Don’t judge a book by its cover..

Here is a closer look at the second one.......

Once you have placed the analysis on the second history signal, can you see how this was not stopped either. What happened is that we had a “double top” with the next bar. But the first short trade was not stopped out.....

What this meant, is that this was a successful and profitable trade at +3.8R (ignoring slippage and commission). This is why I wanted to go through this today, to show how the history signals are “filled” and not failed trades, so sometimes a history signal can actually be a nice profit, as in this example.

So at “first” sight” the two history signals and the one TS3 buy “may” have looked not to be too god, but in reality these resulted in a -1R, then a +3.8R trade for a nice +2.8R Profit overall.

So my advice is – Do not judge a book by its cover, we allow the analysis to be placed on the history trades so you can see how they would have unfolded.....

Steve

Don’t judge a book by its cover..

Here is a closer look at the first one.......

Once you have placed the analysis on the first history signal, can you see how this was not stopped out as the second TS3 buy came in. This was because the second trade was actually an “equal low” with the first one.

So in reality, although there are two signals here, there would have only been one trade. Yes it was a loss, but as usual that loss was kept small at just -1R

Steve

Don’t judge a book by its cover..

Hi Everybody,

This is good advice and applies to MTPredictor as well as all walks of life. Let me show you an example on the 3min ES from Friday.

If you look at the chart, at “first glance” there are two history signals and one TS3 buy so it “may” look like there were more losing trades than there actually were. Again I refer you to the help video where I explain fully that our history triangles are “filled” trades and not always “failed" trades.

So let’s look at these in a little more detail to show what I mean....

Steve