TraderJoeForex » Fri Feb 06, 2015 1:07 pm wrote:
Had a little holiday to get some sunshine following my last day of work. Now to trading...
For those that have asked and are interested I am attaching my current template and indicators. I am demo only with this as still testing but confident enough to post in order to share and stimulate any discussion
I have now limited my use of HGI to the range and trend wavy and use the HGI Matrix to alert each new wavy signal on the pairs I trade.
I consider either wavy a signal to look for trades on that pair (not a signal to enter).
I then look for the following to enter:
Current Hurst Cycle red for shorts (5TMA centerline above 10) or blue for longs (5TMA centerline below 10)
DL MACD Hurst red for shorts (5TMA centerline has moved closer to 10) or blue for longs (5TMA cennterline has moved away from 10)
Current price must be above 5TMA centerline for shorts, below for longs:
1st entry around here (50% of position) - check lower timeframe for precision entry.
Confirmed break of TDMTL trendline:
2nd entry around here (50% of position) - check lower timeframe for precision entry.
I avoid using SL and aim to trade setups on D1, H4 and H1 to provide an element of natural hedging if my first entry is too early on higher timeframe (assuming the conditions for entry remain .. If something is changing and it no longer feels right I would just get out).
My rules for last exit are simply the opposite of entry. Alternatively Hurst target could be used or xx.100 line or other major SR or halway through a session etc etc.. My posts will focus more on trade entry as if we get this right there are plenty of options to exit in profit but never later than the next signal to reverse.
This strategy could be an almost always-in strategy on each pair so trade small and demo only to get the feel please.
I will post some charts to provide examples .. look forwards to comments.
I have made some changes since the above post from playing with HGI 16.04 and DL MACD HURST in action this past week and consider what I outline below as the simplest way I can explain a set of rules that is now working well for me (after lots of trying this and then trying that..) and I will post some live trades next week.
Setup:
I only take signals from closed candle wavys (this alleviates the need for TDMTL to confirm an entry). I do not differentiate between TREND and RANGE wavys but do color them diferently on the chart for reference.
I use two DL MACD HURST indicators (periods 30/60 and 120/240). At least one must be blue for longs and red for shorts.
Entry:
I now only enter one position for each trade and that is on the first candle open following a validated wavy where the open is outside the current timeframe 5TMA centerline (i.e. below for longs and above for shorts).
Exit:
Immediately following the first opposite wavy I exit on the first candle opening outside the 5TMA centerline (i.e. above exiting longs and below exiting shorts) unless a new wavy fires in the direction of the current trade before a candle has opened outside the 5TMA centerline to exit in which case I stay in the trade.
Info:
I trade two timeframes: M15 and H4
I use 1/4 the position size on H4 compared with M15
(roughly based on the difference in ATR between the two)
I use Matrix to fire signals to alert me to open a chart to look for a trade.
Template, indi's and screenshot below.
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