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Technical Analysis Fallacy

Quoting luSan
hey...this question is not for me but I would like to get into because I do this every single trading day...

1. I alway enter in the same direction on my scout.ALWAYS. I cannot figure out why to go against my scout. I either enter with it and break even and kill both trade or I enter in and get some cash for my book and keep the scout in.

2. There is nothing sure about trading. PA does whatever...

3. You are totally correct. PA does not move in straight line...and that's it.

4.Actually you have only 3 options: go with your scout, against your scout, or do nothing...Which one you choose depend on the harmony with the dance.

and finally,

5. There are not mechanical rules that tell us what to do...the brain MUST be engaged otherwise we will lose!

These are my 2 cents....I wish to have the softness of leighsww.

Best wishes
i love this thread. thanks lusan, leighsww, fti etc.

thot abt it and also can't figure out why not to go against my scout's direction.

thanks again for ya all patience.
Quoting jku
since this thread i have been rescuing trades entering in the "opposite direction" (eg sell) when i gauge price moving strong enough against my initial entry position (eg buy) to reaverage me out.
Sorry, but again I need to confirm what you are describing ... let's say you entered Scout LONG (buy) position, are you entering a SHORT (sell) position for your rescue?

To be clear, here's what a rescue would look like ... let's say I enter Scout LONG (buy) at 1.5300. Let's say the price starts to moves against me approx. 30 pips, then a few candlesticks appears to show signs that the PA is resuming my direction, so I would then enter my first rescue team LONG (buy) at, let's say, 1.5275.

I'm not entering SHORT (sell) positions if my initial position is LONG (buy), I reaverage in the same direction always. Entering an opposite position would NOT be a rescue in the sense that fti teaches, that would be more what I believe they call hedging.

Quoting jku
i have 133 trades with 11 loses, so it has worked.
Congratulations! You have made a good ratio of wins! Just imagine if you were to be doing the rescues correctly? lol

Quoting jku
bt looking at ur charts, it seems that ur rescue is still in ur initial direction of entry, u just wait for the price to resume initial direction.
All my past charts have never showed reaveraging on rescues, I've only showed an attack sequence, and a rescue using a "tearing" of the 48sma method (which please don't use that method as I originally showed, cuz I've made changes to the troop entry sequences to make it safer in the case of the PA continuing to move against original direction).

If you need a visual chart of a possible rescue sequence as I've explained above, let me know and I'll create and post one for you.

Quoting jku
my questn was, if that is the case, hw are u always sure price wld resume ur initial direction ie buy or i guess even in a trend change there are always entry options as price doesnt move in straight lines.
You are never sure that the price will resume in initial direction, so that's why you need to use proper MM to be able to carry out more than one rescue if you have to. You then need to exit at B/E (Break Even) if the dance starts to feel like it's changing direction in the case of a major reversal.
Quoting leighsww
Sorry, but again I need to confirm what you are describing ... let's say you entered Scout LONG (buy) position, are you entering a SHORT (sell) position for your rescue?

To be clear, here's what a rescue would look like ... let's say I enter Scout LONG (buy) at 1.5300. Let's say the price starts to moves against me approx. 30 pips, then a few candlesticks appears to show signs that the PA is resuming my direction, so I would then enter my first rescue team LONG (buy) at, let's say, 1.5275.
Just a question for clarification please, if I entered long on the above scenario, i would be under the assumption that the overall price action/current trend is long?

If price retraces short 30 pips and we enter an additional position, are you looking to rescue or reaverage for the continuation?

a
Quoting leighsww
Sorry, but again I need to confirm what you are describing ... let's say you entered Scout LONG (buy) position, are you entering a SHORT (sell) position for your rescue?

To be clear, here's what a rescue would look like ... let's say I enter Scout LONG (buy) at 1.5300. Let's say the price starts to moves against me approx. 30 pips, then a few candlesticks appears to show signs that the PA is resuming my direction, so I would then enter my first rescue team LONG (buy) at, let's say, 1.5275.

I'm not entering SHORT (sell) positions if my initial position is LONG (buy), I reaverage in the same direction always. Entering an opposite position would NOT be a rescue in the sense that fti teaches, that would be more what I believe they call hedging.




Congratulations! You have made a good ratio of wins! Just imagine if you were to be doing the rescues correctly? lol



All my past charts have never showed reaveraging on rescues, I've only showed an attack sequence, and a rescue using a "tearing" of the 48sma method (which please don't use that method as I originally showed, cuz I've made changes to the troop entry sequences to make it safer in the case of the PA continuing to move against original direction).

If you need a visual chart of a possible rescue sequence as I've explained above, let me know and I'll create and post one for you.



You are never sure that the price will resume in initial direction, so that's why you need to use proper MM to be able to carry out more than one rescue if you have to. You then need to exit at B/E (Break Even) if the dance starts to feel like it's changing direction in the case of a major reversal.
Got it now. Thanks again all. Back to re-reading but this time slowly and with no easter alcohol in my system. 2hrs sleep will have to do b4 work .
a total newbie here!

have been reading this thread last month but was put off by my inability to understand much. decided to come back to read last week and now able to understand a bit more....thanks to leighswww & many others who have posted answers to questions raised.

i'm on a 1 year no-pay-leave bec of family circumstance and decided to use whatever free time to explore if forex is a potential source of income.

back here in singapore, numerous forex courses are available ranging from $500 to $3k...and the feedback from students have been mostly negative.

that's why i am very thankful to fti for his generous spirit in sharing in this thread. though i have yet to start any trading, he has already helped me saved much $ and time. his spirit has definitely rubbed off on some forumers here who have shared many helpful tips & pointers...and i just want to say a big thank you to all those who have contributed.

hope to be able to share on my trading journey in fututre...

tangoandrew
Quoting fti
Hi jairo,

Thanks for your detailed reply.

In many ways, it shows that you are a success in life. The resilence you have shown, inspike of the the mounting odds, stacked against you for 11 years, when you started on this trading quest. On this alone , I am opinioned that surely that you are victorious with "flying colours" in other aspects of your life's persuits.

If I may be so bold as to ask you, to reconsider the directions that a "sales rep" tried to sell you. To illustrate the point , I would like to tell you a story that I had learned.

This wisdom was told me by one of my Malayan friends.
There once upon a time was a fisherman, lazyly resting under a coconut tree. ( In malayan stories, there is alway one resting underneath a coconut tree and wearing a "sarong" , a one piece warp around the body cloth.) He was a successful fisherman as he owned two fishing boats and had 20 employed fishing for him, while he rested under the coconut tree.
Along came a "sales rep" praising him for his success. Nevertheless, the rep continued that , with his success, why didn't he considered, setting up a bigger structure by borrowing funds from others. (going public, if you like)
That would afford that with the additional capital, he could buy 10 more boats and employed 100s of workers to fish for him. So with his capabilities , he can become rich.
The man pondered for a while, thinking deeply.
Then he asked the rep, a question.
He asked the rep, that, with all the riches he could get. What could he do?
The rep replied, "Anything in life", what would you like to do?
The man replied. Resting under a coconut tree.
The rep replied, Why, you can do that too.
And the man answered, the rep, what do you think I am doing now?

I hope this may give you some insights as you ponder on the story.
This is also the reason, why I sat laughing by myself for the longest time.

Dance well,

regards
Hi fti,

Thank you for your reply and for the story about the fisherman. Only to make things as clear as possible, managing OPMs is a very very very old goal of mine. I am not going after the salesman talks. I know he works for himself and his company's interests. And I am very cautious and aware of the risks involved.

It is interesting. I don't consider myself a success, as you put in your reply. I have a "good" full time job. Thousands of people dream of getting it and I don't know exactly how I succeded but I got there. But it came with a surprise! Now that I reached to top of my possibilities, I am spending more than I earn!! So there is no choice for me. The fight has not ended yet. I blame myself for not being able to give my family more than I do. I am used to continued stress but I developed a scape valve: I laugh at my own flaws, failures and misery. That probably has saved me from a final collapse. I believe everyone who persists enough, knows one's limits and has realistic goals can (and will) reach them.

Regards and thank you, as always.
Quoting auxesis
Just a question for clarification please, if I entered long on the above scenario, i would be under the assumption that the overall price action/current trend is long?
Yes, that is correct.

Although luSan uses the shorter timeframes for his trend depiction, cuz he's only trading within a 1 - 2 hour window and he's trading very short-stepped dances, lol. He's trading candlestick per candlestick from the looks of his examples.

I tend to look at the 4hr and 2hr for the longer timeframe trend direction.

Quoting auxesis
If price retraces short 30 pips and we enter an additional position, are you looking to rescue or reaverage for the continuation?
You're sorta doing both, cuz by adding a rescue team (which may be more than just 1 additional position, because you want to be as close to the market as possible, so some use 1, 1, 3, etc., or 1, 2, 4, etc., or 1, 2, 6, etc., etc. progressions/sequence for rescues), you are reaveraging your Basis, and continuing your original position unless you again encounter another move in the opposite direction in which case you need to conduct a second rescue mission.

If I end up having to conduct a 3rd rescue mission, then I start looking at two options:

1) If I still feel the dancing is heading in my original direction, then I lighten the load at B/E of some of my troops, and then I have them as resources again should I need further rescues,

2) Exit all troops at B/E if it feels like the dance is not going my way anymore and may change direction entirely.

This is where you have to use proper MM and proportion your troops depending on what your account capital is. Like for me, I am using .1 for scout instead of full lots, because that gives me the proper ratio/proportion to conduct attacks and rescues safely (without over-extending and putting too much of my capital at risk that I can't afford, should I need to rescue more than twice).
Quoting leighsww

I tend to look at the 4hr and 2hr for the longer timeframe trend direction.
That makes a lot of sense to me. I reflected on ways to translate my way of dancing to your ways, and I came to this conclusion:just translate the dance to a higher time frame just as-is. For example, "13 5M bars in 1h is similar to 13 15M bars in 4H." It is almost the same dance, but we have more pips to capture for the longer war. This is something to reflect about. Nothing change but the mindset, personality, and patience.
Regards
Empty as water and soft as a facing wind mountain
Quoting leighsww
Yes, that is correct.

Although luSan uses the shorter timeframes for his trend depiction, cuz he's only trading within a 1 - 2 hour window and he's trading very short-stepped dances, lol. He's trading candlestick per candlestick from the looks of his examples.

I tend to look at the 4hr and 2hr for the longer timeframe trend direction.



You're sorta doing both, cuz by adding a rescue team (which may be more than just 1 additional position, because you want to be as close to the market as possible, so some use 1, 3, 3, etc., or 1, 1, 4, etc., or 1, 3, 9, etc. progressions/sequence for rescues), you are reaveraging your Basis, and continuing your original position unless you again encounter another move in the opposite direction in which case you need to conduct a second rescue mission.

If I end up having to conduct a 3rd rescue mission, then I start looking at two options:

1) If I still feel the dancing is heading in my original direction, then I lighten the load at B/E of some of my troops, and then I have them as resources again should I need further rescues,

2) Exit all troops at B/E if it feels like the dance is not going my way anymore and may change direction entirely.

This is where you have to use proper MM and proportion your troops depending on what your account capital is. Like for me, I am using .1 for scout instead of full lots, because that gives me the proper ratio/proportion to conduct attacks and rescues safely (without over-extending and putting too much of my capital at risk that I can't afford, should I need to rescue more than twice).
leighsww

Thanks for the detailed explanation, I understand that most everything is dependent upon the current PA, but to me the term rescue implies that there is a change in the current direction and I have positions/scouts/troops hanging out there in negative territory, hence a rescue attempt to retrieve them and looking to reverse direction.

Entering into the weakness or correction on a trend if I find myself with a scout or position that was premature, I will often take if off the table when given the chance leaving the better deeper positions to carry if possible.

Helps my mental state.

Very much agree with everything you said, Thanks again!

a
Quoting luSan
That makes a lot of sense to me. I reflected on ways to translate my way of dancing to your ways, and I came to this conclusion:just translate the dance to a higher time frame just as-is. For example, "13 5M bars in 1h is similar to 13 15M bars in 4H." It is almost the same dance, but we have more pips to capture for the longer war. This is something to reflect about. Nothing change but the mindset, personality, and patience.
LOL, but I actually prefer to be able to trade in a shorter time window. So, I am aspiring to dance more in the tempo of you and fti, than me, haha.

Quoting auxesis
but to me the term rescue implies that there is a change in the current direction and I have positions/scouts/troops hanging out there in negative territory, hence a rescue attempt to retrieve them and looking to reverse direction.
I normally don't reverse my direction, cuz I would need to have more PA information to confirm that it is indeed in a reversal and not just a temporary small pullback. But, maybe that's why some of my dances are so dang long, lol (too much need for confirmation, haha). If you're dancing faster and shorter time windows like fti and luSan do, than your method probably works best for that.

I think I still have rigidity in my dance, lol, cuz I can't seem to do such things. I'll have to learn from you guys more

All I know is that I've conducted rescues and continued dancing in my original direction and was able to bank profits. But, I think your method may be better, cuz like I said, I've had to dance for hours sometimes. I'd prefer to dance shorter windows if possible, so I've definitely gotta shorten my dance steps

Quoting auxesis
Entering into the weakness or correction on a trend if I find myself with a scout or position that was premature, I will often take if off the table when given the chance leaving the better deeper positions to carry if possible.

Helps my mental state.
Can you explain more what you mean by the quote I bolded? I'm not quite understanding what you mean by that. When you enter a Scout, are you not starting off with a clear slate (meaning, you do not have any other trade in that same currency pair going on previously)?

Yes, having a healthy mental state is definitely important, for sure
Leighsww,

You think your view is rigid?

My thoughts on entering and rescue are in direct opposition to the this thread I believe, but I will offer a simplified explanation of my approach and the reversal problem that I am hoping to solve, which was the original attraction to this thread. Hopefully if my analysis on price action is in err, FTI and his experience can correct my view. Please!

Let me add that for the last several years I have put many many hours, mostly into esoteric and geometric studies, A lot of Gann, Mikula, Andrews, Jenkins, Wilder the list goes on and on all with varying effects. Over about the last year I have made a fundamental shift in my thoughts and trading reverting back to simple basics and letting my eyes and what little brain is left to see the charts.

So those that are adhering strictly to the thought and intent of this thread, might want to skip this post.

All that being said here goes……

Leighsww let me go through all this so the entry will make more sense……

Matter in motion remains in motion until acted upon

When price trends is stays in trend until it’s acted upon, the evidence of this is the breaking of it’s last support and resistance levels. More importantly support levels in an uptrend, resistance levels in a down trend.

When Price makes a new high, I want to enter long on the following retrace. Preferably, as close to the bottom of the last low as possible, knowing that if the trend is intact the bottom will hold support as price should continue to make a new high. My thoughts here are the closer it is to the bottom the better r:r and better chance to rescue if the bottom fails ( here is the problem I am trying to solve, more to follow on this)
See fig 1

Generally I scale into my position, I don’t use strict fib ratios but more 1/2 , 3/4 areas that I can see with the naked eye and look for PA in those areas looking to add size on the deeper retraces. I try to target an area that is a measured move of the first leg in conjunction with 25% extension .

Fig2

Now in regards to your question, often time when a deep retrace happens I will have some of my position sitting up higher, I will generally take those or some of my position off at the half way mark to my target, doing this hopefully I will clear those higher entries and bank a few, the remainder I will put a protective stop at break even and let ride for the target.

Once a new top is in place I will start the process over again until the last low is broken then I’m looking to short on the following retrace up.

I wish it worked as simple as it sounds.

The rescue scenario problem is when price does a non failure reversal. Let me go back most times price will fail to make a new high while support levels hold, this results in triangles and consolidation patterns these give ample time to cover, it’s when price blows through the low that troops are trapped. fig3

Here is the question to stop and reverse or try a rescue. The math needs to be large enough to drop the average position level to at or below the previous low as often times this will act as support now turned resistance. The object would be to rescue and then wait for a deeper retrace north to position for the new south move, like a large 123 setup.

There are a couple of different price patterns that can toss a monkey wrench into the works, Wolfe’s and Diamonds but that a different problem to solve.

Fwiw,

a
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auxesis ... What timeframe and currency pair was that you used? I couldn't match that section up to my charts.

Just from the looks of the candlesticks and your method, I am guessing that you are trading on a longer timeframe chart?

What are your wins-to-losses with your method?

From what I understand of your explanation of your trading method, I would venture to guess that you are probably dancing much, much longer than me, lol.

If you would be open to trying something new, what I would suggest to you is ... that you once again, scrap the method you are using and try and dance the shorter timeframe and exit your trades on an intraday level, taking your profits after each single battle.

By letting your battles last too long, it takes a toll on your profitability and will inevitably have you either exiting positions at a loss or conducting out a rescue for days on end.

I am finding that this is the reason that I, too, need to lessen the time window for my dance, because my rescues are larger when I take too long to dance the battle out.

Also, I would be able to conduct several successful trades in less time it takes to conduct one long one. In the end, the profit taking increases more substantially by doing so.

When I created my spreadsheet, I realized that the shorter the battle (even with a smaller pip count profit of 15 - 20 pips per troop), if done consistently time-and-time again, you have more success with growing your book profitably.

luSan is actually the closest to dancing the way of fti's teachings than even I, and although he thinks that dancing longer will reap him more profits in the long run, in essence, if he can consistently bank the profits he is currently making and then just start compounding his lots in conjunction with the ratio of his account as his capital increases, he is on his way to financial freedom.

His only problem right now is his "fear" lol. Being stressed out is not good nor healthy, so that's something he (and all of us) need to work out, and that comes with not fearing the loss of our money, thus we need to use proportional lots appropriately to what our account capital can sustain and endure.

You will see what I mean when I provide my spreadsheet (which I am awaiting fti's feedback and approval before I post it).

Anyway, I feel that once you liberate yourself from the constraints of the longer timeframe goals, you will find yourself making more profits in the long run.

Again, I have the same problem with needing to shorten my dance. To use the ocean analogy you used earlier ... we need to swim closer to the shore, otherwise we can find ourselves getting pulled out with the current into the deep waters and then exhausting ourselves to the point where the dog-paddling (rescuing) gets harder and harder to bring us back to the shore. The shorter time window you have to swim the distance, the better, is my opinion and experience with this thing called forex trading, lol.
Quoting leighsww
luSan is actually the closest to dancing the way of fti's teachings than even I, and although he thinks that dancing longer will reap him more profits in the long run, in essence, if he can consistently bank the profits he is currently making and then just start compounding his lots in conjunction with the ratio of his account as his capital increases, he is on his way to financial freedom.

>>>Longer dancest might work too...but several short one probably will be even better...I also believe that after mindset training, it would be difficult and unnecessary to change time frame...Just win and win consistently

Yes...lot sizing and compounding...that is the way to go...done some calculations and it should work after we master fear...why? Draughdown will be larger and we must stay quiet with confidence on our trading skills.

His only problem right now is his "fear" lol. Being stressed out is not good nor healthy, so that's something he (and all of us) need to work out, and that comes with not fearing the loss of our money, thus we need to use proportional lots appropriately to what our account capital can sustain and endure.
>>>Why am I afraid? I guess that it takes a while to fear confortable when we remove all TA tricks and face PA naked...Imagine you are a soldier and your general tell u...drop your TA weapons and stop-loses shield...go naked to battle...scary...so I must prove myself that all if fine...so practice, practice, practice..
Leighsww, thanks for your comments about my dance...My current dance came from reflection on two examples: (1) yours -presented sometime in January -I learned attack/rescue and (2) fti's single bar example -I learned listening to PA's song...I studied them very carefull and medidate on them for hours...They are better than any trading book you could find in the library...Thanks to both of you.

Still..I believe that those who believe on a mechanical approach will probably find themselve in a deep hole. The enemy is totally unpredictable...it is not a machine but the sum of all the forex traders in the world...It is alive!

Regards,
Empty as water and soft as a facing wind mountain
Quoting auxesis
Leighsww,

You think your view is rigid?

My thoughts on entering and rescue are in direct opposition to the this thread I believe, but I will offer a simplified explanation of my approach and the reversal problem that I am hoping to solve, which was the original attraction to this thread. Hopefully if my analysis on price action is in err, FTI and his experience can correct my view. Please! ...
Hi auxesis,
I have been lurking in this thread a long time, so i would like to give my worthless opinion on your scenario:

1. I believe that you should only mount a 'rescue' FTI, Leigh and Lusan style, if you have reason to believe that the trend is still favourable to your oringinal entries. That is, still Long if you originally entered long and vice versa.

2. From your description of your entry criteria, then by the time you get to the point where you decide you need a drastic measure (be it rescue or stop&reverse) there is fairly good evidence that the 'trading timeframe trend' is now in the reverse direction. In your Fig 3, this definately seems to be the case (unless there is counter evidence off on the left of the visible chart), because the break of the recent low would also be a downbreak of what looks to have been a double bottom. Thus under the circumstances a Stop&Reverse ASAP after the trend change signal would (imho) be much safer and take much less time.

Conclusion: To use the AOW analogies, you have 3 choices:
1. Mount a rescue mission.
2. Abandon your committed troops and withdraw from battle.
3. Change sides.

(Some of) the factors influencing your choice are:
1. Strength and speed of trading timeframe trend.
2. Direction , strength speed of trend in next higher timeframe.
3. How many more troops (capital) you feel able to risk.
4. How much time you have in which to conclude your battle.

It seems to me that what you are doing regarding rescues is appropriate for your style of 'dance', since it appears to be a much slower 'dance' than is done by the main participants of this thread.


Let the flaming begin,
Ian
Leighsww, Ian, everyone thanks,

Ian, I left out the time frames and data on the charts on purpose, as to me it does not matter what time frame you trade, the criteria is still the same. The charts look the same just more waves as we start breaking down the subsets.

I will try to post a more detailed look at this from the higher time frames down which will pull together some of my earlier posts but it will take some time.

I agree that using my setup Fig #3 if the bottom fails it spells change of direction, I have looked into a stop and reverse but it favors (in my mind at least ) as a break out trade in the opposite direction, not in my original intent.

There are some stop sweep issues to take into consideration as well as dancing in the direction of the higher time frames, but i will try to pull it all together.

I am comfortable with the approach, but I feel the MM needs tweaking for optimization, and I dont want to lay a minefield for my self in doing so.

@ Leighsww, agreed, there are more pips to be had when we trade the small waves, but it requires more screen time to manage them. One of my mentors always said that a good trader will take a 100 pip move and get 200 or more out of it.



a
Quoting fti

(...) Along came a "sales rep" (...)
Hi fti,

My wife is much smarter than me. When I told her the story of the coconut tree, she immediately understood that the salesman was intended to be ME. That idea never crossed my mind. I am so bad a salesman that I had to quit a 16 years job for not being able to sell decently. In fact, I am so sell-adverse that I know it is a serious limitation. My wife is not a seller, too. But at least she is smart, like most sellers! I think it is clear now why I take the wrong side of the market so frequently: I use to take the messages in the opposite sense. That for sure has been a big disadvantage in my trading career. I think I am the dumbest trader (trader?!?) in this forum. I should take trading advices from my wife!...

P.S.: hmmm... on second thought, my wife is not all that smart. She married me...
Quoting auxesis
Here is the question to stop and reverse or try a rescue.
My 2 cents...The answer will depend on the higher time frame trend and you own understanding and gut...

For example...

if you trade the 5M...and 15M and 1H are trending in favor of the scout... then rescue and book profit...

if 15M and 1H are against scout...rescue, kill scout, and reverse....or rescue and wait to see how the trend will go...

If you feel brave rescue and book the money and wait and see...

By the way...nice combination of the 123 and AOW approach...but is it no fair not to tell us about your time frame...it appears the 5M in a compressed form...Sure time frame are fractals...there is a book about it...and all frames are the same, etc...but still I have not seen 3 touches trend in 5M...but that is another topic...you are correct about the analysis...I moved away from it...and I have to reread it to see it clearly. Why? The trend lines and the bulkowski's measure that I rejected were back! Scary! They brough memories of long forgotten days...

Happy pipping.
Empty as water and soft as a facing wind mountain
Quoting auxesis
but it requires more screen time to manage them.
Not if you dance like fti and luSan, lol :

Quoting auxesis
One of my mentors always said that a good trader will take a 100 pip move and get 200 or more out of it.
Yes, I certainly believe a good trader can do that, but what fti is teaching us here goes beyond just being a good trader, he's teaching us the skills of a "Pro" trader, one who exceeds the boundaries of just good.

Putting our money into CDs (Certificate of Deposit) can be considered good, but trading the Forex, we can all agree (well, those who are profitable, that is) is even better. The latter is how I feel about fti and his trainings/method.

I always thought that a "Pro" trader was one who traded the higher timeframes (overnight/long-term), who made the 100 - 200 pip moves, who put stop losses into place, but I now know better and realize that's a misnomer.

I don't believe most people ever truly get to meet a "Pro" forex tier 1 bank trader, thus never get the behind-the-scenes look/info of how it's actually done.

We have been very fortunate to have such a person in our midst who is truly what is known as a "Pro" trader (aka "the Big Guys"). Not only was he a Pro trader, but he moved up the ranks to some very high positions in his industry. You can't be mediocre and get to those positions, I can tell ya.

For me, the only thing that matters is RESULTS (as this too, I have mentioned before in this thread). I cannot say I have actually seen any other "Pro" traders' results, but I have seen fti's and I doubt very many traders can match his skill.

But, this has already been mentioned several times in this thread, so I should not have to repeat it. Also, fti's head will get too big for his own good, haha.

fti has said that it is very hard to train veteran traders, because they are too stuck in their set ways and bad habits to change their mindset and way of thinking. I think maybe that is why luSan is succeeding as well as he is, because he was totally open to being trained and didn't let any bad habits (if he had any) sabotage him.

New traders will probably make better traders than veterans with fti's method, because they are trainable.

Unfortunately, it's the "Scorpion" story for many who cannot surrender themselves to grasping the powerful treasures that have been shared with us. fti's results should speak for themselves.

Everyone who reads this thread needs to ask themselves ... am I happy with my current trading results? Am I as profitable as I'd like to be?

If the answer to those two questions is "NO" then make that change for yourself. Switch your gears and let go of all your bad habits and old trading style, because obviously it's not working for you. Stop sabotaging yourself!!

However, if you are happy with your results, then keep doing what you're doing.

If you've made it through reading this entire thread, then at this point, those of us who want to be better traders rather than just good traders, need to stop resisting and start accepting what is being taught here by fti so that we can consider ourselves "Pro" Traders or at least wannabes, anywho! : (it's for our own good, really it is!)
Quoting luSan
My 2 cents...The answer will depend on the higher time frame trend and you own understanding and gut...

For example...

if you trade the 5M...and 15M and 1H are trending in favor of the scout... then rescue and book profit...

if 15M and 1H are against scout...rescue, kill scout, and reverse....or rescue and wait to see how the trend will go...

If you feel brave rescue and book the money and wait and see...

By the way...nice combination of the 123 and AOW approach...but is it no fair not to tell us about your time frame...it appears the 5M in a compressed form...Sure time frame are fractals...there is a book about it...and all frames are the same, etc...but still I have not seen 3 touches trend in 5M...but that is another topic...you are correct about the analysis...I moved away from it...and I have to reread it to see it clearly. Why? The trend lines and the bulkowski's measure that I rejected were back! Scary! They brough memories of long forgotten days...

Happy pipping.
Lusan,

The chart I used is actually a Daily Euro chart from about mid 2006 to mid 2007. I just grabbed that pic as it was easy to draw from. My suggestion is to ignore it, as it’s not the direction that your current studies are presently taking you.

Over my journey I have met several different very successful traders, all in different disciplines of trading, some who use Astro studies, others EW, Geometric TA……for each there are numerous others saying that’s hogwash it cant be done, but I have seen it work for them and there in lies the key.

I was fortunate enough to meet a couple of good ones that took the time to invest a lot of themselves into a newbie who was willing to put the time and effort to learn ( this business like everything in life does not come easy, we get out what we put in) They immersed me in various kinds of trading methodologies not so much to teach me how to trade but to see what resonated with in me.

If your studies with FTI, resonate with in you…. Then ingest it, master it make it yours and then build upon it.

May your journey take you where you want to go.

a
Thanks for the reply luSan. Today I have been like Dr Strangelove. If you remeber the film with Peter Sellers - he would occassionaly try to strangle himslef with his left hand - and his right hand would have to come to the rescue. Went long USDJPY today at 10060 - went against me so I hedged -.... Net result 60 pips down.
I'm going to use demo (I use a very small account to trade normally, but snowballing raises the stakes). I know what I have habitually done over the last few years is misidrected and ineffective - but like a heroin adict it's going to be hard giving it up. If I had rescued my scout at 10000 I could have got out BE.
Irregular
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