Episode 74: Exploring Divergence and The Wallaby Trade

by robbooker on August 22, 2012

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We’ve got a technical, sort of, how-to episode for you today. Rob Booker explores the concept of divergence with Bradley Fried, the CEO of Rob Booker Japan. Rob and Brad discuss Wallaby Trading and how it works. They discuss risk-to-reward ratios of 8:1 and 10:1, and they talk about how this is a possibility for anyone!

Brad and Rob discuss other oscillators or indicators that a trader can use to track divergence, such as The Wallaby Oscillator, Relative Strength Index (RSI), CCI, Stochastic Oscillator, MACD, et al. They briefly discuss settings for oscillators and Rob even asks Brad to share his win-percentage from his last month of trading. Very fun, right? So, tune in, and be sure to check out the valuable links and charts below! Thanks for listening.

Links for this episode:

Download: Free Indicator

Book: The Wallaby Trade

Book: Adventures of a Currency Trader

Rob’s eBook: Trading Naked

The Million Dollar Wallabot

The Edge Trading Video Series

And here are two examples of Wallaby Trades in action, courtesy of Bradley Fried:

{ 12 comments… read them below or add one }

Jverb August 22, 2012 at 1:57 pm

Where’s the best place to get support for the Wallabot? I bought the Wallabot EA couple weeks ago, and I am having trouble with it, and trying to get support for it. Any suggestions?

Reply

Bradley Fried August 25, 2012 at 8:27 pm

Hi Jverb,
I posted a reply to your query on the support forum at http://thewallabot.com.
Cheers,
Brad

Reply

Jverb August 26, 2012 at 7:35 pm

Hi Brad,
Thanks, got it! We’ll see if that helps.
Much appreciated.

jverb

Reply

dan August 23, 2012 at 9:55 am

common guys, 10:1 risk reward ratio, you are probably now a millionaire.

Reply

robbooker August 26, 2012 at 7:25 pm

I agree, Dan, I’m a pretty common guy. Thanks for writing!

Reply

Bruce Mars August 25, 2012 at 11:27 am

Thanks again Rob and Jason for a great show!
Rob…my laptop died! Oh well…this gave me the insentive
to finally send for my system from the states. As
you may recall from prior comments here, I
have moved to the Virgin Islands, aquired a job and have been trading from here!
I have been trading divergences but only with stochastics so I am so looking forwards to trying out the Wallaby! I will let you know how it works!

Reply

robbooker August 26, 2012 at 7:25 pm

Bruce,

Great to hear from you! Happy trading in the Islands!

Rob

Reply

Jwhite August 26, 2012 at 3:04 am

Whatever happened to Joshua Hanuck and zen trading? I enjoyed reading about zen trading and was curious to see if anyone actually traded this method with any success.

Thanks and love the podcasts

Reply

robbooker August 26, 2012 at 7:24 pm

Josh is living in Hawaii. I am in touch with him still. He’s a private individual. If we can get him on the podcast that would be great. Here are some thoughts:

1. Zen trading is emotionally distressing at times.
2. Zen trading has worked best with people who are calm all the time. People who smoke weed, or who generally don’t care about the consequences of mistakes, are great Zen traders. You have to be able to stay calm when things go wrong.
3. Lynn, another Zen trader, took over 5,000 Zen trades and then stopped. He was profitable but it is (see #1) very, very emotionally taxing.

If you’re interested in it, then we should do an episode about it. Thanks for writing!

Rob

Reply

Rene August 27, 2012 at 3:02 am

Hey Rob,

I’m looking at the charts above, but can’t seem to make out what the entry should be. So I checked your book and it says the crossover is the best time, but that doesn’t seem to match the charts above. Any insight on this?

Thanks

Reply

Cassndra August 31, 2012 at 10:10 pm

Do you have a wallaby download for metatrader?

Regards,
Cassandra

Reply

Roland Amaranto July 9, 2016 at 1:35 am

My friend introduced me to this. Awesome! Loved the topics. This by far one of may fave as I am also leaning towards divergence trading. Thanks!

Reply

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