Cowabunga System Daily Update: 02/21/07

If this is your first time visiting this blog, read this first!

Main Trend

Current Trend= Although it was another choppy day, the 4hr trend remained up the entire time.

Today I only looked for long trades.

Today’s Surf

2:00 am ET- There was a moving average crossover for a long trade. RSI>50, Stochastics were trending up, and MACD was negative and gaining value. This was a valid entry. Entry was at the close of the candle which was at 9557 and my stop was at the most recent swing low which was at 9533. The signal occurred after midnight so there was a good chance for some movement. Since I was 43 pips away from the nearest 00 level I decided to set my initial target at 9600.

4:30 am ET- The price had gotten as high as 9590 but unfortunately in reversed and I was stopped out of my trade.

7:15 am ET- There was a moving average crossover for a long trade. RSI>50, Stochastics were trending up, and MACD was negative and gaining value. This was a valid entry. Entry was at the close of the candle which was at 9526 and my stop was at the most recent swing low which was at 9491. The signal occurred after midnight so there was a good chance for some movement. I could either go for the nearest 50 level or go for the same amount of pips I was risking which in this case was 35. I opted for the larger target and set my initial target at +35 pips from my entry which was at 9561.

4:00 pm ET- According to my rules I exited my trade since neither my target nor my stop was hit by this time. My exit was at 9540.

Trade Result: -24 +14= -10 pips; R-Multiple= -0.6

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  • dcpeter3

    Big Pippin,
    On my site, CMS, MACD was already positive for both entry points you described and so I did not enter. Any explanation for such differences?
    Dave.

  • bigpippin

    It shouldn’t be that different. Can you post your chart in the forums so I can see?

  • CraigFX

    My histograms had also just turned positve on those two entry points on FXCM charts and going up. I’m not sure how to post a chart.

  • dcpeter3

    Big Pippin,
    On my site, CMS, MACD was already positive for both entry points you described and so I did not enter. Any explanation for such differences?
    Dave.

  • bigpippin

    It shouldn’t be that different. Can you post your chart in the forums so I can see?

  • foricks

    Why did you not take into consideration news this morning for the 7:15 trade. I felt like I was surfing the north shore on a boogie board…righteous, dude.

  • dcpeter3

    Big Pippin,
    Sorry for the delay in getting back to you. I have been investigating how to capture the chart image. My trading station does not have the capability to Email a chart. If anyone has a suggestion, I would appreciate it.
    Anyone interested can obtain a demo account at http://www.cmsfx.com and then create their own GBP/USD 15-minute chart.
    Regards,
    Dave.

  • CraigFX

    My histograms had also just turned positve on those two entry points on FXCM charts and going up. I’m not sure how to post a chart.

  • foricks

    Why did you not take into consideration news this morning for the 7:15 trade. I felt like I was surfing the north shore on a boogie board…righteous, dude.

  • dcpeter3

    Big Pippin,
    Sorry for the delay in getting back to you. I have been investigating how to capture the chart image. My trading station does not have the capability to Email a chart. If anyone has a suggestion, I would appreciate it.
    Anyone interested can obtain a demo account at http://www.cmsfx.com and then create their own GBP/USD 15-minute chart.
    Regards,
    Dave.

  • pazdpips

    Hi Big Pippin.
    Out of interest, what MA’s do you utilize on your 240 minute charts in the cowabunga system? Could you also clarify what you use to indicate a trend change? I am assuming of course that I have learnt something in the last 12 months and that the dotted lines on the 240 minute chart are your trend lines – not just specks of dust on your monitor when you do a screen shot….. :)
    Thanks.

  • pazdpips

    Sorry Big Pippin. That was a very poor joke (re monitor dust). I guess my jokes at 12.57am Australian time are like my trading – they both suck………

  • bigpippin

    foricks- I only regularly consider 2 news events: NFP and interest rate statements. Other considerations depend on the circumstances. See the FAQ

    pazdpips- Refer to the “Read me first” link at the top of this post and also take a glance at the FAQ page. I think most of your questions will be answered there. The specks of dust are parabolic sar. It’s not relevant to the system. I just had them on there for some reason.

  • pazdpips

    Hi Big Pippin.
    Out of interest, what MA’s do you utilize on your 240 minute charts in the cowabunga system? Could you also clarify what you use to indicate a trend change? I am assuming of course that I have learnt something in the last 12 months and that the dotted lines on the 240 minute chart are your trend lines – not just specks of dust on your monitor when you do a screen shot….. :)
    Thanks.

  • pazdpips

    Sorry Big Pippin. That was a very poor joke (re monitor dust). I guess my jokes at 12.57am Australian time are like my trading – they both suck………

  • bigpippin

    foricks- I only regularly consider 2 news events: NFP and interest rate statements. Other considerations depend on the circumstances. See the FAQ

    pazdpips- Refer to the “Read me first” link at the top of this post and also take a glance at the FAQ page. I think most of your questions will be answered there. The specks of dust are parabolic sar. It’s not relevant to the system. I just had them on there for some reason.