Chart Setting for FTSE Daily Rolling charts

[broxieman]

As I'm reading through these good comments, I keep coming back to the question of "whipsaw". Using the MACD histograms, I have seen the whipsaw impact at first hand - not too often certainly, but often enough to be blown out of enough trades. Clearly the MACDs are momentum indicators and are laggers. So, what do I use to get a better feel for "solid" momentum as opposed to momentum susceptible to whipsaw....? For example are the Stochastic lines more ahead of the curve so to speak...?
If on the other hand, there are no "crystal ball" signals, then does it solely rely on the percentage game i.e. as long as one has the signals near-enough correct (e.g. a colour cross-over) then take the trade, but expect some to whipsaw and some to work out OK. The more of the latter raises the trader's overall performance but one has to "hope" that the gainers outdo the losers overall.......is that about it..............?

 

[Black Swan]

From Black Swan


I'd welcome your suggestions on the Settings of the above Stoch, RSI etc.

To be frank I'm not going to do this for you as its far too subjective/personal to your trading style and depends on the sector/indice/currency pair/s you trade, notwithstanding the fact that MAs and EMAs have to also be taken into consideration, not forgetting S&R...

Suggest you visit babypips, or forex strategies revealed to get a simple strategy for forex and bin only trading the FTSE100 index (for now).

PS you're very evasive, if not ignorant, on the price you paid for your original strategy...

 

[broxieman]

A couple of hundred quid.

 

[broxieman]

I didn't think it was that necessary a question but there you are.
Now talking about evasive...........at least tell me which indicators you use on the FTSE 100 Daily Rolling........if you provide actual settings then fine, but help me understand which indicators, over and above MACD (12-26-5 for example), you would suggest.

 

[Splitlink]

Believe me, there are no crystal ball systems but there are some that work more times out of ten than others. That means some researching on your part because you can only get leads and ideas from others, you have to work the details out for yourself. That is what will make you different from the rest of us.

My opinion, which could be wrong and is, certainly, different from many other posters, is that you should look for pricebar patterns that occur repeatedly and use them in conjunction with averages, then go back a few months and see how often that pattern crops up and what happens afterwards.

You will find that if you put indicators underneath the chart that they will not work under certain market conditions, luring the trader into unprofitable trades. Finally, sooner or later, you will get fed up with them and toss them out. Even divergences do not spot the turn, always.

Split