Trading with AMA and price action- forward testing

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


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vijkris

Learner and Follower
#71
Looks like the link is not working.
Is any fresh link available.
Can somebody share the experience please.

Thanks
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..
 
#73
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..
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?
 

vijkris

Learner and Follower
#74
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.
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?
 
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vijkris

Learner and Follower
#75
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?
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.
 

vijkris

Learner and Follower
#76
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?
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:
 
#77
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?
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 !
 

vijkris

Learner and Follower
#78
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 !
ya.. volatility element is the USP of AMA.
I wanted less clutter in chart. So basically removed things which can be removed. :D
 

SevenD

Well-Known Member
#79
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?
If possible can you post a chart with vwap and 2ma showing a trade entered and covered.

Thanks
 

vijkris

Learner and Follower
#80
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

VijKris ji i was about to come to that point myself. Just blindly following the ribbon would come up with its share of whips. Try to be with the minor trend at least while taking these ribbon trades. I feel one would definitely get better setups and trades if he takes longs and adds till we are making higher lows as ribbon method and to take short trades and adds in vice versa case. Like i explained in ST ji's post. When you get a counter trend after minor trend (swing) exhaustion they often give very good trades with not only excellent RR but many times the major trend also changes at these times like in BN today.
Hi Varunji,

I am silently following your thread from the beginning and I really appreciate what you have shared here. It is very helpful to not only a new trader but also to whoever trading for long time as people like me always try to fine some fancy system or indicators v/s not looking an indicator like OBV which is available in all the trading software.

One thing I noticed today (when I was comparing my chart with Happyji's chart) is that the 1 min 15 OBV ribbon is different for different people due to different data provider and that is creating lots of confusion among whoever is following this thread.

once again thanks a lot for sharing your experience and knowledge.

Herewith I am sharing a word file with important notes from this thread.

https://www.sendspace.com/file/wgpbh5

Regards
Amruta

Vipul ji and Vijkris ji the white vertical line is the setup line. This red ribbon period had a low of 3566 as shown by horizontal line. So i had put in a bid to short at 3565 because then we would have put in a lower low as per Dow theory. Similarly you see the high levels reached in the small blue part of the ribbon was 3563 (so as per my SL it was 3563+2= 3565). That is why i was quite sure that we would be safe below that and going above it would change the trend to up by putting in a higher high. If you look at the OBV pane you would see a clear divergence and hence a long was not justified. The only plausible thing to do was to look at a short trade with minimum SL so i chose to short twice at 3560. Now look at the price it is back to 3530.
Ok let me try to explain once again. Till the time we are making higher lows in price in the last 2 consecutive red ribbon period we look to take long trades and adds till we are stopped out or one chooses to take profits at his greed levels. And once we go below the last red ribbon periods lowest price levels we take a short and be in the trade and take adds till we are making lower highs in the last 2 consecutive blue ribbon periods. To add to the confusion pls observe the OBV also that it is in sync with this trend in price HA HA.
Varunji, the level you have mentioned is as per 1 min 15 period ribbon resistance/support . But as our direction decider is 5 min 15 period band,highest support level was 20852.4 which was cracked in 1 min bar at 12:32 and in 5 min bar at 12:35...so we get into short trade set up below 20852.4 after 12:35..am I missing something ?

Posting to clear my understanding.

Smart_trade

ST ji the white vertical line is the setup point. The Red vertical line is the actual trade. And the red dotted vertical line is the Add.
 
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