by Terry Macartney
Maybe this is it! Eureka! I’ve found it!
Dual Opposing Hourly Indicator (DOH)
On a one hour chart, look for 2 recent adjacent candles that have a similar body length but show price moves in opposite directions.
Then on a one minute chart, look for two recent adjacent candles that that have a similar body length, also showing price moves in opposite directions but in the opposite directions to the candles on the one hour chart.
Reverse the opposite direction candles from the one minute chart, and add the lengths of the same direction candles from both charts together. The price move should be equal to the length of the larger candle, but in the opposite direction to it.
If that’s too tricky to follow, try flipping a coin instead.
So what’s the point of looking for a Holy Grail system? The promise of easy profits and an increased opportunity to win are the headline attractions. Having an automatic EA that will trade profitably 24/7 would be nice wouldn’t it?
For some, it ignites the passion of searching for something of great value, and often the search becomes more important than finding the treasure.
For others it represents a short cut to success and profitability, having the goodies without having to do much to get them. Lotto mind-set.
At best, it may represent a kind of thinking along the lines of;
“Well no-one else has really found a Holy Grail system, but that doesn’t mean it’s not there – I’ll just have another look……..”
Meanwhile, time and money wander out the back door as the search goes on.
There are systems, however, that do return consistent profits over time. All successful traders are successful traders because they utilize them.
One inbuilt weakness of professed Holy Grail systems is that they primarily focus on the perfect entry, and rarely much else.
Occasionally they may include a basic one-size-fits-all exit strategy as well. However, successful traders know that consistency and profitability are not primarily dependent on the perfect entry, and that an adaptive exit strategy is essential.
Justin has recently written an article called “Tom Basso’s Coin Flip Strategy” showing that random entry systems can be profitable. This is because position sizing, risk management, money management, market type assessment and personal biases or habits are far more relevant to profitability than the pure technicals of formulaic entries and prescribed exits.
In other words, Trade and Trader Management. This means YOU!
You are the Holy Grail.
You need to be intimately involved in the personal aspects of how and why you trade. What beliefs are you bringing to the screens? How’s your emotional intelligence helping or hindering? How are your commitment and accountability techniques holding up? Are you consistently trading with the strategy and discipline that is required for the market type?
It is in these areas that an Accountability Coach can be invaluable. By offering objective and insightful feedback on how you trade, core behavioral issues can be identified and realistic goals set.
A program can be established to set accountability structures, and techniques can be offered to help establish permanent positive changes. All in all, a far more effective and realistic way of achieving trading proficiency.
Otherwise………., you may just run the risk of these trading terms below being all too real for you!
Risk Appetite;
Trading on an empty stomach.
Risk Aversion;
Taking a break for lunch.
Scalping;
Scratching your head, wondering where you went wrong.
Doubling Up;
The result of trying to exit a trade but clicking the wrong button.
Friday;
A day for returning all the profits you made in the past week.
About the Author
Terry Macartney is an FX and indices trader based in northern NSW, Australia. He is an Accountability Coach for traders and has established FXCellence as a coaching platform for working with traders and small businesses. Contact can be made here: FXCellence
About FX Renew
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