XJO (ASX) Trading Strategies

Originally posted by SWILTD: ↑

Excellent, thank you!

I spent about 6 hours today, blending my own , simpleton indicators, and comparing different securities through the time frame analysis that you mentioned.

Setting the deviation to 1.5 did make a marked difference in analysing different entry / exit points, and taking the emotions out of the data DEFINITELY made me see a share much differently.
Many shares that I just WANTED to buy, simply didn't show a technical indication of containing an attractive entry point.

Where possible, do you normally enter at the breakout close of the base line?, and if so, at what point are you exiting?
As the price breaks out of the top sector, or as it enters BACK towards the 20 period SMA, after the surge, within the actual band itself?

Do you sell if your initial entry drifts back towards the base again, or hold ONLY until it breaks out of the top sector, regardless?

Do you only enter on upwards trending bands only, or do you have a a stab at counter trend reversals into the shorter time frames?

Please forgive me if I totally misunderstood your style, and feel free to correct my train of thought. I'm finding your way of trading highly useful as I learn and attempt to absorb more complex indicators.

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Originally posted by Gali: ↑

One thing I've never been great at is teaching or explaining myself (just ask the wife...) I dont trade every day unless I like what I see. I always start with a day chart and then work my way down to a 1 min chart.
I wait until the candle pushes past the outer edge of the standard deviation and it should invariably head back towards the centre and if strength is there push past it. Im probably not making much sense here, but it makes sense to me. My most successful trades is usually over two to three days, have a look at the 1 min chart below to see what i mean.

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You both might find this interesting as it entails tangible details about the strategy in question. Etiene is hard to understand but if your interested in the topic that helps a lot! I've tagged onto him because I'm automated and find his examples have hard and tested rules built in as opposed to general trading conversation of most videos relaying what we already know.

In the video example it has a recent trade on the AUD/USD which I have been trading so was instantly familiar with the chart levels and set-up.

As I used to do something similar on a daily Penny stock charts years ago, I've taken the small manual short on offer today on the 1hr XJO chart and have just taken 1/3 off at the mid-line to pay for my risk. As price is choppy I'm expecting a breakeven but we'll see. My stop has now been moved down but not break even just to free carry.

I have also highlighted the 2 other recent entries available using this set-up. Note the current price action hasn't sliced through the mid-line like in the other two examples until the hour is up hence why being the third time on offer in the range I am not expecting much.

So the strategy works. I have also today coded a FTSE 1hr short and got a 68% win rate using this methodology (some work to do on the long!) I haven't however taken this on the FTSE tonight as I already have systems that catch this price action but if the set-up was the same UK would be the better index to do it on as you'll usually get near twice the range.

Good to see this thread get some traction. Thanks@kacy

Hope this is useful.