(req) Sacred Geometry Trading system

[chetachukwu]

though he might sound a little bit realistic. But you guys might not even smell 12pips all day when using it. Joeytrader has the best emphasis on that.

[ismael360]

So what do y'all think? Is it tradeable?

[vladv]

Of course,but with caution with all these repaint indis!

[DeonLee]

Very helpful discussion. I think you all made very relevant post to this thread.

www.stockegg.com

[alfredocastanho]

Hello traders

I would like to know if anyone could post the link to the blog of the FOREX UNIVERSAL SACRED GEOMETRY TRADING SYSTEM creator.

 

Thanks

[ummo]

badly repaints.

[pippimp]

I have been trading this for a week and it repaints in all timeframes i have seen.. including 4 hour... It is rubbish...

[joeytrader]

The indicators do repaint. But I think the author's official method that requires we first wait for the candle to move back in the direction of our trade, and close below/above the channel line, and then place a order only when the extreme or the close of that candle is breached, probably will filter a lot of the false signals from the repainting indicators.

 

I have not traded this yet, but observing the H4 and D1 timeframe on the sideline for now, I think this may still work.

 

And I think grisleback is still testing or working on this on the shorter timeframes. Will be interested to hear the latest progress on this front.

Edited January 24, 2011 by joeytrader

[joeytrader]

If anyone is still looking at this system, you'll have seen on the H4 EU chart, for the last few days, the red yin-yang and the red bullseye kept re-painting upward as EU price kept moving up. Although the repainting was very bad, but from what I could tell, at least before Friday, none of the red candles closed below the top D1 channel line by more than a couple of pips AND have the next candle moved lower than the red candle's lowest price. So if I followed the author's entry requirement as I understood it, there was no qualified trade until Friday.

 

On Friday, finally one such situation qualified, where the red bullseye and red yin-yang exist, and a red candle closed cleanly below the upper channel line for the D1 channel, and also the price on next candle broke below the low of the red candle. In this case, the price proceeded to move down (counting from break of previous red candle low) for about 100 pips at the maximum move before retracing, currently still sitting at about 70+ pips profit. (Stop loss approx. 75 to 100 pips)

 

I did not take the trade myself, as I am still only observing at this point. But I do think if we can live with the fact that the indicators repaint, and enter trade only when all conditions are met as specified by the author, this can still be a potential system to try out.

 

Personally, I am still waiting for a set-up on the D1 chart. It will be a long wait, but I think the potential is also much bigger. But I can be wrong, we'll see. (The last D1 set-up I posted in Post #24, if I were to get out only when a full reversal signal qualifies, then that trade is still open and currently over 600 pips in profit, the initial stop loss was probably 100 to 150 pips.)

 

 

Edit: btw, grisleback, are you still trading or testing this on the lower timeframes? how is that going with you?

Edited January 29, 2011 by joeytrader

[grisleback]

No, like you the value seems to lie in longer term timeframes. I tried all timeframes and the repainting issue causes too many false entries on anything below the 1hr chart. As you pointed out if you follow the creators instructions and give yourself enough room for the trade to work, I do believe it has the potential to make the pips per week he says he does. It goes against my trading style of working from a 15min chart so I haven't given it the chance I need to. Thanks Joey for your posts and letting us know what you found out.

[joeytrader]

No, like you the value seems to lie in longer term timeframes. I tried all timeframes and the repainting issue causes too many false entries on anything below the 1hr chart. As you pointed out if you follow the creators instructions and give yourself enough room for the trade to work, I do believe it has the potential to make the pips per week he says he does. It goes against my trading style of working from a 15min chart so I haven't given it the chance I need to. Thanks Joey for your posts and letting us know what you found out.

 

Thanks grisleback for sharing your feedback. Too bad about not working on the lower timeframe. Because like you, I prefer the lower timeframes myself also. More of a intra-day scalper/trader than longer timeframe trader. My problem of trying to "convert" this system into the lower timframes seem to lie mostly on not having a reliable auto-drawn channel lines (like we do have on the higher timeframes). And it seems being able to look for trades only at the extreme of the channel lines of a higher timeframe is pivotal to making this thing work.

[joeytrader]

Well, the last H4 signal (post #34 above), eventually retraced back above break-even (I assume anyone in an actual trade will move stop to BE after price moved more than the initial stop distance of 80 pips).

 

Currently, there is a new red Yin-Yang, and 2 red dots (on 1HR, and 4HR). But EU is still moving mostly upward. Not only has there been very few red retracement candle (only one since Monday start of session), the price is above the top D1 channel line. So no likely set-up at the moment.

 

As I only need to check every 4 to 8 hours, I will be stalking this one, and report back if anything seems to qualify.

 

The best case scenario will be wait for price to to rise so much that even the D1 chart will trigger a red Yin-Yang and begin to wait for a change trend back down.

 

We'll see.

[joeytrader]

Update on EU H4 chart: if you look at the chart right now, it seems we have missed an entry yesterday. But in fact, NO, it did not qualify at the time.

 

Let me explain: the 3 red candles you see yesterday/today, the first candle starting at 8:00 alpari UK time (7:00 London time), at the time the first 2 candles were formed, the top channel line of D1 channel was still much lower. So the close of these 2 candles were still "above" the channel line, and therefore they were not valid as entry signal candles. Finally the channel line jumped up, and we got a 3rd red candle. So I think this is the first qualifying candle, IF the next candle breaks the low of this red candle. But the next candle never went down further. Now the price is moving back up again.

 

I assume if price moves back down and take out the low of the last red candle, or if there is a new red candle to be formed further up (but still close below the top D1 channel line), and then price take out the low of that candle, then a valid trade may occur.

 

Personal note: This "belated" moving of the channel lines may eventually cost us going into a valid trade at a less favorable price, but it also seems to "filter" out potential bad trades. So I guess the eternal struggle of all trading methods is also true here: do we go in early with smaller stop-loss and better reward-risk ratio but lower win-loss ratio, or do we go in later with higher win-loss ratio but larger stop-loss and worse reward-risk ratio.

[joeytrader]

Finally, the EU on H4 definitely had a valid sale trade today. If you had put a pending short order just below the low of the last red candle I mentioned in above post, or if you waited for a newer red candle (after 2 green candles) and put in a sale order below the low of the later red candle, your trade could either gave you at a maximum earlier of 130+ or 150+ pips (depending on which red candle you used to set your entry); that trade currently is still sitting at either +100 pips or +120 pips. That is with stop loss of approx 100 to 85 pips.

 

Too bad I was out of the house for more than 8 hours. When I came back, I missed those big red candles, and the move was over 100 pips already.

 

This is already the 2nd trade in a row for the H4 EURUSD that seems to have worked out. I will observe a few more. If they continue to give me good results, I am tempted to start putting real money behind future H4 signals.

 

Meanwhile, I am also waiting for the "big" one when the daily D1 timeframe also aligns. We'll see when that comes. Looking over historical chart, it comes about only once every two to 7 months. But each one, when valid, can give out some mega pip count (anywhere from 900 to over 2000 pips, from one signal to reverse signal). But we are talking about keeping the trade alive for weeks and even months.

 

But **cough** I will need some major psychological adjustment to try that though, as I am still mostly an intra-day scalper.

[joeytrader]

Update on last H4 EURUSD sale trade + potential new buy signal

 

Just a quick update on the last sale trade from post #39, and a heads-up on a developing buy signal:

 

The last sale trade on the H4 chart first moved to approx 250 pips profit before retracing. With the initial stop loss of approx 100 or so pips, no matter your trading style for take profit, I assume you would have moved stop loss to at least break-even, or break-even plus some profits. Then price retraced to within 20/25 pips of breakeven, before moving down again. Currently price is sitting at approx 250 pips profit again. So if your stop was not taken out (depending on where you had moved stop loss to break-even + some profit), your profit is once again over 2 times your risk. The trade was originally triggered on 2011.02.03. So in terms of actual trading days, this has lasted about 8 days so far.

 

Then a heads up on the H4 EURUSD chart, there is now a green yin-yang, plus 2 green dots (1 Hr, 4 Hr). In fact, the price is already above the lower channel lines for the H1 and H4 channels. So if there is a valid green H4 candle "closing" above the channel lines, AND price breaks above the high of the green candle, it will become a valid buy signal for this timeframe.

 

Note: in case you are also watching this only now, you may think there was already a valid signal last Friday, because there was a green candle, and there was a later candle breaking above such green candle. BUT no, in fact at the time that was happening, the auto-drawing channel lines for H4 was not where they are now. So at the time, it was NOT a valid signal, and the green yin-yang was not there until later also. So, as I understand the instruction, only now does it look like a new buy signal may be forming. Which is a good thing too, because price once again headed back south after initially breaking the high of last Friday's green H4 candle.

 

I am not too tempted to take this trade live yet this time, because I am still waiting for alignment on the D1 chart also. But current price is no where near any of the D1 or W1 channel lines yet.

 

If you want to take this trade, good luck. But I still want more experience tracking this puppy first for myself.

 

Since monitoring this only requires a quick glance every 4 to 8 hours, I will keep monitoring this.

Edited February 13, 2011 by joeytrader

[joeytrader]

Update on the H4 EURUSD: there was a valid signal today for long. Price broke the high of the green candle by at least 10 pips. But unfortunately, price quickly dropped back down, for roughly at least 100 pips from entry. Given that the stop loss was anywhere from 50 to 100 pips for this one, I would say that this buy trade was stopped out.

 

So our first loss so far.

 

I will continue to track this, and see how it goes. Currently, the green yin-yang and the 2 green dots have now re-drawn their position to the latest candle, and we are still looking for a closed green candle, and then price breaking above the high of such candle.

Edited February 14, 2011 by joeytrader

[joeytrader]

14 Feb update for EURUSD H4: there is now a valid long trade again, for the last 3 to 4 H4 candles, they were green. Depending on which green candle's high we use as entry, the minimal stop would be approx 65 to 75, plus some buffer, so I'll assume 100 pips stop this time, and see how this one goes.

 

As an additional side note: I notice the re-painting issue again here. I am not referring to just the yin-yang and the green dots. The channel lines, by its nature, continues to re-paint. I was tired last night, so I could be wrong, but I thought last night when I checked, the H1 and the H4 bottom channel line were moved much further down at one point, far away from the green bulls-eye anchor, meaning this morning's trade was not valid. But now, these 2 channels' bottom lines were definitely where the bulls-eyes anchor is, so making this now a valid trade.

 

It was either my mistake last night reading the chart, or the channels re-painting.

 

Edit: 16 February update: we are still in the long trade, but price has not really moved much during this period of time. Although our stop loss has never been threatened yet, price was at most 60 to 70 some pips profit at its max. So not even 1-1 risk-reward, our subjective target for moving stop to BE

 

17 February update: move stop to BE, as price at one time moved over 100 pips in profit from entry. Now a free trade, and see how this one goes

 

23 February update: at one point in time, it price retraced to within 18 to 20 pips of stopping out at breakeven. But then price returned to it upward move. So if your trade has not been stopped out, then it is still open.

Edited February 23, 2011 by joeytrader

[joeytrader]

25 February update on EURUSD H4:

 

Last long signal from 14 February, is now over 300 pips in profit. But there was a time when price came very close to breakeven (within 20 pips), so one could either still be in the trade, or already taken out by trailing stop if stop was placed over 20 pips in profit from breakeven.

 

There is also now a potential new Sell trade forming. Red yin-yang, 2 red dots (1HR, 4HR). But on the H4 chart, currently price is still well above the top channel line of the closest auto-drawn channels. So we now wait for a red candle to close below a major channel line, and also for price to break the low of such red candle.

 

But that will require either the channel line to redrawn upward to above the current price, or the current price to close below the channel line, or a mix of the two. I will still be following and reporting.

 

As an aside, there has not been a new Day 1 chart signal since 10 January. However, if the current price keeps going up, and go past the recent price high of 2 February and then start to retrace, there might just be a sell forming up too. We'll see. But it is so slow, it is like watching for the wall paint to dry and peel. ( I am still mostly a intra-day trader on the M15, M5 timeframe, so this is taking faaar more patience than I usually possess, hah)

 

Update 1 Mar: there was a valid short signal either on 25, or on 28 Feb. But then price shot back upward, for over 130 pips, past the previous location of red bulls-eye. So I would assume this sell signal was a loser.

Edited March 1, 2011 by joeytrader

[FXX]

The link with the system is not valid anymore.

Could anyone please re-upload ?

And is anyone still using this system ? or is it a waste of time ?

[FXX]

The link with the system is not valid anymore.

Could anyone please re-upload ?

And is anyone still using this system ? or is it a waste of time ?

 

is there anybody alive using this ?