also be careful of the BPSPX thinking it's the grail - it will
give you big whipsaw losses at times - use higher lows for stops vs
waiting for it to trigger. Also that's not a full fledged system,
like any indicator it tends to go back and forth. For example
rarely does it give two big winning trades in a row, most of the
time the next signal or couple signals are whipsaws. Which brings
up my point, when it does go on a sell signal next time, the odds
are very strong that will be a losing signal. It's kind of like
wave patterns - markets move in waves, wave 1 up, wave 2 is your
corrective wave, wave 3 is your trending wave, wave 4 is
corrective. Wave A is trending, wave B is corrective, wave C
is trending - note that trending waves are following by
consolidation waves, that's why trend indicators like BPSPX tend go
back and forth because the winning trades to be only be on waves 1,
3, 5, A, B, and losing trades occur on waves 2, 5, B
also I sense emotion in your post, try to stay objective because
emotion clouds judgement - there is a time to trend trade and
time to take profits - we are clearly in a trend. Be careful
looking at the trend from Oct until now and basing your whole
future trading conditions on that. It's like the guys I've
seen here post before how the 13/34 EMA cross works so well on a 60
min chart because they looked at the last 3 months and tell me they
are only going to follow that - however if you actually bactest
that, it's a losing strategy . Be careful looking at a short
segment in time and extrapolating that to a grand trading plan
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also be careful of the
So that s the long awaited correction- and now back ...
Posted by matt on 23rd of Jan 2020 at 06:30 pm
also be careful of the BPSPX thinking it's the grail - it will give you big whipsaw losses at times - use higher lows for stops vs waiting for it to trigger. Also that's not a full fledged system, like any indicator it tends to go back and forth. For example rarely does it give two big winning trades in a row, most of the time the next signal or couple signals are whipsaws. Which brings up my point, when it does go on a sell signal next time, the odds are very strong that will be a losing signal. It's kind of like wave patterns - markets move in waves, wave 1 up, wave 2 is your corrective wave, wave 3 is your trending wave, wave 4 is corrective. Wave A is trending, wave B is corrective, wave C is trending - note that trending waves are following by consolidation waves, that's why trend indicators like BPSPX tend go back and forth because the winning trades to be only be on waves 1, 3, 5, A, B, and losing trades occur on waves 2, 5, B
also I sense emotion in your post, try to stay objective because emotion clouds judgement - there is a time to trend trade and time to take profits - we are clearly in a trend. Be careful looking at the trend from Oct until now and basing your whole future trading conditions on that. It's like the guys I've seen here post before how the 13/34 EMA cross works so well on a 60 min chart because they looked at the last 3 months and tell me they are only going to follow that - however if you actually bactest that, it's a losing strategy . Be careful looking at a short segment in time and extrapolating that to a grand trading plan