Big Mike's Trading Blog

Day trading futures, discussing money management and trade management techniques, and more

Trading CL (crude oil futures) plus my usual opinions

Here is a video blog about trading CL (crude oil futures). I also share my usual opinions on multiple time frames, indicator simplicity, money management, etc.

I started a thread on the forum here about it:
http://forum.bigmiketrading.com/journals-daily-charts/627-big-mikes-cl-crude-oil-journal.html






Download HD full-screen MP4 video


Mike

Custom Programming for hire, NinjaTrader programming by Big Mike

I am now making my NinjaTrader programming services available.  I can write indicators and strategies, from simple to complex.  Please, serious inquires only - I am catering to those who have a great trading idea but no way to translate it into NinjaScript code. 

My services are not free because I pride myself in doing comprehensive work and anytime I spend coding is time spent away from trading.  Rates begin at $100/USD and a medium-sized project requiring a half dozen hours of work will be around $300/USD.


To make an inquiry or to see more detail, visit here:
http://forum.bigmiketrading.com/custom-programming-big-mike-private-forum/

Mike

Are you utilizing the benefits of Renko charts for NinjaTrader?

As you know, I am a huge advocate of multi-time frame trading.  I think no trader should look at just one single chart to make a determination of when or where to trade.  Traders that attempt this method usually have such an overloaded chart you can't even see what is going on, and half the indicators don't even agree.

I like to look at three different charts.  I like to use different styles of charts, so I can see price in different ways.  For example, Range, Volume, and Renko.  Each chart has a unique purpose, and each time frame a unique picture of the market.  Following that, each type of chart (range vs. volume, volume vs. renko, etc) provides a unique perspective of price.

If you haven't tried Renko charts yet, you should take a look at them.  Here is a brief description of renko:

A type of chart, developed by the Japanese, that is only concerned with price movement; time and volume are not included. It is thought to be named for the Japanese word for bricks, "renga". A renko chart is constructed by placing a brick in the next column once the price surpasses the top or bottom of the previous brick by a predefined amount. White bricks are used when the direction of the trend is up, while black bricks are used when the trend is down. This type of chart is very effective for traders to identify key support/resistance levels. Transaction signals are generated when the direction of the trend changes and the bricks alternate colors.


For example, a trader will sell an underlying asset when a black brick is placed at the end of series of climbing white bricks. Since this type of chart was designed as a way to follow the general price trend of an asset, there can often be false signals where the color of the bricks changes too early, producing a whip-saw effect.

Here is a side-by-side comparison of Range vs. Renko on the same period of market activity:

 
Above: Range Chart


Above: Renko Chart

On the BMT forums there are several good discussion about the use of Renko bars.  The discussions point out both the advantages and disadvantages of renko. 

Here is one such discussion that covers the basics in an all-around fashion:
http://forum.bigmiketrading.com/general-discussion/191-renko.html

Here is another that specifically spells out the downfalls of renko:
http://forum.bigmiketrading.com/general-discussion/84-why-renko-danger.html

And finally, one more on comparing range to renko:
http://forum.bigmiketrading.com/general-discussion/300-renko-bars-vs-range-bars.html

I hope you'll broaden your charts and find that you benefit from these discussions! :)

Mike

TheWizard's Holy Grail Indicator package

TheWizard on BMT forums has a very popular thread going.  He's talking about his trade setups and indicator settings, and a lot of traders are paying attention.

In the thread, he discusses his targets, stops, chart sizes, and provides the indicators he is using in his system.  He also gives examples of the entries and is answering questions from fellow traders.


One of many screen shots from the thread

Some users have already posted back their own adapted version of the system.  Remember, adapting someone elses work to suit your own style and method are very important, it is what gives you the necessary confidence to succeed.  Here is an example of RJay's adapted version:


Come join the discussion and download the indicators!  Here is the link to the thread by TheWizard:
http://forum.bigmiketrading.com/general-discussion/435-holy-grail.html

Mike