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

+12.6R Profit on the 5min Dax

Hi Everybody,

Yesterday I looked at a massive +13R Profit on the 5min Dax, where you had to be an Advanced Trader to squeeze that last R profit from the trade. But it is sometimes a lot easier than that. Today I would like to look at a Standard TS4 sell setup that unfolded yesterday, again on the Dax, that made another massive profit, this time +12.6R, but the difference is that it was managed using the standard trade management guidelines.

As you can see, this TS4 sell nailed the high on the Dax perfectly, the Dax then collapsed, but (and here is the important point) as the STF exceeded its strength band all the standard traders among you would have swapped to the ATRStop. This held the short until eventually being stopped out for +12.6R Profit (ignoring slippage and commission). But again, this was made just using the standard trade management guidelines

So the European traders among you have been having a great time with two +12R trades in just the last two days !!

Thanks

Steve

FOREX – JPYUSD 60min Chart

Hi Everybody,

I was asked this morning about FOREX and MTPredictor, well here is a lovely TS3 sell that has just reached the first WPT profit target on a JPYUSD 60min Chart.

Notice how we have automatic Position Sizing in MTPredictor for standard ($10) mini ($1) and micro ($0.1) Forex contracts ....

Steve

Dax short – Part 2 (5min Chart)

As we have already seen, when the Typical Wave 3 WPT was reached the profit as +13R (ignoring slippage and commission), and +13R is a massive profit so needs to be protected. This is why I always look at profits in “R” units so you know “how good” profits are at any point. Even just on this chart we already “know” that when a market reaches the Typical Wave 3 WPT that this is the “usual” place where a Wave (3) type swing will end, so the move is started to get near an end. But were there any “other” reasons to suspect the decline was nearing an end..........

Yes, as you can see, using the Elliott Wave module, a wave (5) decline as found, but (more importantly) the low was at the maximum Wave (5) WPT. Also, on the 15min Chart, the Dax had reached an important DP support level (not shown) ........

So here were 3 different reasons that a low as coming in, so it make perfect sense to look to protect such a huge +13R Profit at this point. Again, this is for the more Advanced Traders among you, but do you see how you have the tools in MTPredictor to be able to evaluate the market fully at this time to then make an informed trading decision.

Steve

Dax short – Part 1 (5min Chart)

Hi Everybody,

Today I would like to look at a TS3 sell on the 5min Dax and show how the more Advanced Traders among you can make trade management decisions as different levels are reached.

As you can see, this was a brilliant TS3 sell that nailed the high before the Dax declined sharply. As the STF strength band was exceeded, the standard trade management guidelines said to swap to the ATRStop. At this point I must say that it would have been very tempting to take off at least partial profits at the VSA high volume spike that came in as the short reached the Typical Wave C WPT for a very nice +7R Profit. But I want to look at the “decision” you had as the Typical Wave 3 WPT was reached, when the profit was nearer +13R !

For those of you using just the ATRStop, you still would have banked a very nice +6R Profit, but this post is about squeezing out a little more for the more Advanced Traders among you...........

Onto the next post and next chart.

Steve

PS, I have the wrong title in the chart, it was a 5min chart and not a 3min.... sorry