The "ABC" Trade

[walterw]

Ok here are some more abc`s today as we started heading north...

notice in this case I did the timing with the 0 line cross ( more conservative ) as we can expect more noise at this time of the day... cheers Walter.

[feb2865]

	Quote:	walterw
	Ok here are some more abc`s today as we started heading north... notice in this case I did the timing with the 0 line cross ( more conservative ) as we can expect more noise at this time of the day... cheers Walter.

Walter

Amazing system. Although I am not a huge fan of indicators - Keltner bands definitely have something to value. They're based on price and not in standard deviation of price like Bollinger's. This is just a matter of personal preference nothing wrong with Bollinger Bands.

A couple of questions. In one of your post you said something about placing your stops on pivotal points at the bands. How do you calculate Risk/Reward in terms of the trade?? is t fixed or you go along with how loaded you can go on the trade as volatility between the pivotal point and the entry goes??

Thanks

Raul

[walterw]

Yes Raul... normally at this point I am tryng to exit at least with a 1.5:1 RRR... normally my stop is at 5 ym points...(other side of entry pivot) so I try to take at least 8 points profit on this trades, obviously some times I get much more... but they perform pretty nice... glad to interact Raul ¡¡ cheers Walter.

[feb2865]

	Quote:	walterw
	Yes Raul... normally at this point I am tryng to exit at least with a 1.5:1 RRR... normally my stop is at 5 ym points...(other side of entry pivot) so I try to take at least 8 points profit on this trades, obviously some times I get much more... but they perform pretty nice... glad to interact Raul ¡¡ cheers Walter.

Walter

Iam really impressed with your system. I know people that trades off bands (Bollinger's, Percentage bands, MA bands, ect) but I have never tougth about using them as a retracement vehicle. My hats off to you.

I will make the following comment with the utmost respect to you as I am not intending to change anything, just a humble observation and suggestion

I notice that you're using 55t charts. I notice some sort of undesirable noise that tends to put you in a shaky mode, well at least me.

I change the parameters a little using 144 ticks and I added a 89 MA , keltner bands on the same parameters as you stated, and it relaxes the noise. If you have Heikin-Ashi available in your charts, it relaxes the noise even more. I like to smooth my trading enviroment as much as possible. It gives me more clarity for descicion making and let me stay on the trade longer.

Pit traders, especially from big houses, uses 89 MA a lot as a line in the sand. Just notice how the market behaves when it reach that MA.

I feel at ease using tick/volume bars as opossed to time based bars. I wish I have either Heikn-Ashi or true volume bars on my charts.

Just an obsevation

Cheers

Raul

[walterw]

Yes Raul thats fine ¡¡.... the system can be traded in diferent time frames, thought time frame selection will depend on the traders personality...

I would love to see some of your charts on this time frames you are looking at .... feel free to post here... I love to interact and see what other traders are able to do with the same concept in diferent instruments and time frames as also see posible optimizations on this concept... cheers Walter.

[feb2865]

Just take notice on the pullbacks

[walterw]

I like that 89 sma... very good performance indeed ¡¡ you could also make that keltner 89 so you will have a more simetrical view of the bands with the ma... cheers Walter.

[walterw]

Some of todays ABC`s so far... Timing entry on 0 line cross and exit (scalper exit) with 100 level re-cross... cheers Walter.

[markd85]

[quote=walterw;13007]I am using a 55T chart of YM... with keltner exponential 100 / 1 and 2.5 atr




Hi
I'm not sure I understand the keltner settings. In quotetracker the keltner options are period and offset. I assume the period is 100 and the offset is the same as atr which is 2.5? Not sure what the 1 is for? Help is appreciated. Thanks.
Mark

[walterw]

[quote=markd85;16895]

	Quote:	walterw
	I am using a 55T chart of YM... with keltner exponential 100 / 1 and 2.5 atr Hi I'm not sure I understand the keltner settings. In quotetracker the keltner options are period and offset. I assume the period is 100 and the offset is the same as atr which is 2.5? Not sure what the 1 is for? Help is appreciated. Thanks. Mark

Hi Mark in this case it would be 2 set of bands... one is 100 /1 and the second 100 / 2.5.... hope that helps... cheers Walter.