Greetings traders

I've been a lurker on this forum for quite some time and have been looking at the pro's and con's of sharing my trading approach with everybody here. The main point is that I want to collaborate with the community because I have seen some quite rewarding contributions in a few of the threads I've visited, especially those from the trend following camp who have spared the opportunity to disperse the jubilation that sustainable trading for a living could bring.

I am especially excited with all the robustness of the egy called the or DTT, as I've been involved with trading for the greater portion of my life both in the operation of a small finance and in regions of compliance relating to fund management and have seen and experienced first hand a lot of false hopes. Experience has taught me to prevent Martingale's no matter how they're hedged (I was a past Martingale addict and after you are just one, it's remarkably difficult to pull out yourself) and I also prevent competitive pyramiding into trades. On Martingales, the key is a regular harvest and also the need to make sure you only alloe a small percentage of your trade capital towards them, as you just never know if if this day will arrive, no matter how clever you structure your progression. The marketplace has this ability.

If I was asked, what are the virtues of the approach and why does this egy deserve any attention, then the simple response is this...and fad traders have all heard it before. A single instrument may experience just a few trends over a period that is extended that is specified. On a D1 chart, maybe as few as 2-4 times every year.... A fashion trader would like to be on these trends as this can be his/her bread and butter.... But they also wish to prevent or minimise false starts .... . So to increase your probability success speed, you have to focus on confirmed trends of substance, and keep control of your trigger finger.... . And if your living is dependent on your approach, you wish to control your behaviour to protect against overtrading when you sniff a trend.To enhance trade probabilities, reduce lumpy cashflow and diversify risk, you also will need to keep watch over a lot of diversified instruments so that you can afford to be selective in just picking those trades which 'shout out to you for actions'.... And you want to strictly control your danger keep your loved ones happy, pay those invoices and to keep you into the game. This approach seeks to address these vital issues confronted by a fashion trader.

Warning!!! Ifyou are new to the game of trend trading then I suggest you spend considerable time testing, trialling a account on one device before you start into multiple instrument trading. . And before you think of going live. . Not that numerous instruments pose any substantial different nuances...but rather that it's essential to understand how to trade trends first before you make an effort to diversify. If you are not fluent at trading trends on one device, numerous instruments is just going to compound your problems. Your hands will be flying anywhere, your displays will bear witness to grimaces of torture and pain...and your pets will be steering clear of you. This thread should not put you off participation but I strongly advise that you do the hard yards and make your certifiion first...for you might very well be swearing at me in later articles...and that I will always refer you back to the original section of this very first post, without having to say I told you so directly.

Note regarding the use of correlation and fashion strength steps as filters for the egy. Despite the ability of these tools for trend trading egies generally, I tend to dismiss those filters as their addition reduces the number of trades that are available. I recognise the significance of these steps if trading a narrow range of instruments, but given the diversified nature of the particular egy, my backtest concludes that they are not necessary...at the moment but might change in the future as this approach is honed (as discussed later). What is the important determinant for a filter for this egy is whether or not there exists a trend with the instrument.

I have a very low risk tolerance and to be absolutely honest with you all, I am not an excellent trader...however my power, in my estimation at least, is based in risk management and system design. I've been through many trading phases in my life looking at different systems including working with a programmer on a host of EA's, but inevitably realize that conditions in the market change thereby rendering these different approaches into the dustbin...meaning that these approaches failed the robustness evaluation in that a truly robust system needs to weather all market conditions.

Given that in the upcoming few years I will be returning to fulltime trading for a living my attention was on the growth of sustainable trading egies that are focused on capital preservation and earnings yield...and here we are now.

To be clear, I have not commenced trading this egy as I lack sufficient available capital at the moment to dedie my livelihood towards this venture. Furthermore, for a group who are prepared to run 24/5 in changes, this approach is despite the trade frequency that is comparatively low. I've got time on my side to get this all cracking if this approach stands up to intensive scrutinisation.

What I've done however over the last year or so is extensively backtest and forward test it over the past 688 calendar days commencing 1 January 2013.

Some guidelines for the Strategy:Trading egies that are clearly various suit different personalities. This approach may appeal to people looking for a fad trading approach backed up with a solid risk management approach. I use IG Markets as my favorite platform to MT4 due to this superb charting package provided that helps in managing a diversified portfolio, in addition to the huge array of merchandise that IG offers which could be traded into commodities and indices from currency pairs. The egy is configured to actively monitor 24 products along with also a user charting interface using comprehensive trading alarms is essential. It works nicely on MT4 but can become a pain in the neck when speed of execution is needed...but of course it's your own choice. I just thought I'd mention what I use. As the conclusion of this trend is not I have yet to be successful developing an EA with this egy. Decision making has to be made at D1, M1 and W1 levels Perhaps there's a talented person out there that might want to see if this can be converted by them to an EA. My perception is that this approach will be semi-automated at best given the optional nature of trend conclusion with the nature of trade adminiion. Despite my lack of success in developing an EA with this, I've removed discretion at H1 TF wherever possible. An initial stop is placed on each individual trade so you hit your primary stop, but immediately the standard deviation channel becomes your depart mechanism. Because of this, time in fashion is your friend as your loss factor is reduced by each bar of progression. The standard deviation channel is used to manage the transaction at all times. My highest possible risk tolerance is 0.5% risk per transaction but this does not stop others from multiplying this amount if they're prepared to strike to get a higher risk:benefit ratio. For instance, a 1.0% risk per transaction doubles yields but also expect a related doubling of related risk parameters like the drawdown. I really feel that this approach could handle a bit of competitive risk management so based on current results, a 1.00% risk per transaction would be considered as perfectly okay as it's not likely to keep you awake with cold sores. For the DTT I use a daily chart to determine if a trend is in place using a standard deviation channel (1.0 std dev's) to affirm the tendency and it's significance, and then I go to the H1 timeframe to redraw the tendency from the D1 commencement point again employing a normal deviation channel of 1.0 std dev's, and then wait for a Donchian breakout, or jump into immediately when it has only occurred utilizing a 40 interval Donchian on the H1. I know I do not spend much time discussing resistance and support levels that's a key requirement for trend trading, however this is where the Donchian comes into play by visually confirming that at least in the brief term, following a breach, you'll be investing in blue skies. Identifiion of resistance and support is a key step in your analysis on the D1 timeframe in identifying entry points and periods of congestion, however I do not think I need to go to this much in this thread as there are many different threads which do a better job of the Upon (or just before) breakout of this Donchian on H1 timeframe, immediately redraw the standard deviation channel from the initiation of the tendency (on D1) into the bar immediately preceding the entry bar. The lower or upper normal deviation channel (dependant on tendency direction) determines your initial stop distance = R. If I reach 2.5R gain I redraw the tendency on the H1 timeframe using a standard deviation channel of 0.5 standard deviations to further confine the tendency boundaries and ensure not too much gain is removed from the table prior to a stop. Note that this egy tends to execute if the tendency never achieves maximum profit potential and is well established and does not decide on at the highs and lows of a fashion. Utilizing these principles you will ensure you are in the direction of the daily fashion. Note that price is not used by me Action signals like pin bars, engulfing patterns etc.. I use the Donchian breakout on H1 to keep things simple for me. This is essential as I can not afford to be overly detailed in my fashion assessment and see a portfolio that is massive. I use a bar chart rather than candlestick charts to keep things clean, decision making and avoid letting my mind override the technique, also as I am not using conventional price action patterns. Notice that I don't use the classic fashion definition methodology of a succession of lows or highs and use the standard deviation station to specify a trend. The reason for this is that a standard deviation station is defined with the whole data set as opposed to state 3 or 3 points in a fashion. The basis of the methodology is that I am looking across the whole timeframe I am using for fashion patterns that are consistent. This helps me to validate those trends goes of routine nature. Furthermore using this standard deviation channel eliminates discretion that's often present in drawing trends. For example, give the chart to various people and they draw on trend lines. This is avoided through the standard deviation channel method provided you draw the stations in the bottom point in the trend. Another reason that the the std dev station is that I use it to specify the slope of this trend. When in a transaction, always redraw your standard deviation channel when a brand new high is created (to get a long) or a brand new low is created (for a brief). It's essential that when new data is added, the standard deviation station is redrawn since this manages risk as it progresses. Note that use of this standard deviation channel acts as a trend volatility measure to be an ATR. For example volatility before entry will result before entry in a std dev station. As a result your R will be broad reducing your rank size for your degree of risk tolerance. Losses are a simple fact of life so expect them. Fortunately this egy strictly manages those losses and through diversifiion attempts to decrease drawdowns, so let the egy take care of them...don't try to second guess. Keep in your mind that you trade trends on a longer term timeframe so momentum from fundamental factors are likely driving these movements as opposed to market behavior that is random. We never predict the future and just jump on board the current daily trend.... Until of course it stinks. I welcome you to the 14, if this approach sounds interesting for you. As with standard warnings on other threads, this is for members that are interested only, who wish to learn or favorably contribute.

I am not planning to post backtest results (ok I lied...refer to Post 13) because it is a useless exercise provided no live trading has occurred. This is going to be a task. Regardless of this however, from my own testing results, I couldn't be more happy and I feel people who get involved will also come to this decision.

What I can tell you however is that. Over the last 688 calendar times, there have been only 450 trade opportunities throughout the portfolio which provides you a notion that the egy is quite selective in its own entries namely on account of this condition that a good quality daily trend needs to be set up before a transaction entry is signalled. For people who lack the patience to wait around for these chances, this egy might not be for you.

If you're happy with all this then I will shortly start posting a few charts for things cracking.

Regards



Notice to Readers
During the course of the thread that the egy was dynamically adjusting to react to market conditions and egy additions have been made to supercharge operation results. This egy described above which I refer to as the DTT signifies the core module for this technique and it is an essential pre-requisite to fully understand this approach before moving onto supercharging trend trading additions which can be discovered later in the thread.Posts 1 to 230 connect to the fundamental DDT egy; Articles 231 onwards relate to a supercharged version called the Improved Diversified Trend Trading approach of EDTT#8203;. Comprehensive details about the EDTT are found on https://www.cliqforex.com/newbie-que...low-14700.html. Pay particular attention to https://www.cliqforex.com/technical-...rofitable.html relating to a methodological recap of this EDTTI. Https://www.cliqforex.com/trading-sy...ing-stops.html has kindly compiled this https://www.cliqforex.com/technical-...es-indior.html for easy reference. #8203;you need to do a little studying for Articles 1 to 230 are compuslory for comprehension and also receive you a beginers certifiion before you can progress to variations Unfortunately to know this egy completely. Should they wish to participate or trade this approach this thread isn't a free ride to your trader and needs a bit of work on the readers part. There are many nuances that must be known before committing your hard earned bucks. I wish you all well, but please do your homework first.