[Don4]

Walter,just wanted to think you again for this thread ! As i said before right now im only trading forex and i see this setup(flip) time and time again. Looking forward to your new thread!!

[Blu-Ray]

Walter

Absolutely great thread, followed you all the way through it, I'm now just starting to trade it and really like the risk/reward side of it as the signals are momentum based and it gets you out quick without too much pain if incorrect.

I keep checking your thread every night to see if I spot the same opportunities as yourself, however, I keep missing some of the opportunites you spot because I currently only seem to see the picture perfect ones.

For instance I missed those today that you have posted, because when the resistance line gets penetrated I dismiss them as being invalid, however, as you show they were profitable trades. I think as time goes on, my eye will get trained better into seeing the setups in real time.

One thing I am noticing live when waiting for flips to occur is just straight forward bounces off the support line with the timing of cci to go with it, for example, your chart posted today, the bounce off support at 8:40 coupled with the cci crossover gives out a great trade. I'm still working on this one so it's still early doors yet.

Once again Walter many thanks for your hard work and contribution to this forum and I really enjoy reading your posts.


Blu-Ray

[maildigger]

What kind of risk vs reward ratio do you guys use on this setup ?

[Blu-Ray]

Originally Posted by maildigger »

What kind of risk vs reward ratio do you guys use on this setup ?

Not really using a ratio as such, just following momentum, so will exit if it re-crosses cci zero line or sometimes exit at cci 50+/-. This is something I'm trying to fine tune at present.

Blu-Ray

[walterw]

So far today has been a happy flip day... always when we have momentum being built, specially on the first hour... flips get a nice performance...

You may notice that entries are at 100 levels, call that agressive, the normal entry would be at 0... cheers Walter.

[Z_trade]

Walterw, thank you for an excellent thread of simplifying an idea of support/resistance momentum switch. It can be easily transferred to the check list for entry and possible mechanical strategy.

I am following this thread for a while, though I trade exclusively mini Dow, I have made some adjustments for the KC settings, so here is 55 YM chart and the setup is –

Keltner Channels 100, 1 and 100, 2.5
CCI 14 with alert levels -200, -100, 0, +100, +200
EMA 34 (hlc/3)

So far I have several rules for the long signal /reverse for short/ and still fine tuning

1. Market must go outside the KC (100;2.5); longer it stay there, stronger the move
2. Market should return inside the bands and than make a new high.
3. Market should retrace to the KC (100;1)
4. Entry on the CCI(14) cross -100 from the below

From my little observation, conservative flip entry on the CCI crossing zero line, in this scenario, almost identical to the bar close on the right side of EMA.

[walterw]

Excellent job Ztrade ¡¡¡ you see how you got in before the momentum explosion.... certainly good stuff ¡¡ keep posting, it is a good excercise, it willl help you a lot.... thanks for sharing... cheers Walter.

[walterw]

Today June 7, the day started without momentum, so flips wherent there, but as the day evolved some momentum showed up, so flips did... cheers Walter.