Cowabunga System Daily Update: Thursday, 11/18/10

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Main Trend

Current Trend

The trend was down until 7am EST. From 3am – 7am EST, a new trend change candle formed and changed the trend from down to UP. After 7am EST, the trend remained up the rest of the day.

Today I only looked for short trades until 7am EST. After 7am EST, I only looked for long trades.

News events to watch for today :

Today’s Surf

12:15am EST- There was a moving average crossover for a short trade. RSI was less than 50, stochastics were trending down and MACD went from positive to negative. This was a valid entry.

The entry was at the close of the candle at 1.5904 with a stop at the most recent swing high at 1.5922. Since I was only 4 pips away from the nearest 50 or 00 level (1.5900), I decided to go for the same amount of pips I was risking on the trade, which in this case was 18 pips. This put my initial target at 1.5886.

Entry: Short at 1.5904 Stop: 1.5922 Target: 1.5886

12:45am EST- Unfortunately I was stopped out of my trade. (-18 pips)

3:00am EST- There was a moving average crossover for a short trade. RSI was less than 50, stochastics were trending down and MACD went from positive to negative. This was a valid entry.

The entry was at the close of the candle at 1.5907 with a stop at the most recent swing high at 1.5946. Since I was only 7 pips away from the nearest 50 or 00 level (1.5900), I decided to go for the same amount of pips I was risking on the trade, which in this case was 39 pips. This put my initial target at 1.5868.

Entry: Short at 1.5907 Stop: 1.5946 Target: 1.5868

4:00am EST- Unfortunately I was stopped out of my trade. (-39 pips)

11:30am EST- There was a valid signal here for a long trade but since it was right before 12 noon EST, I did not enter.

entry2

Trade Result: -18 -39 = -57 pips R-Multiple: -1.00; -1.00

News events to watch for Friday:

  • None

For a complete list of news events check out our Forex Economic Calendar.
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  • JamesJones

    Hey dude!

    Stop posting up this stupid system. You loss more than you win. This system sucks ass. Open your mind and learn support and resistance dude!!

  • abotnaru81

    james jones – if u have one better ,post it

  • JamesJones

    I trade confluences of market flow,fibs,pivots support and resistance. I trend trade, RSI divergence and my favorite the gartley pattern. This system is sucks ass relying on lagging indicators. Price is king dude!!

  • JamesJones

    Hey dude!

    Stop posting up this stupid system. You loss more than you win. This system sucks ass. Open your mind and learn support and resistance dude!!

  • abotnaru81

    james jones – if u have one better ,post it

  • JamesJones

    I trade confluences of market flow,fibs,pivots support and resistance. I trend trade, RSI divergence and my favorite the gartley pattern. This system is sucks ass relying on lagging indicators. Price is king dude!!

  • PipSurfer

    @JamesJones- Dude, I have to admit your post made me laugh a bit. You’re actually correct in your statement that indicators lag and truly the only “real-time” indicator is price action. However, a few things to consider before posting next time….

    1) Don’t assume this is the only system I trade.

    2)It’s not a competition. If you found something that makes you money then more power to you. Instead of bashing others, why don’t you contribute to the trading community and share your awesome powers.

    3) You’re statement of “you loss more than you win” is incorrect. If you’re referring to the past month and a half then it could fit, but if you’re referring to the past 5 years the system has been successful then you are most definitely wrong. Maybe check overall track records before making a statement like that.

    4) Divergence and chart patterns are a great way to trade, but not the only. Indicators, although lagging, do help traders make good trades. Otherwise, no one would’ve even invented them in the first place.

    All in all, I can’t hate on you for your opinion although I think “tact” is something you should look up and apply. I may just be a surfer but you talk as though the sun has fried your brain’s communication skills j/k :) I’m actually glad you’ve found something that works for you. Stick with it. In fact, if you have a MeetPips.com profile, I’d love to follow your trades…unless of course its a secret :)

    Happy trading dude!

  • PipSurfer

    @JamesJones- Dude, I have to admit your post made me laugh a bit. You’re actually correct in your statement that indicators lag and truly the only “real-time” indicator is price action. However, a few things to consider before posting next time….

    1) Don’t assume this is the only system I trade.

    2)It’s not a competition. If you found something that makes you money then more power to you. Instead of bashing others, why don’t you contribute to the trading community and share your awesome powers.

    3) You’re statement of “you loss more than you win” is incorrect. If you’re referring to the past month and a half then it could fit, but if you’re referring to the past 5 years the system has been successful then you are most definitely wrong. Maybe check overall track records before making a statement like that.

    4) Divergence and chart patterns are a great way to trade, but not the only. Indicators, although lagging, do help traders make good trades. Otherwise, no one would’ve even invented them in the first place.

    All in all, I can’t hate on you for your opinion although I think “tact” is something you should look up and apply. I may just be a surfer but you talk as though the sun has fried your brain’s communication skills j/k :) I’m actually glad you’ve found something that works for you. Stick with it. In fact, if you have a MeetPips.com profile, I’d love to follow your trades…unless of course its a secret :)

    Happy trading dude!

  • mraugustyn

    Nice professional comeback PS. Some people have no respect.

  • mraugustyn

    Nice professional comeback PS. Some people have no respect.

  • JamesJones

    I said what I said because this system is misleading to newbies. Sure it’s simple BUT you have to emphasize on support and resistance a whole lot more!!! Specially if your day trading. Support and resistance should be the core of every system! I would rather keep my system to my self because what works for me would not work for somebody else, you know this for a fact. I just twist my head when you make decisions base on lagging indicators and you have these newbies following you.

  • GicaEric

    Hi, can I ask you something? – How do you determine the trend from the 4H timeframe? – By looking whether the price is under both EMAs or by drawing trendlines?

    Thank you.

  • JamesJones

    I said what I said because this system is misleading to newbies. Sure it’s simple BUT you have to emphasize on support and resistance a whole lot more!!! Specially if your day trading. Support and resistance should be the core of every system! I would rather keep my system to my self because what works for me would not work for somebody else, you know this for a fact. I just twist my head when you make decisions base on lagging indicators and you have these newbies following you.

  • GicaEric

    Hi, can I ask you something? – How do you determine the trend from the 4H timeframe? – By looking whether the price is under both EMAs or by drawing trendlines?

    Thank you.

  • PipSurfer

    @jamesjones- I can appreciate your conviction on informing traders, especially daytraders, about support and resistance. If it is that important to you, then I encourage you to share your thoughts, perhaps on the forums so that people can benefit from your information. You don’t have to share your system to contribute to the forex community.

    Again I have to say that you are posting with many assumptions. I’ve made it clear since the beginning that this blog isn’t meant to give trader’s trades or to be followed exactly. I’m simply publicizing a system that has worked for me for years and if traders are looking to get their feet wet in the markets then this is just one example of how they can. I never promise them that they will make millions of dollars trading the Cowabunga system and I strongly advocate our traders to demo trade until they can maintain profits for at least 3 months. Again, if you think my methods are flawed, then do something about it. I know that I started this blog because I had the conviction to help newbies out because I still remember what it was like just starting out. If you’re goal is to help the trading the community than by all means please help, but if your goal is simply to bash others then kindly just keep it to yourself.

    I honestly hope that your passion leads you to share your information with the newbies because it seems like your intentions are to show the “truth” to traders. I think with your contributions, you could help edify the trading community. Anyways thats my last thoughts on it and I do hope that we see more of your thoughts. Happy trading!

    @Gica Eric- check out this link for all the info you need :)

    /blogs/pip-my-system/so_youve_finished_the_school_o.html

  • PipSurfer

    @jamesjones- I can appreciate your conviction on informing traders, especially daytraders, about support and resistance. If it is that important to you, then I encourage you to share your thoughts, perhaps on the forums so that people can benefit from your information. You don’t have to share your system to contribute to the forex community.

    Again I have to say that you are posting with many assumptions. I’ve made it clear since the beginning that this blog isn’t meant to give trader’s trades or to be followed exactly. I’m simply publicizing a system that has worked for me for years and if traders are looking to get their feet wet in the markets then this is just one example of how they can. I never promise them that they will make millions of dollars trading the Cowabunga system and I strongly advocate our traders to demo trade until they can maintain profits for at least 3 months. Again, if you think my methods are flawed, then do something about it. I know that I started this blog because I had the conviction to help newbies out because I still remember what it was like just starting out. If you’re goal is to help the trading the community than by all means please help, but if your goal is simply to bash others then kindly just keep it to yourself.

    I honestly hope that your passion leads you to share your information with the newbies because it seems like your intentions are to show the “truth” to traders. I think with your contributions, you could help edify the trading community. Anyways thats my last thoughts on it and I do hope that we see more of your thoughts. Happy trading!

    @Gica Eric- check out this link for all the info you need :)

    link to babypips.com