boldtrader » Thu Feb 27, 2014 wrote:

Mike » Thu Feb 27, 2014 wrote:

fx8000 » Thu Feb 27, 2014 3:16 pm wrote:

boldtrader » Thu Feb 27, 2014 wrote:

....Why not 1.236 and 1.789 instead ? peter

Where do your Fib Numbers come from? I use the following attachment for reference. Mike

Exactly.. see your own image posted.
Also, 1.236 and 1.789 are not fibs, and not listed on your chart presented. Cheers

boldtrader » Thu Feb 27, 2014 10:06 pm wrote:
Peter,

Yes, specific reasons:
1) The Industry has been taught to accept 1.6185 and 1.272 as normal extension levels against a norm which may be used for potential reactionary price points. These price points can see be in advance and do have a tendency to be reactive price point levels. The specific number 1.6185 is a derivative of the Golden Ratio or Golden Mean. The number 1.272 is the square root of 1.618. This is a constant relationship which can be used on any time period. Yes, there are others that can be used, but with regards to markets moving to what are considered potential reactionary levels, these are the most widely used. Additional levels I monitor are 2.618, 0.786, and 0.618. One really huge example of the naturalistic tendencies of these numbers is the price of crude oil from June 2008 to December 2008 back when it hit around the $147.27 per barrel level.

Over the next following 6 months after hitting the high, Oil traded down to a low of $32.40. Doing the math, and give or take a couple dollars, the price of oil traded down 78.6% of the range of $147.27 to $0.00. I remember buying WTCrude futures at $33.56 level and strong advising the same with a projection forecast back north to the $102 to $104.00 level. Why this price level? It is 61.85% of the range between $147.27 and $32.40. Since that call, price moved back up to $114.18 High in March 2011. Ever since that period, I have applied these numbers to all of the trading techniques I use.

Since these are used for main stream industry, I monitor them to see what the "industry" may be doing and prepare for such turning points in advance. As I posted earlier, I am a huge student of Fibonacci and GANN Principles / Octaves and have been since early 1998.

2) Popular breakout strategies I use also include using 1.618 and 1.272 as target for range breakouts. My experiences show that if a market hits the 1.272 level and reverses without hitting the 1.6185 level, this indicates a strong reversal potential and thus trade accordingly. An example of this would be to measure a swing point Hi to a swing point Low. If a market were to drop to a new low and only trade down to an extension of 1.272%, this is an early indication of a strong reversal UP. These are typical patterns of natural occurrences on all trading instruments for all periods.

3) After using these for many years, I find it is not wise to bet against them. They just plain work.

Hope this helps.

Best regards, pips to all.

darshanag » Thu Feb 27, 2014 12:50 pm wrote:
Very interesting read.. Thanks for the detailed explanation.. Would you mind sharing your TMA True indicator ? I would like to experiment with it using the said fib extension levels...

Better yet, if you could share your template and the relevant indicators ! Cheers !

Mike » Thu Feb 27, 2014 12:38 pm wrote: boldtrader, my post was for @fx8000 confirming your numbers, but our posts crossed. Mike

boldtrader » Thu Feb 27, 2014 11:57 pm wrote:
Hi all.. I don't mind sharing a few bits of info, but out of respect for Bob and others, I would really prefer not to over-run his forum with my trading techniques, etc. My posting originally was just to show how the CSS can be used for range trading and how my results have been. As Bob has commented, M15 trading is difficult and time consuming. I have specific hours for it, but I do prefer using H1 and H4. Maybe I will consider Bob's suggestion and open a new forum, not sure. I am very busy during most days with my own trading and business operations. As a professional trader, I recommend to stay the course with Bob's proven techniques. Never stop learning. Always strive to move up and always remain humble.

Feel free to contact me any time. As requested I have attached the TMATrue.mq4 here. I did not write the ea and it is readily found in the market place with a search along with great commentary from Steve on the TMA itself. I highly recommend you to do your research on this tool before using. This one is set to 1.618 extension. Simply add a second version overlay on chart and change the setting of the second to 1.272.

Place the ea in your Empty4\MQL4\Indicators folder for versions 600+
Place the ea in your Empty4\experts\indicators folder for versions under 600.

Added: Forgot to include: I use a half length period of 55, with AtrPeriod at 100.

Cheers

boldtrader » Thu Feb 27, 2014 7:55 am wrote:

nanningbob » Thu Feb 27, 2014 1:09 am wrote:

boldtrader » Thu Feb 27, 2014 1:11 pm wrote:Bob,

...

Bob, absolutely. Happy to post pic. As you know, it takes many tools to build a house, and like trading, one must adjust to the constantly changing conditions. I use 2-3 setups for different market conditions. Attached is an image of how I adapted Edsel to my current tool box for range trading. The image is of H1 setups made in direction of H4 only. Obviously counter trades can be made. However, as you know, it is always easier to paddle a boat with the main river flow ( I will occasionally paddle up stream but with a motor for support). One of my main concepts by which I subscribe is mean reversion of price back to previously known (broken) support / resistance levels and further supported with GANN Octaves. I had written about this concept in Active Trader Magazine, featured waaayyy back in July/August 2000 (LOL, a life time ago). The broken support/resistance levels are almost always hit without fail. Some just take longer than others to fill, but they do get there. It is an incredible phenom I have been trading for 14+ years. What Edsel does for me is to add clarity to trend and trade direction for trending/ranging conditions. I am working on an EA for this setup, but as you can imagine, the many conditions (cases) can be overwhelming. I am a trader first & second, programmer third, so my goal is to find a programmer to help me with the coding on this. Its not a priority as I manually trade these conditions, but it is on my wish list. I have found that for my trading habits, I prefer the m15 and H1 when the setup is met. When markets are trending, I move back up to the H4/Daily.

Again, thank you and the great team here for all your contributions.

Best regards

fok » Fri Feb 28, 2014 10:37 am wrote:

boldtrader » Thu Feb 27, 2014 7:55 am wrote:

nanningbob » Thu Feb 27, 2014 1:09 am wrote:

boldtrader » Thu Feb 27, 2014 1:11 pm wrote:Bob,

...

Bob, absolutely. Happy to post pic. As you know, it takes many tools to build a house, and like trading, one must adjust to the constantly changing conditions. I use 2-3 setups for different market conditions. Attached is an image of how I adapted Edsel to my current tool box for range trading. The image is of H1 setups made in direction of H4 only. Obviously counter trades can be made. However, as you know, it is always easier to paddle a boat with the main river flow ( I will occasionally paddle up stream but with a motor for support). One of my main concepts by which I subscribe is mean reversion of price back to previously known (broken) support / resistance levels and further supported with GANN Octaves. I had written about this concept in Active Trader Magazine, featured waaayyy back in July/August 2000 (LOL, a life time ago). The broken support/resistance levels are almost always hit without fail. Some just take longer than others to fill, but they do get there. It is an incredible phenom I have been trading for 14+ years. What Edsel does for me is to add clarity to trend and trade direction for trending/ranging conditions. I am working on an EA for this setup, but as you can imagine, the many conditions (cases) can be overwhelming. I am a trader first & second, programmer third, so my goal is to find a programmer to help me with the coding on this. Its not a priority as I manually trade these conditions, but it is on my wish list. I have found that for my trading habits, I prefer the m15 and H1 when the setup is met. When markets are trending, I move back up to the H4/Daily.

Again, thank you and the great team here for all your contributions.

Best regards

Wow ... great posting, thank you so much, boldtrader. I would love to see a new thread about your systematic trading.

Good trading.

fok

boldtrader » Thu Feb 27, 2014 6:27 pm wrote:

darshanag » Thu Feb 27, 2014 12:50 pm wrote:
Very interesting read.. Thanks for the detailed explanation.. Would you mind sharing your TMA True indicator ? I would like to experiment with it using the said fib extension levels...

Better yet, if you could share your template and the relevant indicators ! Cheers !

Hi all.. I don't mind sharing a few bits of info, but out of respect for Bob and others, I would really prefer not to over-run his forum with my trading techniques, etc. My posting originally was just to show how the CSS can be used for range trading and how my results have been. As Bob has commented, M15 trading is difficult and time consuming. I have specific hours for it, but I do prefer using H1 and H4. Maybe I will consider Bob's suggestion and open a new forum, not sure. I am very busy during most days with my own trading and business operations. As a professional trader, I recommend to stay the course with Bob's proven techniques. Never stop learning. Always strive to move up and always remain humble.

Feel free to contact me any time. As requested I have attached the TMATrue.mq4 here. I did not write the ea and it is readily found in the market place with a search along with great commentary from Steve on the TMA itself. I highly recommend you to do your research on this tool before using. This one is set to 1.618 extension. Simply add a second version overlay on chart and change the setting of the second to 1.272.

Place the ea in your Empty4\MQL4\Indicators folder for versions 600+
Place the ea in your Empty4\experts\indicators folder for versions under 600.

Added: Forgot to include: I use a half length period of 55, with AtrPeriod at 100.

Cheers

taggie11 » Fri Feb 28, 2014 7:36 am wrote:
Boldtrader

I have tried to load the indi onto my charts in build 600 but it does not work - grey logo and when I try to complie it comes back with lots of errors.

Any suggestions?

Thanks very much for sharing your experience in trading using these channels - I was trying to figure out a way to create horizontal fib lines or standard deviation lines on charts but this indi would be great.

Thanks
DocT