Charting Software

A trading system is of no use without the tools to implement it.

Some people opt for cheap or even free software and feel this is an easy route to accomplish there goal.

I have used and bought may different packages as some of you know and I can tell you that cheap and free software is just that, cheap and free. In the world of trading good software is paramount and sidetracking this will only result in a lot of hard work, late nights and most probably end with trading emotionally.

Having rules and sticking to them will help immensely for any trader and the most successful traders will all have trading plans. I was speaking with Tom Joseph a few weeks ago and during our conversation I was amazed at how specific the rules he has are followed. Tom Joseph who is a world famous commodities trader for many years still follows exact rules and I would be suprized if he deviates from them at all.

There are hundreds of software packages available for trading ranging from free to a couple of thousand a month in cost. I use a few different software packages as no one particular software has all the features I like to use. I am asked quite often what is my favourite trading software. Well I dont have one single package I can say is the best but my main charting software packages are Advanced Get, Metastock and DT (all three you can see as links on the right hand side). All of them allow for mechanical trading thus removing a great deal of emotion and the way I trade, all three packages complement each other.

A friend of mine Rohan Weerasinghe always says, "When digging for gold, do not concern yourself with the cost of the shovel".

My next update will be on Tuesday.

Turkey Catcher

Sorry for the late update today. As we have missed the majority if today's movement, I thought I would place Turkey Catchers strategy on here for you.

Congratulations to you Barry for giving up chasing 400 turkeys a day.

This week so far I have made 127 pips profit using the mechanical trading stratagies.

I have my own set of entry rules that I filter the mechanical trading results through before I place my orders, they are very simple and include such as I only trade with the trend never against it. So if the stratagy is giving a sell signal I will only enter the trade if the trend is down. The same is true of long trades the trend must be up.

Everyday I search RMO and MACD stratagies for trading oppertunities. I pick out the securities that have been highlighted by both stratagies.

I then do further analysis on these securities, I am looking for increased momentum which indicates interest in the security.

I am looking for the trade being in the direction of the trend usually on a wave 3 or 5.
I then put the security through my TO stratagy to ensure that 3 out of the top 5 indicators are also in the same direction as my proposed trade.

This system has worked very well for me, it has protected me from false signals a number of times, increasing my percentage of winning trades and profitability.

Thankyou.
Barry.

GBPJPY

The GBPYEN is still looking bullish despite the sell arrow.

The trend is your friend so awaiting the continaution of the upward trend with a buy signal maybe a safer option as opposed to shorting just yet. If we stay above short term pivot levels then we are safe for a continuation. A break below then use fib to determine the supports.

Good luck.

EUR CAD

The EURCAD cross is in a downtrend but has found some support as you can see. XTL is still bearish but we do have some buyers bars. Further strength could see price reaching the next resistance line on the chart at 14600.

I spoke to our resident dentist Soodi this morning and unfortunately I cannot give him all your emails asking questions regarding the strategy as he wont have the time to answer them but what he has told me is when he was testing the strategy he started with a pot of £50 in the account and was trading 50p a pip which had then risen to over £600 with no losses. Now that is amazing but what I will say is no strategy is 100% consistently right and although it works extremely well there is a degree of luck involved for not having any losses so you should not expect the same results as our Dentist friend.

On another note, hoorah to Turkey Catcher who was on his way to work to hand in his resignation this morning. He decided catching turkeys is no longer his passion but trading is the way forward.

To answer a question from Peter of Melbourne, you are right I do know the traders of WT but I am sorry although I have the software I don't really need to use it and so cannot recommend it which is why I have not organized a discount with them and put a link on my website. However, the software packages I do use I do have links on my website for them and with good discounts.

On the topic of software packages, there is an abundance of software available for trading, some cheap, some very expensive, some good and a lot of them not so good. Tomorrow I will give my thoughts on trading software.

All the best for today guys.