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Author Topic: TrendLine Trading with or without the Magic Wand  (Read 14078 times)

Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #30 on: June 06, 2018, 07:13:34 AM »
The Magic Wand in Action

I have prepared a 30 min video showing how I use the Magic Wand with price action analysis for what I call trendline trading. Using an analysis of the GPBJPY from today as an example.

You can view it here

https://www.screencast.com/t/RYitUPkmvMgB


Purchase your copy from here  http://exceptionalfx.com/magic-wand/

or for a 2 month trial till end July 2018 pay USD$10 to https://www.paypal.me/diyforexskills  50% will go to donna in support of the Forum

GBPJPY

In the video I showed a setup for the GBPJPY. Given the pin bar on the Weekly I said I was nervous about pulling the trigger on a Sell. If I did not have the Magic Wand I might have placed a sell limit order on the Resistance line as shown with arrow, and it might have just triggered. But that would end up as a loss if price continues to push higher.

But with the Magic Wand I was able to place an upward sloping sell stop line instead. In this way I will only be triggered if price indeed goes back down and crosses that line at close of day. If it does not, I will have avoided a loss; if it does, I will still be getting in at quite a good price.

That to me is the advantage of using trendline trading with the Magic Wand.
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #31 on: June 10, 2018, 06:20:10 AM »
USDCHF and GBPJPY and FREE TRIAL

Neither of these setups have been triggered as yet.

The GJ touched the sell stop line but retreated at the close. The Magic Wand has been set to require a close below the sell stop line before entering the trade and hence no trade has been entered. Maybe this week. The pound is still under pressure and the market seems to be risk off again thus favouring the safe haven Yen.
The USDCHF is still deciding which way to go. We can afford to wait.

I am off on holidays this week till end July so why not give the Magic Wand EA a try for free till then. Try it out on demo and have some fun; practice reading the charts for S and R zones and trendlines; any timeframe will do. The EA file is attached.

You can view the instructional video here

https://www.screencast.com/t/RYitUPkmvMgB

And access the user Guide from here  http://exceptionalfx.com/magic-wand/
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #32 on: November 02, 2018, 10:49:36 PM »
Double TrendLine Principle

An interesting manual trading strategy has been posted by the Traders Academy Club. You can watch it here.
https://youtu.be/9qwAk9h3Hds

It interested me because it is simple and it is ideal for semi-automation using the Magic Wand EA.
http://exceptionalfx.com/magic-wand/

So instead of drawing the trendlines and confirming the trade entry with divergence, and then waiting patiently until price breaks the trendline, you can make the trendline the entry trigger using the Magic Wand and set the SL, TP and partial close etc as soon as the potential entry conditions have been confirmed. Then you can rest easy, go to sleep or whatever.

The two key screenshots from the video are shown below.
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #33 on: November 11, 2018, 05:44:04 AM »
Double TrendLine Principle

An interesting manual trading strategy has been posted by the Traders Academy Club. You can watch it here.
https://youtu.be/9qwAk9h3Hds

It interested me because it is simple and it is ideal for semi-automation using the Magic Wand EA.
http://exceptionalfx.com/magic-wand/

So instead of drawing the trendlines and confirming the trade entry with divergence, and then waiting patiently until price breaks the trendline, you can make the trendline the entry trigger using the Magic Wand and set the SL, TP and partial close etc as soon as the potential entry conditions have been confirmed. Then you can rest easy, go to sleep or whatever.

The two key screenshots from the video are shown below.

The GBPUSD provided a textbook example of how to apply this strategy last week.

1. Wait for price to almost retrace back to resistance trendline on Daily

2. Check for divergence between price and MACD on H4

3. With divergence confirmed, enter a Sell on break of H4 support trendline

4. SL above daily trendline; TP could be as low as previous low. I took profit before weekend. (Given the Brexit news today, should have left the Sell trade open I think!   :)
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #34 on: November 16, 2018, 06:53:45 AM »
For a limited time you can now purchase the Magic Wand and any of my four products for half price.

Magic Wand http://exceptionalfx.com/magic-wand/ $40

(What is so good about manual trading with the Magic Wand?

Simply put, it means that you can place dynamic entry and exit points based on your own trendline analysis of the charts, and have the Magic Wand EA enter and manage the trade for you while you sleep or are otherwise occupied. You can also do all the analysis and place all the setups over the weekend if that is the only time you can devote to trading.)


FX Autotrader Elite http://www.fxautotraderelite.com/  $150

DIY Trade Manager Plus http://diytrademanagerplus.com/  $40

EA Controller http://exceptionalfx.com/ea-controller/  $40

(Free upgrades for the Autotrader and TM will be made available by mid-December)
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #35 on: November 30, 2018, 07:48:12 AM »
Possible Setup

If we examine the EURJPY chart we will see an uptrend and a more recent sharper one; and what now appears as a double top.

The theory now is that price should revert back to the longer term uptrend line.

So I have employed the Magic Wand and set the Sell Stop entry, tp,and sl trendlines (TLs) as shown.

The beauty of the Magic Wand is that we can set entry and TP targets as dynamic sloping trendlines rather than having to rely on fixed horizontal levels.

And now we wait to see what happens. It's a good reward to risk ratio trade setup.
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #36 on: November 30, 2018, 08:55:53 AM »
Possible Setup

If we examine the EURJPY chart we will see an uptrend and a more recent sharper one; and what now appears as a double top.

The theory now is that price should revert back to the longer term uptrend line.

So I have employed the Magic Wand and set the Sell Stop entry, tp,and sl trendlines (TLs) as shown.

The beauty of the Magic Wand is that we can set entry and TP targets as dynamic sloping trendlines rather than having to rely on fixed horizontal levels.

And now we wait to see what happens. It's a good reward to risk ratio trade setup.

.... one thing I had not looked at in my hurry was to look for major S/R zones such as the big round numbers. In this case 129.00.

I have now added that line and that makes this setup somewhat questionable - has R turned into S??   We'll soon see. I had almost been triggered but price is now moving back up, spurned by 129.00
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online FLechdrop

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Re: TrendLine Trading with or without the Magic Wand
« Reply #37 on: November 30, 2018, 12:09:43 PM »
Thank you for sharing your ideas here. I will perhaps/hopefully get around to setting up my first Magic Wand trade this weekend.

For this one: you could of course adjust your sell trigger a bit below 129. And add a buy trigger in case you were wrong.
« Last Edit: November 30, 2018, 12:11:33 PM by FLechdrop »

Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #38 on: November 30, 2018, 09:38:59 PM »
Thank you for sharing your ideas here. I will perhaps/hopefully get around to setting up my first Magic Wand trade this weekend.

For this one: you could of course adjust your sell trigger a bit below 129. And add a buy trigger in case you were wrong.

Yes, probably should have, but it worked! Had entry set to "At candle close". Nice 42 pip profit.
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online FLechdrop

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Re: TrendLine Trading with or without the Magic Wand
« Reply #39 on: November 30, 2018, 10:12:41 PM »
Wow! Great result. And great advertisement for your Magic Wand!

Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #40 on: December 01, 2018, 12:29:15 AM »
And another...

We had a similar setup to EURJPY on the EURCAD last night. In that case, instead of the double top signifying a possible reversal and providing a SL zone, we had a Resistance line from the Daily to bolster a case for the Sell. And we also had a bearish divergence with MACD on the H1.

Both I feel, are worth looking for with these types of setups - so trade on H1 with the two TLs (longer and shorter) and check for divergence also; and look for clues on the Daily to help confirm or otherwise.

http://exceptionalfx.com/magic-wand/
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #41 on: December 02, 2018, 05:15:51 AM »
My setups for next week

Now that the FXAE BB EAs are off and running and under Control (https://donnaforex.com/index.php?topic=20211.msg383005#msg383005 ), I can devote some more time to manual trading. So I have spent some 30 mins today and came up with these setups and have identified another possible two; they need more time to develop so will check back on Tuesday.

On the charts the orange lines are the entry TLs, the green the TP and the red, the SL trendlines to be used by the Magic Wand. In a couple of them I am also adding scale-ins, either at - pips or + pips and managing closure by Basket.  Grey lines are S/R zones from the Daily that I am alert to.

Currently I am doing this on demo. If all goes to plan I will open a live account for this style of Magic Wand trading and make the link available.
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #42 on: December 03, 2018, 08:04:14 AM »
Weekend gapped

The weekend gap caused by the China/US agreement to be nice to each other for a while, rendered my four setups (see last Post) irrelevant.
EJ did get triggered but led to only a 5 pip loss, so not a problem. The other three were not triggered and are now invalid. However, with two of them I have just moved the TLs to reflect the new sharp upward TL and looking for the new TL breaks.

On my pending setup I had a nice downward channel on CADJPY, for which i was awaiting a sell confirmation, but instead that pair has broken the channel to the upside.

And now I need to keep my discipline and not rush into further setups; weekedn gaps often get filled within a short while. So too risky.
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #43 on: December 05, 2018, 11:20:55 PM »
Be Vigilant with Named Trendlines

When trading with the Magic Wand we use the trendline tool to draw lines which we then name as buy stop, sell stop, buy limit, sell limit, tp or sl.
The Magic Wand EA acts on these named trendlines.

These named lines will stay on the chart if the trade is not triggered for any reason, and they will be invisible if we switch charts to another currency pair. But the EA will see them and act on them !!!!!

Consequently I have had several trades closed almost instantly when in fact they should not have been closed and would have yielded a profit.

So some rules:

1. Delete any named trendline that is not being used.
2. On any new chart opened for Magic Wand trading, check Object List (from right click anywhere on chart) and delete any named trendline that shows up.
3. Consider using non-Ray trendlines (in Trendline Parameters, uncheck the Ray box). This means that these trendlines are time-bound as shown on the image (for GBPAUD H1) and so they cannot interfere during future trading period. Of course they need to be long enough for the setup to activate and be completed. In top image I had entry line (orange) too long since trade could trigger at time when there was no sl or tp line. Bottom image is what is needed.
4. Be especially careful if at one point you are trading on the Daily and then switch to hourly. A short trendline on the Daily is a long trendline on the hourly.
5. rather than switching currency pairs on the same chart for a new setup, consider closing the chart used once trade is completed, and then opening a new chart for the next trade setup.
6. Never save a chart with trendlines as tpl file and apply to a new chart of different currency. The original lines won't show (you would not want them too) but they are there, and the Magic Wand will act on any named trendlines visible or not.
« Last Edit: December 05, 2018, 11:27:38 PM by diyforexskills »
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




Online diyforexskills

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Re: TrendLine Trading with or without the Magic Wand
« Reply #44 on: December 06, 2018, 01:46:40 AM »
So far so good

Am finding it relatively easy to look at charts from time to time and see reasonable setups. Just trading 0.01 lots at this stage as I learn.

And performance curve is positive as per image thus far.

And here is a thought. If we trade on demo and copy to live using the FX Blue Trade Copier, we can use the Controller to control the copying (the FX Blue Trade Copier has been programmed to be controllable by the EA Controller.) So copy only when we are being successful with the Magic Wand and stop copying when we lose our touch - become too greedy, take too many questionable setups etc.

Please see previous Post for important info re "named" trendlines when using the Magic Wand EA.
Information and product page - http://www.diyforexskills.com/forex-tools/

Live trading accounts
https://www.fxblue.com/users/sydap2003axilive (FXAE Bollinger Band EAs)
https://www.fxblue.com/users/sydapaxilivepro (Magic Wand Trading) Not trading with this at the moment.




 

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