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Mysticforex

Traders Laboratory Forex Trading Contest!

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  Mysticforex said:
To all. Please feel free t post any reasons, descriptions of the trades you have taken. It's not mandatory but I am sure a lot of people would find it interesting.
Hi Chris and all.

 

The style of trading I do is Multi-Time-Frame using just one indicator.

 

The strategy has been around since before the Dead Sea was even sick.

 

The only variation I apply is, I use different Parameters for the indicator, for particular TF.

 

For Monthly/Weekly/Daily/4H I use the same parameters.

For 1H I use another parameter.

For 15M I use another parameter.

 

None of the parameters are standard Welles Wilder settings, but anyone could get good results if they did use those. My settings just get me in at slightly improved levels, with a slightly higher risk for that benefit.

 

The idea is to look for contrary moves to the main trend as indicated by the higher TF. When the contrarian move ends, you "should" have a higher probability of being in a trade that is trending well.

 

There are the usual problems - whipsaws, and then getting caught in a true trend reversal, as we have seen this week. My contest numbers will look shocking this week, because I have been focused on my own trading with the time I have available.

 

However, I took the same trades live, and closed them in profit. I do not use % of bank for staking calculations - each trade bears no relationship to another. My position sizing is done according to my psychological risk profile, which I have determined is around $500. Further, I don't bother too much with reward:risk calcs - I work out where I can see support and resistance, and whether these are "round figures" and likely to be more solid/stubborn than a mid-range sup/res level.

 

In effect, the style is tailor-made for me, by me, but is far from original. The discretionary part is simply judgement based on experience and a tad of intuition, mixed up with a sprinkling of economic data releases, and baked for 2 to three days, in a moderately trending market.

 

Hopefully we get a product that is sweet to the senses at the end of the trade!

 

I don't think further disclosure is going to assist anyone, but I traded the AUDJPY and NZDUSD. Anyone interested can see the trends earlier in the week where I made profit in my live a/c.

 

They can also see where those trends reversed and ran hard against me. One position has been stopped out, but the other two are still open, and under pressure. The AUDJPY is looking better as I write, but is still knee-deep in trouble!

 

I usually execute the trades on the 1H or 15M ... but manage them on the 4H to daily level.

 

I do not really think sharing the indicator or settings is going to be helpful to anyone, but you could choose from any list of lagging indicators, and apply one to all TF and get your trade.

 

From a list of 9 currency pairs (plus Gold, Silver and Oil which I rarely trade) I get 2 or 3 decent trades a week. It is normal (and a bit frustrating) to get spells of 2 weeks + without a good trade appearing.

 

Below is a screen shot of the Daily section of the AUDJPY I traded.

I did not show the other TF - but the same principle can be applied to all TF until they are seen to be aligning, with one of the lower TF reversing ( contrary to trend) before resuming movement with the higher TF trend.

 

It is a beautiful and fun way to trade. The trade is either there or it isn't, and the probability of getting direction right, is pretty good.

 

Of course no money is made until the trade is closed, and this is another story, and one where I usually have to put away the sharp objects after the trade closes!

 

Hope that helps.

 

Ivan

AUDJPY_DAILY.PNG.236080e026a54d37e4f7ae84c59d8359.PNG

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  nicoacademia said:
me:crap:

 

ill b back for the next one with a better survival rate of less than 2 days.:rofl:

Hey Nicoacademia - rather than waste a month standing aside - why don't you start again - same account - but take no official part in the contest?

 

Your figures might not be displayed here, since you have officially tripped out. But at Mystic's discretion, he might agree to publish your numbers just for the exercise.

 

No harm asking the question, and the experience with the platform would be very useful for you mate.

 

Cheers

 

Ivan

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  nicoacademia said:
me:crap:

 

ill b back for the next one with a better survival rate of less than 2 days.:rofl:

 

Well nic,

Do not give up or start again.

You can still get out of jail..

I guess you must be scalping.

Tomorrow , change your chart to Daily.

Its a buy day for the euro.

Buy at 10 points below todays close and hold all day .

6 contracts. Profit 176 pips.

If this does not work,, open the right hand drawer of your bedside table in your hotel room and read Gideon.

Joking aside, I would be interested in other members views to get nic out of jail.

regards

bobc

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  bobcollett said:
Well nic,

Do not give up or start again.

You can still get out of jail..

I guess you must be scalping.

Tomorrow , change your chart to Daily.

Its a buy day for the euro.

Buy at 10 points below todays close and hold all day .

6 contracts. Profit 176 pips.

If this does not work,, open the right hand drawer of your bedside table in your hotel room and read Gideon.

Joking aside, I would be interested in other members views to get nic out of jail.

regards

bobc

 

 

Nic, are all your trades closed ? or do you have any open ?

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So Nico, who has the stones to play it in the open, is craps because of the lame-a$$ drawdown rule, while the phony coward "forextraderX", who demanded the flippin' rule in the first place doesn't even have the stones to register.

 

In real life, if you still have margin enough to trade, you're still in the game.

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  Mysticforex said:
Nic, are all your trades closed ? or do you have any open ?

 

hi mystic. umm. they open and close really quickly. actually i'm still trading the account. but just happy to trod along :) i dont' give up easily. haha. which is why i should have set a tighter stop before the a/c blew up. i was actually on the phone-line at work and when i looked back it blew right through.

 

it's ok to me i am still refining my strategy. and too hard too fast and too intense.

 

thanks for the kind words guys. :)

 

i'm fine just trodding along being the first eliminated(kinda like survivor!) haha.

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  Mysticforex said:
--------------------------------------------------------------------------------------------------------------------------------------

 

Dear In the Mystic moonlight

Is your result chart correct?

Does nic have 320% return?

regards

bobc

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  bobcollett said:
Dear In the Mystic moonlight

Is your result chart correct?

Does nic have 320% return?

regards

bobc

 

Yes it is correct. By not using some kind of DD rule the Contest has turned into exactly the kind of Rodeo I was hoping to avoid.

 

To me at least it doesn't make sense to expend anymore energy on it.

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Hi Nic,

320% return . Pretty cool.:)

I dont trade forex but with these sort of returns, I am prepared to learn

What day do you give lessons?

I realise I am sitting in Johannesburg and you are in Thailand and there is a time difference

No problem. I will get up early, to sit at your feet and learn.:missy:

Perhaps Obsidian would like to join us:haha:

regards

bobc

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  Mysticforex said:
Yes it is correct. By not using some kind of DD rule the Contest has turned into exactly the kind of Rodeo I was hoping to avoid.

 

To me at least it doesn't make sense to expend anymore energy on it.

 

Dear In the mystic moonlight,

Its the Rodeo riders that come first in life.

George Soros come to mind with his bet on the pound.

I read elsewhere today a post by Colonel B.

To be successful in trading you must buy the Red candle.

 

Anyway,I read between the lines at your disappointment. Nic has quite a lead.

So go and buy a red candle.

Sell the euro today after the German Court announcement.It will fall if the ECB buying is illegal and it fall because its already at the top.

regards

bobc

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it was no surprise that german court did not rule against esm...that would be like burying their dream with their own hands...guess we will see real fireworks if fed does not give hint about qe3...

shorted aud, eur and gbp...small positions with with tight stops...

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  bobcollett said:
Hi Nic,

320% return . Pretty cool.:)

I dont trade forex but with these sort of returns, I am prepared to learn

What day do you give lessons?

I realise I am sitting in Johannesburg and you are in Thailand and there is a time difference

No problem. I will get up early, to sit at your feet and learn.:missy:

Perhaps Obsidian would like to join us:haha:

regards

bobc

 

to learn how to hit %100+ in a couple of weeks, I may pay six digit figures...in thai baht of course ;)

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  Mysticforex said:
Yes it is correct. By not using some kind of DD rule the Contest has turned into exactly the kind of Rodeo I was hoping to avoid.

 

To me at least it doesn't make sense to expend anymore energy on it.

 

Ya know Mystic, the cool thing about the way you set it all up is that it is through oanda.

 

Oanda is great in that they are very flexible with deposit amounts... it seems it would be pretty easy to set up a competition with, say, a $50 real money account for each person.

 

You'd be amazed at how serious people take such a competition even if it is only a few dollars on the line (but, real dollars, not play money). And of course, those that blow out, well, so be it. Since the prize would be recognition only at this time, most people won't employ cowboy trading tactics because it can cost them their $50 (or whatever)

 

Just a thought.

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  Mysticforex said:
Yes it is correct. By not using some kind of DD rule the Contest has turned into exactly the kind of Rodeo I was hoping to avoid.

 

To me at least it doesn't make sense to expend anymore energy on it.

 

hmm. i will verify that the chart is wrong. i will resign to avoid any confusion. :) don't mean to trouble anyone.

 

nor attract any 6 figure thai baht wires. might trip off STR.

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  ForexTraderX said:
Ya know Mystic, the cool thing about the way you set it all up is that it is through oanda.

 

Oanda is great in that they are very flexible with deposit amounts... it seems it would be pretty easy to set up a competition with, say, a $50 real money account for each person.

 

You'd be amazed at how serious people take such a competition even if it is only a few dollars on the line (but, real dollars, not play money). And of course, those that blow out, well, so be it. Since the prize would be recognition only at this time, most people won't employ cowboy trading tactics because it can cost them their $50 (or whatever)

 

Just a thought.

I give it some thought. Most people have at least learned to use the platform. I will have to find out if Oanda WiLL allow contests with "Real" money:

 

Maybe I can talk one of my friends inti shelling up some prize money

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  Mysticforex said:
Yes it is correct. By not using some kind of DD rule the Contest has turned into exactly the kind of Rodeo I was hoping to avoid.

 

To me at least it doesn't make sense to expend anymore energy on it.

 

Oanda only allows 1:50 leverage anyway for its trading products. But they do also allow smaller lot size increments. Not bad percentages considering the trading is being done manually.

 

MyFxBook had a recent contest with Oanda. The winners' percentages were some of the lowest ever; only 500% winning percentages. Most contests allow metatrader 4 and allow 1:200 - 1:500 leverage. It is not uncommon to see 1000-5000% monthly gains.

 

I do think I know where Mystic is coming from. He wanted to avoid the "all-in-ers" I've done a study where I evaluated the trade history of those who won....essentially that's what it comes down to. Those who have contests that are solely based on absolute gain % the top earners bet it all in (as much as their margin allows) on what they consider to be high probability trades.

 

It's more of a luck approach and it is more likely when people are trading with play money (nothing to lose)....not to say that it cannot be done with real money either as noted by bobc

 

  bobcollett said:
Dear In the mystic moonlight,

Its the Rodeo riders that come first in life.

George Soros come to mind with his bet on the pound.

I read elsewhere today a post by Colonel B.

To be successful in trading you must buy the Red candle.

...............

Edited by 4EverMaAT
clear up definition

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  nicoacademia said:
hmm. i will verify that the chart is wrong. i will resign to avoid any confusion. :) don't mean to trouble anyone.

 

nor attract any 6 figure thai baht wires. might trip off STR.

 

Hi Nic

YIP. You have to do the honourable thing and resign.

 

And you have'nt confirmed the time for my first lesson?

regards

bobc

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  4EverMaAT said:

 

" I've done a study where I evaluated the trade history of those who won....essentially that's what it comes down to. Those who have contests that are solely based on absolute gain % the top earners bet it all in (as much as their margin allows) on what they consider to be high probability trades.

 

It's more of a luck approach and it is more likely when people are trading with play money (nothing to lose)....not to say that it cannot be done with real money either as noted by bobc

 

Hi 4Ever in blue jeans,

Your post makes interesting reading.

Does your study include real money traders, or just play money contestants?

Because if its real money,then I should change my leverage to win big.

I believe there is more luck than the experts make out

regards

bobc

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  bobcollett said:
Hi 4Ever in blue jeans,

Your post makes interesting reading.

Does your study include real money traders, or just play money contestants?

Because if its real money,then I should change my leverage to win big.

I believe there is more luck than the experts make out

regards

bobc

 

Mostly play money contestants. Not many real money contests out there, although the prize money is real, so there is a real incentive to make it to the finish line.

 

Varengold Bank has been one of the few contests that i've seen that actually weighs in the volatility of the % gains throughout the contest without restricting the trader's ability to trade. They call it "risk-adjusted rate of return", which takes a standard deviation of the difference of the daily account balance for each trading day. That's why someone with only 30% gross returns but has low risk trades can still have a high risk-adjusted rate of return and an equal chance to win the contest. Using a flat 'no more than x% drawdown' is a more artificial barrier and does not give certain traders the room to execute their strategies fully.

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