Okay I know this is a weird title, but I didn’t want to give away what I discovered in the title, that is much too easy. So, first have you taken the time when doing settings with TC to do a simulation export to excel? It is very helpful, and sometimes you see something in that data that makes you money, and that is what I found.
I was exporting my settings schedule to excel last night, as I had an idea that some of the currencies could trade well at night as well as in the morning that I demo trade. So, while doing that, I noticed something very strange with all of them, 6 different currency pairs. On Wednesdays, at 4 oclock in the afternoon, all of the pairs did really well in that one hour period, and I mean REALLY well… and it was consistent with all of them, up to 256 days. Now you have to realize this was JUST on Wednesdays, not any other day of the week, and it was consistent among ALL the pairs that I was trading. That is not a blip in the data, it was representing something that was consistent on Wednesdays that made TC very profitable for a short period of time, across ALL currency pairs. So I wrote on a piece of notebook paper, What is the deal with Wednesdays at four? What in the world could make all the currency pairs trend well at a specific time in the day on Wednesdays? Some of you may already know the answer, but I didn’t. So I decided to make a schedule for EU to trade on Wednesdays at the times that excel said it was extremely profitable on JUST Wednesday, so that I could look at the charts and see if there was some pattern that I could recognize. There was a pattern there. It wasn’t every Wednesday that was profitable. Most it didn’t even move, or trade at all. but there were about four or five days that Trend catcher just exploded across the screen with profits, and did extremely well. So I tested another currency, Just on Wednesdays, and Just the times that excel said it did very well, and again there was a pattern. Another one where there were four or five Wednesdays that were extremely profitable, and the rest mainly it didn’t trade, or it was a little profitable, or a little unprofitable, but they didn’t matter. Again it was the four or five days that ruled Wednesdays, and you might have guessed it at this point, it is the same four to five Wednesdays. I ran this for all of the 6 pairs that i trade, and it was always the 3/18, 1/28, 12/17, 10/29, 9/17, These were the same dates on all the charts. If you haven’t guessed it already, these are FOMC wednesdays!!! If you set TC to trade on Wednesdays around FOMC, especially in the afternoons, it does extremely well. The normal expectation that I have for EU is 5.25. This is good and profitable. If you set it just to trade Wednesday afternoons, from 1-5, ALL WEDNESDAYS, not just the FOMC ones, the expectation is over 10. Oh, and this is run over 256 days, so there is consistency in those results too. Not to mention that the other pairs show the same types of results too!!, normal 3 goes to 7, etc. I don’t know if this would work with TF , YM, ES, and NQ, but I would suspect that you would see some interesting results if you ran the excel sheet, and looked specifcally at Wed. afternoons, and then ran a schedule based on what you see…
THis all took about 3-4 hours of my time to look at and figure out what was going on, but it was well worth it!!! Pull up an excel sheet, and look, see what you find!!!
Oh and if you have any questions, would like to have the final settings for the pairs that I have for FOMC Wednesdays, how to pull the excel sheet or what to look for, anything at all, let me know, I absolutely love this data mining type work.
The Nerd is strong with this one…
