Re: Ichi KISS
There is one thing I hold with great disdain and that people using worn out cliches. I totally dislike them, and I have absolutely no use for them. Usually the one throwing around the cliche has no personal conviction about what they believe in, and no personal experience to imitate. In the trading world, ones that come up with these cliches have either e-books to sell or some online seminar.
KISS: Keep it simple stupid. The one that came up with this way of trading ichimoku changed it to "keep it simple for success. After all he didn't want to offend anyone, and he had to be "politically correct." (I'm getting sick.... already.)
First misnomer: There is nothing simple about trading. Trading takes hard work and personal commitment. It has to be treated like a business.
So, when someone uses that acronym, right off the bat, flags should go up.
If that sound like I'm setting this up, I might be. I'm blowing this concept out of the water before I even get to the proof.
The guy that came up with this concept does not know what he is talking about. He calls the lines on the senkou span A&B and the tenken and kijun moving averages. There are no moving averages involved in the ichimoku cloud!!!!
Moving averages are just that. It is an average of x amount of candles. With each movement of the market, the MA moves because the average gets adjusted. I already gave the formulas for everything except the chinkou (Up to his point.), so I'll just use the tenken as an example. Simply put, you take the high and low of the last x candles, draw a line in the middle of those 2 points and that is your reading. Default settings are 9 in the case of the tenken. The line is not changing until the high or low changes. Thus, it is not moving, and it is not an average.
Let me hit one more item, and then I will get to the the KISS concept. These guys that know how to enunciate these theories behind the security of their computer screen cannot begin to carry on an intelligent conversation about them in real life. Why? Because it is all theory. It is nothing but idle diatribe that they memorized. Want some live proof? I talked to someone on the phone who wanted to sell me his mechanical indicator package. I played the ignorant newbie, so the guy got to lay it on thick. After he did that, I came out of my shell and started asking him some intelligent questions, but with a spin. All of a sudden he started stammering, and then I needed to talk to his manager who was going to be in the following day.
(I'll give the name of that company in a PM, but in an open forum, I don't want it to appear I'm just spueing around dirt.)
Now, for the KISS concept.
Let's first ask ourselves if the designer of the ichimoku indicator knew what he was doing when he originally came up with the blueprint for the indicator. The answer would obviously be "yes".
Therefore, would each element carry its importance or significance? "Yes."
Should we throw out the tenken and the chinkou in order to simplify the indicator? "No."
There must be a reason the tenken and chinkou are there to begin with.
The ones that came up with the KISS concept came up with nothing more than a cheap inondated crossover system that is guaranteed to yield negative pips. They have eliminated the chinkou and tenken and said the time to trade is when the candle has passed over or under the kijun and the cloud. The makers of the KISS garbage concept are saying to get out when the candle has reentered the cloud. What if you are sleeping when the candle has reentered the cloud?
These same people that advertise for this will take a market like the EUR/USD, and show how wonderful their system is and all the pips you would have made following it. Open your chart to the daily and count up all the pips you are going to loose if you wait for it to cross into the cloud.
These same people that advertise for this KISS concept have no idea how to use the ichimoku to tell you in advance where the market is headed such as what we did in the 17th insertion of the ichimoku series.
That move was forecasted while the candle was on top of the cloud, and I gave my reasons.
The request for this insanity was sent to me privately. The funny thing is I made the 17th insertion of the ichimoku before I got the message concerning KISS.
One more thing, and then I'll see if I can publish this post as a book--lol. Under normal market conditions try to look for your entries using the way the system is espoused. Demo trade, using the strict mandates of this so-called, "simple system". Tell me what your result are.
I'm going to repeat myself. Trading requires a due diligence and dedication. There is nothing easy about it. There is no success in trading by just trying to mirror someone else's efforts (Especially those trying to sell e-books or online seminars--lol.). Trading is a personal conviction, and the successful trader can enunciate exactly why he trades the way he does and why certain indicators are used and how he uses them.
I got into a conversation yesterday with a couple of our friends, Vikrit and Ashwani. The point of our conversation is there is no mechanical way to trade any system or indicator. Now, that is some wisdom that you get free of charge right here at Traderji. Not just worn out diatribe.
Someone asked me about that concept, and so that will be my next insertion.
Just to wet your appetite, I don't like it, and I'll explain why.
This is another one of the great ways to sell e-books and online seminars.
Someone also asked me if daytrading is so good, then why are so many people against it.
The answer is simple. You're not talking to the right people. Either they have their personal biases (Nothing wrong with that.), and they prefer positional trading, and so their dogma is to infuse that concept (Which is a problem, because we are all different.)
The other type are the ones who have failed, and they believe there is no way to be successful and daytrade.
The ones you need to talk to are the ones who are successful doing it with no ulterior motive. They are the guiding lights, and we do have a few of those right here in this forum.
Those are the kind of questions I wish were asked by the one doing the questioning that they would ask in this open forum.
For now, it's time to visit the sandman.
