Has anyone tried this technique? Applying the Bill William's fractals to the metatrader chart and selling when an up arrow shows and buying when a down arrow shows? If placing trades based on this strategy, do you think overall a person would be profitable doing this?
Either way, whether you've tried this or not, please tell me what you think about this idea. Fractals should only be used as a point of reference. If you happen to make a newer low after a fractal has appeared at the bottom, the fractal will repaint itself to the new low.
A valid fractal high or low is established only after the close of the second candle following the formation of a tentative fractal high or low. Each yellow arrow points to the best possible buy or sell entry, based on the fractal which formed 3 candles previously.
The dashed yellow lines connect the fractal highs and lows to the sell and buy signals which they triggered. You haven't outlined a complete system what are your exit rules? For one thing, you have 6 buy signals and 4 sell signals in a downward trending price pattern. However, until you can put entry and exit prices on all the signals generated here, you can't determine profitability. Don't try on anything lower than 1H, but even then it is doubtful.
I use them in conjunction with PA to judge when to enter on pullbacks and that is better. You mention Bill Williams' Fractals.
In my 'not so humble beginnings' I spent a good year to two 'studying' both Bill Williams and J. Bill Williams' 'stuff' has too much 'fluff' and complications so 'Wilder won' as is well known about me around these parts. My main trading system Wilder's 'Swing Index System' uses what I refer to as 'Three Bar Fractals' as opposed to Bill Williams' Fractals where many variations of bar formations can form a valid Fractal and MetaTrader only shows what Bill Williams refers to as 'Pristine Fractals' but the other formations are too numerous to mention and probably too difficult to code and the only difference is that Wilder refers to these 'Three Bar Fractals' as 'High Swing Points' and 'Low Swing Points'.
Works well for me!!! One word of warning though as has already been mentioned: And one other word of warning this added after the original above: Fractal trading systems are good as are the other system but they are as good as the trader using.
I have used this bill williams methods described in his books. All these system trading or. The top level trading is trading without indicators. I agree with this view. Most importantly trade with price movement by looking at the candlestick pattern. The most easiest way and the most neglected way of trading.
Bill William's Fractals Beginner Questions. Hi Fractal trading systems are good as are the other system but they are as good as the trader using them. All these system trading or mechanical trading is level 2 or level 3 trading.
The top level trading is trading without indicators without any news and just following the market dance. Keep it basic and you will be surprise how effective the simple basic method of trading.More...