SH's trading the 'greater fool' zone

Sir,
Thanks for your comments but I am not able to grasp your contents fully. Would you be kind enough to explain your observation with the help of a chart. Thanks again.
Grorich

Hello SH

Thanks for this new thread with a nice usable concept.

Most of the time contra trades based on these bands work out very well, but i have noticed an exception from the above rule.

When the touch / cross happens or just before that, if the outer band lines and the price are traveling in opposite direction, we should be more cautious.

Simply put, whenever there is a change of trend the first touch to the outer band usually fails to give a good contra trade.

On the charts this condition is easily noticeable as the price turns and the MA / Band keeps going in the direction of previous trend, the MA/Band will eventually also turn in the direction of the new trend in the process narrowing down the envelope.

The touch/cross that happens when both the envelope and price are traveling in the same direction gives a high probability contra trade.

Thanks for these valuable lessons.
 

Bewinner

Well-Known Member
Hi TradeWithHunter,
U revealed one of my favorite thoughts in this discussion. I used to love take trade on this even in intraday format also...But I do it with bollinger bands and I got the idea from this forum only. Plz forgive me I forgot the person's name but he wrote few threads on Bolinger bands, Bollinger worm and probably with RSI/Stoch.
Thanks again for sharing the same thought process.
 
But I do it with bollinger bands and I got the idea from this forum only. Plz forgive me I forgot the person's name but he wrote few threads on Bolinger bands, Bollinger worm and probably with RSI/Stoch.
Columbus... Three threads - Bollingerbands, Bollingerworm and EMA strip in BB. No oscillators used.

TWH's strategy uses envelopes of different kind, not available in my software :(
 

Bewinner

Well-Known Member
Yes Timepass...right u r...Yes I agree TWH uses envelop which I think is far smoother than envelope(forgive me as my knowledge is limited and I am a newbiew in this new field compared to others but am trying to learn)
 
If anybody wants to learn the system, go through first few pages. I don't think chat is active these days. If you search the thread you will find an answer to most of your queries. For anything else, or if you notice anything in GFZ share it with other members here.
 
Hi Folks - the parachat room has been discontinued.

The traders chat on skype room now which I have created. The advantage is that its a permanent room which doesnt expire every month.

In case you want to join ... you can download skype software for free ...its like yahoo messenger.

Once downloaded, you can add me as contact .. once added, I will add you to the room.

My Skype user ID is Stockhunter.sh

Cheers
SH
 

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