Dec 29 Trends

The latest "Trend Scan". I have only included pairs that have shown up on the daily time frame scan for trending up or down. Perhaps I will make a call for the record to see how I do, based on the home grown indy I have developed.... stay tuned for the next post.

Price Patterns

Here's a simple video on price patterns. It's about the most straight forward one I have seen. It's from a great web site called "Profiting with Forex"

Part 1

Part 2

Part 3

The TREND Scan

A while back I posted this Post. Now I want to know how exactly to interpret what the table was telling me. So I ran the scan for a few months back to see the story the table was telling, and then looked at what happened on the charts. Then I searched for and read the Livermore trading rules. I'm going to take a stab at this with the little research I've done (no back testing etc., just looking through charts to figure out how to use the table).

Here is the scan I ran today on the FOREX market.




Here is what I would do (simulated trading exercise) -

Short all the rows with 3 RED cells except for GBPNZD and GBPCHF. I don't really like the looks of GBPAUD but it looks like it will go red based on the H&S pattern it has completed today, so I would probably short that as well. The prices I would use to short would be based on interday charts but for this exercise, lets say its half way between open and close of the day before. Trailing stops would be the high of the day before.

Long all the rows with 2 GREEN cells. Buy price would be halfway between the open and close of the previous day (or no entry). Trailing stops would be the low of the day before.

I'll record these and see what happens. I wonder what the holiday season trading will be like, if the price levels will be impacted. I figure the volatility will be low.

More info on the screen rules.
The screen is based on the Livermore rules; below is an except from a web site on this trader.

All successful stock and commodity traders have rules for buying and selling. Many traders today still use the trading rules Jesse Livermore first devised almost a century ago.
Jesse Livermore constructed his rules over several years while he learned by trial and error what worked on the markets. He was guided by one of his favorite principles:
"There is nothing new in Wall Street. There can't be because speculation is as old as the hills. Whatever happens in the stock market today has happened before and will happen again."

Trading Rules

• Buy rising stocks and sell falling stocks.
• Do not trade every day of every year. Trade only when the market is clearly bullish or bearish. Trade in the direction of the general market. If it's rising you should be long, if it's falling you should be short.
• Co-ordinate your trading activity with pivot points.
• Only enter a trade after the action of the market confirms your opinion and then enter promptly.
• Continue with trades that show you a profit, end trades that show a loss.
• End trades when it is clear that the trend you are profiting from is over.
• In any sector, trade the leading stock - the one showing the strongest trend.
• Never average losses by, for example, buying more of a stock that has fallen.
• Never meet a margin call - get out of the trade.
• Go long when stocks reach a new high. Sell short when they reach a new low.

Other Useful Trading Guidance

• Don't become an involuntary investor by holding onto stocks whose price has fallen.
• A stock is never too high to buy and never too low to short.
• Markets are never wrong - opinions often are.
• The highest profits are made in trades that show a profit right from the start.
• No trading rules will deliver a profit 100 percent of the time.

Note: The AFL code for this was taken from the Amibroker website, posted by some guy.

The Holiday Season

Merry Christmas.

Have a great time celebrating this holiday season,

and if you don't celebrate during this time of year,

have a great time not celebrating.

All the best to you and your family

Time - When are the markets open?

Here is a handy picture of the globe. Make it your desktop picture!

How to get FOREX quotes from MSN into Amibroker via Amiquote

Amiquote is equipped with an automated download of FOREX from FORAM but only has the majors. I''m interested in USDCAD so this isn't the best solution for me. Yahoo seems to offer only current day. So I tried MSN. I used MSN to download EOD FOREX data and noticed that the USDCAD pair was inverted, as was the CADUSD pair. So I went the next step and obtained a list of currency pairs. I'll list the pairs and then some instructions on how to configure Amibroker/Amiquote to auto download. Some pairs included here are useless, so you might want to trim your database once you've completed this. Then I configured the Amiquote translation table to relate the proper data to the symbols the way it should look. Here are the instructions on how to do this.

Here are the pairs, import this list into Amibroker. Import using "Import Wizard" select the file and set the window up like this screen shot.

Now you have a populated database in Amibroker, but it's empty. Next, click "Tools" "Auto Update", Amiquote opens. Select MSN as the datasource. In AMiquote Select "Tools" Symbol Translation", select "MSN Historical" and copy the following list to the clipboard and paste into the translation table in Amiquote as shown below. Hit OK and select the dates you want to import, then start the download. If you go to far back it will only give you monthly data, so do a long term and then a short term download. You can even try to get data for something like 2005 to 2006 and see if it give you finer resolution.

Copy this list into Amiquote translation table for MSN

AUDCAD,/CADAUD
AUDCHF,/CHFAUD
AUDEUR,/EURAUD
AUDGBP,/GBPAUD
AUDHKD,/HKDAUD
AUDJPY,/JPYAUD
AUDNZD,/NZDAUD
AUDSGD,/SGDAUD
AUDUSD,/USDAUD
CADAUD,/AUDCAD
CADCHF,/CHFCAD
CADEUR,/EURCAD
CADGBP,/GBPCAD
CADHKD,/HKDCAD
CADJPY,/JPYCAD
CADNZD,/NZDCAD
CADSGD,/SGDCAD
CADUSD,/USDCAD
CHFAUD,/AUDCHF
CHFCAD,/CADCHF
CHFEUR,/EURCHF
CHFGBP,/GBPCHF
CHFHKD,/HKDCHF
CHFJPY,/JPYCHF
CHFNZD,/NZDCHF
CHFSGD,/SGDCHF
CHFUSD,/USDCHF
EURAUD,/AUDEUR
EURCAD,/CADEUR
EURCHF,/CHFEUR
EURGBP,/GBPEUR
EURHKD,/HKDEUR
EURJPY,/JPYEUR
EURNZD,/NZDEUR
EURSGD,/SGDEUR
EURUSD,/USDEUR
GBPAUD,/AUDGBP
GBPCAD,/CADGBP
GBPCHF,/CHFGBP
GBPEUR,/EURGBP
GBPHKD,/HKDGBP
GBPJPY,/JPYGBP
GBPNZD,/NZDGBP
GBPSGD,/SGDGBP
GBPUSD,/USDGBP
HKDAUD,/AUDHKD
HKDCAD,/CADHKD
HKDCHF,/CHFHKD
HKDEUR,/EURHKD
HKDGBP,/GBPHKD
HKDJPY,/JPYHKD
HKDNZD,/NZDHKD
HKDSGD,/SGDHKD
HKDUSD,/USDHKD
JPYAUD,/AUDJPY
JPYCAD,/CADJPY
JPYCHF,/CHFJPY
JPYEUR,/EURJPY
JPYGBP,/GBPJPY
JPYHKD,/HKDJPY
JPYNZD,/NZDJPY
JPYSGD,/SGDJPY
JPYUSD,/USDJPY
NZDAUD,/AUDNZD
NZDCAD,/CADNZD
NZDCHF,/CHFNZD
NZDEUR,/EURNZD
NZDGBP,/GBPNZD
NZDHKD,/HKDNZD
NZDJPY,/JPYNZD
NZDSGD,/SGDNZD
NZDUSD,/USDNZD
SGDAUD,/AUDSGD
SGDCAD,/CADSGD
SGDCHF,/CHFSGD
SGDEUR,/EURSGD
SGDGBP,/GBPSGD
SGDHKD,/HKDSGD
SGDJPY,/JPYSGD
SGDNZD,/NZDSGD
SGDUSD,/USDSGD
USDATS,/ATSUSD
USDAUD,/AUDUSD
USDBEF,/BEFUSD
USDBRL,/BRLUSD
USDCAD,/CADUSD
USDCHF,/CHFUSD
USDCNY,/CNYUSD
USDDKK,/DKKUSD
USDESP,/ESPUSD
USDEUR,/EURUSD
USDFIM,/FIMUSD
USDGBP,/GBPUSD
USDHKD,/HKDUSD
USDIDR,/IDRUSD
USDINR,/INRUSD
USDITL,/ITLUSD
USDJPY,/JPYUSD
USDKRW,/KRWUSD
USDMXN,/MXNUSD
USDMYR,/MYRUSD
USDNLG,/NLGUSD
USDNOK,/NOKUSD
USDNZD,/NZDUSD
USDPHP,/PHPUSD
USDPTE,/PTEUSD
USDRUB,/RUBUSD
USDSEK,/SEKUSD
USDSGD,/SGDUSD
USDTHB,/THBUSD
USDTWD,/TWDUSD
USDZAR,/ZARUSD

Let me know if the data looks right to you, or if I'm doing this backwards. If you want the database, it is a 4 meg zip file, send me an email.

Update

Check the Never Ending Post for an update.

FOREX Trend Scan

Here is the Trend Scan for some EOD data for a few FOREX pairs. I currently do not have an easy source to download EOD FOREX data so this is a little painful to have more than the symbols listed.

Daily

Weekly

Notice anything? EURGBP is in an uptrend on all time frames.

Scans by the dozen

Here are some scans of the recent market activity, US only, I don't have enough time to do Canadian tonight.

Trending Scan

The first is a trending scan. The trend is your friend. If your into buy and hold, this is for you. These are leaders. Someone said to me once "follow the leader", I replied "sure thing, as long as they're going in the direction I want to go!" This applies to stock too. Here's a pic of the scan, click to get it from google thing-a-ma-jig.


Here is the "All-in-one-scan" that I posted when this blog first started.

Here it is.