The Fibonacci channel projections (FCP)

this is for those who like the 'excitement' of trading in lower time frames.
hopefully it will mitigate the losses.
start looking for the fcp channel after the vertical dotted line, only when you see a lower high and lower low.

spotted late after having my lunch.

So friends. Since the questions from the participants are repeated the same, let me repeat the answers to them.
First of all. Take the time to carefully study the information from post#1.
What are the findings to get started?
1. If you are new to trading, FСP is not for you yet. Do not think that just by reading the description of the method, you will immediately become a successful trader. Learn the basics: market structure and participants, supply and demand, price action, S/R levels, candles, etc. Only then FСP.
2. Start mastering the FСP by testing on old charts. It will not cost you anything. But it will give a lot. Believe me. This is a good training. You can always see your mistakes right away, just by moving the chart to the left. Over time, you will see the projection only by looking at the chart. Having sufficient experience in the FCP, I devote a lot of free time to testing on old charts. I like it.
If you started.
1. If we built the model correctly, the price will “respect” the lines of projection with amazing accuracy. It starts with trigger levels. If this does not happen, I know that I built the model incorrectly. And then I'm looking for an mistake in the TL or in the channel. If the model is controversial, or I doubt it, I am looking for opportunities on other pairs. Good setups are visible right away.
2. If you look at all successful FCP models in retrospect, you will see, that signal candles did not break much trigger levels. This means that SL can be very small. In this case, if you make a mistake three times, you will lose a little, but for the fourth time you will recover the losses and also earn more.
What else to say... I do not know. He who has eyes, let him see.
I am grateful to all the participants who bring useful points to the strategy of using the FCP, while preserving the model itself.
I wish everyone to enjoy your trading. Take care of yourself and loved ones.

Hi @Seysin32

Just found your thread and going through all the posts. I love this method. I used to trade a 2 channel intersect (4H and 1H) a while back.

Looking for setups on M5 just for practise.
Can you let me know if I've drawn this correct? This is a GJ M5 chart

Also another question in how to draw your channels (bullish/bearish). Coz sometimes the Daily/H4 may give you one direction and the ltf may be showing another.

Thanks again, and look forward to seeing good results from your method.
Cheers

No comment, I think everything is clear.

Hello.
The answer is here post#381

thanks @Seysin32. I have gone through your Gold analysis and it makes sense.

For my charts (GJ), the issue i'm having is that I see it's bearish on the htf (eg D/H4 etc).

So even though I've drawn a bearish channel (expecting a bullish trade), that would be counter-trend trading and a little risky imo.

That's why I drew the recent bullish channel (for the Short trade) so I can follow the trend.

1) When you say the channel is not needed, I'm a bit confused. What if I hadn't drawn the bearish channel (that you said is "ok")?
Would the other channel be valid then?

2) Currently on GJ M5 I'm in a SHORT (but you said channel is not needed, so does this mean it's a bad trade?


3) Please help me clear the confusion:
What is the 1st step? Do we look at the D/H4 to get the overall direction and then draw the appropriate channel on lft that will align with that htf direction?

I'm sorry if I'm not making myself clear. I hope you understand what I'm trying to say, and where I'm getting 'stuck'.

Again, many thanks for your help.

The puzzle came together connected its system and seysin32 and it looks like the Grail. The entries were 100% All health and good luck!!!

Serqew, nice trade. What oscillator are you using?

Imagine that the price moves inside the channel at htf. We have three options.
1. We are waiting for a pullback and enter in the direction of the trend. We are looking for the exact entry point at ltf, having built the FСP there.
And, as you know, you can trade the pullback itself too. I gave an example in a previous post (oil chart).
2. Expect breakdown of high/low. We considered (example1, 2) the option of constructing this model in a thread.
3. Do nothing, but just wait for the price to exit the channel. As soon as the price has left the channel and we have received confirmation of this,
we are looking for a place to enter at the best price.
In your case:
If the price exited the channel up (against the trend), the projection would show you where you can enter in the direction of the trend - at TP1 and TP2,
the impulse usually weakens (example here).
PS. Do not forget that today is Friday.

thank you very much for your reply.
makes sense.

I will continue to practise. It truly does look to be a very profitable system if properly implemented.
If I may ask, how long have you been trading this method?

Thanks again and have a lovely weekend!

...may by about four years.
Thanks, buddy.

Hi Seysin,

Thanks for sharing this strategy to us. Will practice this one.

By the way, were you guys able to check on GBPCAD 1 hour? I see a breakout of the channel and a sell setup.

gj h4 triangle range. m5 set up.

Opinions on this one please? I used point 3 for the outer line again
EDIT: 5 pips in profit while typing but I realise it was kind of an extended move from the bottom of the channel. Probably a retracement to be expected?

Where do we really place point 3 on Fib Channel? Is it on the median line or on the outer line? I have it on median line. Is this right?

Thanks.

entry earlier with below fcp and price meeting h4 trend line
use fractal to help you.