Impulse Mode
As we all know, one of the most profitable types of Market is the Impulse Mode.
Once the impulse mode is established, there are lower than average or not pullbacks at all, so it is very difficult to enter the market until the move is finished.
This is the reason why it is so important to determine when the market is ready to start an impulsive move and get into the last pullback.
The definition of this rule is critical to avoid to take a lot of fakes moves, but even taking several failures, the profit potential is so big that compensates taking several loses before the final winner.
The rule I use to define when a market is about to start a trending mode is the Bollinger Crossover and it works as follows ;
We need a fast moving average and a slow Bollinger Band. And the the settings we must find are those that make the fast moving average to stay inside of he Bollinger on sideways and even slow trending markets.
When we get a Bollinger crossover ( Fast moving average crossing outside of the Bollinger Band) , then the setup is trade ready in the direction of the crossover, and the entry is a limit order at the middle of the band
See attached picture :
I created a set of Indicators to trade this setup :
PM_Bollinger_XO : It draws vertical lines and triggers audible and text alerts at crossovers. It is possible to filter only the first signal on each direction ( like on the picture )
PM_Trend : It paints bar colors according to the setup
For those who like doing research ( like me ) or auto trading a setup, I also created the strategy PM_Impulse_v2 :
I will post my research on different markets here and if you want to share any setting, info , comment or suggestion, please feel free to do it...
Regards,
Pablo Maglio
www.TheIndicatorStore.com
I already esperimentei many things but what do really makes me confortaval
ReplyDeleteare your setups
I not yet have all
thanks for all the help
Thanks Pierre,
ReplyDeletebtw, this setup is not something new, I have some Ninja Webinars about it, and it is one of the setups I explained on my trade room months ago.
In fact, after the impulse trigger signal ( fast ema crossing outside the bollinger band ) there are several early entries ; the most obvious is at the bollinger band.
We can also rank the impulse using more than 1 bollinger; using same period but different std deviation, we can rank the strength of the impulse by counting the number of bollingers being crossed. And according to that, take the classic entry at the middle of the band or at the 1st or 2nd bollinger
Regards,
Pablo
Here is a powerpoint with more info about the impulse setup
ReplyDeletehttps://docs.google.com/open?id=0B4Z6aduhITsVQ3hSUlJPYWF2Rnc
Regards,
Pablo
...
ReplyDelete...and here is a link to a youtube video of a ninja webinar of same topic :
http://www.youtube.com/watch?v=NeOHDxbrn6U
Regards,
Pablo
The version 3 is finished with following enhancements :
ReplyDeleteEntry now can be at a defined bollinger ( lower than the trigger ) so, we dont need for price coming back to the EMA. We can use half std dev of the bollinger used for trigger. This way we can catch moves from the 1st pullback
Added Autobreakeven
Added Autotrail using custom PM_SuperTrail logic
https://plus.google.com/photos/102408386703438566815/albums/5792988193258914977
Here are some Performance reports obtained using this new version ( PPM_Impulse_v3 )on last 2 months :
ReplyDeletehttps://plus.google.com/photos/102408386703438566815/albums/5792988193258914977
https://picasaweb.google.com/lh/photo/EfeBFZbCE9upr_WFXAQqGNMTjNZETYmyPJy0liipFm0?feat=directlink
ReplyDelete