trader273

Actually doing this is the main reason that anyone that has ever doing back testing via script, finds that they fail miserable. Since candle patterns are more of an art form than science, trying to code them will be a daunting task. Here's and example: Script Rules for a Hammer: 1) Upper Shadow no more than 1 tick 2) Lower shadow at least 2* the real body 3) Real body no greater than the previous 3 candles. Seems easy and logical enough. So you run your test and see that it fails miserable. Then you dive a little deeper and see that the program "missed" some patterns. Some of these hammers might of had an upper shadow of 2 ticks, or a lower shadow of 1.89 of the real body. But since you put this constraints on, your program couldn't find them. These strict rules, and trying to find a program that can find them, is the lazy mans way of trading. One needs to spend hundreds upon hundreds of hours of screen time to be able to use candles effectively. Having a program point some out here and there, while might help a little, will do little in the long run. You will spend more time tinkering with the code then studying what you should be. Believe me, I know! I tried to do this. I do not get why people do not understand that the shape of the candle, while important, is not the end all and be all. The overall technical picture is what is important. If price comes down to what you have defined as a support level, and there is a hammer or a spinning top, one should think about going long. There is no need to put these constraints on. What should be defined rigorously is your support/resistance levels or whatever a trader is using on conjunction with candles. The key word is conjunction. Candles are not a trading system. Candles were never meant to be used as a part of some black-box or gray box system. They are a tool of the discretionary trader. One must come to realize that. To be able to program candles and do it effectively and profitably is a pipe dream. If you want to use candles, get in front of the screen and study. And when you think you got it, study some more.

Actually this one of their main selling points. I dont know of many programs that can read eld's but MC can do it for sure.

I think you should also show what time frame your charts are showing. A hammer on a one minute chart is not usually as strong as a hammer on a 10 or 15 min chart.

Do you have, what I call, a catastrophe stop? Oil is a very volatile contract. I think it was up almost $5 yesterday, same thing can happen on the downside too.

Also what is interesting is how Natural Gas, Heating Oil, and Crude Oil all produced similar candle patterns. I do not want to say exact since I did not run exact numbers, so I do not know if the upper shadow on one market was 1 tick higher than what is allowed. But IMHO, they all produced the same formation. However, it is interesting that only crude made it back to support. Since crude is the market we are trading in, I think it is ok that heating oil and nat gas didn't make it back to support. Since these other markets produced similar candle formations, it reinforces the crude oil trade. This is very simple analysis. No need for other stuff clogging up your screen. However, people confuse simple with easy. Not easy at all. It is hard to believe that simple analysis can work and is very powerful. I think that is why people come up with all these crazy ways of seeing the market. Chart:

James, What is your exit strategy on this trade? Are you looking for the highs, new highs? I saw that you think oil is going to $125, are you just waiting for that?

James, I see those more as minor support/resistance. It looks like on the daily chart that price just kind of went back and forth around those levels. The levels I show on my chart are taken from the weekly chart. I think it is easier to see the SR levels on a higher time frame. But that doesnt mean to ignore the minor SR levels. Depending on how long you are looking to hold a position those minor levels could be very important.

Here's my take on the Dow:

James, Nice analysis, at least IMHO. Here's my take:

Hey Lance err.. I mean Ronin ( sorry I dont know where that came from, that was weird!) I wont be posting in your awesome journal for a while because I will be taking a vacation. I'm looking into somewhere in Florida. Do you know any places in Florida that would be good?? I have a friend who lives there, so maybe I'll just stay with him. I can't remember exactly where he lives though, I think it is somewhere near Palm Beach. But I digress. Keep up the great work here. Feel free to post a blotter every now and then. Here's mine for today:

Congrats Ronin!!! Here ya go...

Apparently not to busy to post in other threads on how great you are. Let's see how much money you made on that trade that was guaranteed . My guess is that you wont produce any proof. So the question has to be asked; why did you start this journal? All it is is "Trades" that occur hours after the fact. Maybe it makes you feel good or something.

So you say you sold at 4:00pm yesterday, but only mention it at 9:14am this morning because it worked, interesting idea. Try posting in real-time or at least your blotter. Here I'll show mine for today. Takes two seconds to take a screen shot and put it up on the board. So saying it takes too long is such bullshit. Give it a try, it wont hurt!

I'm a little confused here: On 1-24-08 you posted: Yet we continuously see : It only happens on the ones that move a lot though. The ones that move 1-3 points you manage to get those points too. Just does not add up.

First time I have ever heard a trader say this. Oh by the way, here is a trade I put on earlier: Long ES:33.00 Out: 76.25 Stop: 32.75 (whew that was close but not hit) Profit: 43.50 pts!!!!:cheers:

It uses easy language as its programming language. I have never had a problem, but there maybe some things that TS offers that MC doesnt but nothing too extreme. I believe they have a free trial, give it a try to see if everything works, if not no big deal.

Take a look at Multi-charts. It is basically a TS clone only you can choose what data provider instead of being stuck with what TS gives you.

Easy to call something after it is up 2.25pts. Post your blotter where you actually bought that price. And what about a stop and price objective?? Guess just worry about those little details later.

What about SOLICITED NEGATIVE HARASSMENT?? Would that be ok?? Once again, I am just trying to have an open discussion on a public forum.

Does making everything in bold more official??? I think it does also. I am going to throw in some italics as well!!! I just want to contribute. Long: 1338.25 --filled at 12:45 Stop: 1 tick (not hit-who says you need more than a one tick stop??) Out: 1357.25 (14:45) +19pts on that trade:applaud::applaud::applaud: The R-dog and me taking over the world!! We are on fire!!! 1 tick stops, 20 pts objectives is where its at!!! This Journal is the BEST EVER!!! Guaranteed!!

Post your statements. If you do that and it shows what you have here I, and everyone here will declare you the king of trading. I do not have anything to prove since I'm not boasting in a PUBLIC forum how good I am, you are. I highly doubt you will post anything. So c'mon post your statements, since you yourself said bullshit walks and money talks. So you have the bullshit down, now prove you are making the money you claim. Also, about the profile. You have a quote in yours and that is it. I can put a quote in mine if that will make you feel better. Oh, and try posting stops and profit targets when you place the trade. It is funny how a trade moves +5 you get the +5, but when it goes +30 you get +30, and the best part is the stop outs are 1-2 ticks. However, everything is done in hindsight, not in real time. Real easy to trade in hindsight. See I'll show you. Long: 1335.75 (filled 10:25) Out: 1352 (filled 11:50) Profit: 16.25 pts or $812.5/contract :applaud::applaud::applaud::applaud::applaud: Dont worry about the stop since it was not hit. Oh, I'm not going to stop posting in this forum. If you dont want people in your journal then use Word and keep it to yourself. Otherwise I'll see you around :thumbs up:

I left for a while because the board was turning into nothing but vendors and people going back and forth. Seems to be better now. I've actually been a member longer than you, but that is neither here nor there. But why are you getting so defensive:question: Since you took such a defensive stance it is pretty obvious that no real money is being made here. Does not take away from your calls though. It also seems that you do not like to put stops on your trade, unless it doesn't work out in your favor then it was a two or three tick stop. Just an observation. To add major credibility to what you are doing here just post your blotter and/or positions and this would be the best journal out there.

Haven't posted in a while, but is this done in a real money account?

OK, done with this thread. There is more than enough information here if you want to use, if not go buy some BS vendor like TZ.

OK, done with this thread. There is more than enough information here if you want to use, if not go buy some BS vendor like TZ.