Attachments: Trading the Cable swings via averages

Trading the Cable swings via averages

#1,981
Feb 21, 2019 3:01am Feb 21, 2019 3:01am

Nala66
Joined Mar 2016 | Status: Trader | 6,379 Posts

Quoting Jazz1964

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{quote} Haha, well I still do need some extra backup. Realtime, when both pos and neg divergences are all around the place, then it is hard to decide how to trade. Also, I am very curious about your live trades, 2nd and 3rd positionings and taking profits. Not to forgot, taking stops. Your live charts would be the of best help. And I know, everybody makes mistakes. No worries about that as long as we develop.

Ignored

Jazz we are talking here about one specific trade at a specific time of day. A signal is given at approximately the 108 bar on the 5 min.

We can see the div is going to send the price back across the EMA so that is the fail point of the average. We can then measure the distance to the next level if the average is going to make a HH, We can see there is plenty of room to make 40 pips.

So the decision to take the punt is made..

As for live trades that is not going to happen. I am far to busy at times to do that and besides some things have to remain private.

#1,982
Feb 21, 2019 3:02am Feb 21, 2019 3:02am

Nala66
Joined Mar 2016 | Status: Trader | 6,379 Posts

And there we go passing the level. I have no more levels on the 5 min so I will have tp look at higher time frames now.

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#1,983
Feb 21, 2019 3:03am Feb 21, 2019 3:03am

Nala66
Joined Mar 2016 | Status: Trader | 6,379 Posts

Whoops that just ran into a bearish div

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#1,984
Feb 21, 2019 3:13am Feb 21, 2019 3:13am

Nala66
Joined Mar 2016 | Status: Trader | 6,379 Posts

The question now is 'Can this bear div stop the EMA from making a new HH?'

#1,985
Feb 21, 2019 3:24am Feb 21, 2019 3:24am

obiwandax
| Joined Oct 2018 | Status: Trader | 110 Posts

I don't trade your method!
However, I would like to congratulate you on your teaching style, and your patience with other traders.

I trade pullbacks on a shorter time-frame into the trend on a larger time-frame. (prefer Stochastics over RSI)
One thing I will take away from your thread is calculating targets. That's a revelation for me, to be able to gauge the potential of a trade.

I also like how you trade for a short time, then take rest of day off. I am working on that, as it's obvious that sessions opening ranges are good markers.
Great work!

#1,986
Feb 21, 2019 3:38am Feb 21, 2019 3:38am

fxmars
| Joined Dec 2013 | Status: Trader | 166 Posts

Quoting Jazz1964

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https://www.forexfactory.com/showthr...9#post12024579 I am still puzzled why I was trading Long yesterday in the morning session. I critisize myself for that. Am I the only one who took Longs while H1 showed neg div, and the only one who regrets that?

Ignored

I hear you, I was also tempted to go short in the morning session yesterday, and in hindsight that would have worked out.
But I do not regret not shorting, cause, even though it was somewhat of a mixed bag, the main inference I got from H1 was to go long.
The bearish div on H1 happened very early in the morning and signaled that price probably would reach the average, but I was anticipating a bounce from there.
My 4 trades from yesterday:
Trade 1, bullish div on M5, stopped out at BE.
Trade 2, bullish div on M5, stopped out for +5.
Trade 3, bullish div on H1, stopped out for +7
Trade 4, bullish div on M5, this was the one that worked out +40

The beauty of this style of trading is that, even though I still anticipate things happening (like the bounce from H1 EMA yesterday), I would not have hesitated to short if price started to trade below the H1 EMA. It gives me the confidence to trade what I see and not what I think is gonna happen. And most of my trades are stopped out trades in the +1 to +7 range, a few are -1 to -10, even if my H1 inference is wrong the method is very forgiving in the sense that I am normally able to move my stop to BE, and after that I try to detach myself from the trade. Whatever happens after that is out of my control (except for moving the stop along with price). And most days I get that one +40 to +60 that I want, and after that one, I walk away.

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#1,987
Feb 21, 2019 3:39am Feb 21, 2019 3:39am

Zelias
| Joined Jul 2017 | Status: Trader | 51 Posts

Quoting Nala66

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Whoops that just ran into a bearish div {image}

Ignored

I was looking at this - HD on 1H and Reg Div on M5:

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Trade now to BE (not on MT4 platform) to see if we overcome the M5 Bullish div and the EMA.

#1,988
Feb 21, 2019 3:54am Feb 21, 2019 3:54am

Zelias
| Joined Jul 2017 | Status: Trader | 51 Posts

Here is what I hope is a small contribution to the thread and the way this method is traded in MT4.

Over the last week I've tested the below indicator (it's completely Free) to draw horizontal lines (on price, RSIs, EMA swings, etc) hassle-free and really quickly. I personally don't like using rays (they cloud the chart over time) and trendlines (they're too fiddly to play around with until you get them straight properly).

Give it a go, if you wish, and hope it helps you too (I've attached it but the instructions and original download link are below):

https://www.mql5.com/en/market/product/7401

Many thanks to Alan for his continuous patience and support.

Attached File(s)

Make It Horizontal.ex4 4 KB | 447 downloads

#1,989
Feb 21, 2019 3:55am Feb 21, 2019 3:55am

mikeeating
| Joined May 2018 | Status: Trader | 648 Posts

Quoting fxmars

Disliked

{quote} My 4 trades from yesterday: Trade 1, bullish div on M5, stopped out at BE. Trade 2, bullish div on M5, stopped out for +5. Trade 3, bullish div on H1, stopped out for +7 Trade 4, bullish div on M5, this was the one that worked out +40 {image}

Ignored

I also stayed up last night and took the fourth trade, this was an important lesson for me because after being stopped out so many times it just goes to show you never know what is around the corner.

life is a reflection of what we allow ourselves to see

#1,990
Feb 21, 2019 3:56am Feb 21, 2019 3:56am

Nala66
Joined Mar 2016 | Status: Trader | 6,379 Posts

Quoting Zelias

Disliked

{quote} I was looking at this - HD on 1H and Reg Div on M5: {image} Trade now to BE (not on MT4 platform) to see if we overcome the M5 Bullish div and the EMA.

Ignored

You are correct that was a HD on the 1 hr, I missed that completely.

#1,991
Feb 21, 2019 4:08am Feb 21, 2019 4:08am

Nala66
Joined Mar 2016 | Status: Trader | 6,379 Posts

So the div did stop the EMA for a tad but the bears could not find support

#1,992
Feb 21, 2019 4:09am Feb 21, 2019 4:09am

fxmars
| Joined Dec 2013 | Status: Trader | 166 Posts

Quoting mikeeating

Disliked

{quote} I also stayed up last night and took the fourth trade, this was an important lesson for me because after being stopped out so many times it just goes to show you never know what is around the corner.

Ignored

Nice

If this trade happened in the European session I probably would have trailed the stop and gotten more out of it, but I was happy to set a TP of 40 and walk away. It was a case of trading fatigue, not a fan of monitoring trades in the US session.

#1,993
Feb 21, 2019 4:14am Feb 21, 2019 4:14am

mayflower
| Joined Nov 2018 | Status: Trader | 111 Posts

Hello Alan, I understand why you would not want do do webinars but is there a possibility of you producing some informative videos on this LOSS method?

#1,994
Feb 21, 2019 4:24am Feb 21, 2019 4:24am

Jazz1964
| Joined Apr 2008 | Status: Trader | 942 Posts

Quoting fxmars

Disliked

{quote} I hear you, I was also tempted to go short in the morning session yesterday, ...

Ignored

Thank you for your kind and clear answer. Beautiful chart you put there. Very good trading with the tight stops!
Super.

Trading S/R with PA only. No indicators anymore!

#1,995
Feb 21, 2019 4:46am Feb 21, 2019 4:46am

Bydyke
| Joined Sep 2009 | Status: Trader | 1,252 Posts

It's like we've gotten our bull support on M5 at 3063

#1,996
Feb 21, 2019 5:16am Feb 21, 2019 5:16am

Nala66
Joined Mar 2016 | Status: Trader | 6,379 Posts

I was asked if I could show my trades but this is pointless because anyone can manipulate them to look splendid, as with the false chart below.

The only real way is to do it live on real time webinars which I did for ten years or so and no longer do that.

Concentrate on the method and don't worry what I or other people say. If the method is not working for you then something is wrong and we need to discuss that.

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