The perfect trading system

The following are some of the reasons why I have not been posting here regularly for the last few months:

1. GBPUSD 926 pips - 7 months

2. EURUSD 968 pips - 7 months

3. USDJPY 991 Pips - 4 months

4. GBPJPY 968 Pips - 4 months

5. EURJPY - 891 Pips - 4 months


It is obvious from above information that these pairs have been consolidating within about 1000 pips range for the past 4-7 months. In essence, nothing spectacular has happened in the last 4-7 months for most of these pairs. I will post the monthly and weekly charts for these pairs. Look at the synchronized pattern of the Yen pairs. Price movement is not random and until a trader understand the bigger picture, he or she will always be chasing shadows.

Here is the Monthly for GBPUSD.

Here is the weekly chart for GBPUSD.

Here is the Monthly GBPJPY

Here is the weekly chart for GBPJPY.

Here is the monthly chart for EURJPY.

Here is the weekly chart for EURJPY.

Here is the monthly chart for USDJPY.

Here is the weekly chart for USDJPY.

Here is the monthly chart for EURUSD

Here is the weekly chart for EURUSD.

Using EURJPY H4 and M15 chart as an example, you can the numerous opportunities to either go "long" or "short"

M15 chart, the direction of the market is always obvious to the trained eyes.

I have already identified the consolidation range of about 1000 PPAA for a few major pairs. In continuation of my explanation, I will explain the importance of 50% retrace to 1000 PPAA using EURUSD as an example. You can calculate the total numbers and divide into 2 to identify the 50% retrace points for other pairs.

I will begin with a month chart, followed by weekly, daily, H4 and M15. As you will observe it is always easier to identify trend on H4 and M15, while the weekly will tell you temporary support/resistance with 1000 PPAA.

Here is the weekly chart.

Now the Daily Chart

The H4 chart

and finally the M15 chart! Can you clear trends on H4 and M15 charts and how their candles behalf around the 50% retrace? You can only be successful in FX if you are logical and analytical in your thoughts.

Nice guide but there is plenty of guides like this so why people still lose?

The answer to your question is on the 1st page of this thread which I reproduced here:

1) Psychological deficiencies

Majority of new traders (from experience almost all traders) are psychologically deficient to handle live trading. Their trading is guided by inadequate knowledge, greed, desires to get rich quickly amongst others which are perfect recipes for disaster. As a new trader, make your trading as mechanical as possible because you definitely lack the psychological control to handle live trading. Live trading is high pressure game and is not meant for the inexperienced and faint-hearted.