LMT trades...It's talking in it's sleep?

[LEIGH58]

Ive taken a few LMTs trades lately. Today was the AUDJPY on the 4 hour. Before that was AUDJPY and then AUDUSD, both 4 hour.

Raa you said LMT is just talking in its sleep, but I put my ear next to the mouth of the somnolent LMT and I have pulled out some winning pips from it's slumberspeak.
( Jesusgod the morning- breath though!!!! Just how long has LMT been asleep?)

They say that reality is merely lucid dreaming ...

[raa]

Sure you may pull some pips. LMT is a very simple pullback-continuation indicator, handy to use, because you set some email/sms alerts on many pairs and no need to look over all of them every day, not to mention every 4 hours. But lately markets are erratic, so LMT produces far less signals then during normal months, and those produces are far less consistent.

[LEIGH58]

Sure you may pull some pips. LMT is a very simple pullback-continuation indicator, handy to use, because you set some email/sms alerts on many pairs and no need to look over all of them every day, not to mention every 4 hours. But lately markets are erratic, so LMT produces far less signals then during normal months, and those produces are far less consistent.

I have to admit Ive been a bit of a Nervous Nelly about taking them without Marc or one of the pro's to offer their perspective on it...maybe I have just tempted lady luck and earned her favour ...this time. You are right; perhaps I should keep a careful eye open lest the mumbling mouth of the LMT turns into a huge gaping maw that sucks me into the abyss and agony of LOSS.

I would like to take a moment here and tell you that I like your hat alot, by the way .

[Thomas]

Raa, I´m considering buying LMT and spend some time experimenting with it. I would like to hear Your opinion about using it as an additional entry method on M2 trades. Meaning that I will only enter on a LMT signal if price get into one of my areas of interest and I´m allready looking for reasons to take a trade.

Do You think it will be suitable to this or is it best just to have it working alone as a seperat system?

Thanks
Thomas

[Gally]

To be brutally frank, don't bother. LMT had a great couple of months in May/June 2009 and since, its been pretty meh. There are better systems. As you're planning, you have to qualify, qualify, qualify the trades so much that you might as well start from another direction. Summer last year a few of us started various ideas for qualifying the trades, looking at which pairs worked, which timeframes worked, whether qualifying with RSI or MACD would work. Learnt a lot about how systems fit together, but every LMT signal then required so much work, it just wasn't worth it. If you're using M2, use M2.

You can make money just picking direction randomly if your money rules are right. LMT is about one step up from random decisions.

IMHO of course

[raa]

Raa, I´m considering buying LMT and spend some time experimenting with it. I would like to hear Your opinion about using it as an additional entry method on M2 trades. Meaning that I will only enter on a LMT signal if price get into one of my areas of interest and I´m allready looking for reasons to take a trade.

Do You think it will be suitable to this or is it best just to have it working alone as a seperat system?

Thanks
Thomas

Hi Thomas, I would say it depends on your level and confidence. It is definitely a great learning tool for beginners! Something you can rely on, something to double-check yourself against when deciding to take trades, something that gives you a clue of a stop loss and first profit/break even levels. If you are experienced trader and have accustomed with entries, levels and trade management, probably it won't be a benefit. But it is a great tool for any novice or struggling trader. For me it was a tool that gave me a confidence that it is possible to win at Forex, and do so constantly. From January till May it was working quite well, I believe in September it will awake and will give good trades again. I think the best value is it's Daily Mode, slower moving setups but often overlooked in haste of intra-day heat.

Another good tool from Dean, that I actually use quite often (while setup present itself) is a Power Band dominator, more technical and rule-based version of Marc's bollinger trading.

[Thomas]

Thank´s raa. It gave me a good idea of what LMT can add to my trading methods. I have no problem´s with stoplos and profit/break even levels, so I think I will focus on getting better at the methods I´m allready using. I agree that power band dominator is a good system. I use it myself and are quite happy with it.

Have a nice evening