ditch the indicators.

anyway, fkkk it, the OP is still fascinated with his MACDs, so let him make his own bed .....

 

[rathcoole_exile]

and to be completely frank, I can't see any benefit whatsoever with MACD and Stochs added.
What are they supposed to be "indicating"

If you say, ah go long or short or close when such-and-such, it's immediately contradicted by itself

 

[munchiedude]

and to be completely frank, I can't see any benefit whatsoever with MACD and Stochs added.
What are they supposed to be "indicating"

If you say, ah go long or short or close when such-and-such, it's immediately contradicted by itself

thanks for providing your input on this thread, any comments, positive or negative is welcome provided it can help further my understanding of things.

to clarify a few points that you made.

firstly, pls do appreciate that perhaps unlike yourself, i am almost a complete noob when it comes to trading however i am keen to learn and welcome others to point out mistakes or things i could do better.

i firmly believe that the best way to learn is to get screen time, make mistakes (which inevitably will be made), learn from mistakes (i consider this the most important) and apply the modified approach moving forward. this trial and error approach should improve my trading over time.

i fully appreciate that trading is not a get rich quick thing, and that i will most likely lose in the short term. i welcome that. thats why the sums involved here are totally negligible.

you are incorrect rathbone in suggesting i am fixated with indicators, i am not. my i start this thread with a somewhat simple, basic strategy that i fully expect to modify as time goes on and this may or may not involve indicators. please do keep your assumptions to a minimum as they provide neither positive nor negative feedback, they simply distort the genuine intentions of this thread.

i welcome further feedback

 

[munchiedude]

anyhows - watching eur/usd and ftse 100 on a <=T30 TF for signs on entry and s/l placements.

 

[munchiedude]

update:

eur/usd looking weak.

pending order place
bias: short
entry: 1.4359 (slightly below sup level 1.4363)
s/l: 1.4379 (20pips)
move to b/e £: 1.43475
trailing s/l £ to set 15pip trailing stop: 1.43425
target £: 1.4309 (50pips)

target(optional) bottom blue line
order selection as i judge macd to crossover at that sup level.