I field several requests for information on DecisionBar every week. For ES Emini day trading, it seems people are looking for that magic bullet that puts them over the top. Trade setups are evaluated through a filtering process, which is to say that a numbers of indicators are used to select a profitable trade.
When I see a trade setup in the offing, I consciously try to find reasons not to take the ES Emini trade. That sounds a little counter-intuitive, doesn’t it?
Not really.
One of the biggest mistakes a trader can subject himself/herself to is chasing the price action. We have all done it, usually with disastrous results, and I consciously try to fashion a trading image of myself as a cautious trader. Not scared, but cautious. This may be a blow to the ego of some traders, but futures trading is no place for an ego.
Decision Bar makes a fine filtering device, and has kept me out of some ruinous trades. It is also a great indicator for breakouts and breakdowns. Of course, it is not hard to spot a breakdown or breakout, but when you combine the DecisionBar oscillator with the DecisionBar indicator, you find yourself will a lot of information at your fingertips. Filter, filter, filter.
So I use DecisionBar as one of my primary filtering devices when trading. I have found the price exhaustion signals on DecisionBar to be unreliable. This, of course, my be a function of my reluctance to enter counter trend trades, especially when the price action is significantly above or below the 89 period SMA. I should point out that less than four or five points on the ES Emini does not necessarily exclude a trade, but it does cause a red flag. I want to trade with the trend and not try to make a living discerning when the market is going to change direction.
The DecisionBar manual even points out some great filtering devices to use when trading the ES Emini and use the Decision Bar program as your primary indicator. Judging from the reviews by traders on chat boards, it is obvious that most have not taken the time to completely familiarize themselves with the manual provided. Additionally, there is an easily accessed page on the Decision Bar site called Decision Bar hints, and this resource should be read, too. There is a wealth of information available on Decision Bar, and once a trader learns the program, there is no reason to complain about using the program profitably.
Finally, there is some concern about the quality of customer service Decision Bar provides. This is not my experience. If you call customer service with a trading problem, there is a good chance you will be asked to read the manual. However, if you have some technical issues, there is no doubt in my mind that you will find the service just fine.
