What is best indicator, phenomenon, system to catch Wipshaws, non-trends, trap?

Guys -

Thought this will be very interesting topic to discuss what is best indicator, phenomenon, system to catch Wipshaws, non-trends, trap?

Most of us are discussing When to enter the trade but sometime we become victim of catches or traps - wondering what are our experiences are learning from such catches and what is best way to catch such traps/non-trend/wipshaws !

rgds, Nisha

- My pic is ADX (ADX < 20 - non trend)

Searching for holy grail of trading to avoid loosing trades ?
To the best of my knowledge, it doesn't exit.
We can limit them by avoiding to trade in certain market conditions. Opening a trade is in our control, but after that we can't control its result. Thats where stops save us.

To address this issue, I will do following
1) take a look at trades where I was stopped out but after few bars in my trading timeframe(say 5 bars), market went in the original direction of the trade.
2) Try to find out the common price pattern /indiactor pattern that existed around that time of trade entry.
3) Modify my setup rules and put additional filter to ensure that market condition permits the entry.

For trend following systems, it helps to check the trend in higher timeframe i.e. Bar High/low of prev few bars, PH/PL in higher timeframe and assess the position of market at current price.
For channel trading system, it helps to assess the time already spent in the range, price action near the channel boundry etc to decide possible adverse setup conditions.

Hope this helps.
Happy Trading

yes you are correct. but there are systems existing with more than 95% accuracy that too with excellent risk reward ratio.but to get this is patience, passion, openmind.i have such.trading very successfully in any market conditions.only thing i can say my such system is totally price based.I cant reveal any more. newbie please totally stop thinking and utilising all nonsense indicators. just focus on price , one day u will get nearly accurate method.
good luck
shreya

95% is not 100%.
It is possible to have high %win ratio for scalping system that books quick profit (i.e. within the move of few paisa). Such systems have low Reward to Risk ratio (i.e. < 1 ) but they may still produce result because of high %win.

Such a fast system may not suit many others who have limited time, have different psychology then yours, have higher brokerage cost.
But if you are looking at trend following system the %win is number is generally Low.

When looking at a system, important is to find the system that has positive expectancy and has worst risk within traders tolerance. To me, %win number of a system doesn't mean anything more then a ego satisfier that makes us look good in our own eyes.

I 100% agree with u on trading price action, which I also use actively. At the same time, I have systems that are based on indicators and based on seasonality factors (none of them have such a high winning rate) .

People can trade the market in many ways. There is no one approach that is the best.
Of course, price action is reality, it has very small time lag and hence it is always my preferred approach to the market.

Happy Trading

i dont do that scalping

i follow trend in large time frame, my trades are reversal in my trading time frame , have huge % win , huge profits

it all depends on one's own beleif system, my beleif was i will design system with huge %win, huge profits trading on 5min charts, to 60min to daily, to week.month so on...i did it...i need not prove anyone here and to world.

just my advise to people who are new, open mind is be
Passionate , openmind , patience and only focus on price action...u will crack the code
good luck, shreya

Shreya, I am impressed by your system. You have done something (designing the system with such high performance parameter), that not many people can do, including me. Well done and Best luck with your trading.

AW10, thanks, but i have worked for it since 11 years day and night. now i can trade very confidently in any international markets like indices, commodities, forex on all time frames with amazing accuracy. only because of price action analysis. only thing i cN GUIDE NEWBIES AND ALL OTHER FRIENDS IS FOCUS MORE ON fIBONACCI SETUPS. i am not here to sell or adverstise my systems, but only to help my felow friends to guide them on right path. I will start my work by this May since i am short of time now, But i will help all of friends here for sure.all the members ,plz dont mail me regarding my systems. as honestly i cant reveal it fully. But i will surely guide you all so that you can design best system.
good luck, shreya

Boy, that's some system you have there. One of a kind really. 95% win ratio with a high risk reward is out of this world! My best regards to your trading.

Just one more thing...why is it that you are still using icharts? I didn't know icharts had a backtest engine.

Thanks Shreya

- Happy for you to learn that after years of hard work you have arrived at successful trading system...good on you...

Just wondering were you able to trade following possible whipsaw?? Did your system guide you to some winning trades in following scenario?

The topic of the Thread starter has not been addressed,other than guys already having a 'System' but for them who are still with indicators,my suggestion is to use 'Ellipse' which is a tool available with all charting software.Ellipse is designed to catch also Time along with Price.
Use the past eastablished Low from there try to catch 1-2 Highs then set the ellipse on chart so whenever on the right side Price gets out of the ellipse trade accordingly.Here also we may need another 'Confirmatory' from support resistance lines.