Big Ben on the FTSE100

I've got both longs and shorts set but 0800-0900 price action gives no clues to me as to likely exit direction from range. It's a wide range too and price at 9 was very much stranded between the H and L, so I would not be surprised if today was a late entry and only partial follow-through from there, not reaching target.

If order not triggered by lunchtime-ish (spicy garlic chicken with boiled rice) I will pull them.
 
tomorton - think you'll have hit a winner today! Just curious - have you ever considered a split in stop and limit - you're using 13/13 right? what about 9/13 or 10/15?
 
A winner today again, hurray! Spent lunch poring over WhatCar? magazine and kept drifting into the luxury estates section......

doylen, yes, could be a good tactic to restore the r:r to better than 1.00. Of course, this draws the stop nearer entry so places it more at risk of being struck: opushing the target outwards reduces the likelihood of it being struck. But there has to be a balanced tactic. Needs some testing but such a good idea now definitely on my to-do list - maybe someone could do some research in meantime?
 
I calculated the range as 39 point this morning so stayed clear as it was greater than the avg range * 1.25. Would have been a winner though.

With regards to pushing out the target, I have been tracking 4 targets at 11, 18, 25 and 40 (these seemed to return optimal figure when I backtested). Currently the 25 target has shown the best results (just) although the win/loss ratio is under 50% at 43.5%.

Dax was also good this morning, I have started tracking the 2hr ORB (tried the 1hr for a few weeks but volatility on the FTSE open stopped it out too much).
 
Picked up a nice winner at 5992 (my formula actually wanted my limit at 6006 but I chickened out on the 6000 level) so settled for 5992.
 
Well done pb - your research should be very illuminating in optimising the BB set-up, please keep it going.

Re the DAX - Why not indeed use BB on the DAX? I am sure any market with an overnight closure or at least massive increase in volume at the start of th ebusiness day should be susceptible to ORB strategies. Mark Fisher certainly seems to have showed this, even trading commodities.
 
I was away from the pc this morning so didn't put a trade on - if I had it would have been long at 6004 stop at 5990.1 and limit at 6023.3 which would have been a loser -13.9pts
 
Got 5 out of 5 this week, possibly my best ever BB week, certainly best ever financially .

Wider round-up tomorrow, all being well.
 
Confirming this was the first week the system (in its various incarnations since last August) has scored a perfect 5-0: it has only once hit as good a result as 4-0 (September 2010).

4-week score is is 13-4, giving a comfortable 2 trade advantage per week on average. This week's performance takes the win rate over 40 weeks up to over 65%.

Very happy here.
 
Well done - do you have any ideas for further modifications of the system?

and

When are you handing in your notice at the day job?
 
No further mods planned yet, though the most enticing prospect would be to increase the target pips and reduce the stop, as discussed this week.

I will seriously consider leaving the day job if BB income gets to be 2 x salary and this is looking likely for 2011, plus I also wish to have demonstrated that drawdown is unlikely to be excessive. So far, drawdown over rolling 4-week periods has occurred 3 times in the last 40 weeks. The only negative calendar month has been February: if I had not timidly reduced the size of my positions after early losses that month, I would have re-couped these in the second fortnight and come out positive.
 
Well that sounds fantastic - a bit of me can't help thinking that it can't be this easy - surely there's a fly in the ointment somewhere.

But they do say the best trading ideas are the simplest.
 
Hi all, thought i'd introduce myself.
I have read (most of) this thread because it correlated loosely with something i was doing so i added a couple of columns to my spreadsheet and collected some extra data as i was going along on the backtesting and data collection that i was doing.
I know someone here experimented with currencies earlier in the thread - is anyone still trading them using this method or something similar. I'm curious because i have some interesting data but i can only go back 3 months and would love to have more strenuous backtesting particularly on eurusd. I need someone to give me a dose of reality...the system is too simple, the ratio is too poor and the results are too good. Makes no sense...
If anyone has the means to backdate further, it might be worthwhile for us all?
 
My short stopped out too today.

Hi splashy - I did try this method with currencies alongside the FTSE100 index last autumn and it worked fairly well, just not quite as well as the FTSE over my trial period. Of course, over a longer period it might out-perform so this is an area that has to be worth keeping an eye on. There is no reason why BB should not work on currencies that reflect a dramatic increase in trading over the early morning period - the system was first developed to trade currencies not indices.
 
Todays trade - Short @ 5838.8 : Stop @ 5849.7 : Limit @ 5821

Govt borrowing figures about to be announced and I guess that could move things in unexpected directions.
 
Well observed Bartlby: I am stopped out again. I suppose going 2-0 down this week is merely the law of averages asserting itself after I went 5-0 up last week.

Still, it's an interesting process that new traders might observe - if you open your first ever trade on Day 1, what will you do on D2 if it is stopped out? Then you go 2-0 down on D2 so what do you do on D3? And 3-0 down on D3, so what do you do on D4? etc.

I well remember my early years of trading when I never firmly worked out setting a target on an individual trade, and certainly did not consider macro-management of my trading 'job' after a series of trades.

By the way, if I do hit 4 consecutive losers this week, I shall still trade on Friday, as long as no no-trade signal given.
 
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