The Volatile IBEX - a simple trading strategy..

[fibonelli]

Hi Options and everyone else,

As a devotee to the Stochastics, I am also discovering that if the %K is set too fast e.g 1 and the period is very low, you end with the 100% ceiling crawl as seen in Options post number #97 above.

You don't get any puppies with a 100% ceiling crawl!

Fibonelli

 

[options]

Hi fib.

This is true m8. But the puppies will have come before. (Hopefully). With the walk along the ceiling or along the floor You are shown that the trend is continuing and to stay in that position. Taking note when they start to pass the 20/80.

This is a chart with the new setting. The reaction around the 80/20 and the 50 line is interesting.

 

[options]

Chart of 'ceiling walk' on cable hourly. Still applies on 3 min but the 50 line is the marker.

 

[options]

Fib. Just been back and checked the chart you spoke about.
Apologies to all 'cause you can't see the top of the chart and therefore the time frame.

But it is a daily chart with the move starting from last year. The ceiling walk is still confirmed as trend continuation though.

The price should give the game away.

 

[Faris]

Hello Guys

This is an interesting thread, which some useful ideas.
Options, would you say its best to look for your "Puppies" during market opening hours. The first three hours of European, US and Asian markets. I would guess anything out of these hours, you would probably get chopped to bits.
I understand the entry would be the 50 line on the stoch, is this also the exit?

Faris

 

[trendie]

a bit late, but is this a "puppy"? (higher low on Stochs, and sort-of same (maybe a little higher) low on price)

 

[fibonelli]

Fib. Just been back and checked the chart you spoke about.
Apologies to all 'cause you can't see the top of the chart and therefore the time frame.

But it is a daily chart with the move starting from last year. The ceiling walk is still confirmed as trend continuation though.

The price should give the game away.

Hi Options,

Eh? The puppies give the game away first (as a warning) not price.

I agree that a 100% ceiling crawl is trend continuation, though I find a 90-98% crawl is better for seeing puppy development.

Fibonelli

 

[fibonelli]

a bit late, but is this a "puppy"? (higher low on Stochs, and sort-of same (maybe a little higher) low on price)

No

 

[nkruger]

a bit late, but is this a "puppy"? (higher low on Stochs, and sort-of same (maybe a little higher) low on price)

Nope. Have a look at some of the other charts posted yesterday/today, there's some good examples.

 

[options]

Fib:

"Originally Posted by options View Post
Fib. Just been back and checked the chart you spoke about.
Apologies to all 'cause you can't see the top of the chart and therefore the time frame.

But it is a daily chart with the move starting from last year. The ceiling walk is still confirmed as trend continuation though.

The price should give the game away."

'The price should give the game away'

By that. I meant that the price should give the game away of it being a daily chart.

Trendie: As the others have said. It is not. The 'puppies' are just another name for divergence. Price going one way, indicator going the other. 'Puppies' came about because there are 2 of them. And named in honour of Terry Thomas. What you have highlighted is a continuation of a trend. A very useful set up as well.

 

[options]

Hello Guys

This is an interesting thread, which some useful ideas.
Options, would you say its best to look for your "Puppies" during market opening hours. The first three hours of European, US and Asian markets. I would guess anything out of these hours, you would probably get chopped to bits.
I understand the entry would be the 50 line on the stoch, is this also the exit?

Faris

Hi Faris.

During market hours. No. Whatever shows up on the chart. But I wouldn't be trading a 1min bar on the ftse at 12.30.

Entry at 50 on the stoch? Again No. What time frame chart are you looking at? Longer time frame charts? Then yes it is possible, but the entry we are talking about is sub 5 min charts and entry is taken at the extreme turn in points. Exits are taken at various points. The reverse of your entry move, the cross of price on a ma, cross of 2 ma's, cross. Could be price position. Or whatever floats your boat. I do like though, a reversal at extreme points or a move back above or below the 50 line. It depends at what stage of the trade you are in really.

 

[rathcoole_exile]

hi nkruger, i followed you over from the other thread as you recommended.
one thing i've noticed, you seem to have dropped all reference to the Parabolic SARs, have you ditched them 'cos you're getting earlier signals off you Stochs etc ?

I have made one addition to my own set up after reading through this thread. i was going to harp on about how all the indicators merely acted as confirmation for RSI 14 which was giving me the first signal. But I thought I'd try out the Full Stoch rather than just my usual Slowie. Blimey the signals I managed to back-test all stand out like beacons on a cliff top

Finally, I'd just like to say to NK, Options and all the other guys (n gals?) on this thread, "Congratulations". It's been a real pleasure to jog along with you guys, everyone has been positive, criticism has been constructive, people have been willing to share their ideas, air their questions etc.
A far cry from some of the crappy back-stabbing ****-flinging pissing contests on most other threads.

keep up the good work fellas !!

 

[rathcoole_exile]

by the way, my own small contribution towards this thread.
My suggestion, at the beginning of any session or research, to drop the candlesticks to get a fresh, uncluttered perspective on the trend. I have taken the liberty of attaching a snapshot for your perusal/comment/critique.

regards, garry

 

[nkruger]

Thank you for your kind thoughts, Garry. I must agree, it has gone very well - lots of positive ideas on top of the basic strat. I'll have a look at your 'No price' idea later, but for now, it's holiday time - I'm off to Glastonbury this morning, back sometime next week.

HAPPY TRADING EVRYONE :cheesy:

Nick

 

[nkruger]

one thing i've noticed, you seem to have dropped all reference to the Parabolic SARs, have you ditched them 'cos you're getting earlier signals off you Stochs etc ?

Basically, yes. I wanted a strategy that had maybe 2 or 3 indicators to get me in and out of a trade as early as possible, certainly not the 6 or 7 I was experimenting with !! I think on this thread we have refined the idea and achieved that outcome. Hopefully there will be a few more ideas that poke their head above the parapit, and are taken in and nursed.....

NK

 

[nkruger]

Last post... where's the trumpet !!

08.57 Dax. Lovely pair of unequal puppies for a short.... and negative divergance on the Rsi.

happy trading - NK

 

[brutusdog]

dow 3min yesterday.

Basically, yes. I wanted a strategy that had maybe 2 or 3 indicators to get me in and out of a trade as early as possible, certainly not the 6 or 7 I was experimenting with !! I think on this thread we have refined the idea and achieved that outcome. Hopefully there will be a few more ideas that poke their head above the parapit, and are taken in and nursed.....

NK

just thought i'd chuck up a chart of yesterdays dow on the 3min.

puppies et all pretty much nailed all the turns, making for some very low risk and profitable trades. i love the fact that by trading like this you can set tight stops and you will know very quickly if its not going to got your way...i'm also keen on using the line charts in the longer time frames, gives a better overall view imho.:cheesy:

trouble uploading the chart will do it later..

 

[brutusdog]

chart of last post...

 

[options]

Confirmed and non confirmed 'puppies'

A now chart. Ibex 3 min

"Note how price doesn't reach new highs, but indicators do."

For clarity. What I meant when I said 'indicators do'. Is that their 'highs' as you will read it are really new lows.

Please forgive me. I was still asleep. I should have used a few more words.

 

[options]

rathcoole_exile:

Thanks for the big up. (Damn. Must stop talking like my daughter).
Someone will come along in due course to try and put the spoilers in. They always do. But I shall ask the mods to deal with things quickly and just delete those type of threads. They offer nothing towards discussion and even less towards contribution of trading.

Firstly: where are you based? I have never heard of it.
Secondly: Your chart posts are coming up small and are difficult to see. A simple solution is to have a capture on the screen. Hit ctrl and print screen SysRq at the same time. Open up paint. And from the edit, paste into screen. Do what you want to it. Save as a jpeg file. Then you can upload as normal. And we don't need binoculars to see chart then.

Yourself and Brutus: Yes: you do get a clear picture by taking the price off the screen. Trying to trade off a chart like that,especially on a longer time frame will give you heart attacks if you are watching the trade. Great for eod trading though.