BollingerWorm !!!

[VIKAS 21]

hmm.. new idea. Can you post the trades as per your strategy.. just for a few days so that we get a clear idea. Also, what parameter are you using for ATR ?? Here's a chart showing ATR(14)

Timepass

just look at today's nifty future chart(3min)

Time 10.27am high 5195, atr 6.19 so our buy signal =5201.19 which executed at 10.51am

 

[timepass]

Timepass

just look at today's nifty future chart(3min)

Time 10.27am high 5195, atr 6.19 so our buy signal =5201.19 which executed at 10.51am

Vikas, I had a look..

ANS : Part 1

10.27 green bar closed at 5194.65 and ATR was 6.9 (as per my software.. we can discount small differences in values). Then it pierced the lower BB again (10.36 bar) and the 10.39 bar was green on re-entering the band and had a closing value of 5190 and ATR of 5.30, giving a buy at 5195.3 as per your system.

Then 10.45 bar closed at 5195.45, where the buy signal as per 10.39 bar would be triggered.

The buy as per the signal of 10.27 green bar did come at 10.51 bar (buy at 5201.55).

Comparing the two systems, even Bollingerworm gave a buy at the same time !!.. See, both EMA2(high) and EMA2(low) moved out of BB(20,1) on completion of the 10.48 bar (at 5199.4) i.e. beginning of 10.51 bar, one could place a buy above the high of 10.48 bar i.e. buy above 5199.4..

So, it seems to be that the results of both the systems are comparable with the signals being generated at the same time. I request your help in comparing the signals for next few days, so that we can fine tune this system.

Another thing, where would you place the stoploss if you are using ATR as filter ??

see the charts below :

 

[timepass]

Timepass

just look at today's nifty future chart(3min)

Time 10.27am high 5195, atr 6.19 so our buy signal =5201.19 which executed at 10.51am

ANS : Part-2

Columbus, when defining this strategy, has shied from using any other indicators apart from the EMAs and BB. I can guess the reasons, using other indicators would flatten out the chart. I had mentioned, somewhere in this thread, about using stochs / RSI/ KST etc.. in combination with the worm, but he prefers using only EMAs and BB.

In answering to your post, I noticed something which seems to nullify the need of using ATR.

See, there are two buy signals : the first buy signal at 10.27 bar (Close : 5194.65 ATR : 6.9, so buy at 5201.55) and the second one at 10.39 bar (Close : 5190 ATR : 5.30, buy at 5195.3) .

Now, notice something else .. at 10.27bar, SMA20 was 5201.47; at 10.39 bar, SMA20 was 5198.89. So, maybe we can use SMA20 as the filter, thus eliminating the need for any other indicator. This will help to keep the chart the shape of a tall rectangle.

Of course, the visual clues as specified in the strategy i.e. the EMAs cutting BB(20,1) are the best, since Columbus does not even want to use the data window to check the values of bars and EMAs etc..

Columbus, your inputs on this please.

 

[HARIVEL]

Dear Timepass,
i planed "paper trade Today on this BBW & ATR," to short @5227 which second time it falls @10.05 the20sma is 5225 and ATR is 6.6 . how can i procd my shorts, if u hve time explin now or in eve

 

[timepass]

Dear Timepass,
i planed "paper trade Today on this BBW & ATR," to short @5227 which second time it falls @10.05 the20sma is 5225 and ATR is 6.6 . how can i procd my shorts, if u hve time explin now or in eve

Which time frame are you using ?? At 10.05, even the 3 min TF won't generate any signals..

 

[HARIVEL]

Its 5min, 1min. Which failed to touch my rline of 5230 in GCI & Its running btw bb to sma

 

[HARIVEL]

Now both Ems crossed middle line

 

[timepass]

Can you please post your chart so that I get a clear idea.

 

[HARIVEL]

Can you please post your chart so that I get a clear idea.

 

[timepass]

In 10.40, 10.45 region, the EMAs are cutting the lines in quick succession, so as per Rule No. 7, it is the end of Uptrend and beginning of downtrend.