Simple Yet Very POWERFUL Swing Trading Strategy

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Tiredoflosing

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hi @Tradervic,

I thought the strategy says to go short below 60 & long above 40 it seems that you are doing the opposite, am I missing something?

Unfortunately, this thread is a complete mess. Bunch of conflicting criteria all over

@mc01439 I'm trying to replicate these results but I cant.

What time frame did you use? What instrument?
 
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mc01439

mc01439

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@Tiredoflosing are you referring to post #23?
 
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Tiredoflosing

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@Tiredoflosing are you referring to post #23?
yes! please explain the entry criteria & also how did u get the results u did in Post #34.

What instrument was that? What time frame? What entry / exit criteria?

Thanks for all of your help & Time!
 
mc01439

mc01439

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2019 Donor
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yes! please explain the entry criteria & also how did u get the results u did in Post #34.

What instrument was that? What time frame? What entry / exit criteria?

Thanks for all of your help & Time!
@Tiredoflosing - that was done a year ago so I had to think about it for a bit. The code was written as a long only strategy.

def Ent = RSI("length" = 7)."RSI" crosses above 60 ;
def Ext = RSI("length" = 7)."RSI" crosses below 60 or RSI("length" = 7)."RSI" >= 85;

AddOrder(OrderType.BUY_TO_OPEN, Ent, close, TradeSize);
AddOrder(OrderType.SELL_TO_CLOSE, Ext, close, TradeSize);

The product was /NQ futures trading 2 contracts per trade on 5 minute charts. In my view I would not be profitable just too volatile and too many trades for me to manage The last 90 days the strategy had 1875 trades using the 5 minute chart. Future Contract commissions and fees would make this a losing strategy.

In addition I could not take the draw-downs that this strategy has.

An example are the trades today. Yes there where some nice wins but overall was a loser. Take the code and test it yourself on your favorite product and see if it works for you.

https://tos.mx/oOjKHeJ


7/8/2020 06:40​
7/8/2020 07:30​
$370.00​
7/8/2020 07:35​
7/8/2020 08:15​
($230.00)​
7/8/2020 09:05​
7/8/2020 09:10​
($290.00)​
7/8/2020 09:25​
7/8/2020 09:35​
$1,310.00​
7/8/2020 10:55​
7/8/2020 11:05​
($1,500.00)​
7/8/2020 12:05​
7/8/2020 12:15​
($130.00)​
7/8/2020 12:20​
7/8/2020 12:30​
($270.00)​
7/8/2020 12:35​
7/8/2020 12:45​
($560.00)​
7/8/2020 13:00​
7/8/2020 13:20​
($720.00)​
7/8/2020 15:05​
7/8/2020 15:40​
$550.00​
7/8/2020 15:55​
7/8/2020 18:15​
$1,430.00​
 
Tradervic

Tradervic

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hi @Tradervic,

I thought the strategy says to go short below 60 & long above 40 it seems that you are doing the opposite, am I missing something?

Unfortunately, this thread is a complete mess. Bunch of conflicting criteria all over

@mc01439 I'm trying to replicate these results but I cant.

What time frame did you use? What instrument?
Take a look at the first page of what he said on trading this strategy. I reproduce the key point.....

"""Entry for long :- on daily charts RSI(7) MUST , be above 40 , and on 1 hour chart its going above 60 and closing there itself.

Entry for short :- on daily charts rsi(7) must be below 60 and on 1 hour chart its going below 40 and closing there in previous candle. """

I use this on indices and stocks. Its not a perfect strategy but it has a good winning percentage based on my experience. There is also another thread on a more advanced version of this strategy on this website.......Good luck.
 
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Tiredoflosing

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Take a look at the first page of what he said on trading this strategy. I reproduce the key point.....

"""Entry for long :- on daily charts RSI(7) MUST , be above 40 , and on 1 hour chart its going above 60 and closing there itself.

Entry for short :- on daily charts rsi(7) must be below 60 and on 1 hour chart its going below 40 and closing there in previous candle. """

I use this on indices and stocks. Its not a perfect strategy but it has a good winning percentage based on my experience. There is also another thread on a more advanced version of this strategy on this website.......Good luck.
would you be able to link me to that advanced version? i cant seem to find it. Thanks for your help!
 
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HighBredCloud

Active member
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would you be able to link me to that advanced version? i cant seem to find it. Thanks for your help!
https://usethinkscript.com/threads/simple-yet-very-powerful-advanced-version.599/
This strategy works...From personal experience...focus more on the 1 hour timeframe...The DAILY timeframe is good to find stocks that are trending in a given direction...You still need to wait on the 1 hour timeframe...and then dial your entry/exit on something like 15 min or even 5 min...
 
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Tiredoflosing

New member
VIP
Take a look at the first page of what he said on trading this strategy. I reproduce the key point.....

"""Entry for long :- on daily charts RSI(7) MUST , be above 40 , and on 1 hour chart its going above 60 and closing there itself.

Entry for short :- on daily charts rsi(7) must be below 60 and on 1 hour chart its going below 40 and closing there in previous candle. """

I use this on indices and stocks. Its not a perfect strategy but it has a good winning percentage based on my experience. There is also another thread on a more advanced version of this strategy on this website.......Good luck.
Thank you for clarification, would you mind sharing the scanner you have for this? i would really appreciate it. i have been trying to make my own but no luck
 
D

dominos101

New member
Does anyone know how to convert this code to ninjascript?
 
mc01439

mc01439

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2019 Donor
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@HighBredCloud and @Tiredoflosing - After looking at your input I stand corrected. Had not looked at it from your point of view. Matter of fact looking at it from a multi time-frame looks good.
 
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Tiredoflosing

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@HighBredCloud and @Tiredoflosing - After looking at your input I stand corrected. Had not looked at it from your point of view. Matter of fact looking at it from a multi time-frame looks good.
I'm going to mess around with this a bit. So far I noticed interesting trades if I set daily RSI at 60 + confirm with hourly RSI at 60 for going long instead if daily above 40 & Hourly at 60.
 
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TOSTrader

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I see the code has

UpSignal.SetDefaultColor(Color.UPTICK);
UpSignal.SetPaintingStrategy(PaintingStrategy.ARROW_UP);
DownSignal.SetDefaultColor(Color.DOWNTICK);
DownSignal.SetPaintingStrategy(PaintingStrategy.ARROW_DOWN);

but I have yet to see an up arrow or down arrow show up on the upper or lower. Anyone have any ideas on why?
 
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Thomas

Active member
yes! please explain the entry criteria & also how did u get the results u did in Post #34.

What instrument was that? What time frame? What entry / exit criteria?

Thanks for all of your help & Time!
Hahahahaha,...did ya read the entire thread?? Play with it....
 
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designatedrhythm

New member
This works fairly well on a 20m timeframe and I export the "addorder" data to backtest in excel. The problem is that sometimes the signal comes mid 20m bar so when i'm backtesting I get in really late on the price action.

I have a boolean Arrow that plots the exact moment it happens but is there a way to have the 20m timeframe strategy get plotted on a 1m or 2m or even 5m chart so I can export the data to excel?
 
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Thomas

Active member
I can code pretty much anything in thinkscript. Right now I am actually trying to build system with 8 different signals from multiple timeframes. I might be overthinking it, but I havent found anything that works well yet. IF you have more criterias I would be happy to add them and post script. Right now I am testing TDI(traders dynamic index) - which is basically RSI + bollinger band and smoothed averages. But by itself its not great

I coded literally hundreds of indicators and scanners and biggest problem so far - false positives. There are tons signals which work all the time with good trends. The problem is that they also work when there is no good entry
Is that work your doing making money? Just curious,....why only 8, how about 10? My point when reading through these threads is the complication everyone develops,......KISS,........read price,....have an RSI as a bottom indicator or whatever you understand...simplify...
 
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Thomas

Active member
hello @Ken_Adams
many traders here trading options for underlaying like stocks or indexs what i cannt understand is
why? becozz end of the day game remain same
u must be profitable by buying low selling high or reverse it in process
however at very first place why to increase
delta gamma theata vega headache
for a day trade buying options are understandable coz u cannt loose more then what u have put but same can be achived by a stop loss if u trade underlaying directly
also thats ur choice and my suggestion

your above mention scan conditon has mistake
daily rsi cross avobe 40? shuld be above 60
and price above 13 ema is okay

coz if daily rsi is 41 price may not above 13 ema

also depends on your timeframe and trade cycle

i can update entry method like as below as many of the group members found that its hard to entry

lets use 20 ema for lower time frame i.e. 5 mins
if price is above 20 ema at higher timeframe 5x3=15 min chart take the entey rsi crossing 60
exit either rsi hits 85 or the target profit or cross below 60

there is no right way of doing trading
and u will still have many many bad trades so get urself readt for them

good luck hope my reply make sense
You are the first person I read who addressed the bottom line, does it make money, forget complicated, does it make money.....!!! KISS
 
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Thomas

Active member
Can someone help me out with this. I read through the forum, but am still confused on what the strategy is. Do you just go long immediately when RSI daily cross above 40 and hourly crosses above 60 on good volume with a trending moving averages?
Marty, you still in the game, did you figure this thread out.....
 
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