HDB CCI Trading System

you corect Bev..cci value should be as closely correlated to the instruments volatility(eg. be it alsi or single stock shares) for accurate readings.  as we all know volatility/volume isn't static so some days cci works very well and others not

Hi HDB,  I would just like to add something to your system re CFD trading.  I have come to the conclusion that when looking at different share cci charts, one needs to adjust that cci to suit that particular share.  ie : KIO's cci level would be 60 and like someone said on this forum that WHL is 40 which is spot on.  A few can use the 20-25 level but mostly one would need to adjust that cci timeframe.  

 

I got good entries on APN as well as WHL - hell even KIO gave me some of my losses back using this system.

Yep...I said that a few pages ago..

You have to back test for different ccis to see which suits the share best. For WHL I got 40 by back testing!!

 

Glad you taking money from the thugs who stole from u!!

 

Remember the higher the cci the better the result as you taking more price averages into account!!

Hi HDB,  I would just like to add something to your system re CFD trading.  I have come to the conclusion that when looking at different share cci charts, one needs to adjust that cci to suit that particular share.  ie : KIO's cci level would be 60 and like someone said on this forum that WHL is 40 which is spot on.  A few can use the 20-25 level but mostly one would need to adjust that cci timeframe.  

 

I got good entries on APN as well as WHL - hell even KIO gave me some of my losses back using this system.

Yup! That's how I understand it.

Yes Syris Target of 85p reached @ 11:10.

Out at R1 45310 for 80 points profit.   Will now look for a pullback with a good buy signal.  

Guys do i understand chapter 15 correct. Long @ candle 10:40?

Guys do i understand chapter 15 correct. Long @ candle 10:40?

Yup! That's how I understand it.

My summary of the book below as I understand it:
Please note that the following tricks apply to 3 minute charts as suggested in the book.

Longs:

- Identify trend on 15 minute chart, and see if 3 minute and 5 minute charts agree;
- On bullish pattern, identify prior corrective downtrends and measure the average difference (Symmetry Projection Value) between the highs and lows of those corrective trends. This number will be used to determine the new buy position by subtracting it from the new current high to get the new low/support (opening position for the long);
- The projected support must/will ideally be above the 34ema line;
- CCI 14 and CCI 50 will be used, which must both cross/be above the 0 line;
- Target points for the upside will be 1.272 x Symmetry Projection Value.

Shorts:

- Identify trend on 15 minute chart, and see if 3 minute and 5 minute charts agree;
- On bearish pattern, measure the Symmetry Projection Value by calculating the average difference in highs and lows on the corrective uptrend, and add the value to the current low to determine the resistance/opening position for a short;
- The projected resistance position must/ will ideally be below the 34ema line;
- CCI 14 and CCI 50 will be used, which must cross/be below the 0 line;
- Target is calculated as above to the downside.


Other opinions are welcomed.

Guys do i understand chapter 15 correct. Long @ candle 10:40?

I agree 100% with you HDB.
In fact, That word document titled "The Idea Trade Setup" testifies to what HDB has just said. I was given homework to summarize it and upon approval and agreement by HDB, I am willing to share my summary here.

go for it!!

13 ema seems to be holding up well this morning in this huge up run!!

 

In fact at about 9.50am price tried to break 13ema..cci went to zero and bounced off and so sis the 13ema...Could be used as a pullback to add more!! Amazing hay when you look past history!!

Edited by HDB, 10 June 2014 - 10:33 AM.

Good points!! At least someones adding value here!!
 
basically I see it as follows...
.only longs above 34ema and shorts below 34ema
A touch of the 34 could mean a pullback or reversal!!
 
Slope of 34ema also very impt..However for amount of profit , go to higher time frames top see their signals. If 5 min is upside, go to 10 min and see whats happening there.. If that's also a long, go to higher and higher timeframes eg 1 hour may show we juts going into a long...So possibility that on 5 min much more upside to come!!
 
Does that make sense??

I agree 100% with you HDB.
In fact, That word document titled "The Idea Trade Setup" testifies to what HDB has just said. I was given homework to summarize it and upon approval and agreement by HDB, I am willing to share my summary here.

13ema  is also a good indicator for exits...If  you on a long on break above 34ema...you could seel out when price drops below 13ema!

if you can handle more risk, 20ema could be your next stop!!

macd great indicator as bolt on to any system when trend is established

Wrt exits, I have noticed that only exiting when CCI approaches 0 again is gold. Thanks HDB!
Also a good clue is when the MACD lines cross.

HDB

 

Can you please look into this idea and let us know if it is of any value?

 

Using your system I notice that the 34 EMA is telling us something - The angle of the 34 offers a kind of crystal ball into how good the gain is going to be whether long or short.

 

If the 34 angle suddenly turns steep and the price is able to maintain that same angle / direction for a certain period of time, ie 5-15 minutes then price action is almost always continued in that direction for a certain decent length of time.

 

If this is correct could you possibly develop a filter that takes into consideration the 34 EMA angle and the minimum time period required to maintain that angle - As a predictor and trigger for further momentum to a trade? Added value of this is if 34 is steep and long then you stay out of all shorts and the other way around applies (as you have noted regarding direction).

 

Please scroll through your graph on the SA40 using the 204 SMA, 34 EMA and CCI14 - There is a pattern to see regarding continuing gains made after 34 goes steep and holds its initial steep angle for a few minutes.

 

Can parameters be set for this sort of thing?

 

Thanks

 

Good points!! At least someones adding value here!!

 

basically I see it as follows...

.only longs above 34ema and shorts below 34ema

A touch of the 34 could mean a pullback or reversal!!

 

Slope of 34ema also very impt..However for amount of profit , go to higher time frames top see their signals. If 5 min is upside, go to 10 min and see whats happening there.. If that's also a long, go to higher and higher timeframes eg 1 hour may show we juts going into a long...So possibility that on 5 min much more upside to come!!

 

Does that make sense??

bulls giving it horn!!!

HDB

 

Can you please look into this idea and let us know if it is of any value?

 

Using your system I notice that the 34 EMA is telling us something - The angle of the 34 offers a kind of crystal ball into how good the gain is going to be whether long or short.

 

If the 34 angle suddenly turns steep and the price is able to maintain that same angle / direction for a certain period of time, ie 5-15 minutes then price action is almost always continued in that direction for a certain decent length of time.

 

If this is correct could you possibly develop a filter that takes into consideration the 34 EMA angle and the minimum time period required to maintain that angle - As a predictor and trigger for further momentum to a trade? Added value of this is if 34 is steep and long then you stay out of all shorts and the other way around applies (as you have noted regarding direction).

 

Please scroll through your graph on the SA40 using the 204 SMA, 34 EMA and CCI14 - There is a pattern to see regarding continuing gains made after 34 goes steep and holds its initial steep angle for a few minutes.

 

Can parameters be set for this sort of thing?

 

Thanks

all shorts with stops higher than R1 being stretched away!!  R2 here we come!!

Also most of the indicators are lagging!! follows price

 

From what I have seen, CCI is one of the only indicators that price follows!!

 

I will swear by the 34ema...The power of this ema is absolutely amazing...and I never even considered this 6 months ago!!

This I agree with you 100%!!! Believe me my FX account is showing this

David thanks for your input but I notice that when CCI cuts 0 then the RSI is about where you want it anyway (50). Am I missing it? Thanks

Nope - just another filter to help people enter if they are not sure. Not trying to make it more complex for people as KISS is always the solution, but look at the pic and maybe you can derive something from it.

 

Pls dont abuse me...