Loading ...4 Horsemen + Rider
Found most of what i was looking for in couple of comments on old post on rambus. You have to be a member to read it but if you interested here is the link
This 2nd post is from plunger and has the settings if you need to start somewhere
Edit :
I pasted the protocol in the third comment
Note…this takes DISCIPLINE…I don’t have DISCIPLINE SO I FAILED WITH THE 4 HORSEMEN
Links no work but that is ok. With the dollar surging and currencies collapsing, many many more must be throwing their hats into the gold market . Just look at us Canucks finally waking up to reality . Stock market too jumpy but the smooth and steady yellow brick road.
https://stockcharts.com/h-sc/ui?s=%24GOLD&id=p24964088454&listNum=43
THANKS PYRITE
I COPIED AND PASTED FROM THE RAMBUS FORUM…A BLAST FROM THE PAST
All forum posts were vaporized by the hackers
I worked hard on the Matrix system to explain it in a post and it is gone
sorry
Reply
chapNovember 12, 2015,8:47 pm at 8:47 pm Edit
Here is what Fully sent me:
Before Matrix “Retired” he left us one of the keys to his Very Successful Trading Career
He was a professional Currency Trader .
The 4 horsemen consist of the following Indicators :
1…TSI Tweaked Settings (Turns fast and gives a heads up but whipsaws)
2…TSI Standard Settings
3…MACD Tweaked Settings (Turns fast and gives a heads up but whipsaws)
4…MACD Standard Settings
The “Rider” is the TRIX (that last indicator to turn…for stronger confirmation of the trend)
Here they are on the Gold Daily Chart
4 Horsemen and Their Rider ( as reviewed by Sir Classact)
Note Use only Daily Charts
1. enter one position when all 4 horsemen have crossed up
2. add another position when TRIX crosses
3. add further positions with positive price action with ALL 4 plus TRIX pointing north
4. do not add any more positions if the tweakers have crossed down
5. exit all positions when all 4 horsemen have crossed down
6. TRIX crossing down is final confirmation to stay clear of the trade until all 4 horsemen have crossed back up
TRIX always lags the other 4. it smooths out the noise. the way I use it:
also this is a “trend” following system….at least medium term…for a week or more.
not really suited to short term trading less than a week
…………..
Fully’s Additional Comment
One more thing Matrix shared with me
When he was trading currencies professionally
he would only trade With the trend
So Position size as the only variable
IF every thing was aligned he was 100% in if one or 2 tweakers turned he would usualy
lighten up ..If all 4 turned against the position he would still hold a core ( but
considerably lighter) He would never add a position until all the 4 horsemen turned back his
way .
So he was always IN with the trend but to varying degrees
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VivianeDecember 1, 2015,7:16 pm at 7:16 pm Edit
I had this saved offline – I think it was from Matrix.
I have tweaked the rules a bit to suit the PM sector. Because of the volatility in this sector. For other sectors use horsemen with the daily chart. This works for me, but feel free to adjust as personal risk dictates.
Use 2 hour and Daily Charts for PM sector:
1. enter one initial position when all 4 horsemen have crossed up on 2 hour chart (subject to price setup)
2. add another position when all 4 horsemen have crossed up on Daily chart
3. add further positions with positive price action with ALL 4 plus rider pointing north on daily chart
4. do not add any more positions if the tweakers have crossed down on daily chart
5. exit half of position when all 4 horsemen have crossed down on 2 hour chart (subject to price action)
6. exit remainder of position when all 4 horsemen have crossed down on daily chart
7. rider crossing down is final confirmation to stay clear of the trade until all 4 horsemen have crossed back up on the 2 hourly chart for a new initial position to start the process again
Suggested position sizing for 3 xers in PM sector:
1. Max 5% to 10% of total trading capital in any one trade
2. Scale into trade in 2 to 5 smaller bites as per above horsemen
3. Scale out of trade in at least 2 bites as per above horsemen
4. Max stop loss 20%. If stop price is more than that, do not take the trade until price is closer to support
Therefore max risk exposure = 1% to 2% of total capital
its important to scale in, and scale out of these things, using a set of rules (process)….as an all in, all out approach burns precious capital…as many of us have discovered!
Stay cool and calm and unemotional by just focusing on what the horsemen are doing and saying. Never calculate how much up (or down) during the trade, as this may lead to emotional decision making. The horsemen make the decisions.
ADDED FRO AN OLD PLUNGER POST
Those are the indicators:
TSI 7 4 7 (tweeker)
TSI 25,13,7 (indicator)
MACD 3,6,7 (tweeter)
MACDD 12,26,9 (indicator)
We just named them the 4-Horseman. The tweeters give the heads up for change. When all 4 are crossed over and headed down the stock is likely to follow.Same thing for the opposite,
The Trin on the bottom is the smoother. It is dampened.