STILL stuck in this 70-some pip range......
I continue to sit on my hands and practice my patience....
I continue to sit on my hands and practice my patience....
Chicky's House of Pleasure and Pain 11 replies
Carry Backet w/ Jacko's AH 10 replies
Hello Guys is a pleasure to be here. I'm new to MT4 1 reply
Jacko's P&P Trend Trading Method 73 replies
DislikedI am a Trend Trader
EVERYONE SHOULD TEST OUT THIS VERY UNUSUAL AND RARELY USED STRATEGY;
1. buy/ sell ONLY in the direction of the major trend and
2. buy/sell on dips.(Use support lines to guide you as to price...also "round" numbers ... I also use the 50% Fib ratio..)
3. bank your profits
Firstly, how do you know what the trend is?
DETERMINE THE TIME FRAME THAT YOU WANT TO TRADE.
1. If the graph on the chart starts in the bottom left hand corner and ends in the top right hand corner, the market is going UP.
2. If the graph on the chart starts in the top left hand corner and ends in the bottom right hand corner, the market is going DOWN.
3. If you are still confused, print it off and show it to a 5 year old...they will get it right EVERY time...LOL
The trend is the BEST friend you will ever have in the Forex market.
When you trade with the trend, even if you make a mistake, the market will get you out of your problem....If you make a mistake and you are fighting the trend ...YOU ARE STUFFED, BIG TIME !!!
Secondly,I think the round numbers (1.2900...1.3000...etc) are valuable. I only use minimal numbers of trend lines and the ONLY Fibonacci number I use is the 50% number....
That's the limit of my T/A...
KISS = Keep It Short and Simple
Note: I do NOT use any moving averages (or any other of the fancy measures). They are historical numbers!!!
The reasons that I use only Round numbers, trend lines, and the 50% Fib number is that the big players ALL use them. The more complex you make your trading parameters, the less number of people will be using them.
Forex is one of the most "trendy" markets. That is, it trends MUCH stronger than say metals, oils etc in futures markets. The pair that are the strongest "trend" market is the Euro/USD. Trending markets are soooo much easier to trade than choppy, volatile and erratic markets
Thirdly, Slow down... this market will be here for the rest of your life...
DON'T BET YOUR BANK...
It is better to get rich slowly...than to go broke spectacularly fast.
Fourthly, A much wiser man than me once said that "If you find yourself in a deep hole, then stop digging"
Do NOT throw good money after bad money...stop and accept the loss... then clear you head so that you can see more clearly...
You should either
1. Close out the trade, and let the market go up/down....but after the market starts to retrace, then put your "short"/"long" position back on at exactly where you closed it out. This ensures that you get back into the trade on the way down (the Jacko "alternative method" to hedging) or
2. Close the position and take the loss. Then look at getting back into a "good" trade next time. This market will be here long after you and I will be dead, so there is no need to rush in and try to get all your money back in one day.
Fifthly, the is a tendency for newbies to "PANIC" when the market goes a little against them This is due to:
1. Probably scared to lose money
2. Probably undercapitalised
3. New to industry....therefore probably uncertain about your own abilities
4. Unsure that the trend lines, 50% Fib line and "round numbers" are as reliable as they are in practice.
4. Probably inexperienced in business and investment from a practical aspect
5. Probably unsure who to talk to for guidance
There is a solution to all the above...... It is called "old age"........LOL
Finally, you ask why I prefer to use the longer term trades. The answer is that the shorter the time period, the more you are gambling and punting on tiny movements. The smaller the time frame, the less they will follow the trend lines, Fib numbers and "round number" rules.
The longer the time frame, the stronger will be the trend lines etc
Also, short term trading is emotionally much more draining.
Just some additional little things that I have remembered that may be of assistance to anyone looking to position trade:
Firstly, don't over-trade. Some people here seem to want to bet on every tic. The thing that kills new traders is the "wild punting" on everything that moves two ticks.
Secondly, stop thinking that you have to "outsmart" the market.
You don't have to..this business is very easy if you leave your brain at the door....just follow the trend = follow the money =going with the flow = barking with the big dogs.
Stop thinking that "it can't be that easy".......it is!!!
Thirdly,, you have to detach yourself emotionally from the money...that is the hard part...stop seeing it as money, and look at it as numbers.
Also, don't play with money you can't afford to lose...or alternatively, put the money aside and tell yourself that it is already lost. (You MUST detach yourself from the money
Finally, I am not saying anything different to what all the good trading books say...but it is amazing that every newbie wants to "take on" the market and then wonders which express freight train flattened them (and destroyed their trading accounts).
Most people are trading for the adrenaline rush rather than the boring concept of just maximising profits
The Forexmarkets are arguably the most "trendy" market there is, especially the Euro.
Once a trend is in place, it takes a lot of power to reverse it. Take a look at the weekly charts. This current "long" started back in early Dec 2005 at approx 1.1650. (nearly 1700 pips from where it is now) It had a relatively "minor" correction from approx 1.3000 to 1.2500 before continuing on to where it is today.
Even more strong evidence for the power of the trend is that the above "long" is part of an even stronger "long" from 0.8363 from July 2001.
Price does not like support or resistance levels. It mostly tests them and then moves away quickly. You’ll rarely find much price action in the vicinity of the line. If price is hanging around a support or resistance level, it’s likely to break in the opposite direction.
(For example we know that professional traders love round numbers to target...it brightens up their dull day to push and cajole the market to a target number. Now Euro/USD 1.3000 is the roundest number there is around those levels, so the pros have gotta be saying that the big game in the industry is to now grind and push the market to 1.3000. After that they don't care, they have had their fun...and thats why a market will whip and drop/rise dramatically straight after the target has been hit).
Smart Money is the Central Banks. They actually determine the trend by sheer weight of money. (Central Banks turn the long term currency markets to accomodate the relevant government's trade requirements). Then following them are the huge hedge funds.
.Ignored
DislikedOk
the name of this thread is what? So on here we are discussing what? Are there other successful strategies YES THERE ARE but are we discussing them on this thread NO WE ARE NOT...Jacko does not take countertrend trades, BUT HES NOT GOING TO TELL YOU YOU ARE A BAD TRADER IF YOU DO its simply not part of his strategy. So discussion of countertrend strategies dont really belong here on this thread. Jacko doesnt trade lower timeframes so comments like Im going short at the close of the next 1hr bar DONT belong here, or I am going short below here ON ANOTHER STRAT either. My god if we discussed everybodys alternate strats here ...Is this really so difficult to understand? I guess I need a break maybe Im seeing things hehe, happy trading all, Raz
PS Im banning myself from ff for a few days so if you see me back here give me a smack will you???Ignored
DislikedHas Jacko email changed? I sent him few emails, but they come back as user unknown.
thank you
belaIgnored
DislikedThis looks like a very good thread to learn from. But I don't understand the "fighting". One person post a chart with indicators and it's ok. Another person post a chart with indicators and they get pounced on. What's so wrong with using computer to show support and resistance? I just don't want to get pounced on. This seems to be happening in more than one thread on FF. What's going on?Ignored
DislikedTrading will always atract a mix of people ( obvious quote I suppose) we can't all get on with each other that would be impossible when we are in effect trying to take the money out of each others pockets.
BabeFX.Ignored
Disliked
Trading will always atract a mix of people ( obvious quote I suppose) we can't all get on with each other that would be impossible when we are in effect trying to take the money out of each others pockets.
Ignored
DislikedBabeFX, your posts are becoming annoying, at least for me. Why cant you understand simply that here we are following Jacko's method and not BabeFX. The majority of us do not want to question Jacko's method because IT WORKS and we believe in it, that is why we are following it! We are not self-appointed policemen, but traders who like to trade like Jacko, want to become successful like him and get annoyed when some unknown guy comes and says Hey, lets question Jacko's strategy; Hey lets sell the euro even if its in an uptrend.
Trading is boring, therefore you can go and play golf, watch a movie or have sex. Try it, you will feel much better!
If you still dont get it, the only solution for me and others would be to simply ignore youIgnored
DislikedPerhaps when you have a spare minute, you could point out all my posts that have suggested deviation from trend trading.Ignored
DislikedWith regards to your lack of finesse in relation to relieving boredom, I parttake in all of the aforementioned pastimes but unlike you I don't try to do them all at the same time.Ignored
DislikedCongratulations, I see the market is attempting a breakout to the Euro long side & you are well in profit by now.Ignored
DislikedI've been buying into small bounces off the 4880 level. Hard work for little reward, but still a positive return in a dicey market.
I wish the Fed would sod off; what's the point in a free market economy, if you don't let the market dictate direction? Delaying the inevitable, hope the 'snap-back' makes the buggers eyes water.Ignored
DislikedThis is probably my last post.
I suggest everybody who is serious about the basic mechanics behind Jacko's method will have picked up on the latest buying opportunity the clue lies in the daily chart.
Look back to August 2007 & draw a fib to the all time high, now look where the 50% retracement of this up move falls ( by the way there is no such thing as a 50% fib).
If you are tempted by this opportunity I would suggest that you wait a healthy length of time for the market to signal that this is indeed a turnaround ( look to James16 group for pointers). Or perhaps you are a part of a circus act, skilled in the art of catching falling knives.
Good luck to all, I am competing in a national sailing event during the next week.
Kind regards,
BabeFXIgnored