Market is always right. We are not, because we couldn't read it correctly.
This journal is about undestanding the market moves in real time and taking advantage of them.
Lately I was inspired by this thread: https://www.forexfactory.com/showthread.php?t=733939
I won't be trading exactly his method, but will be using some of his rules to filter setups.
Reading the market structure correctly requires experience.
To gain experience, we need to watch the market moves long enough with focus.
-------------------------------
Market goes up to go down and goes down to go back up.
But that is not so important as HOW goes it up to go down and HOW goes it down to go up.
Its defined by market structure.
-------------------------------
All moves are unique, but we have to set a standard and stick to it until it becomes obvious at every market move
Standard: There are only 3 types of moves
1. Slow
2. Medium
3. Fast
We are going to trade mostly Slow and Fast, because we are going to pick tops and bottoms.
Lets repeat again, Slow and Fast moves indicate market reversal. Not always, but enough times.
------------------------------
Slow moves are described as price compression/condension/squeeze depending on how long and how tight the this pattern was created, it may produce explosive moves.
Fast moves are described as price exhaustion. Its overextended parabolic move which contains few phases (mostly 3), where price speeds up usually twice every phase and ends up with big bold one sided move without any retrace/correction.
------------------------------
janpec1000 pattern check list (for more details check his thread link above):
--------------------------------
bottom rotation pattern:
--------------------------------
1. does it have condensed supply (many highs in structure)
2. does it make new LL with clearout and then break that supply in single leg
3. is that leg up, the strongest push in the whole structure
4. is structure created after downtrend
---------------------
Parabolic crash:
---------------------
1. a leg has 3 phases where each phase of move has clearly stronger candles than the phase before it
2. a leg has at the moment printed one significant end tail candle
3. a bounce has began where after that singificant candle was printed price turned in oposite direction in
swift move
--------------------
Flag (with trend):
--------------------
1. extended structure with more than 2 highs/lows and condensed supply
2. clearout of lows
3. takeout supply on strong flip within single leg move
4. Strong HL formation
This journal is about undestanding the market moves in real time and taking advantage of them.
Lately I was inspired by this thread: https://www.forexfactory.com/showthread.php?t=733939
I won't be trading exactly his method, but will be using some of his rules to filter setups.
Reading the market structure correctly requires experience.
To gain experience, we need to watch the market moves long enough with focus.
-------------------------------
Market goes up to go down and goes down to go back up.
But that is not so important as HOW goes it up to go down and HOW goes it down to go up.
Its defined by market structure.
-------------------------------
All moves are unique, but we have to set a standard and stick to it until it becomes obvious at every market move
Standard: There are only 3 types of moves
1. Slow
2. Medium
3. Fast
We are going to trade mostly Slow and Fast, because we are going to pick tops and bottoms.
Lets repeat again, Slow and Fast moves indicate market reversal. Not always, but enough times.
------------------------------
Slow moves are described as price compression/condension/squeeze depending on how long and how tight the this pattern was created, it may produce explosive moves.
Fast moves are described as price exhaustion. Its overextended parabolic move which contains few phases (mostly 3), where price speeds up usually twice every phase and ends up with big bold one sided move without any retrace/correction.
------------------------------
janpec1000 pattern check list (for more details check his thread link above):
--------------------------------
bottom rotation pattern:
--------------------------------
1. does it have condensed supply (many highs in structure)
2. does it make new LL with clearout and then break that supply in single leg
3. is that leg up, the strongest push in the whole structure
4. is structure created after downtrend
---------------------
Parabolic crash:
---------------------
1. a leg has 3 phases where each phase of move has clearly stronger candles than the phase before it
2. a leg has at the moment printed one significant end tail candle
3. a bounce has began where after that singificant candle was printed price turned in oposite direction in
swift move
--------------------
Flag (with trend):
--------------------
1. extended structure with more than 2 highs/lows and condensed supply
2. clearout of lows
3. takeout supply on strong flip within single leg move
4. Strong HL formation
