SPX Trading Strategy for ThinkorSwim

[Trader_Rich]

I trade futures on Leeloo Funded account only so I am doing ES only.

@babouin77 if you are trading a Leeloo account, are you using NT7/8 to enter your trades?

 

[Rodrigov]

Did anyone entered today the for the signals?
At 10:40am CT the Warning (put) appeared then the red arrow to enter... but it then dissapeared (the red arrow)...did someone else saw it? it was a loosing trade for me today.
Then at 13:30 a blue warning, green arrow 13:40, it moved to fast (did not entered the call) still it didn't last long...

 

[Rodrigov]

@barbaros one question: using your script... today at 12:40 (CT) the green arrow appeared and a couple of minutes later it dissapear.. so now I'm a bit confused on those indicators....also see that the BUY signal goes away... and in the morning in a PUT the indicator BUY changed to SHORT, why is this?

 

[Lauren]

@Hypoluxa I love this type of trading. Awesome job putting this together. While I typically just trade futures, I notice as someone else had said that this works really well on volatile stocks. I used to trade SPX but I would be afraid by the time I am ready to take a trade.. getting the trade executed would waste too much time. Instead, I have applied this to AMZN, ROKU and TSLA. All three look great. I will be trading shares themselves intra-day (most times) and think this strategy will work wonders. I have started backtesting this weekend as I am not on here much and stumbled on this thread last night. Again, thank you!!!

 

[Hypoluxa]

@Hypoluxa I love this type of trading. Awesome job putting this together. While I typically just trade futures, I notice as someone else had said that this works really well on volatile stocks. I used to trade SPX but I would be afraid by the time I am ready to take a trade.. getting the trade executed would waste too much time. Instead, I have applied this to AMZN, ROKU and TSLA. All three look great. I will be trading shares themselves intra-day (most times) and think this strategy will work wonders. I have started backtesting this weekend as I am not on here much and stumbled on this thread last night. Again, thank you!!!

Hi Lauren! Plz backtest it hard....times have certainly changed since I posted this the beginning of January. Let me know if you have any questions.

 

[Lauren]

Hi Lauren! Plz backtest it hard....times have certainly changed since I posted this the beginning of January. Let me know if you have any questions.

for sure. I have looked/tested back 90 days.. again, I am trading common stock.. so I don't have to worry about delta or expiration of time.. so I may just take all longs at first.. but I have tested 5 different stocks with this type of style and it looks pretty good esp when you mark a minimum for the ErgodicOsc to hit before taking the short or long. Thanks

 

[Rodrigov]

Hi Lauren! Plz backtest it hard....times have certainly changed since I posted this the beginning of January. Let me know if you have any questions.

@Hypoluxa have you made any changes to the original port of January? or you still using them (SPX only)

 

[Lauren]

https://www.screencast.com/t/uL6yLxFeF6

It worked on my first two tries @Hypoluxa
wish I stayed in Roku a bit longer.. it dropped another $5 (I only took 100 shares today since it was my first day trying it out)

 

[Helles]

Hi all,
I actually joined this site a couple of days ago to access the paid indicators. Right off the bat I found this thread. Wow. Nice team of users here. I've spent the last couple of days reading every post. I spent time back testing and was very impressed with the results. Special "thank you" to @Hypoluxa, @barbaros and @babouin77 and to those others, whose names escape me at the moment, for advancing the state of this strategy. Of course special praise to @Hypoluxa for developing and sharing this most excellent strategy.

I am not a coder, but I shall endeavor to spend time trying to tweak a 5-min. setting.

Doug
PS. This is so impressive, I haven't even done anything with the paid indicators yet.

 

[Hypoluxa]

https://www.screencast.com/t/uL6yLxFeF6

It worked on my first two tries @Hypoluxa
wish I stayed in Roku a bit longer.. it dropped another $5 (I only took 100 shares today since it was my first day trying it out)

thats awesome....and its built strictly with only SPX movement in mind....so i'm glad you were able to tweak it to work for others!!

 

[Hypoluxa]

Hi all,
I actually joined this site a couple of days ago to access the paid indicators. Right off the bat I found this thread. Wow. Nice team of users here. I've spent the last couple of days reading every post. I spent time back testing and was very impressed with the results. Special "thank you" to @Hypoluxa, @barbaros and @babouin77 and to those others, whose names escape me at the moment, for advancing the state of this strategy. Of course special praise to @Hypoluxa for developing and sharing this most excellent strategy.

I am not a coder, but I shall endeavor to spend time trying to tweak a 5-min. setting.

Doug
PS. This is so impressive, I haven't even done anything with the paid indicators yet.

Glad you like it...just keep in mind that things change as the markets changes. I've even made adjustments myself along the way....but this is still a solid strategy to get started with

 

[Hypoluxa]

@Hypoluxa have you made any changes to the original port of January? or you still using them (SPX only)

Yes i have....i'm still backtesting and def a lot of live testing. Once i feel good about it, i'll post it.

 

[Rodrigov]

Yes i have....i'm still backtesting and def a lot of live testing. Once i feel good about it, i'll post it.

Thanks.... in may I've been using it live and till today I have 5 winners and 3 loosers, but the winners I have let them run (1/2 position) after getting profits and yesterday was insane, it went 1000%, may 6 also insae.... think the strat is still good (looks like) it's early in the month .

 

[sean1970ss]

Is it normal for the MACDBOLLINGER to go way below zero -15 -0 then crawl back up toward the zero line? Loving this!!

 

[Hypoluxa]

Is it normal for the MACDBOLLINGER to go way below zero -15 -0 then crawl back up toward the zero line? Loving this!!

Is it normal?? I mean....what goes up must come down and what goes down must come up...right?

 

[sean1970ss]

Is it normal?? I mean....what goes up must come down and what goes down must come up...right?

Yes sir correct. I was not sure if it was suppose to dive down that far was all. So tech question if it goes down to -15 and starts to go back up do you wait for confirmation to cross the zero line to enter? I am new may not have the best terminolgy and learning appreciate your response very much sir. TY Sean

 

[Hypoluxa]

Yes sir correct. I was not sure if it was suppose to dive down that far was all. So tech question if it goes down to -15 and starts to go back up do you wait for confirmation to cross the zero line to enter? I am new may not have the best terminolgy and learning appreciate your response very much sir. TY Sean

From my post on page one:

Option call logic:
1. The SMA's have to cross first.
2. For a call opportunity, you will then wait to see if the MACD dots cross above the MACD zero line. Its critical here to wait until one dot has cleared the zero line...you MUST see a gap....never enter with the dot on the line. Dots must be consistent as well...if its going up...then they must all be white...if a red dot populates between the time a white dot hits the zero line and the time one crosses clear....don't enter. I have a screenshot below showing this example - 13:00 a red dot appears.
3. The ErgodicOsc HAS to be green when the MACD dot crosses above the zero line. You can hold the trade most of the time until this turns from green to red....but I always set a sell limit just in case it whips back in the opposite direction.

Option put logic:
Obviously its the complete opposite of what I've described above for a call. BUT - the SMA's still have to cross first.

I backtested this 90 days and it came back with 95 opportunities. 75 were positive and 20 were breakeven or didn't move more than $1-$2 on the next candle before it changed to the opposite color candle.

For the positives, SPX only needs to move a minimum of $3 for the option premium to move to quick and decent profit. I generally buy 10 contracts with a delta of at least .35 or higher. So there were 75 times the past 90 days that SPX moved $3 or more (up or down) to be claimed a positive for me.

FYI - Since SPX doesn't begin trading until the opening bell, make sure you have your chart set to at least 1 day/10 mins. The 1 day will allow you to get a clear view of the chart and indicators, otherwise it will fill your entire screen if you use current day.

 

[CaptainCrunch]

for sure. I have looked/tested back 90 days.. again, I am trading common stock.. so I don't have to worry about delta or expiration of time.. so I may just take all longs at first.. but I have tested 5 different stocks with this type of style and it looks pretty good esp when you mark a minimum for the ErgodicOsc to hit before taking the short or long. Thanks

Lauren,

I'm glad to hear you are having success! Would you mind sharing what settings (if different ) you are using?

 

[wtf_dude]

Hypoluxa, Barbaros and Rad: you guys are saints for answering the same questions 2394823084 times. Good work Hypo! I would say to some though, that the more people tweak and tweak and add and change indicators, it becomes an entirely different strategy. PERHAPS a good candidate for a completely different strategy thread? so your work doesn't get buried. JUST a suggestion...

Question: How big is the bid ask spread typically on the weeklies you've been using ? (on average)

 

[wtf_dude]

If I'm reading it right it fired at 2:20est. If anybody took the trade, what delta and expiration did you pick your strike?