Thursday, May 14, 2009

Blue Wave Trading - Intraday

Quiet trading today, so I have some time to post my Intraday Blue Wave Trading Models (link takes you to main Blue Wave Trading site where more complete explanations can be found).

These three models, 34 minute SSO, QLD and FAS (and their bearish counterparts, SDS, QID and FAZ) have all been working well with recent market volatility.

SSO



QLD



FAS



The technique is about as simple as it can be; Buy the Blue Bars, Sell the Red Bars. I use 13-21-34-55 minute time frames, depending on which time frame is most closely mirroring the market and how closely I want to follow prices on any particular day. The shorter time frames require closer attention.

A

4 comments:

PENN STATE Eric said...

Alan:

As for value, could you explain which method of software/rulebased trading do you find the best value in? You use blue-wave, market club, and a few others if I am not mistaken. Which rule based trading platform would you find the most value or return on investment even, for someone who's just getting into rule based trading or at least exploring potential software and could only purchase one?

Anonymous said...

Alan, Along PSE's train of thought: Are you familiar with or have an opinion on Abletrend software? Thanks, Doug in ATL

Anonymous said...

Can you explain why you use 13,21,35,55,instead of 15, 30, 60. BW is excellent, I wish it can also tell us when S&P will hit 831. I guess with another bounce back today, we need to look for another week.

Allan said...

Re: Comparison of rule bases systems

I need to write an entire blog on this, because there is no easy answer. Maybe this weekend.

Re: 13-21-34-55

Trying to garner a look that is a little different, using fibo numbers, for what I hope is a slight edge.

Re: Ablesys

Tried it a while back, like Blue Wave much, much better.