BollingerWorm !!!

[trade4joisar]

In yesterday's session, how can we determind to go for short ?

Around 2 PM it gave signal but as SMA 20 was showing uptrend, we should not go for short but around 2:30 it started downside.

Was there any signal?

 

[timepass]

In yesterday's session, how can we determind to go for short ?

Around 2 PM it gave signal but as SMA 20 was showing uptrend, we should not go for short but around 2:30 it started downside.

Was there any signal?

I am a very fearful trader. I prefer to combine the worm with oscillators. It's difficult to use it as a standalone. If the red RSI has crossed the green RSI from bottom in the OB zone, then it is almost a sureshot sign of reversal. Of course, SL as per risk appetite.

 

[columbus]

Hi tp,

Good improvisation.In stochastic , did you use settings s(3,8,4) instead of s(3,5,3)?

 

[timepass]

Hi tp,

Good improvisation.In stochastic , did you use settings s(3,8,4) instead of s(3,5,3)?

I know, but I am equally comfortable with 3,5,3. I have the other setting open with the EMA3-13-39 strategy.

 

[trade4joisar]

Hi tp,

Good improvisation.In stochastic , did you use settings s(3,8,4) instead of s(3,5,3)?

I am using 15,3,5.

I am always confused about parameters to be use for difference indicators.

http://www.traderji.com/technical-analysis/58375-technical-indicators-parameters.html

It will be good if we can come up with parameters which gives best results.

 

[timepass]

It is very difficult to say which are the better/best settings. Sometimes this works better, sometimes that works better. In case of sharp movements within 10-15 min, 3,5,3 setting will nail it better, in other cases the 3,8,4 will give surer results.

Consider the chart below with 3 stochastic divergence periods marked as A, B and C.

If you are using 3,5,3 then you would hit stoploss with A, get very nervous with B (stochs making lower trough but not the price) and hit the jackpot with C.

If you are using 8,3, 4 then A is no trade, B is jackpot and maybe C is a missed trade.

If you combine the divergence with the worm, then maybe you get 3 correct trades.

T4j, 15 period stochs will mean that the first line will formed after 75 min.

 

[columbus]

It is very difficult to say which are the better/best settings. Sometimes this works better, sometimes that works better. In case of sharp movements within 10-15 min, 3,5,3 setting will nail it better, in other cases the 3,8,4 will give surer results.

Consider the chart below with 3 stochastic divergence periods marked as A, B and C.

If you are using 3,5,3 then you would hit stoploss with A, get very nervous with B (stochs making lower trough but not the price) and hit the jackpot with C.

If you are using 8,3, 4 then A is no trade, B is jackpot and maybe C is a missed trade.

If you combine the divergence with the worm, then maybe you get 3 correct trades.


T4j, 15 period stochs will mean that the first line will formed after 75 min.

Hi TP,

If you use S(3,5,3) you are confined to using lower EMAs and the other hand
using S(3,15,5) you are starting the indicator LATE. S(3,8,4) is in between
these two ,and may not be the BEST.On some days it will be good.
S(3,5,3) gives signal too often.

 

[trade4joisar]

Hi TP,

If you use S(3,5,3) you are confined to using lower EMAs and the other hand
using S(3,15,5) you are starting the indicator LATE. S(3,8,4) is in between
these two ,and may not be the BEST.On some days it will be good.
S(3,5,3) gives signal too often.

I am still confused about starting indicator late and "first line will be formed after 75 mins"

Can TP/Columbus explain more on this?

We can discuss about technical parameters here
http://www.traderji.com/technical-analysis/58375-technical-indicators-parameters.html

 

[columbus]

I am still confused about starting indicator late and "first line will be formed after 75 mins"

Can TP/Columbus explain more on this?

We can discuss about technical parameters here
http://www.traderji.com/technical-analysis/58375-technical-indicators-parameters.html

Hi t4j,

If you consider 5min TF, the first signal will appear after 5*15=75 min since
the highest ema is 15 in this s(3,15,5) stochastic set up.
If TF=3 ,then the first signal will appear after 3*15=45 min.

 

[trade4joisar]

At present i am using 15,3,5 in daily chart

So which setting will give right signal @ right time in intraday chart? 3,5,3 but as you told it gives signal too often?

So which setting will be best?