During my past 3 weeks, i was reading on 2 Technical Analysis books; Fibonacci Analysis from Constance BROWN, published by Bloomberg MARKET ESSENTIALS and Fibonacci Trading from McGRAW-HILL, Finance & Investing. Frankly speaking, the more i read about them, the more i got confuse over my Fibonacci application in trading. I don't mean that they don't work, but they just got me confused.
Last Friday, as usual, i will take a look at the forum in http://www.forexfactory.com on Trading System discussion. Most of the time, i will read and test the neverending list of Trading Systems invented by the developers/owner/original creator. I have not tested every single one of them yet and i am still testing.
But a particular thread and system that caught my attention was this Abonacci System created by Bobi Abonacci, which i believe is from Span, who invented his own system with comphrensive mathematic calculations and is one very distinct System that differentiate itself from all the rest of the Trading Systems.
The differentiation comes from the fact that with Abonacci system calculations, the system can predict the next month Trend for currency pairs, or futures such as OIL, Dow Jones. Most of the systems uses indicator that analyze on past trends, price actions to determine the next buy or sell. Abonacci is different, it treat each month as a new period, where old supports and resistances should not be resuse.
Abonacci has concluded that each pair has a unique frequency and the same calculation cannot be applied for other pair in different month. He introduce a new concept call phases, where it can only be calculated at the end of each month, to determine the phase for next new month. Each phase is constant which is similar to the physics concept of wavelength and is using a fixed fibonacci length 0% to 100%.
I have personally tested Abonacci on my demo account and can confidently claim that it is the best and accurate trading system i have ever use!
What Abonacci has done is a mathematical breakthrough and prove that that Forex can be traded by formulations.
For those who are interested to find out more about Abonacci, you can find Bobi Abonacci sharing his concept, idea and MetaTrader4 template & Monthly Calculator for EURUSD available for anyone to download. Details of Abonacci can be found in the following links.
Abonacci has only been around since Sept 15 2010 and has been the most accurate system that I have seen so far!
ReplyDeleteThe disadvantage is that you need to rely on Bob Abonacci to come out with the Template every start of the month as the calculation is not revealed to anyone and proprietary to Bob. However, nonetheless it prove that Forex trading can be systematic and predictable to reduce the number of bad trades.
No matter what systems you use, trading has it definite rise involved.