Ghosts:
This regrettable tendency to rewrite history is one of the least endearing characteristics of John Person's Proprietary Signal, one that makes it very difficult to trade. One way of dealing with it, I think, would be to insist upon waiting until two days after appearance of the signal before acting on it, ensuring that it has also been confirmed by a price movement.
But that waiting period can give up a lot of potential profit and negates the value of the pps over something open source, like the psar or the macd or the stochastic.
Awaiting confirmation, bear:
- EUR/CHF, 5/3. I would want to see a move below range before declaring it confirmed. Downside pivot at SF1.399
- GBP/CHF, 5/3. Moved up and showing a pps bull signal. So, unconfirmed on the downside and not yet confirmed on the upside. The upper pivotr is SF1.707.
Forex currency pairs showing parabolic sar bear signals:
A smart trader would exit the euro signals today because of the sharp downward moves. But I'll keep them active on the Watchlist in order to see what happens.
Technical Analysis Explained : The Successful Investor's Guide to Spotting Investment Trends and Turning Points
Technical analyst Martin Pring reveals the secrets of the craft. No trader should be without this book.
A note on method: For stocks, I choose among signals, only watching those that meet a set of criteria aimed at moving the probabilities more in my favor.
For the 16 forex pairs I follow, I watch all signals, even when the trend is weak and the whipsaws likely.
Abbreviations:
psar - Parabolic Stop and Reverse
pps - Person's Proprietary Signal
New to private trading? Here's a look at How to Become a Private Trader.
No comments:
Post a Comment