My favorite continues to be System Two, though System One has always performed very well itself.
System One
Here’s system one today (click to enlarge):
Nine trades, with six wins and three losses. Probably the worst performance I’ve seen from System One. Of note:
- Two of the three losses went 1 full point in the right direction, but I don’t assume we can lock in profit unless it goes five ticks. So, one tick of difference would have meant 8 wins and 1 loss.
- If you choose to exit on VR4×2 color change, then the last loss would have only been 1 tick.
- I’m assuming the last trade scratches at the close of the cash session. I wouldn’t advocate holding through the cash close unless you are trailing a big winner.
System Two
Here’s the chart (click to enlarge):
That’s six wins and zero losses (as with the other system, the last trade needs to be scratched at the end of the cash market, if you even take it at all). While this system doesn’t enter as often as System One, it sure picks some prime spots to get in! I really appreciate that aspect of it.
I will be releasing the trend-corrected EMA that System Two uses to our newsletter subscribers tomorrow afternoon. If you want it, be sure to subscribe. Otherwise, you will have to wait until it goes out here on the blog in a week or two.
Would it be difficult to program something like Bills arrows for the two systems?
not hard at all, as the rules are mechanical (you can see the rules on the first post in the price-proxy series).
I clicked on the link to register, and I already am!
I look forward to experimenting with this. I enjoy watching the development of all of these systems. I, for some reason cannot use Bill’s arrows for entries since I just don’t understand why they’re happening. Maybe if I had been in the kitchen…
But, I do really enjoy using the parts.
Thanks.
On the last trade, system #2 on 10/08, why wasn’t the entry the bar before the one indicated. Maybe I don’t understand the rules.
Thanks
It’s hard to see but I remember in this instance that the ema line was sideways (exactly equal to the previous bar value), not down. It’s a tough call, you can choose to take the sideways ones if you want.
Hi Richard,
By chance do you trade the Price Proxy Systems on the EOT free access days when Bill is at lunch?
Or have you produced a youtube video?
I am still finding it hard to determine the entries even after reading your rules and looking at the charts. Watching it live would be beneficial for me.
You do amazing work!
At times we talk about it and we only display beta indicators in the beta room, which is for clients only. My comments and the beta room are two of the several benefits of stepping up and being a client!
Thanks Richard,
I was a room only client but Bill’s style of trading didn’t appeal to me – he has market savvy and i don’t. He knows when to enter a trade immediately on an arrow or wait for an intra bar pull back. I need a more definitive rule. He is a great trader and fun to listen to. I also enjoyed your commentary, but since it was the lunch time snooze, it was interesting to hear your other views.
thanks mike
market savvy takes some time. It’s our hope that by watching Bill take you through his trades, our clients can pick it up faster than they can alone with a chart.