10.4 A Complete System

[nanningbob]

Some applications to trading these lines is when range trading it will do great with bunched up along the 0 line. The rest will be trend trades. Good luck time for bed for me.

[cmeade2]

OK this is quite helpful.

My only comment is that it might be worthwhile to look at it on the H4 time frame since you can have ranging markets on the D1, but substantial movement on shorter time frames.

In the pic below you see 4 areas of congestion. Period 1 maybe 10.5 will trade better than 10.4, maybe we will see. After period 1 the Aud went weak and the Euro went strong but the rest stayed bunched.

Area 2 we bunched up again and the AUD went strong and Cad GBP went weak but later the JPY went really weak for several months.
Area 3 JPY stayed weak while the others bunched up. Those that sold the JPY against everything else made a bundle. Hi Mr. Soros and his extra billion. All the rest stayed bunched with the Euro going strong for a while followed by the USD. The GBP eventually became the weakest while the JPY went back to 0.

Now everything is bunched again and we will see which currency will go strong and which one will go weak. During this time 10.4 should hold its own but maybe 10.5 will do better. We will test and see.

[nanningbob]

Anyway the conclusion is when a currency angles up or down we notice its increasing strength or weakness and adjust our TP accordingly.

[nanningbob]

OK this is quite helpful.

My only comment is that it might be worthwhile to look at it on the H4 time frame since you can have ranging markets on the D1, but substantial movement on shorter time frames.

In the pic below you see 4 areas of congestion. Period 1 maybe 10.5 will trade better than 10.4, maybe we will see. After period 1 the Aud went weak and the Euro went strong but the rest stayed bunched.

Area 2 we bunched up again and the AUD went strong and Cad GBP went weak but later the JPY went really weak for several months.
Area 3 JPY stayed weak while the others bunched up. Those that sold the JPY against everything else made a bundle. Hi Mr. Soros and his extra billion. All the rest stayed bunched with the Euro going strong for a while followed by the USD. The GBP eventually became the weakest while the JPY went back to 0.

Now everything is bunched again and we will see which currency will go strong and which one will go weak. During this time 10.4 should hold its own but maybe 10.5 will do better. We will test and see.

WHY???

It told us the GBP was weakest from Feb 5 to last week. Here is the gpp/usd during that time. gbp/nzd, gbp/aud also

[nanningbob]

USD strongest currerncy Feb4 until March14 It told us no more buys before it crossed the 240 line, we were warned of USD strength.

[nanningbob]

aud 2nd strongest since feb 7 and now the strongest AUD/CHF and AUD/CAD do you see some trade here and a warning to quit selling below the 240 line?? Time for bed Night happy back testing markets open in 6.5 hours. Do you see them buys coming up?? 10.2 has returned strong to help 10.4, TMA slope has returned.

[zentauro67]

USD index broke trendline in daily. Monday could be a pullback day and the rest of the week a very profitable scenario for trend followers. Be cautious tomorrow!

Screenshot - 17_03_2013 , 18_33_36.jpg

[grimweasel]

The news out of Cyprus will effect the Euro areas on Mon - could see a risk off situation as people with deposits in Italy, Spain etc might also start mass withdrawals to prevent capital loss? After all, why the hell should the common citizen be robbed of his hard earned savings when global banks were bailed out and their staffs have continued to rig and manipulate markets for their gain. All QE has done has allowed banks to purchase risk assets that their pay packets are directly linked to because of performance related pay. Directors have an interest in markets rising as a better share price increases the worth of their options. A huge global scam and miss allocation of the common man's taxes.

[grimweasel]

What are the RSI settings? 2 Period and on close, capped at 0 and 100? I was using the Stoch but on Bob's recommendation I'm going to try the RSI(2)
Thanks..

[mjws00]

grimweasel, the template is easiest. It is RSI Period 2, on First Indicators Data. Using NT's TMA Slope.

Picked up a few 10.4 trades via the EA. We'll see if they can be salvaged. They actually look nice right now, but may drawdown substantially as the "gaps" fill. I will be pursuing volume rigorously with this system this week. Don't know if I can get anywhere near Bob's numbers, but I will try.

Green Pips for the week ya'll.