SBV Technical Analysis - Trading Volume with Confidence
Simple SBV Trading System Blog
S&P 500 Emini
Friday, June 11, 2010
This week's SBV chart example is based on the 5-day SBV Histogram S&P 500 Emini (ES) chart.
+37 points on the S&P 500 emini in a week
Chart 1. Relationship between the SBV Histogram and index reversal points. S&P 500 index. 5-day view. 1 bar = 5 minutes. SBV Histogram(20,9)
In our trading example, we applied the following simple system which is based on our SBV Histogram:
Once the SBV Histogram has advanced above zero level (after having been below that level), we will enter a long position;
Once the SBV Histogram has fallen below a zero level (after having been above that level), we will enter a short position;
Close Position at the end of a trading session.
Detailed system description with explanation of used rules could be found in our "SBV Trading System" tutorial.
Table 1: Trades based on the 5-rule system.
Time
Motivation
Signal
Index
Profit (points)
6/7/2010
10:50
Rule #2
Sell Short
1062.00
-5.00
12:05
Rule #1
Buy
1067.00
+1.00
13:25
Rule #2
Sell Short
1068.00
+2.00
13:35
Rule #1
Buy
1066.00
-1.25
13:40
Rule #2
Sell Short
1064.75
+14.75
16:00
Rule #3
Cash
1050.00
6/8/2010
10:15
Rule #2
Sell Short
1047.25
+3.00
11:05
Rule #1
Buy
1044.25
-1.25
11:10
Rule #2
Sell Short
1043.00
-8.25
11:20
Rule #1
Buy
1051.25
+2.25
13:05
Rule #2
Sell Short
1053.50
+0.75
14:20
Rule #1
Buy
1052.75
+6.75
16:00
Rule #3
Cash
1059.50
6/9/2010
10:15
Rule #1
Buy
1066.00
-1.50
10:35
Rule #2
Sell Short
1064.50
-8.75
11:05
Rule #1
Buy
1073.25
+1.00
12:10
Rule #2
Sell Short
1074.25
+5.50
14:30
Rule #1
Buy
1068.75
+4.25
14:50
Rule #2
Sell Short
1064.50
+10.25
16:00
Rule #3
Cash
1054.25
6/10/2010
11:30
Rule #2
Sell Short
1078.25
+4.00
13:20
Rule #1
Buy
1074.25
+7.50
15:10
Rule #2
Sell Short
1081.75
-3.00
15:15
Rule #1
Buy
1084.75
+0.75
16:00
Rule #3
Cash
1085.50
6/11/2010
10:10
Rule #1
Buy
1086.00
+0.25
10:30
Rule #2
Sell Short
1086.25
+1.75
12:10
Rule #1
Buy
1084.50
-2.00
12:20
Rule #2
Sell Short
1082.50
+0.25
12:35
Rule #1
Buy
1082.25
+2.75
13:35
Rule #2
Sell Short
1085.00
+1.50
15:15
Rule #1
Buy
1083.50
+6.25
16:00
Rule #3
Cash
1089.75
Total:
+37 points
Note: Our charts are unique in that they give traders the opportunity to choose the specific chart settings that best fit their personal trading styles and risk tolerances. Traders can thus develop and test their own trading systems. On our charts, you can scroll back in history to test any system that you have created.
Disclaimer:The chart example is intended for educational purposes only and does not constitute trading advice or make or imply any market trend prediction.
