Simple's Green Room

[pennies2007]

GU COG Test Trade

Ok Simple, I did a quick test run to see how this thing stacks up. The price action respect for this thing is really amazing. I left the long term settings at 200 and 2 and the short term settings for 50 and 2. This is a 15 minute chart. The strat tester takes too long to set up a 4 hour chart on the longer term settings so I thought I would try it on a smaller time frame with the multi COG format. This is the 3rd pair I've tried and the 200 and 2 for the larger still seems to be the best so far.

When I first got the simulator going, I had to speed it up and let it run for a bit to get the longer term COG in place. By that time, the shorter term COG was still turned up.

What I did was wait for the shorter term COG to turn down and then went short as price action moved back below both median lines with high volume red candles. Turns out that was a bit early. What I'm seeing so far is that when the near term COG flips over into a bearish stance inside a larger bullish COG, price will move back up to near the top of the shorter term COG before finally rolling over and heading back down to test the lower end of the larger COG.

This one worked out to 53 pips of profit but would have been 60 or so with little to no drawdown had I waited for the test of the upper short term COG levels before going short.

First chart is before and 2nd is when the trade completed.