chetron
2,817 posts
msg #87201
- Ignore chetron
modified |
1/27/2010 9:57:23 PM
STARTING WITH....
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karennma
8,057 posts
msg #87204
- Ignore karennma |
1/27/2010 10:42:59 PM
"DRAW PARABOLIC SARS"
(do you use P.SARS? really? for what?)
DRAW ADX LINE AT 20
(why are you drawing a line @ 20?)
:>)
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dickysofa
63 posts
msg #87207
- Ignore dickysofa |
1/27/2010 11:00:26 PM
ADX line at 20...
For many the > 20 line is approx where a stock transitions to trending
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chetron
2,817 posts
msg #87233
- Ignore chetron
modified |
1/28/2010 6:57:14 AM
just been doing some reading, K.
they suggested using the position of the sars in conjunction with the adx, ie: buy adx+/- cross only if the sars is below price, but.....
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chetron
2,817 posts
msg #87234
- Ignore chetron
modified |
1/28/2010 7:58:05 AM
ALL TOGETHER NOW....
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chetron
2,817 posts
msg #87236
- Ignore chetron |
1/28/2010 8:50:55 AM
The two indicators we are going to talk about here are found to be very well working when used side by side. This Forex trading system is an another simple discovery; and hundreds of such discoveries can be made when traders are there to learn and experiment.
Any currency pair and time frame can be used.
Indicators: Parabolic SAR default settings (0.02, 0.2), ADX 50 (with +DI, -DI lines)
Entry rules: Sell When the +DI line is below the -DI line, and Parabolic SAR gives sell signal. When the +DI line is above the -DI line, all Parabolic sell signals must be ignored.
Entry rules: buy when the +DI line is above the -DI line, and Parabolic SAR gives buy signal. When the +DI line is below the -DI line, all Parabolic buy signals must be ignored.
Exit rules: when +DI line and -DI lines have crossed again.
Also the higher the ADX rising - the stronger the current trend is. If ADX has reached 25, the strong trend is in place.
F X 1 6 1 8 DOT C O M
Forex system - Parabolic SAR + ADX
_________________________________________________________
Advantages: allows filtering entries and predicting good exits.
Disadvantages: Both Parabolic SAR and ADX are follow-up indicators. Although they complement each other very effectively, the “weakest” in chain is ADX, because during trading it can give one signal, but later change to the opposite. Once given a signal from ADX, waiting for the current price bar to close to avoid such misleading is advised.
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chetron
2,817 posts
msg #87371
- Ignore chetron |
1/29/2010 7:27:57 AM
Background on Fractals and ADX?
ADX Indicator or Average Directional Movement Index gives you a reading of how strong the market is trending. We will use this to our favor and combine it with Fractal Indicator to pick a high probablity trade. These indicators can be found by default in your indicators list on your Metatrader 4 platform. Fractals show peaks and dips. To explain it easier, a Up Arrow Fractal forms when there is a lower high on both sides of a candle. A Down Arrow Fractal forms when there are higher lows on both sides of the candle. Please note that fractals will only form when the candle closes with the given criterias of high lows or lower highs on both sides.
Understanding Strategy
When the ADX is trending by seeing the blue line rising steadily, we look for Fractals to jump in the trend. We do not take all Fractals, only the ones with tails pointing to the Fractal. Let me explain this in a bit more detail and as simple as possible with some examples. (I will also be posting a video tutorial with this to help understand this method.)
Long (Buy) Positions Using Strategy
- On the ADX, the dotted green should be above dotted red and the solid blue line should be steadily rising
- Look for a Candlestick with a tail pointing to a Down Arrow Fractal
- When you see this Down Arrow Fractal, enter Long.
- Place stops 5 pips below the low of the Fractal Candle.
- Exit using proper money management or upon the cross of the dotted green and red lines in the ADX.
Long Position Example 1 :
Long Position Example 2 :
Short (Sell) Positions Using Guru Strategy
- On the ADX, the dotted red line should be above dotted green line and the solid blue line should be steadily rising
- Look for a Candlestick with a tail pointing to a Up Arrow Fractal
- When you see this Up Arrow Fractal, enter Short.
- Place stops 5 pips above the high of the Fractal Candle.
- Exit using proper money management or upon the cross of the dotted green and red lines in the ADX.
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chetron
2,817 posts
msg #87479
- Ignore chetron
modified |
1/30/2010 12:11:55 PM
AND....
OR MAYBE EVEN....
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chetron
2,817 posts
msg #87504
- Ignore chetron
modified |
1/31/2010 8:44:45 AM
3rd td breakout qualifier......
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chetron
2,817 posts
msg #87831
- Ignore chetron
modified |
2/4/2010 9:10:07 PM
how about....
a little tighter....
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