Author Topic: something to chew on  (Read 3204 times)

Offline dynasty

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something to chew on
« on: April 12, 2015, 04:01:06 PM »
Was asked to share this..so here goes.

This is a strategy that is used to find the end of a trend and a reversal. I prefer it on the 5m but can be used on something longer I would assume? (renko or range charts...sure why not??)

#1
The first thing to watch for is the bands vs kelter. (blue vs orange)
Long....look for the bottom blue line to come back inside the bottom orange line. (bottom lines only)
Short...look for the top blue line to come back inside the top orange line. (top lines only)
This is used to tell us the trend could be over and to start looking for a possible reversal.

#2a
Now we look for the MACD to confirm there might be a reversal.
Long...look for the histo bars to be above the signal line (red dashed line)
Short...look for the histo bars to be below the signal line (red dashed line)

#2b
The last thing to look for is an actual chart pattern.
Look for a head and shoulders after the other 2 signals above have set up to enter.

Stops will vary from person to person. I look to put it around the right shoulder or head.
Targets will vary as well but I prefer to take a profit around the opposite band.

Will post some chart pics next
 
« Last Edit: April 12, 2015, 04:15:41 PM by dynasty »

Offline dynasty

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Re: something to chew on
« Reply #1 on: April 12, 2015, 04:37:32 PM »
A 5M chart of the e/u
Target opposite band for 15 pips, stop below the right shoulder risking 8-10 pips



Offline dynasty

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Re: something to chew on
« Reply #2 on: April 12, 2015, 04:40:41 PM »
Settings for the indies




Offline dynasty

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Re: something to chew on
« Reply #3 on: April 12, 2015, 05:03:11 PM »

5m a/u

target opposte band 13 pips risk 8 pips above the head




Offline THE GUY

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Re: something to chew on
« Reply #4 on: April 12, 2015, 10:00:31 PM »
Neat stuff dynasty...would mind sharing your keltner channel indi and your template...makes it super fast for others to copy your set up
What about double/triple tops and bottoms?...or just stick to head and shoulders?

Thanks for posting!!!

Offline dynasty

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Re: something to chew on
« Reply #5 on: April 13, 2015, 07:50:21 AM »
Neat stuff dynasty...would mind sharing your keltner channel indi and your template...makes it super fast for others to copy your set up
What about double/triple tops and bottoms?...or just stick to head and shoulders?

Thanks for posting!!!

Thanks hope it is of some use to this group.
Double bottoms and tops can work as well...I just find the head and shoulders seems to be a more accurate turn around pattern.
Attached the kelt and tpl.

Offline dynasty

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Re: something to chew on
« Reply #6 on: April 13, 2015, 03:24:22 PM »
This one took a little long than normal/I prefer...but the set up was in place and I trusted it.

At first I had my stop above the head...but when what turned out to be an even better shoulder appeared I moved it toabove it. Took some dd, but got paid in the end. The histo being below the sig line so much made me feel confident as well.




Offline dynasty

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Re: something to chew on
« Reply #7 on: April 14, 2015, 03:06:30 PM »
Could have grabbed a couple more...but that's hindsight...happy with sticking with the plan.




Offline dynasty

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Re: something to chew on
« Reply #8 on: April 15, 2015, 10:46:39 PM »
Not the best...far from it...but the histo was soooo low that I felt I could squeeze out a double digit pip move...took 11 and was lucky that's all I was after....and got in a few pips late...this is a very sloppy example.


Offline dynasty

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Re: something to chew on
« Reply #9 on: April 17, 2015, 02:35:08 PM »
Much better set up, more what I prefer to see than in the post above.

10 pips, good way to end a Friday.
« Last Edit: April 17, 2015, 02:37:31 PM by dynasty »

Offline dynasty

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Re: something to chew on
« Reply #10 on: April 21, 2015, 01:38:39 PM »
Don't trade the e/u to often, but the usual suspects were all straight up.
...12 pips, I'll take it.



Offline dynasty

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Re: something to chew on
« Reply #11 on: April 23, 2015, 12:03:17 PM »
Possible set up coming...got the left and head..waiting for right shoulder and histo to line up

Offline dynasty

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Re: something to chew on
« Reply #12 on: April 23, 2015, 01:08:27 PM »
e/u never came back to give the histo it's signal...but the e/a gave the set up...a bit late and close to the top bands...so targeted 10 pips.


Offline dynasty

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Re: something to chew on
« Reply #13 on: April 23, 2015, 03:15:14 PM »
So the e/u ended up giving me a signal afterall..just later in the day...the histo was pulled away from the signal line quite a bit so had a lot of faith in this trade...it went up and made a slightly HH and then came down...so had to sit through some pain, but with histo looking like it did  I was willing to hold through that..the way it didn't blast up made me feel less nervous...another 10 pips.