21 January, 2010

Today’s wheat market was a good one for seeing the difference that chart time periods can make. Here’s the usual 2 minute chart:

Most of my clients ended up with a "No Trade" on this chart. (The "conservative" strategy I’m using at the moment took a long entry and ended up with a small losing trade.)

But now here is the same chart using one minute candles:

Those of my clients who prefer the shorter time period got an early entry to the Long side, with just enough room to book a nice profit!

TradeOnAuto lets you choose any time period you like – from 5 seconds to 3600 seconds in 5 second increments! (It would be impossible to trade, say, a 15 second chart manually because (a) you don’t have a 15 second charting option in TWS and (b) it would be just too fast to avoid making errors.)

While the one minute chart was better today, it is not always so. Sometimes the two minute chart is superior – there is no way of knowing for sure. The important thing is to be consistent in the way you trade, and not to constantly switch from one to the other.

 

 TradeOnAuto

Many thanks to those of you who have ordered or even just sent comments about TradeOnAuto. After all the hard work, it’s wonderful to be getting so much positive feedback. If you haven’t watched the new demonstration video yet, I encourage you to do so. If you had difficulty playing it yesterday, there is now a Windows WMV format version available on the download page.

 

 

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