10.4 A Complete System

[spotdespot]

Hi garyfritz,

Is there a piece of code that measures the "changes of distance" of the CSS pair and outputs it as an oscillator that we can attach to the CSS window or a new window?

I would like to check it out and see if exits would work more reliable when the trend move weakens. Of course I can use a stochastic output as well...

There is - the first indi here http://www.stevehopwoodforex.com/phpBB3 ... f=45&t=639 if you just select the "diff" output. However, imo, you will find it very similar to a smoothed stochastic (something like 14,3,5) and more resource hungry.

Cheers,
Dave.

[nanningbob]

Trying to get some clarity on the market here. The Daily CSS tells me there is a Euro currency on top, in the middle and on the bottom. The Asian currencies have a currency on top in the middle and on the bottom and the USD and CAD has one in the positive and one in the negative. Now that is clarity. I think I will go back to bed and suck my thumb.

Bob, I believe you're using the CSS *level* to determine strongest/weakest. I've beaten the level vs. direction drum for a long time, and I think it applies here too.

The currency on the top of the CSS display is not necessarily the strongest, and vice versa on bottom. You have to pay attention to the DIRECTION the CSS line is going, too.

For example: look at EURUSD in Jan/Feb. EUR was the top CSS line from mid-Jan to early Feb; meanwhile USD was pretty flat so any changes in EURUSD should be coming from EUR. EUR peaked at the end of Jan, then turned down a few days later. EURUSD *instantly* dropped, while EUR was still "strongest." By the time EUR slipped into the #2 position, EURUSD was down almost 300 pips. EURUSD was down EIGHT HUNDRED PIPS by the time EUR was "weakest," i.e. on the bottom of the CSS.

Direction.gif

Or look at AUDCAD in late March when CAD was flat. AUD peaked on Mar 21, and AUDCAD instantly topped out and soon started dropping -- while AUD was still "strongest."

EURCAD jumped soon after EUR bottomed out in late March, and was up 200 pips by the time it was no longer "weakest."

There are lots of other examples but you get the idea.

It might even help you with your search for regional clarity. 2 of the 3 Euro currencies were dropping, then all 3 turned up. NZD and AUD have been dropping in tandem, even though their levels are different. (JPY readings still make no sense.) USD and CAD are going kinda sideways.

Watch changes of direction in CSS and I think you'll get a lot better/earlier currency signals. Watch the changes of distance between CSS currencies and you'll get better pair signals. E.g. GBPUSD bottomed out and started climbing in early March when GBP and USD started getting closer -- while USD was still "strongest" and GBP was still "weakest" but GBP headed up and USD headed down.

Gary

The problem is your comparison example is a bad example. The GBP is the strongest currency across the board right now and just because there is a dip on one currency pair in the UT doesnt change the fact that the GBP is the strongest currency on the board right now.

You use Aud Nzd as an example. The NZD is still stronger than some currencies and is still above the 240 line on several still. The Aud is on the weak side on every single currency. So yes it is accurately telling you the overall strength of the currency.

In your Eur USD example you ignore the fact that the USD was the 2nd or 3rd strongest currency during the same time. So the difference in price movement would not be as great as compared to the weaker currencies.

I played AUD weakness yesterday and GBP strength and increased my account over 4%. So keep beating your drum. The angle down does not necessarily mean it is changing direction, It means the rate of increase is decreasing but it is still increasing in strength. I will continue to play GBP strength today and AUD weakness. I will use the 1H chart to determine if I want to get back into those trends today or not. WHY? Because every GBP is above the 240 line and every AUD pair is below the 240 line. Those are my strongest trends and that is where you will find my trades going.

I go to the 4H or 1H chart and find my best entrance and let it fly.

Yesterdays results following the 10.4 CSS and confirming with 4H/1H charts all trades = 650 pips.

gbp/nzd +168
aud/cad -14
aud/chf +73
gbp/aud +77
gbp/cad +28
gbp/jpy +35
aud/usd +85
aud/nzd -14

Totals on just gbp and aud trades +438

I will stick with it as is.

Thanks for the update Bob - do you always wait for the goldenrod to set pendings? When you set the levels on the H1 does the color of CSS matter? How do you explain the audnzd?
Thanks again for sharing your system...

No Not every case. If the lines are narrowing I can place a pending where I estimate it would turn colors. That way I dont have to be there when it happens. For example placing a pending above a trendline break on narrowing lines seems to work. For the AUD right now I am not. Just entering and going with the flow.Same with GBP, They seem to want to move right now and everything else is sitting in the middle.

[slowkey]

No Not every case. If the lines are narrowing I can place a pending where I estimate it would turn colors. That way I dont have to be there when it happens. For example placing a pending above a trendline break on narrowing lines seems to work. For the AUD right now I am not. Just entering and going with the flow.Same with GBP, They seem to want to move right now and everything else is sitting in the middle.

I think that is what is really nice about the CSS. Take the extremes which are the GBP and AUD right now. Than drop down the time periods and you are likely to see good separation on all time periods between the CSS lines and a likely spot to enter if you have missed a move. It helps get you into a move if you missed the beginning or like me find it hard to pull the trigger once a trend is well on its way. It makes scalping at a lower time period possible because you know the strongest vs the weakest will scalp with the trend. The GBPAUD moved another 72 or more pips today for example. If you look down the time periods on that pair the CSS is very clear.

[snailbeard]

Great explaination of how best to use CSS!

I was kicking myself for missing the obvious AUDUSD short even when it was at the top of my list and I got distracted by less interesting pairs.

[nicoacademia]

@nicoacademia

Hi,

I´m using Alpari UK. Have you a different CSS reading in yours?

yes i don't get the goldenrod on my Global Prime, Axi and Crim Crim Cowboy IBFX.

Sorry for the delay replying.

Wonder if it's just me.

[nicoacademia]

USDJPY could be set for a bullish move as I am seeing a divergence on the 4 hour chart. If the WS1 holds then a nice bounce from here should take place.

5-2-2013 12-31-21 PM.jpg

how many new desks can you buy after that wonderful call

[nanningbob]

@nicoacademia

Hi,

I´m using Alpari UK. Have you a different CSS reading in yours?

yes i don't get the goldenrod on my Global Prime, Axi and Crim Crim Criminal Cowboy IBFX.

Sorry for the delay replying.

Wonder if it's just me.

Readjust the threshold to 3 or 3.5 and see if that helps with these other brokers.

[nanningbob]

Go JPY go. It took off again. 12 hours later than expected but there it goes. WEEEEEEEEEEEE

[nicoacademia]

@nicoacademia

Hi,

I´m using Alpari UK. Have you a different CSS reading in yours?

yes i don't get the goldenrod on my Global Prime, Axi and Crim Crim Criminal Criminal Cowboy IBFX.

Sorry for the delay replying.

Wonder if it's just me.

Readjust the threshold to 3 or 3.5 and see if that helps with these other brokers.

thanks Bob.
i feel like a mechanic. "readjust" "threshold". feels good.

yea. that JPY took a long time coming. but...good things always take some waiting

10.4 FTW!

[nicoacademia]

@nicoacademia

Hi,

I´m using Alpari UK. Have you a different CSS reading in yours?

yes i don't get the goldenrod on my Global Prime, Axi and Crim Crim Criminal Criminal Cowboy IBFX.

Sorry for the delay replying.

Wonder if it's just me.

Readjust the threshold to 3 or 3.5 and see if that helps with these other brokers.

ok i looked at my settings and the CSS was actually on D1 on a threshold of 2.

so i tweaked it as you said and it seems that if the CSS is on H4 and the values are too small <3 the goldenrod portions on H4 disappear. if expanded to 3 (for FXCM) it appears on EJ AJ GJ EU GU but not AU.

so i raised threshold across the board to 4. and the goldenrod portion appeared for my FXCM feed in AU 4H too before the big drop.

thanks for mentioning this Bob. tweaking around helps! now i can understand the hype of the CSS.