Welcome to NexusFi: the best trading community on the planet, with over 150,000 members Sign Up Now for Free
Genuine reviews from real traders, not fake reviews from stealth vendors
Quality education from leading professional traders
We are a friendly, helpful, and positive community
We do not tolerate rude behavior, trolling, or vendors advertising in posts
We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community. It's free for basic access, or support us by becoming an Elite Member -- see if you qualify for a discount below.
-- Big Mike, Site Administrator
(If you already have an account, login at the top of the page)
Interesting, but I think stupid. I'll warn that I didn't even click the link, because trading without price is stupid. I thought I'd spend my time writing a reply instead of watching the video
The point to remember is that anyone can make money some of the time. It is not hard to make money.
You can go long and your signal is nothing more than you got "lucky" last night. You feel good so you go long, and its a winner. You may say, oh this is good, I trade better after getting "lucky". So you do it again the next time you get "lucky", and its a winner.
Random distribution.
Just like you can flip a quarter 1000 times and you may get streaks of heads,heads,heads,heads all together -- it doesn't mean that you can predict what the next flip will be.
It's also like guys at the Exchange who have their lucky tie, or lucky shirt. They wear that damn thing until it should be burned, and they do it because they believe they were a winner when they wore it, and once when they didn't wear it they were a loser.
Let's say you put on a long trade once after you failed to get "lucky" the night before. The trade loses. Now what?
So the point is, just because some event (no matte what the event is) happens a few times does not mean it is smart, or an edge, or reproducible. If this guy can trade without price and just a CCI and he can do it for an extended period of time, then he should be ruling the world in short order.
Of course it is possible, but you lose some information. All price based indicators reduce information contained in price, and only show you part of it. The same is true for our brains, it extracts information from price action and generates a highly subjective image. If you cannot trust your brains, you may well use your computer to transform price into something else. You may even take this concept further and just plot a green vertical line for "enter long", a red vertical line for "enter short" and a yellow vertical line for "exit position". Your task would then be to press the button, once the signal occurs. You could then also delegate this task to your computer and focus on improving your coffee supplies.
Update: I watched a few seconds of the video. I stand by the belief that trading off a CCI and not price is foolish at best.
I also always say that what works for me is likely to not work for you, and what works for you is likely to not work for me. Every trader has to find their own way. But I think a method like this is far, far off the path
It's the famous Woodies CCI I think, 8 or 9 patterns, no price, no defined targets (the opposite entry signal is the target), I forgot if their was something defined for stop losses...
I knew a guy (just one) who was successful with this stuff, but with the prices somewhere, and he was managing his stops, use few of these patterns, ...,
Yes, that is the Woodies CCI. I took a look at it a couple of years back since it was a radical idea. It is attactive since it looks deceptively simple.
The platform they used had tick replay, which I was interested in testing, so I called the broker to get a demo account. He was of course very enthusiastic about getting me set up and asked where I had heard about the package. When I said "Woodies CCI" you could hear the wind come out of his sails. That alone told me what I needed to know.
Trading on indicators without price? That's completely backwards.
Keeping things uncluttered and minimal sounds nice, but it's a slippery slope. If you start trading without price, soon you will be trying to figure out how to trade without money. Next you'll be trading your dignity for a chance at finding a half-eaten hamburger in a dumpster.