My System - My trades.

[Smart_trade]

STji,

My humble suggestion that let Varunji/other members keep sharing their nuggets of wisdom which help strugglers like us to fine tune the system and understand the OBV system more holistically.

Today there were big moves in BNF/crude but no signals as per ribbon system. These observations (as shared by Varunji just now) help us to understand the system more deeply.

This is my view and will honor the seniors decision.

Well, if everybody feels that way, I have no issues ,continue in the same way....I thought perfecting the trades on the system is more important in the initial stages than getting loads of knowledge ...

I am happy with this thread as I have picked up good points and blended with my method of many years.

Smart_trade

 

[varunkochhar]

ST ji i took all the 4 trades which resulted in 20points profit each time based on the system only as per the change in the colour of ribbon. I had told Appache ji that since i thought that after 2 days of monster moves, crude would be range bound and so did away with the dow theory filter. That is why i had kept a target of 20 points for all my crude trades today else i would not have capped my profits.

 

[monkeybusiness]

In the start of the thread there were 200ema and 36 EMA, then there were 5ribbons, then 3 then 2, then there are support and resistance levels. My suggestion is regarding the objective part only, you should at least enumerate what is being followed now, so that most people are on the same page.
Also, its the last time I am troubling you, if you feel it can't be or should not be done. Just ignore my post.
Thanks.

Vivek

Vivekbhai & rest of fellow TJians, who are getting confused.

http://www.traderji.com/words-wisdom/103474-best-trading-system-4.html#post1198667

Varunji started posting about his system first in thread run by Tuna. Most of people have not read the beginning of the system hence this confusion.

The original system traded by Varunji is 36/200 EMA on price/OBV, with Bollinger bands/keltner bands etc.

Only one rule was long above 200EMA both in price/OBV & short bellow 200 EMA both in price OBV. 36 EMA was used for taking adds, profit booking etc.
He has traded this method profitably for enough time to visually interpret things just by looking at a chart. The channels created by BB/Keltner had use in managing position i.e. adds/profit booking etc. Which he explained.
Now if you look at original chart, for a layman it is damn difficult to make out what to do with it, but for him it was a mint.

Once he posted his system, Happyji came along with his coding skills. So Varun ji started asking for coding things which he was visually seeing & trading in his charts (BO/BD of OBV/Price, OBV/Price levels etc). Happy ji obliged with Ribbons, which was making life easier, also it started giving new insights to Varunji too.

As this Ribbons are new to even Varunji he started posting his observations about them, to people who have started in the middle of the thread it become confusing.

In a way you can say Ribbon system is still evolving, for very experienced traders it is easier to grasp the concept and trade it successfully (Varun Ji himself, ST da, Xray ji etc). For people who are yet to get that screen time and understanding of PA it will take some more time.

So at this stage it is too early to ask for rules, when new observation/interpretation comes along.

If anyone feels offended by my explanation kindly ignore it.:thumb:

 

[kcsusha]

Dear Varun Saab,
I would kindly request you to add TF in using 200/36 EMAs or Ribbon System in all
your posts or methods so that it will be clear-cut. Right now I do not have any system
but I may use this superb method in the future God willing. I observed that there is lot
of difference in 1m, 5m, 15m, 30m, 1Hour TF with regard to data, signals etc. That is the
reason for my above request.

 

[kumudhan]

Dear Varun Saab,
I would kindly request you to add TF in using 200/36 EMAs or Ribbon System in all
your posts or methods so that it will be clear-cut. Right now I do not have any system
but I may use this superb method in the future God willing. I observed that there is lot
of difference in 1m, 5m, 15m, 30m, 1Hour TF with regard to data, signals etc. That is the
reason for my above request.

Do not get angry. In every forum people are there
to spoil the atmosphere.

you yourself know varun sir is short tempered.then why you are asking him to add TF .everything is posted here in this thread. re read again you can get things clear. please dont spoil the atmosphere asking unwanted questions....

 

[deepsat]

To avoid confusions initially atleast we should discuss trades which are as per the method discussed so far. More advanced trades can be discussed after people get some experience in trading as per this method.

Just my suggestion.

Smart_trade

Yes ST da. I believe that a trader(especially traders who are not consistently profitable) should follow 100% mechanical system to gain confidence in executing the trades/psychological resilience that is needed to sustain in this business. We tend to focus more on the end-result more than the process itself. It is actually the process which makes the trader more equipped for future unknowns.

So, there is no point for struggling traders to beat himself up for not making 50 points like somebody else. All we can do is just formulate rules, stick to the rules , use proper MM on every trade and create that psychological resilience. The more 'degrees of freedom' (statistics term) a.k.a parameters in the system, the more difficult to create a rule based system around it.

Create 100% mechanical trading system(no doubts or hesitation should arise if a trade trigger comes), execute them 100% without fail (dont try to outsmart your system by not taking trades thinking that it is going up for 3 days, so no trend trades kind of stuff..these kind of discretion is reserved only for experts) Sticking to the system 100% is really important because it creates that ‘discipline’ brain muscle in us. It is already difficult to execute mechanical systems 100% and if we introduce discretion in execution, then game over for struggling traders (personal experience).

 

[marimuthu13]

Yes ST da. I believe that a trader(especially traders who are not consistently profitable) should follow 100% mechanical system to gain confidence in executing the trades/psychological resilience that is needed to sustain in this business. We tend to focus more on the end-result more than the process itself. It is actually the process which makes the trader more equipped for future unknowns.

So, there is no point for struggling traders to beat himself up for not making 50 points like somebody else. All we can do is just formulate rules, stick to the rules , use proper MM on every trade and create that psychological resilience. The more 'degrees of freedom' (statistics term) a.k.a parameters in the system, the more difficult to create a rule based system around it.

Create 100% mechanical trading system(no doubts or hesitation should arise if a trade trigger comes), execute them 100% without fail (dont try to outsmart your system by not taking trades thinking that it is going up for 3 days, so no trend trades kind of stuff..these kind of discretion is reserved only for experts) Sticking to the system 100% is really important because it creates that ‘discipline’ brain muscle in us. It is already difficult to execute mechanical systems 100% and if we introduce discretion in execution, then game over for struggling traders (personal experience).

:clapping::clapping::clapping: perfectly said..have simple rules like Price and OBA abpve /below 200 EMA or 15 period ribbon turning colors etc etc..follow it vigorously.

not everyone can catch as varun ji is catching , move of 100-200 points per day in crude.. he will have system/ thoughts process etc etc in his mind to catch every move of BNF/Crude , he will be explaining those all possible trades taken also..

what is our need, may be average 5-10 points in a day (100 to 200 points per month) which itself very very big achievement if we can able to do it consistently day by day, month on month...

 

[varunkochhar]

Guys give me a break. Can any body point out where i have not followed the basic rule of not following my ribbon rule anywhere in any of my trades discussed yesterday. There is a difference between rule and filter. It is like having a plain vanilla icecream (basic rules) or having chocolate sauce and nuts (filters) on it. I would have been grossly wrong if i had taken a short in the blue ribbon period or a long in the red ribbon period. Can anyone pls point out where i have done that. St ji just told me something and i am sure he would have understood my point of view when i explained it to him. I thought that was the end of the discussion. But now i find other people also jumping in without understanding what the problem was in the first place. I think it is unfair.

 

[Smart_trade]

:clapping::clapping::clapping: perfectly said..have simple rules like Price and OBA abpve /below 200 EMA or 15 period ribbon turning colors etc etc..follow it vigorously.

not everyone can catch as varun ji is catching , move of 100-200 points per day in crude.. he will have system/ thoughts process etc etc in his mind to catch every move of BNF/Crude , he will be explaining those all possible trades taken also..

what is our need, may be average 5-10 points in a day (100 to 200 points per month) which itself very very big achievement if we can able to do it consistently day by day, month on month...

So that is why take simple trades on basic method and see if we can make 20-30 points a day by following fixed rules and not using our judgement as one of the objectives of Varunji in starting this thread is that let there be no scope for discretion in any form.Dont get perturbed by people making 100 points a day...their 100 points do not make us any good but our 20 points made will make our ledger healthy. Try to execute trades effortlessly and without second guessing and achieve perfection in execution.

Let us all leave the steering of this wonderful thread to Varunji ....desist from making any personal remarks....he will take this thread to great heights....let us all support him.

Smart_trade

 

[varunkochhar]

Sometimes just to soothe your sweet tooth you just have a plain vanilla ice-cream as your digestion (the market conditions) does not allow you to have something heavy (nuts and chocolate sauce). You would still end up having the plain icecream.