[PYenner]

The underlying reasoning may not have been reasoned out.
Just hit or miss, trial and error. Plug n Play.

[walterw]

You guys amaze me ¡¡ so far cloned charts look interesting but must admit the obsesive horizontal effect still doesnt get that close... remember that this horizontal effect is our edge on this ecuation... I aprecciate so much your collaboration efforts ¡¡ I know we can get this formula with all its potential...

someone would ask me why not just using VT platform, well unfortunately just yesterday I got 5 disconections events... lol for this guys, they should seriously get some upgrades on their system... on the other hand their forum is deserted... kind of very unsupported comunity, thats why Mt4 would be great... cheers Walter.

[PYenner]

Its doubtful if taking an ema of an ema achieves anything.
Maybe someone forgot to keep it simple.

[PYenner]

Trying to sort out the wheat for the chaff...
Agree, the flat area is major.

[walterw]

And here a video about Icons on the VMA Rainbow... cheers Walter.

[walterw]

At this point this thread has presented the basic structure of a trend trade with the first basic readings of the VMA rainbow with its particular edge...

Also we had presented the "surefoot" icon trend trade combined in the VMA rainbow aproach...

Like a sinfony we presented the "leitmotif" and will try to keep posted on it here on this thread...

On the other hand the sinfony can start showing its "Variations" this small tweaks that actually are optimizations from a core optimization...

Could this Hack the simplicity of the overall aproach ? it may do so... thats why any variation to this basic aproach I will deal with it on diferent new threads so we dont get any mambo here...


So basicly here I will keep adding examples of the above aproach presented, interactions on how we can optimize this core aproach are very welcome ¡¡ and I think more brains in a network fashion work better than one... only that my paralel research on variations will be presented on new threads... so I can keep this work here more clean and clear... I dont want to diminish the value of the above presented on the process of showing potential variations...

The fact that we can optimize this doesnt mean that we dont have already something with its own value... so thats a small brief on how the future research process will be handled... cheers Walter.

[walterw]

Originally Posted by momentom »

My solution so far is an entry into the 6th colour band of the rainbow on the 1 minute chart - CYAN in my case - as my profitable exit.

This is a first nice example on how we can optimize our exit definition... I think Momentom you are on the right track here, as it will be able to take more decent profits on a move.. cheers Walter.

[walterw]

Originally Posted by momentom »

Re: Exits
Great stuff Walter as I said.

May I offer this comment. As an ex floor trader, my big problem since leaving the floor over 15 years ago is staying in a trade long enough even though I am a scalper. Exiting on the re-entry into the rainbow of the 1 minute chart looks like exiting very early. That's OK if there is a quick re-entry but there is often not. Maybe a little more optimisation could help here.

I tried using ATR stops at first to help me out but looked to the rainbow for a proper solution wanting to remain faithful to your concept.

I then looked at each band according to its colour to try and match the ATR.

My solution so far is an entry into the 6th colour band of the rainbow on the 1 minute chart - CYAN in my case - as my profitable exit. I have only eyeballed this and have not done a proper backtesting - needs some decent programing in MultiCharts.

What do you think?

Originally Posted by walterw »

This is a first nice example on how we can optimize our exit definition... I think Momentom you are on the right track here, as it will be able to take more decent profits on a move.. cheers Walter.

Momentom : I did some more research today on this "exits" issues... I know I need to revisit my exit definition because I find to small the "scalper exit" as previously presented and to large the "traders exit".... looking at your input I find it very valuable... still this 6th band will not be much diferent to the "traders exit" wich is quite long... will work very well under momentum conditions but will give a lot of neutral results under low momentum conditions...

Now Looking more charts today and I did 4 nice trades today , even made real time videos but they got too large sized lol.. (will now post pictures of the trades) I came to some more interesting exit definition that could be THE EXIT... instead of having various exit alternatives that starts making definitions to complex and go against our simplicity target...

This new optimized exit definition could be the bars themselfs crossing the thick darkgreen line...

Below I post the exits of my four trades today all winners...









So this could be a more medium term exit that could promediate my previous two exits definitions into one... Should we call it "The Exit"

It would be the cross of the bars to the thick Darkgreen line...

these are the small tweaks I was talking about and NO I will just do it on this same thread... cheers Walter.

PD: Please Remember that this is still an open reasearch process... ALL INPUTS ARE VERY WELCOME...