The Recent Only Real Deal in My Head
"From a game theory perspective, we can say that the universe is structured to maximize games. The best games are not the ones where everything goes smoothly and steadily towards a certain conclusion, but the ones where the outcome is always in doubt."
George B. Leonard
In game theory, a Nash equilibrium (after John Forbes Nash, who coined it) is a solution concept involving games involving two or more players in which each player is assumed to know the equilibrium strategies of the other players and no player gains anything by unilaterally changing his or her own strategy. If each player chooses a strategy and no player can benefit from changing his strategy while the other players keep their strategies unchanged, then the current set of strategy choices and the corresponding payoffs constitute a Nash equilibrium.
In short, if Amy makes the best decision she can, taking into account Phil's decision, and Phil makes the best decision he can, taking into account Amy's decision, then Amy and Phil are in a Nash equilibrium. Likewise, if a group of players each makes the best decision he or she can, taking into account the decisions of the others, then the group of players is in a Nash equilibrium. However, a Nash equilibrium does not necessarily mean that the cumulative payoff for all players is the best; in many cases it is possible if all players can somehow agree on a strategy that differs from the Nash equilibrium (e.g., competing firms form a cartel to increase profits).
The Nash equilibrium concept is used to analyze the strategic interaction of several decision makers. In other words, it is a method of predicting what will happen if several people or institutions make decisions simultaneously and the outcome depends on the decisions of others. The simple insight behind John Nash's idea is that if we analyze the decisions of multiple decision makers individually, we cannot predict the outcomes of those decisions. Instead, we must ask what each player would do, given the decisions of others.
http://en.wikipedia.org/wiki/Nash_equilibrium
Welcome to the greatest business and "real" opportunity on Earth - the Futures and Forex markets. Knowing some unique information (of course) and being able to take profitable action based on that information has never been more possible or as profitable as it is today. Today, as I write this, a great opportunity is opening up, and by the time you read this, you may already be profiting from it.
We now have more trading products to choose from, including futures contracts, options on contracts, futures index products and FX trading banks for small capitalizations - more than ever before!
Joel Lensink
first strike puzzle
rule:
This method is very simple and straightforward. Read the following instructions several times. This will become clear to you when you complete a few examples yourself.
The most obvious feature of this version of FirstStrike is that the buy/ask distance from the week's open adjusts to the current volatility - openings will open wider when the market is volatile and closer when the market is calmer. Reliability and increased win/loss ratio are major benefits
Additionally, “First Profit Open” exits enable trading with longer potential time horizons which can significantly increase profitability in volatile markets. Since time within a trade is one of the strongest determinants of profitability, this approach has the potential to earn more revenue points per trade than a fixed ORB methodology, such as the original FirstStrike.
The ruleset is as follows…
When your market is flat
1. Monday morning at 00:00 CST before the market opens; you must know what the total was and last week's range was (High - Low = Range) and multiply that number by 0.30 to get these values that will determine our entry points for next week----
(Example: EUR/USD: last week's range (October 6-10, 2008) was 527 points (high: 1.3785,
Low: 1.3258) Now multiply by 527 x .30 = 158.1. Rounding up we get 159 points. This graph is added to/subtracted from the opening price of your pending order in the next step. .
2. After the market opens on Monday morning, prepare to stop-loss buying at the opening price + quantity and start from step (1). Alternatively, prepare to sell at the opening price with stop loss - quantity step (1).
3. Now we will determine the stop loss level for our position -
Go back to step 1 and find the numbers for last week's range. Following this example, last week's range totaled 527 points. Multiply by 527 x .10 = 52.7. Rounding again gives 53 points. If you were long, you would place a stop loss a total of 53 pips below the week's open (total risk in this example - 159 + 53 = 212) to protect your capital. The risk for each trade will change every week.
4. If you do not have a stop loss - wait for the opening of next week's bar, which will be the next Monday morning at 00:00 CST. (For short trades, reverse these instructions)
If exiting at next week's open would result in a profit, exit the market. If not, hold on until the next week's open is profitable, or you are stopped out on a loss. It is possible (but unlikely) that it could trade within weeks of entry.
5. Continuously monitor and set current buy and sell prices on a weekly basis. In some rare cases, your new buy or sell order for the week; may be closer than a protective stop order placed a week ago on an existing position that has not yet been exited at a profit.
6. This is good. You can save money by exiting and reversing your position at a closer price. If you took profits from a previous long or short position at the start of the week, make sure your buy and/or sell orders are ready to enter or placed in the market for order execution during the next week..
Joel Lensink
besides:
4. If you are not stopped - wait for the opening of next week's bar, which will be the next Monday morning at 00:00 CST. (For short trades, reverse these instructions)
If exiting at next week's open would result in a profit, exit the market. If not, continue to hold until next week's opening price is profitable, otherwise you will be stopped due to losses. It is possible (but unlikely) to continue trading for several weeks after entering the market.
“I hope I get out of all trades next Monday morning when the brokers open.
Rolls Major
Many thanks to Reina for the indicator.
Intent: Need to convert this idea into OCO EA. The good coders here are welcome to make EAs to help this strategy run automatically in full mode, and traders are welcome to add more trades in their minds. Thank you.
http://i600.photobucket.com/albums/t...eRealThing.jpg
George B. Leonard
In game theory, a Nash equilibrium (after John Forbes Nash, who coined it) is a solution concept involving games involving two or more players in which each player is assumed to know the equilibrium strategies of the other players and no player gains anything by unilaterally changing his or her own strategy. If each player chooses a strategy and no player can benefit from changing his strategy while the other players keep their strategies unchanged, then the current set of strategy choices and the corresponding payoffs constitute a Nash equilibrium.
In short, if Amy makes the best decision she can, taking into account Phil's decision, and Phil makes the best decision he can, taking into account Amy's decision, then Amy and Phil are in a Nash equilibrium. Likewise, if a group of players each makes the best decision he or she can, taking into account the decisions of the others, then the group of players is in a Nash equilibrium. However, a Nash equilibrium does not necessarily mean that the cumulative payoff for all players is the best; in many cases it is possible if all players can somehow agree on a strategy that differs from the Nash equilibrium (e.g., competing firms form a cartel to increase profits).
The Nash equilibrium concept is used to analyze the strategic interaction of several decision makers. In other words, it is a method of predicting what will happen if several people or institutions make decisions simultaneously and the outcome depends on the decisions of others. The simple insight behind John Nash's idea is that if we analyze the decisions of multiple decision makers individually, we cannot predict the outcomes of those decisions. Instead, we must ask what each player would do, given the decisions of others.
http://en.wikipedia.org/wiki/Nash_equilibrium
Welcome to the greatest business and "real" opportunity on Earth - the Futures and Forex markets. Knowing some unique information (of course) and being able to take profitable action based on that information has never been more possible or as profitable as it is today. Today, as I write this, a great opportunity is opening up, and by the time you read this, you may already be profiting from it.
We now have more trading products to choose from, including futures contracts, options on contracts, futures index products and FX trading banks for small capitalizations - more than ever before!
Joel Lensink
first strike puzzle
rule:
This method is very simple and straightforward. Read the following instructions several times. This will become clear to you when you complete a few examples yourself.
The most obvious feature of this version of FirstStrike is that the buy/ask distance from the week's open adjusts to the current volatility - openings will open wider when the market is volatile and closer when the market is calmer. Reliability and increased win/loss ratio are major benefits
Additionally, “First Profit Open” exits enable trading with longer potential time horizons which can significantly increase profitability in volatile markets. Since time within a trade is one of the strongest determinants of profitability, this approach has the potential to earn more revenue points per trade than a fixed ORB methodology, such as the original FirstStrike.
The ruleset is as follows…
When your market is flat
1. Monday morning at 00:00 CST before the market opens; you must know what the total was and last week's range was (High - Low = Range) and multiply that number by 0.30 to get these values that will determine our entry points for next week----
(Example: EUR/USD: last week's range (October 6-10, 2008) was 527 points (high: 1.3785,
Low: 1.3258) Now multiply by 527 x .30 = 158.1. Rounding up we get 159 points. This graph is added to/subtracted from the opening price of your pending order in the next step. .
2. After the market opens on Monday morning, prepare to stop-loss buying at the opening price + quantity and start from step (1). Alternatively, prepare to sell at the opening price with stop loss - quantity step (1).
3. Now we will determine the stop loss level for our position -
Go back to step 1 and find the numbers for last week's range. Following this example, last week's range totaled 527 points. Multiply by 527 x .10 = 52.7. Rounding again gives 53 points. If you were long, you would place a stop loss a total of 53 pips below the week's open (total risk in this example - 159 + 53 = 212) to protect your capital. The risk for each trade will change every week.
4. If you do not have a stop loss - wait for the opening of next week's bar, which will be the next Monday morning at 00:00 CST. (For short trades, reverse these instructions)
If exiting at next week's open would result in a profit, exit the market. If not, hold on until the next week's open is profitable, or you are stopped out on a loss. It is possible (but unlikely) that it could trade within weeks of entry.
5. Continuously monitor and set current buy and sell prices on a weekly basis. In some rare cases, your new buy or sell order for the week; may be closer than a protective stop order placed a week ago on an existing position that has not yet been exited at a profit.
6. This is good. You can save money by exiting and reversing your position at a closer price. If you took profits from a previous long or short position at the start of the week, make sure your buy and/or sell orders are ready to enter or placed in the market for order execution during the next week..
Joel Lensink
besides:
4. If you are not stopped - wait for the opening of next week's bar, which will be the next Monday morning at 00:00 CST. (For short trades, reverse these instructions)
If exiting at next week's open would result in a profit, exit the market. If not, continue to hold until next week's opening price is profitable, otherwise you will be stopped due to losses. It is possible (but unlikely) to continue trading for several weeks after entering the market.
“I hope I get out of all trades next Monday morning when the brokers open.
Rolls Major
Many thanks to Reina for the indicator.
Intent: Need to convert this idea into OCO EA. The good coders here are welcome to make EAs to help this strategy run automatically in full mode, and traders are welcome to add more trades in their minds. Thank you.
http://i600.photobucket.com/albums/t...eRealThing.jpg
Attachment to original post (2)
📦 Summary of post attachments (1)
Below are all the files shared in the reply (1).
💡 Featured Recommendations
✍️ Latest by the author
- •
- •
- •
- •
- •
- •
📌 Popular topics
- •
- •
- •
- •
- •
- •
- •
- •
🔗 You May Be Interested In
- •
- •
- •
- •
- •
- •