Candlesticks have revolutionized the world of technical trading – encyclopedias of candlestick patterns have been written. When I first heard of the Ichimoku and its Japanese origins, I knew I had to check it out. Ichimoku in a Nutshell The Ichimoku Kinko Hyo, translated to one glance equilibrium chart, is a popular trend following indicator. […]

Here’s a familiar scenario: After some hard work, you finally have a profitable backtest. You know that for a certain combination of parameters, your strategy has been profitable over the historical period. But if market conditions change, or you change your input parameters, will the strategy remain profitable? Your strategy’s optimization profile can offer some […]

Your choice of backtest spread can certainly make or break a strategy. This post will show you how to study the intraday spread variations of your market, and suggest several ways to avoid paying ridiculous spreads. You can download the Spread Recorder algorithm… Risk of ruin is a useful metric to help develop trading strategies […]

Like most people, I watch YouTube at least once a day. This means I see trading guru advertisements regularly. Seeing how these advertisements have proliferated in recent years, I figure that people must be paying attention to them. With so many gurus generously offering to make you rich with little effort, surely it must be […]

The Schaff Trend Cycle (STC) is the perfect tool for traders hoping to capture price swings within a long-term trend. In this post, I’ll cover the following aspects of the STC: Calculation and Interpretation Comparisons vs. the MACD and Stochastic Limitations… A temporary trading pause can improve your win rate if you’re trend following a […]