How to maximize profit potential?

Let’s talk about it.

Imagine going long and not having a clue how far the market might go.

You could utilize the perceived bias of Mr. Maroon residing above the Green River & put on some Pop Music.

How does getting in after two downside Pops sound? Optimal. The purple dotted bands? 10-pip displacements of the previous hour’s lows and highs.

Of course you could get in on a pullback as well, even on a flat consolidation after the first green pop.

As for optimal ride, you could do the following: make a trail stop EA, that adjusts the trail stop – based on the TakeProfit being at 11 – to the last hourly low minus 12 pips if that is higher than the opening price by 2.5 pips.

I intentionally let the Trail Stop come back lower if the downside volatility does not bring the stop back below the entry level: this way you can ride out smaller bows.

if (OrderType() == OP_BUY && OrderTakeProfit()==11)
if (OrderStopLoss()!=NormalizeDouble(iLow(symbol,60,1)-120*Point,6) && iLow(symbol,60,1)-120*Point>OrderOpenPrice()+25*Point)

OrderModify(OrderTicket(), OrderOpenPrice(), NormalizeDouble(iLow(symbol,60,1)-120*Point,6),

At the same time, the optimal exit would be a magenta Pop on the upside -> cropper utilizes the same TakeProfit code.

if (OrderType()==OP_BUY && OrderTakeProfit()==11 
if (Close[0]>hup && Close[0]>iMA(symbol,60,32,0,MODE_EMA, PRICE_MEDIAN,0)+380*Point && OrderProfit()+OrderSwap()+OrderCommission()>0
OrderClose( OrderTicket(), OrderLots(), MarketInfo(OrderSymbol(), MODE_BID), 5, Red 

This way you guarantee yourself some locked in gains after the position comes into money as well as the best possible exit when a magenta pop comes up with price being beyond the safety band of E-32.

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E16: exponential 16EMA (1 hour) HL2

E32: exponential 32EMA (1 hour) HL2

Crack Ho: 60-sample (3 delay, 3 smoothing) D hourly stochastic SMA (High & Low) or 120-sample (3 delay, 3 smoothing) D 30-min stochastic (High & Low)

Mr Maroon: exponential 67EMA (1 hour) Highs and exponential 67EMA (1 hour) Lows

Green River: exponential 207EMA (1 hour) Highs and exponential 207EMA (1 hour) Lows

Promoted direction: Mr Maroon above the Green River = Long; Mr Maroon below the Green River = Short

Upper Safety: 28 pips above E-32

Lower Safety: 28 pips below E-32

Upper Grand Exit / Upper Overdrive: 87 pips above E-32

Lower Grand Exit / Lower Overdrive: 87 pips below E-32

Upper Minor Exit: 47 pips above E-16

Lower Minor Exit: 47 pips below E-16

Long Pullback: E67>E207, Crack Ho above 50, price drops below the E-32 by 15 pips and makes a higher 30-minute low after having been above it for most of 5 consecutive hours (Target: Upper Safety)

Short Pullback: E67<E207, Crack Ho below 50, price gets above the E-32 by 15 pips and makes a 30-minute lower high after having been below it for most of 5 consecutive hours (Target: Lower Safety)

Long Correction: E67>E207, Crack Ho above 56 or above 90 within 3 hours, price drops below the E-32 by 15 pips and makes a higher 30-minute low after having been above it for most of 5 consecutive hours (Target: Crack Ho Divergence)

Short Correction: E67<E207, Crack Ho below 44 or below 10 within 3 hours, price gets above the E-32 by 15 pips and makes a lower 30-minute high after having been below it for most of 5 consecutive hours (Target: Crack Ho Divergence)

Deep Long Correction: E67>E207, price drops below the E-32 by 24 pips and makes a higher 30-minute low after having been above it for most of 5 consecutive hours (Target: 90+ on Crack Ho)

Deep Short Correction: E67<E207, price gets above the E-32 by 24 pips and makes a lower 30-minute high after having been below it for most of 5 consecutive hours (Target: 10- on Crack Ho)

Extra Deep Long Correction: E67>E207, price drops below the E-32 by 35 pips and makes a higher 30-minute low after having been above it for most of 5 consecutive hours (Golden entry to go long)

Extra Deep Short Correction: E67<E207, price gets above the E-32 by 35 pips and makes a lower 30-minute high after having been below it for most of 5 consecutive hours (Golden entry to go short)

T1 is always beyond E-32 for a fade

T2 is always the safety line

T3 could be a projected distance value

Upper Hedge condition: E67<E207, a pull back below E-16 after having spent 15 hours above it; 14+ pips beyond the printed swing high, not totally exhausted 30-min energy. (Target: Upper Grand Exit)

Lower Hedge condition: E67<E207, a pull back above E-16 after having spent 15 hours below it; 14+ pips beyond the printed swing low, not totally exhausted 30-min energy. (Target: Upper Grand Exit)

Just a chirstmas backtest update for Mr. Fader’s Laser Bird.

The first visible conclusion is that the rise of the Wolfram thread has exceeded the expected trajectory a bit.

The second conclusion – which might come as a surprise – is that Darth Fader does not favor any side, he is fair and balanced between the dark side and the other one.

There is no 3rd conclusion. Happy Holidays!

bool incline = (E16[6]>E16[10] && E16[10]>E16[20]);
bool decline = (E16[6]<E16[10] && E16[10]<E16[20]);

// Buys
if (longsz>0 && incline && Low[0]<e16d[0] && Low[2]>e16d[2] && Low[1]>e16d[1] && iClose(symbol,15,1)<e16d[0] && iClose(symbol,15,2)>e16d[0]
&& iMA(NULL,60,67,0,MODE_EMA, PRICE_LOW,0)>iMA(NULL,60,207,0,MODE_EMA, PRICE_HIGH,0)
&& iHigh(symbol,1440,0)<iHigh(symbol,1440,iHighest(symbol,1440,MODE_HIGH,23,1))


// Sells
if (shortsz>0 && decline && High[0]>e16u[0] && High[1]<e16u[1] && High[2]<e16u[2] && iClose(symbol,15,1)>e16u[0] && iClose(symbol,15,2)<e16u[0]
&& iMA(NULL,60,67,0,MODE_EMA, PRICE_HIGH,0)<iMA(NULL,60,207,0,MODE_EMA, PRICE_LOW,0))

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After plugging the sword into an 800V architecture, the Emperor’s naked hedge produced enough money for new clothes.

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Plus a little anecdote, that does not really work in writing:

– Why did you name your company Spring-board?

– ‘Casuse it was Spring, and I was bored.

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My own Devil Dog.

To overcome this, I need to gain a deeper understanding of the exits and the prompting conditions as well.

On Monday, there were 3 long entries. Since I am short at all times, these longs would had been risk free, so by the way of “getting stuck with longs due to a black swan” I passed on these entries. Knowing the exits I missed out on a potential 1k on the first entry which was a buy below the E-16 stretch, and an easy 3K on the at market buy at the E-32 stretch (aka) overdrive line. The fact that the upper E-16 channel line was neutral (in blue) and the bottom one green (promoted side)

There was a 3rd entry, the cyan box on the hourly RSI2, which I did take, but not being conscious of the exit, I got out prematurely – overall this did contribute to the daily gain of $176.70 at least a third.

This trade I call the numbers trade, and they are good till a red number prints (I even have modified the stop loss EA to have a cropper at the red numbers). There was an 82+ print which would had been the perfect entry, so all I had to do was put 0.99 “Numbers Target Code” for the stop loss of the longs and the exit would had been automatic.

The hedge trade that I did not take on Tuesday was a Shape / Continuation / Maroon Fake Out trade for a higher high. 1K not banked this time.

Wednesday’s not taken trade was the E-16 stretch again, although the exit is more like E16+ “stop loss code 0.5” (instead of E-32+ “stop loss code 0.6”) by now for the configuration is not as bullish with Mr. Maroon dipping below the upper guard rail. The promoted green color is tied to Mr. Maroon being above the Green River -> looking like it is about to change.

$800 was missed out on. These figures were calculated with 1:1 hedging, with overhedging could had been 1.2-2x that.

My God Awesome V1.7 indicator had different terminal wave and ending move plots in black and purple, and I probably should start using these plots again for extra confidence.

This last image shows Mr. Maroon dipping inside the Guard Rails (Chartreuse) and preparing to cross over the Green River.

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(From the Hunting Highs & Hugs series)

In continuation to the prior articles discussing the revisited Blow off top of Wave 3 and the 3-day mean reversion, we’re hunting the highs and the lows.

From the Root on what were the identifiers of bottoms?

All of the lows went through Mr. Maroon and did not have multiple closes there plus the Crack Ho made a scare on / spanked on the 50 line.

If these were the events to get in, what were the ones to get out at?

Wave 1 up being a measuring move, ran a Cooper test till a Crack Ho Stopper read of 94

After that you had the Wave 2 pullback to the other side of Mr. Maroon as it goes.

Wave 3 ended up in a reversal divergence between the Beat and the Thrust.

As for having the end point at hand before hand, the projected distance level was tagged (1.2210) before the correction down to the Green River for a Wave 4.

As a minor detail, the up thrust prior the Mean Reversion was the qualifying move that generated this target, so it was present even before wave 1 of Wave 5 started.

wave 4 of Wave 5 was about working up volatility – you can see clearly below how price first tagged the upper end of the E-16 channel (star 1) before it got the other slam from the other side (star 2). This was a superball bounce to stick with the sports theme.

Now, what about this wave 5 of Wave 5 up then?

There was a qualifying move up that set the projected distance. What is really missing currently is a Thrust after some pullback.

Price has been having serious issues with maintaining 3x fluctuation maximum distance from the mean, and you would need an up candle with 1/3 close down with 4 pips+ wick and good body length for a go crazy short signal, so the wait is on for LEMA30NSX to pick up something just right.

A higher high is very likely, and there is less than 12 hours left to make that thrust. I would look to buy below the E-16 and 40 pips below the current high – puts you in the low 30s.

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Here’s a little trick for finding a buyable low in an uptrend:

One more benefit of my 15-minute charts: they can predict tops>

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30 min and I used to be dating a lot in the past, so it is a candid reunion now that I found some fitting OrangeRed jewellery for her.

First grasp the concept of a buy/sell signal, the presence of a moratorium field and the dynamics of relapse / progression.

No, this won’t work well on the hourly.

Now do some practice on the following snapshots & appreciate the beauty.

Good, you have just realized that you need some inaction to process the action, meaning back to back candle prints trump each other.

More like this then:

After adjusting your clock watch to every 30 minutes, there is now also a time delay placed in your head: certainty comes 31 minutes after an orange wick, but the LEMA30 NSX can help you overcome this window by providing with the right moving averages and the fluctuation maximum grid.

Your last exercise for the day:

Homework is to finish the code:

 if (Close[i]>Open[i] && High[i]-Close[i]>(High[i]-Low[i])/3.7 && (High[i]-Close[i])>38*Point) {yellow[i]=High[i]; orange[i]=Close[i]; yellow2[i]=High[i]+90*Point; orange2[i]=High[i]+100*Point;}

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What happens after the Crack Ho hits below 9.4?

There are 4 different outcomes.

The least likely is a continued selling (blow off move below 2) without a qualifying pull back – a desperate move & somewhat counter productive if you are a bear, for it triggers a 3-point reversal.

The most likely event is a conter-weight move especially if you are at the overbought end of the spectrum: a Cooper test run that ends when the Crack No hits 94.

The second most likely event is a correction: this looks like a plateau-break, plateau-fade event on the 12-sample bracket.

The fourth, still possible event is a pullback to the E-16, yet not much further than the E-32 before a new lower low print.

The Crack Ho hit above 94. Your turn.

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The hint: averaging $33 a day starting on an account balance of $1,435 (on the 30th of July), 2020 is a 2.3% gain daily. If I keep this up, that would mean 575% yearly. My goal is to reach 1000% gains by “my fiscal year’s end”.

Let me ask you something, how often do you think the EUR/USD gets away from its speed line by more than 47 pips?

I’d say not very often, and it is even more rare that it does so with freshly consolidated overbought / oversold.

Can we agree, that these entries are perfect for a discharge on the speed line?

I may just have found the best scalping idea that could even be automated. It is semi automatic as it is, I enter the trade with the right stop loss code and my Trail Stop routine relentlessly starts adjusting the target 2-pips beyond the current E-16 HL2 value (0.5 for longs, 5 for shorts).

No, those below did not occur with a fresh overbought, this was a re-entry.

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Now, quick remarks about the mean reversion. The idea is always the same, only the MA changes.

I did get 1 like for it, nothing to complain about. The fact that the low was 1.2078 was just a lucky coincidence with the 3-day ATR measured from the consolidation level.

Today’s new invention the wick highlights (see above) brought no appreciation although I was even considering to elaborate on how I foresaw the mean reversion playing out.

This was exactly what I had in mind. A normal mean reversion has 2-3 days to play out. The move from the dashed line (4x stretch from the mean) to the grass green (1x stretch from the mean) was 3x fluctuation maximum. You can figure the rest.

People cannot appreciate a good thing even if it is in front of their nose. Excuse my frustration.

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– in continuation to the Driven Thrusts articles

I’ve been calling the W a gear shift, but really what I meant with the actual location was pressing the clutch.

All of the subsequent conditions require the market having seen a “T” or thrust in the last 3 to 4 hours.

Exhibit A

A drive is RSI overbought / oversold for more than 2 hours and has reached velocity (separated well enough from the core MAs).

Let’s see how that one played out:

Exhibit B

The opposite side is the latest addition. The text plots change based on being in the comfort overbought or not. Here the bulls have the upper hand, so no 40 pips slack, merely E-16 in play.

Exhibit C

The total pullback on the first W was 53 pips, so that would mean 13 pips draw down on the 40-pip entry and 20-pips draw down on the E-16 entry. Could you have added more? Certainly, while W-s keep popping up it is safe to buy the pullback, all the way until…

Exhibit D

…until a serious Thrust in technicolor: this time it is different.

As you know the Wave 3 – Wave 5 beat projection was trumped by the freshly printed new, ND (No Drive root).

Exhibit E

Things are running red hot. There were 2 discharges above the Overdrive line. Can you be still trusting the clutch?

Yes we can! No change!

( I have changed the color to RedOrange since, Crimson on Crimson wasn’t the best color combination.)

Exhibit F

One more time a Clutch press and a 43-pips pullback for a higher high after a blow off top? Retest, yes. All in order. Currently the market is tempering with the No Drive’s break level. What a tease!

A Mangled buy (meaning a continuation sell) would require a move back up to E-16.

W is a new 12-sample high without follow through with a thrust bar 3 or 4 samples earlier.

if (i>0 && High[i]>(iHigh(symbol,0,iHighest(symbol,0, MODE_HIGH,12,i+1))) && High[i-1] iMA(symbol,0,67,0,MODE_EMA, PRICE_LOW,i)-120*Point){
           if (tup[i+3] || tup[i+4]){

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Credits:

You submitted the following image for a long entry:

The 4-hour bar was picked correctly, but what is important here is the horizontal level, the blue diamonds representing the overbought. The high charge and the 8EMA alignment are important, but crossing back above the overbought neckline is the confirmation / trigger. Below that you are jumping the gun.

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To show how the No Drive root results in 5D+T from recent history this was the right image, well done!

As a remark, just as No Drive has a 15/20 pips moratorium depending on comfort overbought/oversold or not, the Thrust also has this feature (20/36 pips – the blow off would prosuce that), and can happen multiple times with some offset before the settlement is final. The actual top came in at 1.21749 cca 36 pips above the 2nd thrust – no surprise.

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Now, let’s talk about why 94 won’t be like 94.

RSI2 Zero+ comes with these plots that are based on the Crack Ho (60,3,3) STOCH D.

The first guest appearance of 94 resulted in a gear shift and an ABC move down (shown by the dots on the 12-sample bracket).

This was a correction – to warm up to the subject. The following image is to show that when you get back to back 94 readings, every second one would result in a pullback that normally ends between the E16 in blue and the E32 in yellow, but does not exceed them by much. Find the pullback between the 2 corrections!

The next sequence accordingly should be: pull back, correction, pull back.

But what happens when the next 94 won’t be 94, but a 98? No correction for one, and a blow off top with a divergence back down to 94.

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I swear I am not a Star Wars geek, I just got lost in the rabbit hole of figuring a funny name for a trafing firm: Darth Fader Corp would be basing its trading on a Fade in the Starts and beyond and could have a company logo of a stylized tie fighter.

…

found this 30+ years old drawing… so maybe I was.