I am slowly perfecting my latest scalping method, based on my “every push” indicators. I’ve marked my entries with yellow arrows.
The indicators are, top-to-bottom: my chop-o-meter, my intrabar everypush, my bar-to-bar everypush, vram bars, volume splitter. On the candles we have my vwap-based paintbars, and the rolling vwap. Except for the “everypush” indicators, everything shown is available from me today at eotpro.com. But enough advertising…
You can see that I basically wait for the indicators to line up with a new push from the bar-to-bar everypush. Once, I jumped the gun on the vram bar line, but it worked out ok. You can also see that when the chop-o-meter is yellow, I will scalp either long or short. I don’t wait for it to break out.
I have been going for 2pt targets and 1.5 pt stops… so you can see that the fourth trade was a stop-out. But not only is the win rate good, but with larger targets than stops, I won’t give back much on the losses. I’m hoping to make the targets dynamic via the math lines maybe. More research to be done.
October 8th, 2008 at 8:18 pm
Hi Richard,
I really like the direction you’re taking this signal/trading method. I can see it being used as the TRIGGER for a trading strategy.
A trader would be able to define thier set-up requirements as conservative as they like. An example of entry set-up requirements for a long trade might be
1) Price is above a Long Term MA
2)and Shelly’s Volume is above 70.
Having a couple of exit possibilities working simultaneously might be best:
1)2 pts of profit
2)1.5 Pt Stop
3)Tighten stop if big traders don’t confirm/turn against the trade)
I’m look forward to testing these signals in strategies when they’re ready.
Keep up the GREAT Work!!!!
Rich F
October 8th, 2008 at 9:51 pm
with such tight stops, it’s rare for the volume splitter to turn on you without just stopping you out. If not, I just bail rather than try to tighten the stop.