nanningbob » Sun May 18, 2014 12:13 am wrote:

James Roscoe » Sun May 18, 2014 7:37 am wrote:"I want traders to be able to speak about their trading styles. I have had people wanting me to talk about MM and trading philosophy. I always thought about writing a book about it but I am tired or writing. So as questions and thoughts come up I will post them here."- nanningbob

Thanks for the opportunity to help you distill your thoughts, bob.

1. You trade 1-4 cents per thousand dollars, and you scale into positions. Without getting too personal, how many parts would you break a final position into?

The maximum I carry is 3, whether I am trend trading or recovery trading. In range trading very difficult to get 3 positions in. Having said that there is usually once maybe twice a year everyone knows a currency is going in one direction. The Fundamental driver is very obvious. Last year it was the JPY in the Spring, and the euro in 2011. When those happen you ride that baby. The euro maybe doing it again this year or the USD maybe the one this year. If they cut QE3 some more be ready to ride the USD with multiple positions.

2. Currencies such as E/U and G/U tend to be very highly correlated. Do you take positions based on the total direction of the major currency ( Long the Euro) or do you treat each currency pair (Long E/U, E/A, E/C, etc) as an independent position?

I treat each currency individually but when the CSS speaks I listen right now the euro is on the bottom and maybe going down quite a bit more. So that is where I will look for opportunities. However, that doesnt mean every euro cross will drop, some may just range or the drop/rise maybe minimal on some pairs. So you still read the charts and go with it.

3. If you do treat each pair as an independent position, do you keep an eye on correlation?

See answer above, again the CSS or big Fundamental will tell you that story. If NZD raises its interest rate again might as well take the ride.

Glad that you have opened this thread!

See answers above. Now that I seem set on my trading system, I really dont see any need or any ability to improve 10.7 with CSS reads used with 10.6 for me. As you can see others are happy to use 10.7 with their systems and that is the beauty of it. I now will look at improving my multiple position trading and see if I can optimize it. I will be looking at my favorite all time indi I used for years and that is my RWB one. That one can keep you in each individual trade. Molding that one with 10.7 greatly intrigues me.

James Roscoe » Sun May 18, 2014 11:34 am wrote:
Thanks for response. The way I trade is that I use a simple volatility adjusted grid on the E/U and U/C, long only for each pair so that every trade is swap positive. The 10.7 concept and recovery concept is built into the grid and frankly the final tweaking of the idea came from reading your posts. It is so stress free it is boring and I spend a lot of time on forums

I realize that I could probably be more aggressive and the 10.6-9 tools give the chance to do that.

Thanks for taking the time to reply!

dispell » Sat May 17, 2014 11:32 pm wrote:

James Roscoe » Sun May 18, 2014 11:34 am wrote:
Thanks for response. The way I trade is that I use a simple volatility adjusted grid on the E/U and U/C, long only for each pair so that every trade is swap positive. The 10.7 concept and recovery concept is built into the grid and frankly the final tweaking of the idea came from reading your posts. It is so stress free it is boring and I spend a lot of time on forums

I realize that I could probably be more aggressive and the 10.6-9 tools give the chance to do that.

Thanks for taking the time to reply!

Hi james!
What's this simple volatility adjusted grid that you use?
Mind giving me some pointers?
I'm currently on a naked 10.7, may revisit 10.6 to integrate it.
Any other traders with systems that work with 10.7, I'd like to hear some thoughts too.
Currently Slowkey's ribbon looks pretty cool, but doubt I can run the indis on 24 charts on my rig.
Any ideas and pointers are welcome!

Cheers!

fok » Sat May 17, 2014 11:16 pm wrote:

nanningbob » Sun May 18, 2014 12:13 am wrote:

James Roscoe » Sun May 18, 2014 7:37 am wrote:"I want traders to be able to speak about their trading styles. I have had people wanting me to talk about MM and trading philosophy. I always thought about writing a book about it but I am tired or writing. So as questions and thoughts come up I will post them here."- nanningbob

Thanks for the opportunity to help you distill your thoughts, bob.

1. You trade 1-4 cents per thousand dollars, and you scale into positions. Without getting too personal, how many parts would you break a final position into?

The maximum I carry is 3, whether I am trend trading or recovery trading. In range trading very difficult to get 3 positions in. Having said that there is usually once maybe twice a year everyone knows a currency is going in one direction. The Fundamental driver is very obvious. Last year it was the JPY in the Spring, and the euro in 2011. When those happen you ride that baby. The euro maybe doing it again this year or the USD maybe the one this year. If they cut QE3 some more be ready to ride the USD with multiple positions.

2. Currencies such as E/U and G/U tend to be very highly correlated. Do you take positions based on the total direction of the major currency ( Long the Euro) or do you treat each currency pair (Long E/U, E/A, E/C, etc) as an independent position?

I treat each currency individually but when the CSS speaks I listen right now the euro is on the bottom and maybe going down quite a bit more. So that is where I will look for opportunities. However, that doesnt mean every euro cross will drop, some may just range or the drop/rise maybe minimal on some pairs. So you still read the charts and go with it.

3. If you do treat each pair as an independent position, do you keep an eye on correlation?

See answer above, again the CSS or big Fundamental will tell you that story. If NZD raises its interest rate again might as well take the ride.

Glad that you have opened this thread!

See answers above. Now that I seem set on my trading system, I really dont see any need or any ability to improve 10.7 with CSS reads used with 10.6 for me. As you can see others are happy to use 10.7 with their systems and that is the beauty of it. I now will look at improving my multiple position trading and see if I can optimize it. I will be looking at my favorite all time indi I used for years and that is my RWB one. That one can keep you in each individual trade. Molding that one with 10.7 greatly intrigues me.

RWB indicator is MACD 12-26-9/ Stochastic1 14/3/5 linear weighted/ Stochastic2 7/3/3/ linear weighted together in one subwindow if your very old template is still valid ...

Jemook » Thu May 22, 2014 9:44 am wrote:Hey Bob

Here's a tip I'd like to share:

One thing I've noticed in my H1/H4 trend trading strategies targeting moves of ~45 pips is that the moves for the week usually happen on Wednesday and Thursday. Those are always my most profitable days. I've stopped looking for moves on Mondays, Tuesdays and Fridays and my win ratio is much higher.

Cheers,
Jeremy

dispell » Thu May 22, 2014 1:26 pm wrote:

Jemook » Thu May 22, 2014 9:44 am wrote:Hey Bob

Here's a tip I'd like to share:

One thing I've noticed in my H1/H4 trend trading strategies targeting moves of ~45 pips is that the moves for the week usually happen on Wednesday and Thursday. Those are always my most profitable days. I've stopped looking for moves on Mondays, Tuesdays and Fridays and my win ratio is much higher.

Cheers,
Jeremy

Wow, never noticed that. Guess I have to observe the charts more often. When do these moves occur? Asian/London/NY session? This may be a good thing to mold some habits on when I dont have much time to attend to the charts all day.

Jemook » Thu May 22, 2014 10:47 am wrote:
I feel like start of Euro session on Wednesday is where the big move of the week happens. Don't forget I'm talking about Australian Wednesday. So it would be Tuesday in Europe when the Euro markets open.

It's just an observation and a 'gut feel' so take it with a grain of salt

Jemook » Thu May 22, 2014 12:47 pm wrote:
I feel like start of Euro session on Wednesday is where the big move of the week happens. Don't forget I'm talking about Australian Wednesday. So it would be Tuesday in Europe