The Big Four Chart SetUp For ThinkOrSwim

[illbdam69]

Had a question on this scanner you sent the link before when i click on edit i see those errors at the bottom is that normal ? Thx for taking the time
View attachment 19240

Do you have TMO by Mobius installed? If so, make sure it's scanning from the TMO that you have installed.. Settings for TMO are 30,6,6.

 

[smallstacks]

Do you have TMO by Mobius installed? If so, make sure it's scanning from the TMO that you have installed.. Settings for TMO are 30,6,6.

This what I have so far let me know if its right if not can you please share the workspace if possible and thanks for replying back

MOD NOTE: Do NOT share workspace links on this forum.
Workspaces cannot be shared. They are backups stored on your computer and only work on that computer.

 

[illbdam69]

Hello @illbdam69 / @cocojumbo,

Please see the attached photos for BABA and DOCU, which both had a down signal on 7/17/23 on the 1 hour timeframe. I was paper trading these and I would've been stopped out both times. I was watching the scanner and both of these popped up. Curious if you would've taken this trade as well, or if there is something that you would've seen and stayed out. Thanks for your time!View attachment 19237View attachment 19238

I was watching DOCU on 7/14 using the 30M and 1H. I came very close to taking this trade but instead chose FCX using 30M on 7/14. I bought 4 28-JUL Puts and closed 3 for 29% (7/17) and the last one for 17% (7/19) Only reason I didn't choose DOCU was because I have never traded that symbol and I have FCX. However, with that being said even though you might have gotten stopped out on DOCU...you had a nice down candle the next morning at the open that you could have secured nice profits...but if you didn't sell then and got stopped out it reconfirmed bearish on 7/20 and this trade would be working well. However, that 2nd confirmation signal I might not have entered because by this time it was trading in a range and that would have prevented me from entering...perhaps.

If you are buying contracts that don't expire for 2-3 weeks out...the first entry on 7/17 could be green or very close even with that big swing higher to $55.

With my trading style I am willing to give the trade more time...I am also willing to risk losing 100%... My stop loss is the amount I risk for the trade. So, my style might be different to make a trade work out...but I prolly would have added to my original contracts on the 2nd down confirmation to bring my cost basis down.

One more thing, I didn't take many trades this week...FCX (7/14-7/19) AMZN (50%), GOOGL (25%), RCL (30%), MRK, F (used 30M). AMZN, GOOGL, RCL were all closed for profits. I had to take this week's expirationon these 3 because earnings releases next week are jacking the price of their options. This week's weren't jacked since they don't report till after this week. MRK 28-JUL 106 calls are up 138%.


BABA you might have to tight of a stop loss or expirations that are too short? It should have paid the next day on that gap down....and it continued down for couple more dollars. Then it broke supertrend at eod on Tuesday...

 

[illbdam69]

This what I have so far let me know if its right if not can you please share the workspace if possible and thanks for replying back

View attachment 19242

You need to change the scan to match your Big Four and your TMO. Otherwise, delete yours and reinstall the ones I have posted. Hope this helps!

 

[METAL]

Dont see a picture can you please repost the pic

Maybe this will work.

https://imgur.com/a/Ztyeydj

 

[smallstacks]

You need to change the scan to match your Big Four and your TMO. Otherwise, delete yours and reinstall the ones I have posted. Hope this helps!

I will try and let you know thanks

 

[smallstacks]

I was watching DOCU on 7/14 using the 30M and 1H. I came very close to taking this trade but instead chose FCX using 30M on 7/14. I bought 4 28-JUL Puts and closed 3 for 29% (7/17) and the last one for 17% (7/19) Only reason I didn't choose DOCU was because I have never traded that symbol and I have FCX. However, with that being said even though you might have gotten stopped out on DOCU...you had a nice down candle the next morning at the open that you could have secured nice profits...but if you didn't sell then and got stopped out it reconfirmed bearish on 7/20 and this trade would be working well. However, that 2nd confirmation signal I might not have entered because by this time it was trading in a range and that would have prevented me from entering...perhaps.

If you are buying contracts that don't expire for 2-3 weeks out...the first entry on 7/17 could be green or very close even with that big swing higher to $55.

With my trading style I am willing to give the trade more time...I am also willing to risk losing 100%... My stop loss is the amount I risk for the trade. So, my style might be different to make a trade work out...but I prolly would have added to my original contracts on the 2nd down confirmation to bring my cost basis down.

One more thing, I didn't take many trades this week...FCX (7/14-7/19) AMZN (50%), GOOGL (25%), RCL (30%), MRK, F (used 30M). AMZN, GOOGL, RCL were all closed for profits. I had to take this week's expirationon these 3 because earnings releases next week are jacking the price of their options. This week's weren't jacked since they don't report till after this week. MRK 28-JUL 106 calls are up 138%.


BABA you might have to tight of a stop loss or expirations that are too short? It should have paid the next day on that gap down....and it continued down for couple more dollars. Then it broke supertrend at eod on Tuesday...

Can you please give us a example of the stop loss you used on fcx play when you get time Thx

 

[METAL]

@illbdam69 , When you get a second, Would you look at the charts I posted above and let me know what you think? With this strategy, Does TMO need to be above zero on the 15/30 min TF? I notice that you use the 30m for most of your setups. Do you make sure the 1hr confirms? Thanks for your help.

 

[illbdam69]

Maybe this will work.

https://imgur.com/a/Ztyeydj

You have extended hours on. I don't use extended hours except on 1 Min chart. I personally do not wait for the TMO to be above/below zero on the lower timeframes...If it's below the zero on the 1H and signals bullish I will only use support and resistant areas, supertrend, and pivot's for entries on the lower time frames. However, I do occasionally (thurs/fri when I am home) trade SPX on 3Min and will be out within an hour of entry and I do use the TMO rule for this trade.

 

[METAL]

You have extended hours on. I don't use extended hours except on 1 Min chart. I personally do not wait for the TMO to be above/below zero on the lower timeframes...If it's below the zero on the 1H and signals bullish I will only use support and resistant areas, supertrend, and pivot's for entries on the lower time frames. However, I do occasionally (thurs/fri when I am home) trade SPX on 3Min and will be out within an hour of entry and I do use the TMO rule for this trade.

Thank you. I trade SPX mostly 1 and 5m scalping. Do you use this method when you are trading SPX?

 

[smallstacks]

Maybe this will work.

https://imgur.com/a/Ztyeydj

Here is a example for FCX that illbdam69 talked about on 7/14 if you see in the pic Big 4 gave a arrow downwards on 30 min chart you could play it and got out before close or next morning by 7 am pst if you pulls up the 15 min chart you will see a better pic

 

[METAL]

Here is a example for FCX that illbdam69 talked about on 7/14 if you see in the pic Big 4 gave a arrow downwards on 30 min chart you could play it and got out before close or next morning by 7 am pst if you pulls up the 15 min chart you will see a better pic

View attachment 19243

Yep. I already looked at the trades he took. I was curious if TMO on 15m or 30m TF was a must if the 1Hr is showing good. He answered it above.

 

[illbdam69]

@illbdam69 , When you get a second, Would you look at the charts I posted above and let me know what you think? With this strategy, Does TMO need to be above zero on the 15/30 min TF? I notice that you use the 30m for most of your setups. Do you make sure the 1hr confirms? Thanks for your help.

Thank you. I trade SPX mostly 1 and 5m scalping. Do you use this method when you are trading SPX?

Yes most definitely! I use the big 4 on the 3m for SPX 0dte options...I'll usually wait until after 1PM EST to make this trade when the options are cheaper. I also copy & paste the option that I want to trade to a separate 3 min chart and wait for the big 4, TMO, supertrend to confirm on the options before entry. As you know SPX options can move very fast. They can go from $1.00 to $4.00 in a blink of an eye...1 nice big green or red candle. I'll typically buy the options that are trading in the $1-$2 range for SPX. Here is my SPX 4940P trade from y'day. $1.25 to $4.25.

I actually HAVE used the 1H for most of my setups since June 1st. I have just recently "trialed" the 30m setup for only 2-3 trades. I started noticing that KO looked really good on the 30m. I would attribute this to the stock likes to cross strike prices but within a narrow range from $60-$64 and not always from 60 to 64 or 64 to 60. but from 60-61 and back to 60...then back to 62...then back to 61...lol. Using the 1H within such a small range the 1H doesn't give you the best entry/exit's for most of the move. make sense?

I've traded FCX on the 30m with ok results. And the Ford (F) trade this past week and so far it's underwater...but these are 4-Aug expirations and I'm waiting for the 1H to confirm bullish and may add 10 more contracts if this happens...or add further dated contracts.

Attached is Friday 7/21 0dte

 

[illbdam69]

Here is a example for FCX that illbdam69 talked about on 7/14 if you see in the pic Big 4 gave a arrow downwards on 30 min chart you could play it and got out before close or next morning by 7 am pst if you pulls up the 15 min chart you will see a better pic

View attachment 19243

Great trade huh! lol Maybe you turned it off...but if not, you need to add Ehler's Distant Coefficient Filter....this is part of the Big 4 bullish/bearish signals. It's part of TOS so it's already included in your indicators.

 

[smallstacks]

Great trade huh! lol Maybe you turned it off...but if not, you need to add Ehler's Distant Coefficient Filter....this is part of the Big 4 bullish/bearish signals. It's part of TOS so it's already included in your indicators.

yes great trade for sure Thanks for sharing could you please let us know how you use your stop for any plays and spx 0dte

 

[smallstacks]

Illbdam69 can you please check this and let me know

 

[illbdam69]

View attachment 19247

View attachment 19248

hmm? I am not sure what the issue is. The bottom screenshot is not for scans as I believe this is the thinkscript editor for creating indicators, strategies, etc. The top screenshot is the scan and from what I can tell...it should work...maybe someone else can chime in?

I wouldn't scan "all stocks" at least reduce this to only optionable, weekly's or S&P. I scan my "favorites" watchlist which consist about 2-300 stocks that I have filtered by bid/ask spreads, OI and Vol.

 

[smallstacks]

hmm? I am not sure what the issue is. The bottom screenshot is not for scans as I believe this is the thinkscript editor for creating indicators, strategies, etc. The top screenshot is the scan and from what I can tell...it should work...maybe someone else can chime in?

I wouldn't scan "all stocks" at least reduce this to only optionable, weekly's or S&P. I scan my "favorites" watchlist which consist about 2-300 stocks that I have filtered by bid/ask spreads, OI and Vol.

I will try and get back the second screenshot was to show you the details anyway how do you use the fav watchlist to scan if possible and how do you use stop loss

 

[METAL]

Yes most definitely! I use the big 4 on the 3m for SPX 0dte options...I'll usually wait until after 1PM EST to make this trade when the options are cheaper. I also copy & paste the option that I want to trade to a separate 3 min chart and wait for the big 4, TMO, supertrend to confirm on the options before entry. As you know SPX options can move very fast. They can go from $1.00 to $4.00 in a blink of an eye...1 nice big green or red candle. I'll typically buy the options that are trading in the $1-$2 range for SPX. Here is my SPX 4940P trade from y'day. $1.25 to $4.25.

I actually HAVE used the 1H for most of my setups since June 1st. I have just recently "trialed" the 30m setup for only 2-3 trades. I started noticing that KO looked really good on the 30m. I would attribute this to the stock likes to cross strike prices but within a narrow range from $60-$64 and not always from 60 to 64 or 64 to 60. but from 60-61 and back to 60...then back to 62...then back to 61...lol. Using the 1H within such a small range the 1H doesn't give you the best entry/exit's for most of the move. make sense?

I've traded FCX on the 30m with ok results. And the Ford (F) trade this past week and so far it's underwater...but these are 4-Aug expirations and I'm waiting for the 1H to confirm bullish and may add 10 more contracts if this happens...or add further dated contracts.

Attached is Friday 7/21 0dte

How has your SPX win percentage been since you started your testing? LLY, EBAY, and JPM looks to be setting up. Let me know if you see the same.

 

[MerryDay]

mod note:
TDA throttles scans which use excess resources and returns a: "script execution timeout".
Some scripts are too complex or require too many resources and won't run in any circumstances.

For other scripts, there are some workarounds:
1. within x bars requires x iterations
Either reduce the number of x bars or remove within x bars totally.

2. Scan for each of your filters separately.

3. DO NOT run against the Universe of Stocks.
Create a scan that makes a small list.

Specify a dollar range for price.​

Specify a minimum amount for volume.​

Limit market cap to eliminate the garbage stocks.​

Change "scan in" to "all listed stocks" to remove the OTC, etc...​

​

Add some filters like these to your scan (but modify to fit your strategy)​

Scan Hacker Shared Link: http://tos.mx/DpaFv9d Click here for --> Easiest way to load shared links​

@smallstacks @illbdam69