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stkjunky

09/22/13 12:41 PM

#122432 RE: Qui-Gon Kagi #122431

Qui, here are the answers to many of your questions. Broken down by paragraph. Reference the chart below, and it ONLY looks good on the GU 2H time frame. I have not checked it out on others but do know that shorter time frames G/U's are NOT reliable. I am a big believer in custom fitting my systems to specific pairs. They all trade slightly differently, and in the case of the TAC-ADX shown below, the numbers split hairs precisely. The system could very likely trade other pairs, but the numbers would have to be adjusted to fit. That's another subject. At some point in time, the numbers, particularely the TAC-ADX may need to be adjusted to fit new market conditions. And then their is also the possibility that the GU pair could go into hyper move mode, given catastrophic events in the market. But that's a risk that must be on every traders mind. SO WATCH THE NEWS..

Would you take a couple minutes to identify exactly what indicators, moving averages and tools you are using on your main chart. Keltner Channels? What is the white line that the price returns to? And what is the blue line? Are you waiting for a crossover of the blue line over the white line to determine the end of the trend? And are those red arrows on the chart auto or manually placed on the chart?

ANSWER- 1. Set up a keltner channel with (0,1.5,9 (H+L+C)/3,EMA)
Now go down to the area that says plots. You will see
avg upper band lower band
set the avg at any color that you like
then set both the upper & lower band to exactly match
the back ground color of your chart. This renders them
invisible.
This is the fast side of the crossover system
2. Now set up a Rainbow average using(close,9,exponential)
Nothing else needs to be done for this one.
This is the slow side of the crossover, and is the
white line that you refer to as "the white line that
the price returns to".
QUI, These crossover systems are old school trading
systems and have been around forever. On average
they will make money about 75% of the time and you
would be profitable at the end of 1 year trading only
the crossovers. But the best trades come from
watching the spreads, and anticipating in advance
by waiting for a STEEP drop in the fast average and
getting into the trade BEFORE AN OBVIOUS crossover.
The steeper the change (angle of rise or decent) in
the fast average, the better. And it MUST BE OBVIOUS
THAT A CROSSOVER IS GOING TO OCCURR.
3. The 2 red arrows that you see are count back markers
that I placed on the chart, and are associated with
the TAC_ADX, and I will explain them with it.
4. The letters F S B are placed on the chart by me, and
just highlight the crossovers so I can see them more
clearly when I contract the chart to show lots of bars.
F stands for fail, S stands for sell, B = buy.

And what are you using for alerts in second window where you have the TAC_ADX indi (what is the alert trigger for that "Very long term only" indicator window).

Answer. Set up a TAC_ADX (found in the stocks & commodities)
section of the studies menu using the following.
1. Only set the ADX length 3 to 72 bars. The others
are not used, so do not matter.
2. Now go to the plots section, and set EVERYTHING except
the ADX 3 to black them out by matching the color
to your chart color background.
3. Now go to the drawings and pick out/select the price
level line. Take it to the TAC-ADX and drop it on the
chart. Then highlight it and right click. Go to edit
and change the numerical setting to VALUE 12.2
4. Repeat the above, and set the next VALUE at 22.9
5. B = buy S = sell and the yellow line MUST COMPLETELY
DISSAPEAR INTO ONE OF THE 2 RED (DROPPED) PARAMETERS.
it must be read precisely.
Forget the "very long term only", Trade with the
trend indicated. Kind of looks like 2-3 week trades.
Notes-This indicator seems to get into trades early. You
would have to be willing to ride out of the money and
wait out the trend reversal. The technicals would
keep you in the market 100% of the time.

In the "MACD Histogram Crossover(26,12,9, EMA, Positive to Negative)" window, are those white arrows auto placed by the indicator or are you manually placing them in.

Forget it for the 2H time frame. Not used. Was just
something that I thru on a chart for a convirsation
with SG.

Also, in your 4th indi window, it looks like you are using the first bright green upper histo line as a "buy long" trigger. Is that right?

Forget it for the 2H time frame. Not used. Was just
something that I thru on a chart for a convirsation
with SG.

Is there anything else you can share? Are you able to confidently take large positions with this set up? And are you able to trade trend reversals using this setup? At least looking at the specific pair on the specific 2h time frame, that appears to be a very dependable setup to stay in at least through the wave 3 trend waves, if not the full 5 waves, once the 5 waves are underway. I don't have TOS set up right now, but do have an account and can set it up pretty quickly when ready.

The TAC-ADX is designed to pick up trend reversals.
I am in a couple of entry lines (2 mini cont. each line)
of trades at this time, that the TAC-ADX is indicating
are correct (sell) the GU. I NEVER enter trades with
large positions. Test the water before diving in.
When/as the trade develops, the you add more trades
at various levels up or down the trend.
The crossover system is indicating that it will cross
over SOON (see the chart). This will be a nice
confirmation. But I am questioning the rate of decent.
It's a little shallow and could kick out an F = false.
But my other stuff on the MT4 platform will help with
determining if I should stay with the trade. And listen
to what SG and Pennies has to say about specific pairs.
These guys are probably making more money than I am. But
My way has produced 100% positive results for the past
year. Slow but steady wins the race.

QUI, if you have access to the TOS platform, I would recomend using it. Many of the studies are not available on MT4. Just arms you with everything possible to fight the dragon. Better to have 2 spears than only one.

QUI, Please do not ask so many questions at one time. I have spent a LOT of time with this response, and do not wish to make this a habit. This is as detailed as I can make it. Just study & apply. You will learn some things about TA that you likely did not know.