nanningbob wrote:grimweasel wrote:Bob - if I may. 10.6 etc runs the risk of 'fitting'. I think you have to design a system and then stick with it. There is little point trying to search for the holy grail as market conditions are constantly changing and no system will work in all markets all the time. I speak with traders at large firms on a regular basis and the same thing comes through all the time. Study price action, strip charts back to basics, trade on horizontal levels and not diagonally.
There comes a time when you have to and should work with what you have and stop trying to perfect a system that will never truly be perfect; otherwise you could run the risk of always chasing Icarus to the sun.
I am not quite sure what you are referring to. If you are referring to the 15MA it is basically the same as the daily pivot. The improvement is it makes EAs and dummy lights much easier to program and use. It solves a problem I was having with the signals it was giving making it more consistent with the market move. If you are referring to the STO7 it gives the same signals as the RSI2 but are more specific. Now you have a specific signal to place a trade from instead of a general one. This also replaced the yellow area of the 4H CSS and is much more specific than the CSS was especially in range markets. 240 line remains the same, 60 MA added a definition of Range trade along with the already existing definition of a trend. This is an improvement that was necessary to the system. It is essential to have a consistant definition of a trend and range in trading. I know have a better idea when to switch gears in trading. The xxx.00 lines were a major improvement over the Empty4 lines that come with the Empty4 and also seem to be superior over S/R lines, FIB lines, etc. Price action really honors those lines better than any other horizontal lines I have seen in trading. I have added signals from the 1H chart because reentering a trend trade (buying the dips in a UT, selling the rallies in a DT) is fundamental to trading but I have never seen actually defined before anywhere. You now have a specific definition and place for reentering a trend. 10.6 is 10.4 with refinements, 10.4 is the same as 10.2 with refinements, 10.2 was an overhaul of 10.0. It is not a fundamental change of the trading system but a continuous refinement of how we read the market. Each step is a refinement over the previous not a change of system or trading. The 15MA will refine the dummy lights so they work better and the signal is clearer and more specific. The 15MA will work better than the STO7 in the formula and also make it easier to program. It is not a change in the system.
The Excel sheet, now that I have a working version, is an eye opener on how spreads affect profits. It is also giving me an idea to finally make a 24/7 EA consistently profitable. There is a reason why almost all EAs are not consistently profitable over the long run. It is not the constantly changing markets, it is EAs dont change very well when market conditions change. I believe it will give me a leg up in my trading because I will understand something I didnt comprehend very well before. The progression of the 10.0 series has been this.
10.0 What is a trend?
10.1 How do you add S/R levels to trading?
10.2 What is the importance of a strength of a move?
10.3 Daily and weekly pivots play an important role, how do you use them?
10.4 put these 3 previous questions together into a system, and added an overall market read with the CSS indi. The 10.4 info page is now critical to my trading decisions and one of the most valuable trading tools I have ever used. I can see the changes coming before guys write about the market move in the Forex news articles. I also can filter out hogwash articles using that info page. Guys write about NZD going up and I can see the AUD starting to go down and I know the NZD will follow.
10.5 added a daily read to 10.4
10.6 added definitions to when is price ranging and how do you re-enter a trend, dips in a UT and rallies in a DT. Dummy lights help newer traders get used to seeing market reads better.
Anyway I appreciate your comments because it allows me to show that the whole 10.0 series is not changing a trading system jumping from one to another but it is a constant refinement of the basic concept I wrote over 3 years at FF. Mainly:
What is a trend? When does it start and when does it end?
What is a ranging market? When does it start and when does it end?
What is a dip? What is a rally? When does it start and when does it end?
What is top down trading and how can you best use the info of higher charts on the lower charts.
10.6 really nails these questions into a specific answers. Now putting it together takes time and patience. There is simply too much money out in Forex not to be patient enough to answer those question. There is simply too much info for one person to do it by themselves. It is why Steve and others go public to learn rather hiding in a cubicle. The learning curve is so much more easier with others helping.
Define those terms correctly and you will always be a successful trader. Then refine the indicators that help you see those things and you are off and running. I know I am very very close to a clear cut definable system of trading. Terms without definitions dont have meaning. My goal was to define these terms and I am very close to that goal. That is what 10.xxx is all about.
