Here is the chart of gold which gave me about 1000 pips in 24 hours.
Look at the chart below in which are shown the euro short trades taken by me.
Look at the chart below which shows the long trades by me on euro.
Here is the chart of NFP of September.It got 144 pips in total going long and short.I earned around 70 short and other long.
Here is the chart showing long trades during NFP.
I have dozens of charts to substantiate my weekly performance.I was not in a mood to paste all these charts but in some other site a guy objected that performance without charts is not accpetable.si I thought here also might be some smart guys who may suspect bonafide performance reports of Kolachi.
If you want seriously understand my system then vist kolachitrader.net,
I need not convince anyone bcoz if you dont learn , I wont lose anything.LOL
Axis of Kolachi Method:
In the first post of Kolachi Method I have described Axis of this method as 200 ema.
I am surprised either this method is too easy for everyone to understand or too difficult that no one wants to bother himself with it.No one has yet asked me that what is axis and why this axis is 200 ema.
I will start with the Quantum Mechanics.We all know that tiny-est particles in physics are mesons which live in the nucleus.They are of different varieties and flavours.They spin around their axis and have an specific angular momentum alongwith other magnetic momenta.These are collectively called quantum numbers.Then at higher level comes protons and neutrons.They do have an axis and revolve around it.They are usually packed in nucleus which in turn has its own axis around which it spins.The nucleii are circumabulated by electrons as though they were their lovers and dont wanna go away.
Now we reach atom which is the building block of materials which we see and feel.Atoms are grouped into molecules and molecules make compounds.Those who have studied chemistry know better than me that all these miniscule particles are restless and vibrating and have some axis under whose obedience they are.
Who does not know that moon loves earth.Although moon spins around its own axis but it is height of its love that it never has turned its shining face away from earth.
Earth has axis and revolves around sun, which in turn spins around itself as well as revolves in the Milkyway.All astronomers know that Milky way is bound to revolve around cluster of galaxies and so on and so forth.
Now it is established that from meson to Milkyway evryone is circumabulating.
It is only man who was supposed to circumabulate around the Personalilty of his Creator but he is defiant by nature.Here comes the story of wma and emas.Those who are defiant are always forced to surrender.Everyman in life sometime calls that Almighty Personality for help and thus surrender to His Decree.
In forex the prices vibrate around axis.But question is what axis?Can we say that meson is not revolving around sun, but it is revolving around its own axis? No we cant say because if earth revolves around sun then everything on earth revolves around sun.Similarly, price revolves around axis.But which axis?The axis starts from ema1 to ema1000 or may be higher.Price always averages around these axes.How price averages around these axes.Yes , it goes to one side and then crosses and goes to other side so that net result is the average price of the ema.
I have drawn 1000 ema on my chart and have seen price vibrating around it.But it vibrates in such a long time that we cant trade if we select it as axis.The price vibrates around wma5 and at the same time it is coming closer to ema21 and then ultimately crosses it to other side thus completing one vibration and then repetition.Ema 21 vibrates around ema55, which in turn vibrates around 100 and then comes saga of 200.
In Physics, experimental data is given mch value.The empirical values which are found with hard work are very important for engineers.Although empirical value may not been exact but it is always agreeable with the exact value.
I have watched the charts for one year with the same emas and have found few empirical rules which are collectively called Kolachi Method.
I have experimentaly seen that ema200 is the axis of price for 6 months and 20 days.It does not mean that 144 ema or 100 ema is not axis but an axis which covers six months of price action has more practical importance than ema100 or so which covers little time period.I have seen charts and have found that price usually cycles ove one year.
Why? Because price is nothing but picture of economic events in different countries which have a fixed calendar of events spread over almost same month of every year.
Thus ema200 is the axis of Kolachi Method.
I will be posting free weekly analysis of euro,cable, euroyen and gold or aussie as per past practise.It is free but availbale only at kolachitrader.net
It will be posted some time tomorrow.
Martingale Entry in Kolachi Method:
Martinagling in gambling and trading is quite different.In gambling, the gambler doubles the bet with a hope of wining all lost money.
In trading martingaling is adding money to a losing postion.In Kolachi Method entry is never a blind entry or jump in the market.When a Kolachi Trader has a reason to beileve then he enters.for some reason price went the other way.Now there are two possibilities:trader comes to know that his analysis was wrong and he accepts it.The other is that trader knows he is right but price is taking time to go his way.It is the time when martingaling is allowed.
Let us say I saw a bullish Divergence on chart.The slope of wma changed and I entered long.But the price turned and fell down more.I am still postive that MACD is supporting me so I wait for the slope up again.Price makes another low and MACD did not fall that low.It is time to martingale the postion bczo you have reason to believe that price will head up soon.
You again see that price fell down once more and MACD still is up.You can martingale one more time on slope change.
The second martingale is the last martingale allowed in Kolachi Method.Now you cant enter more lots.
Now we are talking, keep up the good work. Interesting material.