• Australian (ASX) Stock Market Forum

Hello and welcome to Aussie Stock Forums!

To gain full access you must register. Registration is free and takes only a few seconds to complete.

Already a member? Log in here.

Simulated/Hypothetical trades

Discussion in 'Trading Strategies/Systems' started by pavilion103, Mar 14, 2011.

  1. AlterEgo

    AlterEgo

    Posts:
    500
    Likes Received:
    7
    Joined:
    May 24, 2008
    You may not be aware of it, but there is a version of VSA written for Amibroker. Karthik Marar from www.vpanalysis.blogspot.com wrote it, but the link from that website appears to be dead at the moment. It's available on 4shared.com though. Try http://www.4shared.com/file/QHsclq7a/VPA_V11.htm

    I haven't used it myself yet, so let me know how you go with it.
     
  2. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    Mate, that is sensational.
    I'm not sure how to remove the "open" from the bar so that is only has the high, low and close but I posted this in the Amibroker thread.

    This chart is really fantastic though for someone like me starting out and points out some obvious things that I may have missed by just looking at it on my own.

    Thanks :)
     
  3. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    How does this one look?

    Explanation on the chart.

    (in addition, how does the stop loss look? Is it much too far away at 10.37%? I'm not sure where else to put it other than just below the support line)

    Also, how does the layout of my analysis look? Does it summarise the trade well for someone to be able to read it and make sense of it? Or is there too much analysis? (obviously some of those numbers are zero because the price hasn't moved yet)

    MHM1.png
     
  4. tech/a

    tech/a No Ordinary Duck

    Posts:
    19,138
    Likes Received:
    3,085
    Joined:
    Oct 14, 2004
    Yes be very very careful.

    The code used for VSA that I have seen and written for Amibroker is often in correct.
    it was written by someone who didn't have a sound understanding of the method.

    Often signals are generated by a combination of bars and volume--this was missed by the author.

    What do the red arrows represent in the chart above?

    There are so many points noted on that VSA chart how the hell do you read it???
     
  5. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    I had a couple of concerns with this one:

    1. Not sure where to put the stop loss. I put it 1 tick below the low of today's close (which is also just below the resistance/support level)

    2. Should I be concerned about the overhead resistance (top orange line)?

    TSE.png
     

    Attached Files:

  6. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    Ok I sorted it out. I've removed the open bar and also added some code to make the background black to I can actually see it a bit clearer with all those bright colours. Let me know if you need a hand :)
     
  7. tech/a

    tech/a No Ordinary Duck

    Posts:
    19,138
    Likes Received:
    3,085
    Joined:
    Oct 14, 2004
    Both trades taken too early in my opinion.
    There is no proof that there is a breakout.
    High volume at a point/area of resistance
    needs to be proven.
     
  8. captain black

    captain black

    Posts:
    1,281
    Likes Received:
    745
    Joined:
    Oct 24, 2005
    It may have been mentioned somewhere else so apologies if it has, but there's an Amibroker VSA yahoo group worth subscribing to if that's the/a direction you're heading. There's some great code in the "files" section along with the VSA code for Amibroker mentioned earlier in this thread.

    http://finance.groups.yahoo.com/group/Amibroker-VSA/
     
  9. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    Ok I will be careful when looking at it.

    Red arrows on the chart are simply when it breaks below the 2xATR moving average (I should remove the arrows if I can work out how to, I probably don't need them to be honest)

    I have no idea what some of the stuff on the VSA chart is. All I am using it for is the bars and the notes on "volume, spread, close" and general notes which may get me thinking a bit of things I hadn't considered.
     
  10. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    Ok. Based on your advice I need to make sure:
    1. I don't analyse a bar in isolation (which I have been trying to do now)
    2. Don't enter a trade too early simply because it broke through a resistance level on high volume.

    I guess it depends on price action in the next few days, but as a general rule, would a large number of trades either be confirmed or rejected the following day or two (in both of these chart examples?)
     
  11. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    Thanks Captain Black. I'll take a look mate.
     
  12. tech/a

    tech/a No Ordinary Duck

    Posts:
    19,138
    Likes Received:
    3,085
    Joined:
    Oct 14, 2004
    (1) dont use amibroker VSA formulas they are wrong.
    (2) learn how to trade VSA before you plot it on charts.
    (3) If you really must plot it on charts buy the real stuff
    Tradeguider or even better wait for Todd Kruger's new software.
    (4) keep at it only 9950 hrs to go.
     
  13. captain black

    captain black

    Posts:
    1,281
    Likes Received:
    745
    Joined:
    Oct 24, 2005
    No probs, all the AFL code in the files section is open and publically available so is easy to customise to whatever you may need and you'll find the group quite open to discussion.
     
  14. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    What do you mean by (2)? Are you saying I need to be able to make my own judgements in terms of volume, spread, the meaning of bars in conjunction with the previous few bars, identifying uptrusts etc..?

    I don't really feel that I need to plot them. I'm just trying to work out how best to learn it. Are you saying it's more useful for my education if I can try to identify strength and weankess first without the relying on the program?
     
  15. Wysiwyg

    Wysiwyg Everyone wants money

    Posts:
    8,424
    Likes Received:
    260
    Joined:
    Aug 8, 2006
    Greetings.

    Am interested in the AFL for the boxes below. Have not seen that anywhere but it looks like something from Brian at Tipster Trendlines. Am hoping you can direct me to the AFL please.
     

    Attached Files:

  16. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    Hey mate,
    Those boxes are actually part of an excel file that I created myself, that I track my simulated trades in (I am just starting out).

    The screen shot is simply a cut and paste. I took a screen shot of the Amibroker chart and then pages the cells from my excel file on top of it . So no Amibroker formula or anything for.
     
  17. tech/a

    tech/a No Ordinary Duck

    Posts:
    19,138
    Likes Received:
    3,085
    Joined:
    Oct 14, 2004
    Yes Of course.
    There is no better computer than the grey matter.
     
  18. Wysiwyg

    Wysiwyg Everyone wants money

    Posts:
    8,424
    Likes Received:
    260
    Joined:
    Aug 8, 2006
    Righto then. :)
     
  19. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    This is a trade I did NOT take.

    I'm more interested in working out where I would place a stop loss had I taken this trade. The level of resistance is too far away (11.6%). The red line represents 1 tick above the low of the previous day (5.3%).
    I am struggling to get my head around where to place stops. At the moment I've only been placing them just behind support/resistance levels.

    PLA.jpg
     
  20. pavilion103

    pavilion103

    Posts:
    3,278
    Likes Received:
    8
    Joined:
    Dec 14, 2010
    I'm very interest in trying to work out this one.

    Big up day on high volume with a very wide spread, followed by an upthrust on high volume which then failed to continue downward. I'm not sure what it means that the last bar was on high volume (this bar seems bullish to me). I'm not sure how to interpret these 3 bars in conjunction with one another.

    TRH.jpg
     
Loading...

Share This Page