Hi piker,
Here are my observations in response to the questions you answered in post #58 on P8.
Firstly, I think you're casting your net too wide, trading commodities one minute, forex the next and then indices is asking for trouble. Different markets have different characteristics and trying to apply a single strategy to all of them at once isn't doing you any favours. It might work well in one market but not the next. I suggest that you pick one and, when that's working well for you, add another (after you've tested it to ensure you get similar - or better - results).
I'm trying to get a clear picture in my head of your set up. However, it strikes me as being muddled. It's based primarily around the weekly and 4 hour charts, but the Gold and S&P charts you posted on P1 of the thread are both dailies? Anyway, from your comments, this is (I think) the basic idea (for a long trade) . . .
1. Horizontal support & resistance levels are taken from the weekly chart.
2. Trend is also monitored on weekly & daily charts via trend lines. (You don't mention how you define trend or how the daily and weekly charts relate to one another. I guess you're looking for the daily trend to confirm the weekly trend in some manner - but you don't mention how?)
3. Price pulls back to either the horizontal support or a rising trendline on the weekly chart.
4. Once this set up occurs, you then look to enter on the 4 hour chart if there's divergence on MACD. As the MACD lines themselves aren't shown, I assume you're referring to a rising histogram while price continues to fall or registers a double / triple bottom?
5. Entry (long) is when the MACD histogram plots its first green bar on the 4 hour chart.
If the above is correct, it's not possible to tell how well you're executing your trade plan as we don't have 4 hour charts for two of the instruments traded. Additionally, it's not clear exactly where you plan to enter as you go on to say "d) Price on 4 hour chart breaks current reaction high." That could be a very long time after the first green bar has printed on the MACD histogram? In your posts on P1 of the thread, you make reference to 'reaction' highs / lows, although there's no mention of these in the trade plan outlined in post #58 on P8? It's not clear to me how all these different elements relate to one another?
On a general note, anyone wanting to follow your thread and make suggestions has to work very hard cross referencing info' provided in different posts on different pages of the thread. In future, it would be very helpful if you could include everything in one post. So, show the weekly chart with the trendlines and horizontal S&R drawn in. Then show the daily if it's central to your plan??? (As I've said already, for me, it's role in all this is unclear.) Lastly, show the 4 hour (ideally with the relevant lines from the weekly chart added, if applicable) and annotate the chart with your entry and stop. In the post itself, say how your conditions for the set up have been met (according to your trade plan) and ditto for the trigger to enter the trade. Hopefully then, some of the fog will begin to clear!
Tim.
