Trading with AMA and price action- forward testing

Discussion in 'Trading Diary' started by vijkris, Mar 10, 2016.

?

A good trading method/system generates x % average return per month .

  1. < 5% pm

    17.5%
  2. >5 and upto 10% pm

    37.5%
  3. 10 to 20% pm

    32.5%
  4. Upto 50% pm

    5.0%
  5. Upto 100% pm

    0 vote(s)
    0.0%
  6. Greater than 100% pm

    7.5%
  1. vijkris

    vijkris Well-Known Member

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    Well i lost the link and the file ,will search for it if u really want.
    BTW my experience - i stopped using AMA.. using only vwap and subhadip's 2MA..
     
  2. C_R_Kumar

    C_R_Kumar Active Member

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    Thanks for sharing :thumb:

    Please post link if possible when you have time and without exertion. There is no rush.

    So, you feel VWAP/MA2 to be better than AMA.
     
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  3. Bhairava

    Bhairava Member

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    Sir,why left using AMA?
    and while using 2MA method,do you follow 15 min vs 5 min or direct any close and pivot entry above EMA you consider?
    if we consider close abv 15tf,then look for a pivot in 5tf,this way I'm missing many entries or getting very late entry.Am I missing something?
     
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  4. vijkris

    vijkris Well-Known Member

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    Here is the link. htt p:/ / www. 4 shared.com/file/EoYqlIIfba/vwap_param_box.htm

    by mistake there was an extra "a" . :lol:

    Frankly i felt AMA was not giving me any extra advantage. Of course if u remove 2ma, then AMA becomes somewhat important.. As it is 2 ma involves EMA, and AMA is also essentially moving average.. Both r of same family.. Choose any one not both..

    BTW did u master OFA ?

    What is ur opinion about AMA?
     
    Last edited: Oct 26, 2016
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  5. vijkris

    vijkris Well-Known Member

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    Dear Sir,
    Reason for leaving AMA explained in previous post. Basically no need of AMA if already 2MA is in ur chart. I might not have understood the full potential of AMA as well.. somehow 2ma which is simple was suiting my personality.
    I m not advocating to stop using AMA. Those who have understood it better, they should use it..

    I made few changes which was not recommended by Subhadip actually..:p
    Basically i use 15 min vs 2 min.. :eek:

    2 min is a small tf, so i totally ignore the minor pivots formed in 2min.
     
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  6. vijkris

    vijkris Well-Known Member

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    I think the rule is to wait for close above 15tf, then switch over to lower tf. Sometimes the entry is immediate as in 5tf just previous bar was minor pivot. So in that case entry has to be immediate. We should not wait for new pivot to form, maybe thats y u r missing entries.

    How did u know abt late entry? While taking decision to enter we dont know whether we ll be profitable or not.
    we ll classify an entry as late entry if after sometime we observe that after our entry price reversed and hit sl. :D
    So that basically means u r missing something.

    2MA is pure trend following strategy. We should not use it in Non-trending situations.
    Late entry and sl hits usually happen in sideways or non trending phase. So identifying sideways will prevent late entries to some extent. Hope i m clear. :thumb:
     

  7. C_R_Kumar

    C_R_Kumar Active Member

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    Thanks for sharing :thumb:

    No question of mastering, I am at very beginnings :)

    AMA is supposed to include volatility element, so I was wondering if it could work as a better indicator !
     
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  8. vijkris

    vijkris Well-Known Member

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    ya.. volatility element is the USP of AMA.
    I wanted less clutter in chart. So basically removed things which can be removed. :D
     
  9. SevenD

    SevenD Well-Known Member

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    If possible can you post a chart with vwap and 2ma showing a trade entered and covered.

    Thanks
     
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  10. vijkris

    vijkris Well-Known Member

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    Hi,
    Sorry for disturbing the flow of this thread.
    requesting the thread owner to allow me to post these obv posts so that i can re read it later for better understanding.

    thanks

     
    Last edited: Mar 3, 2017

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