BollingerWorm !!!

[columbus]

What software are you using. Why is it showing 29-SEP-2011?

Hi thanibee,

I am using Tradetiger-2 of Sharekhan. 29-9-11 is Expiry date and actual date
is seen at Lower Left.

 

[columbus]

Since the rules are same ,I do not know why Tradetiger-2 is better. I think
it has to do with CANDLES.In tradetiger-2 candles do not have BIG wicks.

The reason for NO WICKS could be fatal today ,we had.

 

[trade4joisar]

Since the rules are same ,I do not know why Tradetiger-2 is better. I think
it has to do with CANDLES.In tradetiger-2 candles do not have BIG wicks.

The reason for NO WICKS could be fatal today ,we had.

What do you mean by this ?

Can you elaborate more with your chart please?

 

[columbus]

What do you mean by this ?

Can you elaborate more with your chart please?

Hi trade4joisar,

Please refer my post #489.For the first time, today,I posted the chart using
Tradetiger.2.Previously I posted all my charts using Tradetiger.1.
Today's chart has no/small wicks.All my previous charts had wicks.Since we had
a fatal fall of more than 200 points,all the wicks might have become part
of solid candle,that could be the reason.

 

[rajesha]

What software are you using. Why is it showing 29-SEP-2011?

29-SEP-2011 is the expiry date of the Contract

 

[murthyavr]

6.If candles are sandwiched between UPPER bands BB(20,2) and BB (20,1)
ride the trend OR LOWER Bands of BB(20,2) and BB (20,1) ride the trend.
If either ema-2H or ema-2L is cut twice by either BB(20,2),BB(20,1) or
SMA-20 in quick succession ,it indicates a END of a trend.Continuation is
indicated if both ema-2H and ema-2L are cut by SMA-20 and/or BB(20,1)
and/or BB(20,2).

If either ema-2H or ema-2L is cut twice by either BB(20,2),BB(20,1) or
SMA-20 in quick succession ,it indicates a END of a trend.

Sir, by "Cut" - do you mean ema2H or ema2L going out of the bands?

Continuation is indicated if both ema-2H and ema-2L are cut by SMA-20 and/or BB(20,1) and/or BB(20,2)

Again here - does the "Cut" mean going out of the bands? (Cut by SMA 20 is understandable).

If you don't mind, can you please post charts for the above two cases?

Thanks..

 

[columbus]

If either ema-2H or ema-2L is cut twice by either BB(20,2),BB(20,1) or
SMA-20 in quick succession ,it indicates a END of a trend.

Sir, by "Cut" - do you mean ema2H or ema2L going out of the bands?

Continuation is indicated if both ema-2H and ema-2L are cut by SMA-20 and/or BB(20,1) and/or BB(20,2)

Again here - does the "Cut" mean going out of the bands? (Cut by SMA 20 is understandable).

If you don't mind, can you please post charts for the above two cases?

Thanks..

Hi murthyAVR,

Here EMA-2H is cut by BB(20,1) Top band at 1 and 2.END of trend.

In another place both EMA-2H & EMA-2L are cut by BB (20,1)Bottom Band
at 5 & 6 ,continuation is indicated at 3 & 4 ,when both are cut by SMA-20.

I hope I have made it clear and one request- please drop SIR in your next
post.

 

[murthyavr]

Here EMA-2H is cut by BB(20,1) Top band at 1 and 2.END of trend.

In another place both EMA-2H & EMA-2L are cut by BB (20,1)Bottom Band
at 5 & 6 ,continuation is indicated at 3 & 4 ,when both are cut by SMA-20.

Dear Columbus,

Yes, it's clear now. Earlier I missed 'either' and the 'and' in your conditions,
and hence the confusion.

Thanks for posting the chart also. It made the understanding much more
easier.



And one more question. There has not been any mention of SL in this method.
Is it not specified? If so, do we keep the SL at the nearest PL/PH + filter?

Thanks..

 

[columbus]

Dear Columbus,
And one more question. There has not been any mention of SL in this method.
Is it not specified? If so, do we keep the SL at the nearest PL/PH + filter?
Thanks..

Dear murthyavr,

Basically I will start with a big SL ,20 points.But this may not be sufficient
in TODAY's move.You can keep the either Top or Bottom lines as stoploss
depending on your position.

 

[columbus]

1.Use standard Bollinger Bands ,that is, bb(20,2).

2.Use ema2-HIGH and ema2-LOW to outline the body of the worm.

3.If the body comes out of bands & re-enters ,then make an ENTRY.

4.The EXIT is, if body comes out the other band and re-enters the body.

5.In case of extreme Bullishness/extreme Bearishness another
pair is used pertaining to BB(20,1) or just for guidance in normal case also.

6.If candles are sandwiched between UPPER bands BB(20,2) and BB (20,1)
ride the trend OR LOWER Bands of BB(20,2) and BB (20,1) ride the trend.
If either ema-2H or ema-2L is cut twice by either BB(20,2),BB(20,1) or
SMA-20 in quick succession ,it indicates a END of a trend.Continuation is
indicated if both ema-2H and ema-2L are cut by SMA-20 and/or BB(20,1)
and/or BB(20,2).