ITB - Seeing Orderliness amongst 'Randomness'
The Fibonacci channel projections (FCP)
- #63
- Apr 4, 2020 2:50pm Apr 4, 2020 2:50pm
- Joined Apr 2013 | Status: Trader | 1,528 Posts
24/5000 This assembly is correct {image} {image}
The second chart is not bad. But, if you make the TL differently, you would get a better price to enter.
- #71
- Apr 4, 2020 3:27pm Apr 4, 2020 3:27pm
- Joined Apr 2013 | Status: Trader | 1,528 Posts
[quote = Seysin32; 12857957] {quote} El primer gráfico: sí. Configuración adecuada y buena proyección. El segundo gráfico no está mal. Pero, si hace el TL de manera diferente, obtendría un mejor precio para ingresar. {imagen} [/ cita] Would this be a better setting {image}
- #72
- Apr 4, 2020 3:30pm Apr 4, 2020 3:30pm
- Joined Apr 2013 | Status: Trader | 1,528 Posts
Rule for trade FCP (for live trading in the future). Build a TL. Do not build the channel, but wait for the breakdown of the TL.
If the price makes new High/Low, rebuild the TL. If it breaks through the TL, draw a channel and check it. It's simple.
Friends, tomorrow I have a weekend.
Do not worry if I do not answer. If you have time, practice the graphical construction of the FCP.
I wish everyone a good rest. In this difficult time, take care of yourself and your family.
See you on Monday.
If the price makes new High/Low, rebuild the TL. If it breaks through the TL, draw a channel and check it. It's simple.
Friends, tomorrow I have a weekend.
Do not worry if I do not answer. If you have time, practice the graphical construction of the FCP.
I wish everyone a good rest. In this difficult time, take care of yourself and your family.
See you on Monday.
- #75
- Apr 5, 2020 5:42am Apr 5, 2020 5:42am
- Joined Apr 2013 | Status: Trader | 1,528 Posts
good morning, looking at the uptrend chart in ur post #1 and assuming #1 & #2 on the TL are shown on this chart.......then for the life of me I cannot see where the #3 position would be after studying your construction criteria in post #19.. there appears no point of contact with the mid-channel and no single impulse from either #1 or #2. maybe Im getting too old..
Thanks for the nice question. It's amazing that only you noticed it. You are right, I showed an atypical case. However, you will understand, it is not difficult. You are not getting old
. Look at the first chart. We had TL1. Then it was canceled when the price went up a little higher. Then we drew TL2. However, we see that the price has not gone far, and kept the area that I circled in yellow.
Having received TL2, we had a choice: option number 1.
Or option number 2.
In both cases, we got our projection and TP. But these two options did not take into account that we previously had TL1, after which the area encircled by me retained its strength. Then we expand the channel so that it includes the ascending region TL1 (just to check). And we see that the price precisely interacts with the channel lines, and the maximum is exactly on the 25% line.
So, you are right. A more accurate option is option number 2. But, as I wrote earlier, there is an element of subjectivity here that allows you to see a little wider, and ultimately get more freedom in assessing the situation.
Hello Seysin32, i'd worked out on few charts on gold and as we are doing backtesting, often we will be very much influence by the known outcome on the right of our chart. Therefore, I hope to learn forward testing with demo, trying to draw TL & Channel using your method.
below 3 pairs with breakout, appreciate your review and comments:
1. CADCHF 
2. EURJPY 
3. EURUSD 
Cheers!
below 3 pairs with breakout, appreciate your review and comments:
1. CADCHF
2. EURJPY
3. EURUSD
Cheers!
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- #80
- Apr 5, 2020 10:24am Apr 5, 2020 10:24am
- Joined Apr 2013 | Status: Trader | 1,528 Posts
Hello Seysin32, i'd worked out on few charts on gold and as we are doing backtesting, often we will be very much influence by the known outcome on the right of our chart. Therefore, I hope to learn forward testing with demo, trying to draw TL & Channel using your method. below 3 pairs with breakout, appreciate your review and comments: 1. CADCHF {image} 2. EURJPY {image} 3. EURUSD {image} Cheers!
1. CADCHF
The FСP model is built correctly. What should be done.
First, remove the Fibo level of 0.893. Our trigger levels are 1.000 and 0.786-0.750.
Secondly, look at the higher timeframes, to see if trigger prices in the past are S/R levels.
The third. We will not open positions only on the breakdown of TL (this is another rule of the FCP). We will wait for the rollback to trigger levels and the rejection of the test. Check out the examples on the charts that I have already posted.
2. EURJPY
See the chart:
3. EURUSD
post#57
One more thing. Note the correlation between EUR/USD and EUR/JPY.