Five Tick Trading

[swansjr]

I stumbled upon the following site Five Tick Trading. This guy is pushing a trading system that takes tiny profits with a high win/loss ratio.

Here are two videos from his site:
Video 1
Video 2


It looks like bollinger bands are being used and he initiates a trade to fade the move after a trigger bar has fired off. I'm not sure what the indicator is at the lower portion of his screen (value chart?), but I think this is used to set off the trigger bar. Once we have a trigger bar the entry price, initial stop loss and target are mechanical. Kind of interesting.

Does anyone have any insight into method? Has someone coded this up as an indicator or even a complete system? I know there are some smart programmers here that may have reversed engineered this method and created EasyLanguage code for it.

Thanks.

[forsearch]

And I stumbled upon an archived copy of the $297 course manual via Google.

	Quote:
	This method applies to the S&P, Dow Jones, and Russell. We attempt to pick tops and bottoms using a simple indicator and then use the price action to grab a quick correction against the prevailing trend, often it turns out to be a real top or bottom and the market takes off in a new trend. We however are long gone. This is not a trend following method, it’s a grab an opportunity and run for it, method. It works. The indicator we use is the Commodity Channel Index (CCI) set at 45 periods with the measurement being the High+Low/2. This is available on pretty well all charting packages. We look to Sell when this indicator exceeds 200 and Buy when it falls below -200. We use a one minute real-time chart and when we get a buy or sell signal from the CCI we trail an entry order just above or below the market so that we quickly catch a market reversal when it happens. (Note When not If, no market continues in one direction for very long, and that’s we’re betting on). Our profit target is just a small distance away and an order is placed as soon as our first order is filled. Sometimes if the market starts to move against us a stop-loss order would be entered but often that’s not required. Usually our profit target will be hit and we have one of two winning trades for the day in the bag.

Nothing about Bollinger Bands in the manual, although I suspect that the videos that accompany the course may address their usage.

Good luck.

[swansjr]

	Quote:	forsearch
	And I stumbled upon an archived copy of the $297 course manual via Google. Nothing about Bollinger Bands in the manual, although I suspect that the videos that accompany the course may address their usage. Good luck.

Nice find. Thanks for posting the manual. For $297 it works out to about $17.47 per page.

[bacchus]

I started to trade the eminis.I have an account with Mirus futures and so far so good.I'd like to open a second account with another broker.Any good names out there?

[forsearch]

Sure. How much money you got to fund your account?

[markcadero]

Re: 5 tick trading Thanks for the pdf file for the manual do you have the videos.

[forsearch]

Sorry, but you'll have to do some of the legwork yourself.

Did you actually READ the manual?

You might find your answer there....

-fs

[TomboyFarley]

Damn, wish I had come here first, I paid for the manual. System is ok, counter-trend system. I've had mixed result with it trading the Dow mini & Emini S&P

[walterw]

200 cci readings "may" mean exhaustion as his aproach is ... but you may be cautios as it may also mean momentum... the method is nice and clean, its countertrend... ideal on cycle days climate... the play is refreshing back to the mid band... I would add to it a false break setup (M type) to make it a little more robust...my 2 cents. cheers Walter.

[swansjr]

Walter,

Could you elaborate on your statement, below? In short, what is an M type false break setup?

	Quote:	walterw
	I would add to it a false break setup (M type) to make it a little more robust...my 2 cents. cheers Walter.

Jeff