Kambooj , Thank you for ur good words...Honestly I was inspired by your valuable posts (as I said in the first post) , so its really meaninful to receive confirmative comments from you. Here I met some friends who also helped me to improve my perspective with GANN principles , and some of his methods. The basic idea stays still , but for example the 45 degree angles really improved my perspective (thanks to Bluemental for it , I hope he will be back soon) . I do not know how Gann looked at the market , but for sure he had a geometric approach which gave him sharp [Price + Time] coordinates in the future. So we can get him as a reference point that we are on the right path . In other words its possible to make predictions in the future including time and price .
Coondawg71 , that daily projection , I will really be happy if you share it here. To be honest , I cannot make such long term predictions on USDCHF which is in a bearish trend for years. So I cannot decide (for ultra long terms) which pivot to set as my reference point. But it is easier to draw shor term circles on the daily chart...I am sure after writing this message I also will open USDCHF chart and start trying different reference points
Apart from all of these , I want to talk about EURUSD which really surprised me with the retracement without touching the circular resistence. As you can see in the second picture , I was prepared for a retracement , but I was expecting it to start from the green triangle in the picture. And I wud be looking for a bearish candle formation in that zone. But the result really shocked me...
And the result is really different than my scenario , the retracement came so fast and so strong ... even stronger than ı expected. This strength made me doubt the eagerness of the pair to go upwards. Finally the price was blocked by the circular support which offers a nice opportunity to buy this pair from this level. But I will show you another picture from the weekly perspective :
The bearish enfulging pattern in the last picture confirms the channel resistence. Ok , I shud be more clear-er ... If action is equal to reaction , or if there is a relation between them like Isac Newton said , then we can measure the market by cloning the patterns of action in the market. As you can see in the picture the price went 1,5 times the action and formed a bearish enfulging pattern . This bearish enfulging pattern in weekly chart makes me prepare scenarios for the circular support's breakout. The trend will be changed in case that circular suport (the red circles in the ictures) is broken. Anyway , I have much to say which I cannot express....so I will summarize them ...
As a Summary :
1- There is a bearish candle formation in weekly timeframe. Also the monthly candles seems to be red at the moment which is an overall idea : the market is bearish !
2- The bearish trend will be established in case the circular support is broken. and the candle formation shows that the price is eager and strong enough to do that...we shud be prepared for it...
3- Action and reaction always have some kind of relation.And they are mostly 1x - 1,5x - 2x - 2,5x.... times of each other. And the pair seems to have been stoıpped by the 1,5x the resistence of the action channel
4- USDCHF scares me. It still has the symptoms of a bearish trend which is about to start. When we remember that this pair (USDCHF) is negative correlated to EURUSD and knowing that it is waiting right under the fan resistence (You can see in the post about USDCHF) making preperations for a drop which will pull EURUSD to really upper levels. And when we remember that EURUSD is also sitting on a potential bounce-up level (circular support) is a strong clue that the weekly bearish candle formation is about to fail ... fake (maybe)
5- If we have completed the "reaction" in EURUSD , then the question is where the retracement will stop. We shud measure the completed reaction and locate it in our new formula as the "action" and predict the next "reaction". I know it sounds to be complex...
6- To sum up : we are at a potential bounce up zone for EURUSD (drop zone for USDCHF) . But this theory is rejected when we look at the candles and the reaction methodology...Aah,Tooo many to think about !!
7- God bless you all !
Coondawg71 , that daily projection , I will really be happy if you share it here. To be honest , I cannot make such long term predictions on USDCHF which is in a bearish trend for years. So I cannot decide (for ultra long terms) which pivot to set as my reference point. But it is easier to draw shor term circles on the daily chart...I am sure after writing this message I also will open USDCHF chart and start trying different reference points
Apart from all of these , I want to talk about EURUSD which really surprised me with the retracement without touching the circular resistence. As you can see in the second picture , I was prepared for a retracement , but I was expecting it to start from the green triangle in the picture. And I wud be looking for a bearish candle formation in that zone. But the result really shocked me...
http://img850.imageshack.us/img850/9687/circles.gif
http://img839.imageshack.us/img839/8866/eurusdfg.gif
http://img35.imageshack.us/img35/5840/result.gif
And the result is really different than my scenario , the retracement came so fast and so strong ... even stronger than ı expected. This strength made me doubt the eagerness of the pair to go upwards. Finally the price was blocked by the circular support which offers a nice opportunity to buy this pair from this level. But I will show you another picture from the weekly perspective :
http://img152.imageshack.us/img152/3334/candleb.gif
The bearish enfulging pattern in the last picture confirms the channel resistence. Ok , I shud be more clear-er ... If action is equal to reaction , or if there is a relation between them like Isac Newton said , then we can measure the market by cloning the patterns of action in the market. As you can see in the picture the price went 1,5 times the action and formed a bearish enfulging pattern . This bearish enfulging pattern in weekly chart makes me prepare scenarios for the circular support's breakout. The trend will be changed in case that circular suport (the red circles in the ictures) is broken. Anyway , I have much to say which I cannot express....so I will summarize them ...
As a Summary :
1- There is a bearish candle formation in weekly timeframe. Also the monthly candles seems to be red at the moment which is an overall idea : the market is bearish !
2- The bearish trend will be established in case the circular support is broken. and the candle formation shows that the price is eager and strong enough to do that...we shud be prepared for it...
3- Action and reaction always have some kind of relation.And they are mostly 1x - 1,5x - 2x - 2,5x.... times of each other. And the pair seems to have been stoıpped by the 1,5x the resistence of the action channel
4- USDCHF scares me. It still has the symptoms of a bearish trend which is about to start. When we remember that this pair (USDCHF) is negative correlated to EURUSD and knowing that it is waiting right under the fan resistence (You can see in the post about USDCHF) making preperations for a drop which will pull EURUSD to really upper levels. And when we remember that EURUSD is also sitting on a potential bounce-up level (circular support) is a strong clue that the weekly bearish candle formation is about to fail ... fake (maybe)
5- If we have completed the "reaction" in EURUSD , then the question is where the retracement will stop. We shud measure the completed reaction and locate it in our new formula as the "action" and predict the next "reaction". I know it sounds to be complex...
6- To sum up : we are at a potential bounce up zone for EURUSD (drop zone for USDCHF) . But this theory is rejected when we look at the candles and the reaction methodology...Aah,Tooo many to think about !!
7- God bless you all !
Imagination rules the world ...