Backtesting Part 2: Testing Your Trading System in 3 Easy StepsIn my earlier article, " Proving Your Trading System with Backtesting ", I outlined the HOWs and WHYs of backtesting. Does your trading system work under all conditions? Under what conditions might it *not* work? Can you remove those instances from your plan? Under what conditions might you *improve* your win rate? In another article, " The Unexamined Trader ", Just as an unexamined life is not worth living, the unexamined trader should not be trading a system that has not been tested under every market condition (and I mean TORTURE tested under HUNDREDS of trades).
This video will show you HOW you can backtest your own system over time, determine its results, and refine it until it is bulletproof (or marketproof!).
All you need is a Trading System, a Spreadsheet, and a great trading platform (ahem, like TradingView) :-)
It will take some time and effort, but like everything else in life, if you don't put in the work, you won't get the results. And if you put in the work, you won't have to put a DIME of your precious capital into the market until you are CONFIDENT that your system will multiply that money in your account rather than feed the market monster.
I hope you enjoy the video... but more importantly I hope it will help you become a better trader. If this was beneficial to you please feel free to leave a like, a follow, or a comment... I'd love to hear from you and stay in touch as we all move forward in our trading journeys!
Trade hard, and trade well!
-Anthony
Community ideas
How to use the "RSI cyclic smoothed v2" indicator to spot turnsThis tutorial explains how to use the public and open indicator published as "RSI cyclic smoothed v2" in regards to spot market turns. By using the same indicator tuned at the market vibration and using divergence signals to confirm market turns.
As written here:
Based on the community feedback, I wanted to share more insights on how to use this indicator on the chart.
How to secure your account and enable two-factor authenticationThe TradingView team is constantly working to ensure your account is secure and well-protected. In this video, we share some tips and tricks for keeping your account as secure as possible. Below, we've also included five things you can do right now to secure your account:
1. Set up two-factor authentication! This is a highly effective way to protect your account because it adds another layer of security to your account. We recommend that you enable 2-factor authentication in your profile settings right now.
2. Do not use one password for all sites and applications. If you do this, a breach of security on one site could mean a breach for all of the sites and applications you use.
3. Use strong passwords. Your password should be difficult to guess. We recommend using a randomly generated password with a length of 12 characters and more.
4. Use the official TradingView app. It's in the Google Play Store for Android and App Store for iOS.
5. Avoid using third-party services. Never enter your TradingView account login credentials anywhere else.
Thanks for reading and we hope this tutorial helped. You can leave questions or comments below. Our team will do their best to support you as soon as possible.
How to find the best trending momentum stocks across the globeHave been asked a few times how to find stocks that are in a nice steady uptrend across multiple markets.
A super simple way is to use the built in TradingView screener, add some moving averages to your chart, and then set your yearly, monthly, and optionally weekly performance values to filter the list down to a manageable number. Look through the results for stocks where the price and the moving averages are all running together nicely in parallel. The whole slow and steady approach.
Once you have a list of suitable stocks in your watch list you can then go through them and work out which ones to potentially buy based on your own criteria.
I typically look for stocks with an RSI pointing up but between 55 ( shows momentum) and 65 (not yet over valued) that have had a bit of a pullback recently, but look like they are heading up again.
Super simple strategy anyone can follow and understand. Try it and see what you find.
One of those the trend is your friend kind of things :)
Quick Tutorial - Setting up Alerts on the TradingView PlatformQuick overview how to use the Alerts tab on the TradingView Platform to send trading signal alerts from the indicators you have on your chart - To:
Your mobile phone, TradingView App
Pop up on your Chart
Email
Simple and easy setup so you dont miss those important trading signals
GBP/JPY, EUR/JPY and USD/CAD on watch for me today.GBP/JPY:
• If price pushes up to and ideally just above our upper trend line and the last part of the move is corrective, then I'll be looking for a risk entry after a phase line break on either the one hour or the fifteen minute chart.
• If price pushes up impulsively to and ideally just above our upper trend line, then I'll be waiting for a convincing push back down below our rayline followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If price pushes up to and ideally just above our rayline, then regardless of how price does so I'll be waiting for a convincing push back down followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If none of these setups present themselves then I will simply wait until another setup which meets my plan materialises.
• If there's any ambiguity then I will not place any of these trades.
EUR/JPY
• If price pushes up to and ideally just above our upper trend line and the last part of the move is corrective, then I'll be looking for a risk entry after a phase line break on either the one hour or the fifteen minute chart.
• If price pushes up impulsively to and ideally just above our upper trend line, then I'll be waiting for a convincing push back down below our rayline followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If price pushes up to and ideally just above our rayline, then regardless of how price does so I'll be waiting for a convincing push back down followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If none of these setups present themselves then I will simply wait until another setup which meets my plan materialises.
• If there's any ambiguity then I will not place any of these trades.
USD/CAD
• If price pushes down to and ideally just below our lower trend line and the last part of the move is corrective, then I'll be looking for a risk entry after a phase line break on either the one hour or the fifteen minute chart.
• If price pushes down to and ideally just below our lower rayline, then regardless of how price does so I'll be waiting for a convincing push back up followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If price only pushes down to our upper rayline, then again regardless of how price does so I'll be waiting for a convincing push back up followed by a tight flag where I'll again be looking for a reduced risk entry on the break of the flag.
• If none of these setups present themselves then I will simply wait until another setup which meets my plan materialises.
• If there's any ambiguity then I will not place any of these trades.
How To Trade Around NewsOne of the common mistakes I see is traders chasing the market around news.
Trading news is a game that we simply cannot play as humans. That game should be left to the algo's who have much deeper pockets and better tech.
This doesn't mean you can't find high probability trades around news, but they may not be what you think they are.
Let us know what you think or what your strategy is around news events.
NZD/USD and GBP/USD on watch for me today.NZD/USD:
• If price pushes up to and ideally just above our upper trend line and the last part of the move is corrective, then I'll be looking for a risk entry after a phase line break on either the one hour or the fifteen minute chart.
• If price pushes up impulsively to and ideally just above our upper trend line , then I'll be waiting for a convincing push back down below our rayline followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If price pushes up to and ideally just above our rayline, then regardless of how price does so I'll be waiting for a convincing push back down followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If neither of these setups present themselves then I will simply wait until another setup which meets my plan materialises.
• If there's any ambiguity then I will not place any of these trades.
GBP/USD:
• If price pushes up to and ideally just above our upper trend line and the last part of the move is corrective, then I'll be looking for a risk entry after a phase line break on either the one hour or the fifteen minute chart.
• If price pushes up impulsively to and ideally just above our upper trend line , then I'll be waiting for a convincing push back down below our rayline followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If price pushes up to and ideally just above our rayline, then regardless of how price does so I'll be waiting for a convincing push back down followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If none of these setups present themselves then I will simply wait until another setup which meets my plan materialises.
• If there's any ambiguity then I will not place any of these trades.
How To Trade Holiday's and Low Volume EnvironmentsOne big problem that I see from traders is 'chasing' the market. Chasing simply means watching the market go in one direction, and trying to join the move after it's already showed it's hand.
In low volume environments (and holidays), the market likes to revert back to the middle. This leaves traders with losses and frustration.
Don't let that happen to you!
GBP/USD on watch for me today.GBP/USD:
• If price pushes up to and ideally just above our upper trend line and the last part of the move is corrective, then I'll be looking for a risk entry after a phase line break on either the one hour or the fifteen minute chart because we will have had a completed three touch structure.
• If price pushes up impulsively to and ideally just above either our upper trend line, our upper rayline or our lower rayline, then I'll be waiting for a convincing push back down followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag and if the flag forms just below our lower rayline as illustrated I'll be hiding my stop loss above it for extra protection as illustrated.
• If price pushes up to and ideally just above our lower rayline, then regardless of how price does so I'll be waiting for a convincing push back down followed by a tight flag where I'll be looking for a reduced risk entry on the break of the flag.
• If none of these setups present themselves then I will simply wait until another setup which meets my plan materialises.
• If there's any ambiguity then I will not place any of these trades.
Trading Psychology: Over Leveraged Trading Hello traders:
Welcome back for a quick educational video on over leveraged trading. This ties with Trading Psychology greatly, and I want to elaborate on this a bit more to give new and experienced traders my understanding on this topic.
It's important to know that leverage can work for you as well as against you. You may already hear this a lot when you open a new broker account. However, it's only when you actually start trading then you will understand the true meaning of this.
When you enter a trade with leverage, you are entering with a great risk behind if you don't have proper risk management. Since leverage is a “double edge sword”, trades that are in profit or losses will be magnified. You are easily over traded, meaning you can have multiple entries on the same pair or same move/run. Again, this would be nice if the trades are going in your favor, but if not then you are going to have a huge drawdown of your account. Professional traders understand drawdown is evitable, but they also minimize it so when they are in profit, they can easily make the drawdown backs.
Let's take an example of what an over leveraged trading combine with trading psychology could look like:
---enter a trade, and with a big position (no risk management, and not consistent with trading plan)
---begin to see price fall, then either he/she will have a SL and get taken out, or no SL then price will continue to drop then the small account is gone in no time due to the big position.
---If he/she did have a SL, then they are taken out, but just lost a bigger % of their account. Now the emotions kick in to try to “chase” the money back. So revenge trading emotions start.
---Because the account has high leverage, the person can easily open a bigger lot position, double the previous one in fact (same strategy out there says to do this) and make back your losses. If first trade was risking 5%, then this next trade is 10%)
---After several losses, the account is already cut in ½, and he/she can no longer open the high lot positions.
---They will then reduce their position size, but still at maximum leverage allows.
---Soon the account will get blown out, and the person will either blame the market, strategy, lesson and more.
I see this cycle of trading all the time in new traders, and it has a combination factor such as emotion, mindset, risk management, trading plan and more. But what is easily controlled by you is to reduce leverage allowed on the account. Simply dropping it down to less leverage will help the trader to not over leverage, and maintain a few trades only with smaller position sizes.
So, I encourage the new traders to really think about this topic and reflect on yourself to see if you ever fall into this cycle before. You may not blow your account, but certainly have experienced revenge trading and over leverage trade when the emotions kick in. I myself included it at the beginning of my trading journey also.
That is all I gotta say on this one.
Let me know if you have questions and feedback :)
I will chat with everyone next time in my live stream.
Thank you
How the banks use us as liquidity providers for their operationsHi Traders, thank you for watching this tutorial. Its not any secret. That markets works like this.
Basic principle of the market is that if someone buys other must sell. And this is the technique of the market makers
artificial intelligence how to use us for their operations. Hope it helps you realize importance of the
Stop loss zones / Liquidity zones.
Try to not have SL where the others have it.
My trading strategy is based on the simplicity and core of the markets which is Buying and selling.
I'm trying to spot the next steps of the big players by using the Market profile, Volume and COT (commitment of traders)
The way I think about the markets is based on the fact that Market makers (banks, hedge funds)can do their operations only when other side (traders like you and me)
provide them liquidity = We must sell so they can buy and opposite. So I'm looking for the Stop loss zones, fake outs and other confluences to enter the markets.
My battlefield is defined by the channels on the higher timeframes, I mostly play on the upper bands and middle bands in the directions of the COT .'
I'm swing trading not intraday trading, so my ideas always takes a time and patience to play out and most important is to do the good risk management, se we can stay emotionless in a trades.
Don't hesitate to comment with any questions and if you learning something support this idea with like or share it in other trading forums.
Wish you good hunt !!
Dave FX Hunter
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Upgrade your trading view with my free indicators:
FX HUNTER WEALTH COT DATA - Click the script picture below and add it to your trading view
FX HUNTER COT CANDLE REPORT - - Click the script picture below and add it to your trading view
TUTORIAL: How to import, filter, analyse and export big listsCouple of people had asked me for this so here it is.
Shows how you can create, import, filter and analyse using the screener, and export using big external lists of stocks as your source.
Shows how you can take a list of 200 or more stocks and filter down to the 5 or 6 you might be interested in trading.
In this case we take a list of stocks with breaking news on Australias ASX and show which ones have resulted in significant price movements. This approach will work for any market and any list.
Hope its useful to someone :)
How to collect TradingView Coins and refer your friendsIn this video, we show how you and your friends can collect $30 in TradingView Coins to use toward paid plans like Premium. If you refer TradingView to a lot of people, make sure to follow this video closely. It's how you and your network can get $30 worth of TradingView Coins.
Step 1 - Visit the refer-a-friend page where you can find your unique link. You can find the refer-a-friend page in your menu or by using this link.
Step 2 - Copy your unique link and share it with your friends, colleagues or network. Your unique link can be shared as a tweet, Facebook post, email or text message. If you run a blog or website, you can also place your unique link there.
Step 3 - When someone signs up for a paid plan using your unique link, you will both receive $30 in TradingView Coins.
Step 4 - Your TradingView Coins can be used toward a paid plan. A single coin is equal to $0.01. When someone signs up for a paid plan using your link, you will both get $30 in TradingView Coins to use toward Pro, Pro+ or Premium.
Step 5 - You can also donate your coins to other users. For example, when you visit our profile page here , at the top right, there's a button that says Donate . Click that button if you think our ideas are awesome and send us some coins! We just may do the same for you. 😉
We hope you enjoyed this video and that you collect some TradingView Coins using your unique refer-a-friend link. If you have any questions, please write them in the comments below so our team can help.
Bitcoin (BTC) • Naked Chart AnalysisIn this video we go through Perpetual Swap v Spot basis, Funding rates and Monthly levels.
At the present moment I don't see reason to risk playing shorts (unless taking 80% less of typical risk per position) simply because the risk is to high to be on the short side due to higher timeframe trend but that doesn't mean we should do all in with longs.
There is good chance to see another leg down to 9.6 - 9.2 range (if we don't get front run by smart-money)
Any leg dow down to 9k are buy opportunities due to confluence between technical levels and orderbooks. But in the video i also cover a third scenario hypothesis
How to create beautiful charts with the Object TreeYou need to make the Object Tree your best friend. It's where you can manage, organize, and see everything that's happening on your chart. In this video, we walk you through the Object Tree including where to find it and how to use it.
To get started, find and click the Object Tree icon at the bottom right of your chart. From there you can create groups, make bulk edits, and instantly find everything that's happening on your chart from indicators to drawings.
This video shows the USDJPY and highlights a few key things to watch including the pre-Covid highs and the post-Covid highs. It also shows the Covid crash and immediate rally snapback. The blue line shows a 200-day moving average and the orange line shows a 50-day moving average. The Yellow and Blue bars are Volume Profile showing the visible range of the chart. We've also drawn a few short-term and immediate trendlines to watch for quick trades.
We are constantly improving the Object Tree so please send any feedback or questions in the comments below. If you're already a master with the Object Tree, please share some tips so others can learn from you. Thanks for watching!
For further reading:
Manage Your Charts with the Updated Object Tree
When the markets going down, heres a way to find stocks going upJust for fun, here is an easy way to use the Trading View Screener to find stocks that might be bucking the market trend and heading up.
STOP LIMIT orders are a good way to try and increase the odds that the trade goes in your favour, and a STOP sell order below the low of the previous day to get you out if it reverses.
