This is for those that truly classify themselves as “scalpers” … and I would say
“super scalpers” … don’t care about “day trading”, don’t care about “trend”, or
what some guru somewhere says about any particular market … “I care about
money! … specifically, I care about buying at 1 and selling at 2, RIGHT NOW, or
selling at 2 buying at 1, RIGHT NOW! … I don’t care about an hour from now, or
this afternoon or evening … I’ll cross those bridges when I get to them … and
while I’m cognizant of any reports / Lounge Lizard PIE HOLES going “blah blah,
yada yada”, my focus is on the here and now … I can switch scalp sides at will,
but generally will favor one side over the other as I size up the day, and/or my
trading session … I am focused like a laser beam! … each and every day is its
own bull / bear market!”
Of course, there are a few things that are imperative in order to do this … 1) you
need a market with a fair+ amount of session VIX … 2) you need very tight, razor
thin spreads, with either very tiny commissions or preferably no commissions at
all … and extremely important 3) you need a group of LP’s that won’t gouge the
shit out of you on your buys / sells with off the market slippage … generally
speaking, cuz there might be exceptions to this cuz I can’t survey the entire
industry from day to day / week to week, these 3 criteria are going to be found in
FX, and won’t be found in “Stock Bellies”, crude oil, & gold / silver … remember,
I’m talking about “super scalper” status here, not normal scalping or day trading
… I’m talking on the order of 5 - 10 trades per hour, maybe more! … and if the
conditions above are met, you’re gonna get that from the logistics of the trade
and the marketplace.
Now what you need is an algorithm that can perform the exceptional task of
delivering that … and while nothing is 100% guaranteed, what I’m gonna spell out
today is about as close as you’re likely to get to the “super scalper dream” we
used to have on the trading floor … without the hundreds of thousands of dollars
it cost to stand there, without the commute into “Murder, Illinois” and the shit
weather 24/7/365, and without the hassle of government at every step of the way
… and while nothing beats Bitcoin when its moving $1,000++ dollars in range per
day, Bitcoin can get downright “sleepytime” as well, as evidenced by yesterday’s
clusterfark of chop inside about a $400 range of nothing but bullshit up/down
yo-yo spikes from Hell … when Bitcoin is moving, you sure as “Hoover Dam”
well can “super scalp” the living shit out of it at IQCENT, cuz the 3 criteria
mentioned above is met in spades!
But what if you don’t like Bitcoin, the low leverage available, or if it goes
“sleepytime”, what then? … cuz as every professional trader knows from
experience, your spouse / family / whatever don’t give a shit how you make
money, only that you do! [go ahead, see what happens when you don’t!] … they
don’t wanna hear about “this, that, it did this, and then it did that, etc., etc. into
save it Skippy, here’s a quarter go call somebody who gives a shit! … where the
fuck is my MONEY?!” … and generally, unlike prior years / decades when there
were “pits” you had to stand in and be there, you don’t have those restrictions
any longer.
Currently, my best guesstimate is that as long as an FX pair has about a 70 PIP
range over a 5 - 8+ hour session for trading, the super scalper algo I’m gonna
lay out will be viable and produce … get lower than that and it becomes hit or
miss … and currently, at least all 3 majors [EUR, GBP, JPY] have that, with YEN
leading the way … I don’t know about GBPUSD [Cable] at IQCENT, cuz neither
me, “The Mrs.”, or Miss Gimpy trade it … I can speak to EURUSD and USDJPY,
though, and I find USDJPY has the best overall conditions of any house that I’ve
ever traded at … here are the reasons … 1) margin leverage at 300:1, which is
plenty of rope to hang even the most aggressive … 2) bid/offer spread right
around 0.4 PIPS, WITH NO COMMISSIONS … and 3) NO “PISS ME OFF” slippage
to report … and quite frankly, I don’t know of any other house that gives this.
Cuz if you’re trading 20 times a session and paying just ½ PIP extra on each trade,
and are trading a standard 1 lot [100,000 notional], you’re giving the house and
LP about a $12,000 per year bonus! … don’t sit there and tell me it doesn’t matter
cuz it’s only ½ a PIP! … it sure as Hell does matter … but if not, send “The Mrs.”
a check and she’ll make sure to write and tell you how she spent it on useless
chick shit, OK?
And for the record, both “The Mrs.” AND Miss Gimpy have been tearing up
USDJPY with this algo for about a week now … Bitcoin still their favorite, but
Bitcoin, quite frankly, is stuck in mud between 30,000 - 31,000 for too many
days … EURUSD would be another alternative, but USDJPY gives better PIP
moves … here’s the algo.
2 VIDYA lines and the UniFisher Transform [UFT] … that’s it.
One VIDYA line [LIME UP SLOPE, RED DOWN / FLAT SLOPE], CMO Period = 13,
Smoothing Period = 4, Price = Close Price … second VIDYA line [AQUA UP
SLOPE, WHITE DOWN / FLAT SLOPE], CMO Period = 4, Smoothing Period =2,
Price = Close Price … UFT set at default of 10, 5, 3 and place in “LEVELS” 0, 2,
and -2 dotted lines.
You can either run this “standalone”, or split screen it with the “Special Trading
Algorithm v2” cuz it has the support / resistance levels via VIX levels 1 - 4
… personally, I use the split screen approach … and of course, use whatever
colors, styles, & widths you desire for your won charts … DIRECTLY BELOW, a
screenshot from USDJPY in the early AM EST.
Rule 1 … the VIDYA RED / LIME line has to have positive or negative slope … if
it’s “flat” there are no trades … Rule 2 … scalp from the long side when VIDYA
LINE IS LIME, AND SCALP FROM THE SHORT SIDE WHEN IT IS RED … Rule 3
… WITH VIDYA LINE LIME, enter long position when other VIDYA line goes from
White to Aqua, and liquidate [sell] when it stalls in price … WITH VIDYA LINE
RED, enter short position when other VIDYA line goes from Aqua to White, and
liquidate [buy] when it stalls in price … and the UFT crossover comes with the
signal.
If you get a run going, hopefully you can use the “Special Trading Algorithm v2”
and its support / resistance lines for help in liquidating … stops if wrong should
be very tight, cuz the change in color should produce the necessary buy or sell
fuel in a market that has VIX … generally, they both look for 3 - 5+ PIPS for
scalps, rinse & repeat … and, over the last 5 days, being short USDJPY on RED
line scalps has paid off very well, but the long scalps are still there, you just have
to be patient for them and show discipline.
Turning to today’s casino clusterfark, we got PPI at 8:30 AM EST, along with
jobless claims … as always with USDJPY, the 2 YR. T-Note yield matters
… “we’re all STIRS traders now don’tchaknow?” … WELL, THAT ESCALATED
QUICKLY DIDN’T IT? … QUITE FRANKLY, all of the scumbag bank LP trading
desks should be in prison … today’s “Scumbaggery & Fuckery” upon data
release epic in scale, as somebody or group of somebody’s gets mugged,
robbed, & raped within 2 minutes … have a nice day, come again! … and as
per usual, Coinexx LP’s blowing the spread out to over 5 PIPS in USDJPY, and
keeping thievery levels elevated for about 5 - 10 minutes … directly below, a
later screenshot of my split screen with the “Super Scalper” on the left, and the
“Special Trading Algorithm v2” on the right … I like having the perspective.
They can’t even get to mid morning in “Biden’s Gulag” [New York], and we got
ourselves a TRIPLE REVERSAL WITH RANGE IN USDJPY … what a FUBAR
Clusterfark led by scumbag banks … and that last triple reversal low down near
138, a thing of criminal beauty! … must have been a luscious sell stop for a bank
to want to front run and then bid the shit out of it … right, the regulators will be
right on this one! … Bwahahahaha! … “do they teach this yet in B-School in
“investment” finance classes?”
Then out-of-the-blue comes news that a judge has ruled in favor of Ripple [XRP]
in its lawsuit with the useless & worthless SEC … XRP explodes and so does
Bitcoin … the gains having a tough time staying up, though, and BTC panic
rallies right up to 31,200 before puking hard … 5 waves up on this puppy after
the news, and if you trade it like I told you to trade it, you’re smiling! … the ZH
link for details.
https://www.zerohedge.com/crypto/ripple-wins-case-against-sec-judge-rules-
Now into the New York afternoon, and once the London Fix comes and goes, FX
literally turns into a bag of shit … take away the report fireworks and the
subsequent “Scumbaggery & Fuckery” off of that clusterfark, and once things
settle down, USDJPY can’t move 25 - 30 PIPS to save its frickin’ life … plenty of
spikes from Hell, though, as the scumbag banks front run the shit out of orders
with their ILLEGAL OFFSHORE PROP ACCOUNTS [“Shhhhhhhh1 … don’t tell
anybody, OK?”] … and this is a big problem with FX … take away the
microsecond explosions in price from scumbag bank “Scumbaggery & Fuckery”
and the ranges are a Helluva lot smaller than you’re led to believe when you look
at the daily chart … and today is no exception … USDJPY with a smallish range
to begin with, but anything tradeable once the thievery is over with is a joke
… and with joke trading comes “gap pricing” and the bullshit from the
scumbag LP’s that goes with it … cuz when shit slows down, they still got to
get their money one way or the other, and if VIX ain’t there, no problem, they’ll
just steal it from anybody who trades … and thank you very much, as on a
downtick no less, the one algo buy signal I got we got mugged, robbed, and
raped for 3 PIPS off the offer price getting in, and another 1 PIP getting out
… PAMM DOWN SLIGHTLY … we all know the pig has warts & blemishes.
Meanwhile over at IQCENT, up and until BTC decided to explode with the XRP
news, I was trading USDJPY with ZERO SLIPPAGE PROBLEMS, NO GAP
PRICING … once BTC exploded out of the box, I switched over to it
… “The Syndicate” UP APPROXIMATELY 0.9% … SHOULDA done better with it,
but it is what it is … XRP going bat shit crazy [BSC] since the news, maybe I’ll
give it a “look see” tomorrow after it settles down some if BTC goes “sleepytime”
… we’ll see … onto tomorrow.
… OUTTA HERE … “The future’s so bright I need 2 pairs of sunglasses 😎😎,
and my own Brinks armored truck” 💓!! … Onward & Upward!!
-vegas
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