As you were....
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Trading volatility - a possibly interesting exercise 26 replies
Exercise for Newbs using VHands 13 replies
An exercise in frustration 5 replies
Money Management exercise 5 replies
http://img89.imageshack.us/img89/746...uestion8ug.gif
and now the answer, with some of the suggestions added:
http://img84.imageshack.us/img84/595...2answeruz1.gif
Another on in a day or two.
Quoting Akuma99DislikedHey all,
The ability to read price action, or at least get a hint from it can be an invaluable edge in trading. It is something however that can be hard to devote any time to, and so I thought I would try this little exercise for hits and giggles.
I have seen this done in other forums and it is a great little learning exercise, as well as a great way to see how different people trade. I will post a chart, with dates and price removed (as to make it harder for people to find that point in history) and I'll ask "what will happen next?". I will not include any indicators, just price itself, the challenge is to try to deduce what will happen from price itself, trend lines, support and resistance etc.
For those that know how, draw in your trend lines or support resistance etc or anything else for that matter in paint or whatever graphic program you use, I know it is a little clumsy but it might be a nice learning exercise for all. Otherwise if you do not know how to do that, just write a description with what you see.
Ok next post contains today's chart, I will post the full chart on Wednesday.
Cheers
Akuma99Ignored
Quoting Akuma99DislikedIts not a bad idea, they would have to be longer term charts I guess, 4H or daily charts to make sure it gives time for people to get their answers in time. Ill try it for the next oneIgnored
Quoting mnemonixDislikedThis concept is a great way to help people confirm their thinking in regards to market direction.
All the indicator systems in the world will not help someone who cannot visualise how the market moves.
I would trade this formation with 2 Short orders (equal lots per trade).
Trade 1
- Market Entry Order at the opening of the next candle after entry formation.
- Stop Loss 15pips above our entry formation candles high.
- Limit Order wherever pip profit equals 1.5 times our pips risked.
Trade 2
- Market Entry Order at the opening of the next candle after entry formation.
- Stop Loss 15pips above our entry formation candles high.
- Limit Order 10 pips above the forecast Fib D. (161.8%).
Upon successful completion of Trade 1, move stop to Entry with trade 2, allowing this trade to continue successfully with ZERO RISK.Ignored