Pharley Simple system - Get your levels right for trading S/R

I am looking at the current AUDUSD levels. WOuld like to short it but not sure on the entry point. Can someone help?

From my point of view AUDUSD is at very interesting place and if we get a sign of bearish move we could see some nice set-ups over the coming days/weeks. But going short at this point in time is more of a gamble of it bouncing from the resistance line (although it is very likely to do so), so I'm waiting and watching. On the other hand it could break up and give us run long
USDCAD is another pair that shoot of Pin Bar last week and I'm waiting to see long
USDJPY is forming Pin Bar at support level at the moment
NZDUSD might be forming Bearish Engulfing bar at a great level.

...so there are definitely some interesting things going on

Hi Ramzam,

please this is a kind reminder.

kindly assist.

God bless.

Regards.

what happened with this thread? why it just died a natural death?

My observation for what it's worth is that threads that focus on a simple, non-indicator approach tend to be short lived. People come, some learn and apply, many can't cope with the lack of indicators and leave. But IMHO some of the best threads in FF are short and overlooked. There's gold in some of those hills. It's not dead, but perhaps all that there is to say has been said - it's now over to traders to apply. Just my thoughts...

95% of the traders want automation and they want EAs to perform the decision making for them. they rely too much on indicators (indicators which also rely on the price). that's why the 95% : 5% ratio still exist!!!

[quote=hollowhead;10083844]{quote} My observation for what it's worth is that threads that focus on a simple, non-indicator approach tend to be short lived. People come, some learn and apply, many can't cope with the lack of indicators and leave. But IMHO some of the best threads in FF are short and overlooked. There's gold in some of those hills...

I think Pharley's threads are of great value to us, - especially the one called Support and Resistance Method. However, for immediate and greater success I think we should find a way to combine it with Timon Weller's "Secret Tip To Detecting Trend Changes As Early As Possible In Forex"- as described in his video. The combination of these two methods which are greatly compatible and complementary could easily result in unbeatable lucrative money making system for many of us. Pharley is a genius, and so is Timon Weller.

Bump. Took this with a pending order, moved to BE after 25 pips, going to let it run to 110ish area.

Its a pity my timing is a bit off......I discovered this thread after Pharley's participation ended.

I, unfortunately, am still at the point where the drawing of Support and Resistance levels off higher TF charts, is a challenge.

I searched and read quite a bit about it from material I found on the net. It range from the very simplistic approaches to some that are very precise and exact in their rules and application.

Must say for me the most helpful was the free stuff that is posted by a guy by the name of Nick Bencin0.

At the end of the day I think its more important to start drawing the levels and learn from my application and improve with experience. Rather than to try to find the best instructions/ method for drawing S&R levels.

I have 10 pairs which I will be monitoring and draw S&R levels. I will mostly draw the levels using the Weekly chart with some fine tuning on the Daily if its needed.

I will explain my thinking behind my levels with the hope that more experienced members will comment and guide me to accelerate my learning.

The 10 pairs are: EURAUD, EURJPY, AUDJPY, EURNZD, EURUSD, GBPAUD, GBPJPY, GBPUSD, USDJPY

One other thought I have but which I have not applied to my higher TF charts yet: Could one draw major S&R levels using the same concept as what Pharley uses to draw minor S&R levels?

EURAUD
Looking at this pair it is stuck in a range, even more so if viewed on the D1 chart, so it does not look like a good on to trade now


EURJPY
Way to many levels shown on the chart. If I remember correctly Pharley said to only draw levels in the immediate vicinity of where price is now.
According to my assessment. price is overall in a up trend but is pulling back this week and is nearing a support level. So its time to watch on the lower Tf's for a possible bounce and a continuation of the up trend


AUDJPY
This where my inexperience is showing up: This is where I drew the latest Resistance level after the previous week's close. But maybe the dark orange line is the better level? My assessment when looking at the daily and H4 charts is that the DeepSkyBlue line is the better one as we have a railway track on the D1 and a retrace back to the 50% level, which Pharley always say is a good 1st entry in a new trend.
So, I think this is a missed opportunity. But also its counter trend cos the general trend is UP?


I will post more pairs later when I have time.
Thanks

Is this method still valid today?
I read in one of the threads that not all trading methods are tradable forever..
Would like to give this method a try as its simple to apply.
Thanks
Lyn

HI all - been busy and not on here for ages and ages. Hope you've found something useful on here. Hollowhead is right - when things are simple, it doesnt' need a massive thread, just simple ideas, simple diagrams. This is all about support, resistance, reversals, continuations. Nothing difficult to grasp.

Again I advise you to just open a weekly and daily chart, draw in major SR areas, go to 4hr and daily charts to look for reversal candles (pins, engulfing) and continuation patterns like inside bars. Either take a single trade or if it look like a swing is going to last a while, add to positions to really boost your account. BE a swing trader and less of a day trader. Swing traders get those nice swings and stay in trades for a day or a few days - adding to positions as they go. HUGE boosts to account are possible. Less stress, less trades, less fee's, more accurate entries, more successful trades, bigger profits. That's how I look at it.

My most important advice is to get your levels right - SR levels that is. They're so important I can't emphasise them enough. That's the bread and butter and where you're going to get the majority of your trades from. Risk mgt/money mgt - get that right and don't risk too much. Boring I know, but if you lose all you trading money in a few trades, what are you going to do for the rest of the month? Stay in the game. Add to your pot when you can. Trade small if you don't know how to yet and don't worry about the $ you make or lose. Learn how to trade first. So what if you win or lose $5? You want to learn how to win, how to trade, how to manage your money, how to look for class A trades.

When you've done that, you can go bigger. When they say don't put so much at risk that you can't sleep it means this - if you left a trade on overnight and you went to sleep and you lose $5, does that bother you? If it does, you're in the wrong game. If it doesn't, then that's exactly the same feeling you want with all your trades. For some that will be $50, or $500, or $1000 or whatever. If you have a small account, then for sure the risk will be small. But if you're working you can replace it. So don't sweat small losses and risks - them's the dues you pay to learn it.

Major SR levels, reversal patterns, continuation patterns, risk mgt. That's it. Got get it!

Cheers
Pharl

Another awesome thread. A gem for traders.
You making trading great again.

Wow, after an absence from FF for 2 to 3 years, it's interesting to come back for a brief time. I still see the same type of forum threads.

I saw somewhere, someone had asked why this thread and my other one sort of died out. It's simple really - I'd put the strategy information up with lots of examples including a live one. Not much more to say.
Hope you're all doing well and being sensible with trading.

Remember - trading is hard. Don't make it harder with an overly complicated system. Make it as simple as you can. Candles, horizontal lines, daily charts, support and resistance, risk management, flip trades, pin bars, inside bars. Don't need much else. Good luck all.