Cowabunga System Daily Update: Tuesday, 11/17/08

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Main Trend

Current Trend= The trend remained up the entire day.

Today I only looked for long trades

News events to watch for today :

  • 4:30am EDT- UK CPI
  • 8:30am EDT- US PPI
  • 9:00am EDT- US Net Foreign Purchases
  • 9:30am EDT- Bernanke speaks

Today’s Surf

12:15am EDT- There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up, but MACD was already positive. This cancelled out the signal and I did not enter.

6:15am EDT- There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up, and MACD was negative and gaining value. This was a valid entry. The entry was at the close of the candle at 1.5025 with a stop at the most recent swing low at 1.4953. Since I was 25 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.5050.

Entry: Long at 1.5025

Stop: 1.4953

Initial Target: 1.5050

8:15am EDT- My target was not hit by this point. Since news was coming out at 8:30am EDT, I closed out my trade. I exited at 1.4995 for a 30 pip loss.

9:45am EDT- There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up, and MACD was negative and gaining value. This was a valid entry. The entry was at the close of the candle at 1.5018 with a stop at the most recent swing low at 1.4977. Since I was 32 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.5050.

Entry: Long at 1.5018

Stop: 1.4977

Initial Target: 1.5050

10:45am EDT- Unfortunately I was stopped out of my trade.

11:30am EDT- There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up, and MACD went from negative to positive. This was a valid entry. The entry was at the close of the candle at 1.5042 with a stop at the most recent swing low at 1.4973. Since I was only 8 pips away from the nearest 50 or 00 level (1.5050), I decided to go for the same amount of pips I was risking on the trade, which in this case was 69 pips. This put my initial target at 1.5111

Entry: Long at 1.5042

Stop: 1.4973

Initial Target: 1.5111

12:15pm EDT- Unfortunately I was stopped out of my trade.

entry2

Trade Result: -30 -41 -69= -140 pips (NOT INCLUDING SPREAD) R-Multiple: -0.41; -1.00; -1.00

News events to watch for tomorrow :

  • 4:30am EDT- UK MPC Minutes
  • 8:30am EDT- US Building Permits, CPI
  • 2:00pm EDT- FOMC Minutes

For a complete list of news events check out our News Section

Questions? Read the Cowabunga FAQ.

Want to discuss the Cowabunga System? Visit our Forums.

  • GoGetta

    I just wanted to say, thank you so much for your honesty. You know, there’s a lot of people out here on the net promising winning systems. But just you letting everyone see that you do and how you take a loss is very big of you. I take my hat off to you. I actually didn’t trade today because everysince about 10pm the night before. I notice that the market was kinda moving sideway. So I decided to stay out. Just to let you know, even though you lose a lil $ today, you gain my respect. And I hope that has some kinda value.

  • GoGetta

    Oh yeah, Tuesday was the 18th and not the 17th! LOL!!!!

  • LA1

    When you get into a news candle and close your trade, wouldn’t it be better to place a stop loss order to protect opposite direction movement following the news? That way if the news candle cause no change (like in your recent reports) you can continue according your plan.

  • LoboTrader

    Pip Surfer: Sorry for your Trades and one question ¿What is R-Multiple: -0.41; -1.00; -1.00 ? Regards

  • GoGetta

    I just wanted to say, thank you so much for your honesty. You know, there’s a lot of people out here on the net promising winning systems. But just you letting everyone see that you do and how you take a loss is very big of you. I take my hat off to you. I actually didn’t trade today because everysince about 10pm the night before. I notice that the market was kinda moving sideway. So I decided to stay out. Just to let you know, even though you lose a lil $ today, you gain my respect. And I hope that has some kinda value.

  • GoGetta

    Oh yeah, Tuesday was the 18th and not the 17th! LOL!!!!

  • LA1

    When you get into a news candle and close your trade, wouldn’t it be better to place a stop loss order to protect opposite direction movement following the news? That way if the news candle cause no change (like in your recent reports) you can continue according your plan.

  • lissyking

    REPOST since you didnt answer : )

    Hey Pipsurfer, I was looking over your archives from as early as march 2007 because I am confused how to determine the trend of the day. I mean, when I watched your videos, I realised you are showing us videos of trades that had occurred a day before. Why I said that is because if you are trading on a day, how would you know the trend of the day if the day has not come to an end to determine the day’s trend? So could you please tell me this: If you are going to trade now, what method would you use to determine the trend you must go with according to the 4HR chart? Do you use the stoch or the RI on the 4HR to determine what trend you must take or you look at some candles before the current candle to see if the market is moving up or down. Thanks dude!

  • LoboTrader

    Pip Surfer: Sorry for your Trades and one question ¿What is R-Multiple: -0.41; -1.00; -1.00 ? Regards

  • doogie88

    lissyking
    I am new, and pretty clueless, but I think he mentions the indicators, and WHY he enters the trade if you listen to him. I forget what indicators they were, but he mentions the name, and says they are positive/negative, moving up/down, etc.

  • lissyking

    REPOST since you didnt answer : )

    Hey Pipsurfer, I was looking over your archives from as early as march 2007 because I am confused how to determine the trend of the day. I mean, when I watched your videos, I realised you are showing us videos of trades that had occurred a day before. Why I said that is because if you are trading on a day, how would you know the trend of the day if the day has not come to an end to determine the day’s trend? So could you please tell me this: If you are going to trade now, what method would you use to determine the trend you must go with according to the 4HR chart? Do you use the stoch or the RI on the 4HR to determine what trend you must take or you look at some candles before the current candle to see if the market is moving up or down. Thanks dude!

  • doogie88

    lissyking
    I am new, and pretty clueless, but I think he mentions the indicators, and WHY he enters the trade if you listen to him. I forget what indicators they were, but he mentions the name, and says they are positive/negative, moving up/down, etc.

  • macc

    Lissyking/doogie88. I’m also a Newbie but can say that Pipsurfer determines his main trend not on a daily basis, but on a 4 hour basis. As he only enters/exits trades off the 15 minute chart he’s just looking for a bigger picture view (the 4hr candle chart) to determine the underlying trend (4 hour is still short term but longer term than the 15 minute picture he’s viewing for his trade set ups)
    He uses a 4hr candle chart with the indicators 5ema, 10 ema, RSI and Stochastics (see his link near the top of this post “if this is your first time visiting this blog. Read this first”)

    If, for example, at the close of a 4hr candle the 5ema has crossed UP through the 10ema and all his indicators are indicating that it’s a valid entry (see his link) he will only look for LONG trades (the 4hr ema cross was UP) on his 15 minute chart for the next 4 hour period. At the end of that 4hr period he will go back to his 4hr chart to check the close of that candle to detrmine if the trend remains UP or whether the 5ema has crossed back down through the 10ema (with confirming indicators)in which case the trend is now DOWN and he will only look for SHORT trades on his 15 minute chart for the next 4 hour period.

    Hope that makes some sense. Good trading.

  • macc

    Lissyking/doogie88. I’m also a Newbie but can say that Pipsurfer determines his main trend not on a daily basis, but on a 4 hour basis. As he only enters/exits trades off the 15 minute chart he’s just looking for a bigger picture view (the 4hr candle chart) to determine the underlying trend (4 hour is still short term but longer term than the 15 minute picture he’s viewing for his trade set ups)
    He uses a 4hr candle chart with the indicators 5ema, 10 ema, RSI and Stochastics (see his link near the top of this post “if this is your first time visiting this blog. Read this first”)

    If, for example, at the close of a 4hr candle the 5ema has crossed UP through the 10ema and all his indicators are indicating that it’s a valid entry (see his link) he will only look for LONG trades (the 4hr ema cross was UP) on his 15 minute chart for the next 4 hour period. At the end of that 4hr period he will go back to his 4hr chart to check the close of that candle to detrmine if the trend remains UP or whether the 5ema has crossed back down through the 10ema (with confirming indicators)in which case the trend is now DOWN and he will only look for SHORT trades on his 15 minute chart for the next 4 hour period.

    Hope that makes some sense. Good trading.

  • dsnow1226

    adx said to stay out of the market and trail your profit even as little as it is some times because the market doesn’t care where your TP is or your RR% is. why did you not consider the right trade. macd gained so much momentum it crossed from negative to positive. very bullish!

  • dsnow1226

    adx said to stay out of the market and trail your profit even as little as it is some times because the market doesn’t care where your TP is or your RR% is. why did you not consider the right trade. macd gained so much momentum it crossed from negative to positive. very bullish!