Traderbeauty Method for the ES.

[mastertrader7]

Ok its a successful trade.went with 4 cars for a long with the trend.

Took nice 10 points out of the market.

 

http://i.imgur.com/RbF3fdE.jpg

[Traderbeauty]

great job mastertrader

[mastertrader7]

Thanks TB.

The big question now is if we will see a large correction down from this 78%?

[Traderbeauty]

we definitely will.

if you look at the daily ( or 1440 min ) with volume you can see that todays move had a much lower volume compared to the last few days so i expect a move at least down to 1943 where i am going to exit some of my shorts .

i think we will go down much more- time will tell.( i am keeping some shorts for 1770 ).

the classic way i assume the market will go is down to 1943 then back up - break the top of 1980 by few points only- creating a huge divergence and luring all the breakout guys in following a huge move down.

[FXWallabie]

Hi, Traderbeauty;

 

I have some questions.

 

Do you have, a backtesting of your trading system with Renko?? or with others systems?

What box size do you use? and why?

What commision and spread bid/ask do you have with your broker?

 

Many Thanks for share your systems

Edited October 5, 2015 by FXWallabie

[mastertrader7]

we definitely will.

if you look at the daily ( or 1440 min ) with volume you can see that todays move had a much lower volume compared to the last few days so i expect a move at least down to 1943 where i am going to exit some of my shorts .

i think we will go down much more- time will tell.( i am keeping some shorts for 1770 ).

the classic way i assume the market will go is down to 1943 then back up - break the top of 1980 by few points only- creating a huge divergence and luring all the breakout guys in following a huge move down.

 

What indicator do you use to mesure divergence?Can you please post a screenshot with example?

[amruta]

Hi Traderbeauty,

 

Can you explain how you derive 1943 level because in 1440 min chart, the last downtrend is from 2011.75 to 1861 and today market made a high of 1980 which is 1 point above the 78 level i.e. 1979. The next lower level is 61.8% @1954 and 50% @1936.25.

 

 

Thanks

Amruta

[Traderbeauty]

Answers to all- please don't be shy and ask away- i dont mind at all.

FX- not sure what you mean backtesting- the only backtesting i keep is my bank account - its the most important one- once it goes to zero you are out of the game so this is serious.I dont use boxes and i only trade the ES -the reason is because its being traded by many so it follows fib rules almost all the times ( unless volatility is huge ), due to that i only trade through globex and the spread is one tick, i pay 2.02 $ per side commission.

 

MasterT- i dont use indicators to measure divergence- as i said before you will get killed if not today then tomorrow or next day- it does not work when the move is strong.once there is no fib extension I KNOW that the trend is sick and i wait for reversal- i will not enter unless i see a lower time frame confirming.

The less indicators you use the better your trading will be.Trust IN YOURSELF and dont relay on indicators that follow the history (unless you use leading indicators like volume and price).

 

Armute- very good i am impressed and salute you.

We need to watch the current leg not the old ones- but... we need to look at the history and be smart about that.

I was shorting as the market went up at the 1.2 1.6 and 1.9 - true- it went against me but i dont really care- i got enough profits to protect me and i am not exiting my positions-

now- look where we got the reaction--- not at the 1.2 or 1.6 or 1.9 we got it right at the 78 of the entire leg down look top two arrows.

now- i can be smug and vain and say that i am not going to exit before the 1.272 which is somewhere way down bellow- experience will tech you to be humble and thank any profit you get with a huge thanks.

so i am going to exit my 73 and 56 at 43 which will give me a nice profit- will lower my risk and i still have few more shorts. if the market goes down i will be happy- if it goes up i will be happier because i can go back with much higher levels.

you can see where my 38 fib is- lower arrow and thats where i got my 43.

take care

jane

http://i.imgur.com/pwMFsY1.jpg

[mastertrader7]

Shorted with 2 cars,lets see what will happen... :)

 

 

http://i.imgur.com/U8AyTjG.jpg

[FXWallabie]

Traderbeauty:

With box size in Renko chart, I mean if you take 0.50 point or 1.00 point, or 2.00 points, etc...for build blocks in Renko. This is very important for the result of your trading.

Also, in addition to Fibs, I recommend that you work with trend indicators, like MACD for confirm the reverse of the trend, and filter trades.

[Traderbeauty]

Traderbeauty:

With box size in Renko chart, I mean if you take 0.50 point or 1.00 point, or 2.00 points, etc...for build blocks in Renko. This is very important for the result of your trading.

Also, in addition to Fibs, I recommend that you work with trend indicators, like MACD for confirm the reverse of the trend, and filter trades.

 

i derive my targets using fibs- i look where the reaction is and this way i know where to exit.

for example- i shorted at 1974 and my first target is 1944 for 30 points- so using renko is a waste of time.

i dont use any lagging indicators specifically not macd , stochastic or momentum, they will all drive you to bankruptcy- but thanks for the input.

[mastertrader7]

i derive my targets using fibs- i look where the reaction is and this way i know where to exit.

for example- i shorted at 1974 and my first target is 1944 for 30 points- so using renko is a waste of time.

i dont use any lagging indicators specifically not macd , stochastic or momentum, they will all drive you to bankruptcy- but thanks for the input.

 

TB when you say 'i look where the reaction is and this way i know where to exit.' what you exactly mean by that.

As always screenshots will help a lot.

Thanks.

[Traderbeauty]

do yourself a favor and read all my very old posts- they are priceless.

bottom line- for example- if the extension was 1.272 i will only long at 61 or 78 not before.

if i long at 38 i expect my target to be at 1.9 etc.

[FXWallabie]

Hi Traderbeauty:

 

In the #111 you says "I shorted at 1974", then where you put your stop loss??...because today the price is up to 2012.

[mastertrader7]

Hi Traderbeauty:

 

In the #111 you says "I shorted at 1974", then where you put your stop loss??...because today the price is up to 2012.

 

TB said many times she use no stops.

[mastertrader7]

One more idea that has been lingering in my thoughts is maybe to run a room where members only can watch my trades and entries live- in real time.

Obviously i will not be able to explain but definitely all my trades are LIMIT AHEAD of time with stops of 2-3 ticks max. ( ES ) while targets are 1-6 points.

 

Traderbeauty- Jane

 

TB in one of your old threads you made the above suggestion.

Is it still a standing offer? :)

[FXWallabie]

TB in one of your old threads you made the above suggestion.

Is it still a standing offer? :)

 

I don`t understand, if TB use fibs for targets of take profits (look #111), why says 1-6 points...The Fibs have higher targets, due to the nature of indicator; and y for this, for me it is not adecuate to set stop loss.

It is very important to consider the strength of the S&P500 index upward.

In my case, only trade the S&P500 in long, never in short position.

Edited October 9, 2015 by FXWallabie

[mastertrader7]

TB has two different accounts if i recall right.

In one she trades the smaller trades(with stops) & in the other

she trades larger swings without stops.

Maybe i'm wrong but thats what i remember. :)

[Traderbeauty]

mastertrader- you are absolutely right-

in my position account which i often take screenshots and show you- i dont have stops- yes- i shorted 74 , added 93 and this morning added 2014 NO STOPS

That is why i keep warning everyone to be very careful and not follow me unless they have more than enough buying power.

This is a good example when the market does not cooperate with me immediately and i am in the red- but again- it does not bother me- my worst case scenario is that the market will get to 2053 where i am going to add more shorts ( 2031 before ). usually the market gives me opportunities to go in and out and make points while still in positions- this time there were no retracements so i could only add more shorts.

my 2014 was a perfect entry- was the top of the day- i shorted 3 contracts and if anybody thinks its a story i can show the live- real- broker's report.

We have a huge divergence with the previous high of 2011.75 so my target is huge- i have patience and i am not getting out unless i have a really nice profit. i think i will exit the 2014 shorts at 1964 which will be 50 points.

but this is the meaning of swing trading.

 

in my other account i trade with much smaller targets and i use stops- i have a challenge - actually a huge challenge that was given to my by one of my friends here in II- i am trying to trade live with an account size of $2600 - yes- twenty six hundred - that is not a mistake- this is really tough because you cannot enter with multiple contracts so you have to be precise almost to the tick with your entry and small stops- no more than 3 ticks. i am almost there and i plan to go live monday. so wish me luck :).

 

as per trading room- not sure about that- maybe in the future- you have to understand that sometimes i trde for few hours and sometimes just for 30 minutes and leave so its hard to take the responsibility.

 

Take care

 

Traderbeauty-Jane

[FXWallabie]

Hi Traderbeauty:

 

Be careful, because recently the FED decided not to raise the interest rate, probabily until next year. For this, in these days the S&P500 is upward. I believe in the strength of the index upward. If the price breaks the barrier of 2025, then rise up to the next resistance 2052-2058, and next go up to 2100; else probabily go to next support between 1945-1950 points (60 min chart). I will wait that the Index descending to 1950, for buy.

Also, technically I can see in the daily chart that this situation is similar to period August - October of 2011, and the end result is up trend.

For this, I think that the short positions in this moment are very risky without stop loss.;)

[mtpf]

Hi Traderbeauty will you please clear your inbox?Thank you!

[⭐ aotegaoteg]

Hi Traderbeauty:

 

Be careful, because recently the FED decided not to raise the interest rate, probabily until next year. For this, in these days the S&P500 is upward. I believe in the strength of the index upward. If the price breaks the barrier of 2025, then rise up to the next resistance 2052-2058, and next go up to 2100; else probabily go to next support between 1945-1950 points (60 min chart). I will wait that the Index descending to 1950, for buy.

Also, technically I can see in the daily chart that this situation is similar to period August - October of 2011, and the end result is up trend.

For this, I think that the short positions in this moment are very risky without stop loss.;)

 

Hi FXWallabie,

 

Where are you getting your fundamental news from

can you share some links with us? cheers

[Traderbeauty]

Hi Traderbeauty will you please clear your inbox?Thank you!

 

just did- sorry about that

[mtpf]

Sent a msg to you,Thx for listening to my request Jane

[FXWallabie]

Hi aotegaoteg:

 

Search in the web this title "Federal Reserve Decides Not To Raise Interest Rates".

 

http://topics.nytimes.com/top/reference/timestopics/organizations/f/federal_reserve_system/index.html

 

Look in October 05, when says:

 

"Dollar's surge against foreign currencies, while not threatening American economy with recession, is hampering growth for foreseeable future; strong dollar, hurting exports but checking inflation, could cause Federal Reserve to postpone raising interest rates until 2016".