BollingerWorm !!!

[Bimbo]

One question in ur Graph why would u buy at the Moving average between( 11 o clock & 12 o clock).In retrospect you can say one should have bought there after the Short.What signal is there to cover the Short ?

 

[columbus]

One question in ur Graph why would u buy at the Moving average between( 11 o clock & 12 o clock).In retrospect you can say one should have bought there after the Short.What signal is there to cover the Short ?

Generally on TOP boundary (Green colour) we short and on LOWER
boundary (Red colour) we buy it/cover it.The problems come only
in intermediate bands,if any.As a thumb rule ,we buy on "V" and sell
on "inverted V".

 

[columbus]

1.Use standard Bollinger Bands ,that is,bb(s,20,2).

2.Use ema-2HIGH and ema2-LOW to outline the body of the worm.

3.If the body comes out of bands & re-enters ,then make an ENTRY.

4.The EXIT is, if body comes out the band,of the other colour.

5.In case of extreme Bullishness/extreme Bearishness another
pair is used pertaining to BB(20,1).

 

[columbus]

The of wrong TIME FRAME is reflected today.We had 2 problems.
The problem at "B" is not so severe because ,market has closed at more
or less at the same value.At "A" ,on 5 min timeframe the body of the WORM
moved along TOP bollinger band.On lesser time frame ,the body came
inside the Bands.Occasional visit to higher time frames will help a lot.

 

[hills_5000]

You short initially..then covered at lower BB....went long ....what made you exit the longs at mid BB... ?... and continue the cycle thereafter?

1.Use standard Bollinger Bands ,that is,bb(s,20,2).

2.Use ema-2HIGH and ema2-LOW to outline the body of the worm.

3.If the body comes out of bands & re-enters ,then make an ENTRY.

4.The EXIT is, if body comes out the band,of the other colour.

5.In case of extreme Bullishness/extreme Bearishness another
pair is used pertaining to BB(20,1).

 

[columbus]

You short initially..then covered at lower BB....went long ....what made you exit the longs at mid BB... ?... and continue the cycle thereafter?

Hi Hills,

Midline makes the B.Bands into 2 ,top and bottom.Since the candles were
unable to move into TOP Band, I closed the transaction.Generally we buy
on "V" and sell on "Inverted V",on bands.

 

[columbus]

1.Use standard Bollinger Bands ,that is,bb(s,20,2).

2.Use ema2-HIGH and ema2-LOW to outline the body of the worm.

3.If the body comes out of bands & re-enters ,then make an ENTRY.

4.The EXIT is, if body comes out the band,of the other colour.

5.In case of extreme Bullishness/extreme Bearishness another
pair is used pertaining to BB(20,1).

 

[prakash2010]

Can you pls post exact entry and exit trades in the above chart .
profit and loss.

 

[columbus]

Can you pls post exact entry and exit trades in the above chart profit and loss.

Hi Prakash,

I an enclosing chart ,detailing the trades.In fact I deleted couple of trades(positive) which were found in LOWER timeframe and adhering
the rules.

I am posting this dialogue from a local movie which is quite relevant to our
trading.

".....a tiger shows utmost patience in hunting after-all a DEER,if you want
to hunt a TIGER what kind of patience one should have ........."

Trading requires more patience than that.

 

[DanPickUp]

I would set out a Black panther to hunt the tiger