I don't see the dots (pldot) on your chart
PLdot is not a dot... it is plotted on the guppy moving average. The line that shifts fropm aqua to orange is the Pldot...
Using well defined rules makes it mechanical which is good if you want teach someone. but since he designed it he's seen it quite a lot and is able to take trades at his discretion. Sometimes it is difficult to make it mechanical because of the number of options you have the scenarios you have to consider.
You can take a look at the system live and based on your experience proposed a mechanical tweak and he'll give his opinion on it. Some trades can't trade mechanical. Feel free to experiment. Tweak it to suit your trading style.
Somehow, i prefer mechanical systems. The biggest benefit is consistency. The only way to improve a system is to back test it bar by bar and tweak the system to give a higher positive expectancy (thanks to AW10 for teaching me this...!) Market has a tendency to remain irrational and unpredictable and its better to acknowledge it. It'll never do what i think (or hope) it'll do. The less i think and act, the more chance of just blindly following a system.
While I agree with your point, I would also like to mention that I noticed that Sain't 60min flow which making very few trades manages to give you as much as trading a 5-min pride's system. penny saved on brokerage is a penny earned in trading. There is a sweet spot we can try to achieve to maximize profit and turning a blind eye may not be a very good idea but for now, I agree it's too early in the system development to think about it.
Brokerage is part of the game. The only thing i can ensure is that my brokerage is small. I pay 9 Rs per lot now. If someone is paying 0.05% as brokerage, he needs to shift to a system which gives lesser trades and target bigger points. as his slippage will be very high.
This system on a 2 min chart will give an average of 8-12 trades on a whipsaw day and 3-5 trades on a trending day. The only way i feel i can make money is by taking all the trades given by the system and let the law of average take care of the profit.
