Trading the Cable swings via averages

Stopped out of that one.

In again long for the regular 5min bull div at 25031 stop already at 25043

Second long trade on both stops now at 25085

I just got the third trade on and was stopped out... Bummer

Hi Alan

Do you have a target long or just looking for a $ amount

Cheers John

I was long but the constant stop outs made me go short.

Fairly easy trading today hey guys, This 5 min may run to the next level now.

That was nice, it crashed right through the next level and went on to the one above it...cool

Alan great to see your charts again. Such clarity when the master explains. I am still plugging away here day in day out with Trading the Cable swings via averages

Good for you glad to here it.

I hope I have made the method I trade clear enough especially with all the supplementary explanations serving to make things look much more complex than it really needs to be.

To add what may be called a simpler summary of all the posts...

1) Timing... This is where we come to the table and begin to observe the events that have happened in relation to the swings underway so we can make a fairly good analysis of these events. This I call Bar 108 which is a fairly good approximation of anticipated action.

2) Signal... This is where we are looking for the entry into the direction we have determined is in our best interest. Most often these are the so called ZOO points or Zones Of Opportunity on the 1 hour chart with the actual entry on the 5 min chart to get a better position restricting the loss to a minimum. We are looking for the failure of the EMA to then attempt an attack on the opposite side as price tends to test high and lows.

3) Target... This is given by the swings of the EMA remembering if the EMA is to make a level then the price has to pull it there by making the next level unless stopped from doing so. This means we cannot just take it for granted but at least we try and more often than not we will win.

4) Money Management... This is where we test the waters with a small entry and then build as as we become more sure of the action so we compound the winnings keeping the risk smallish.

I always find it is difficult to trade with 5min chart. The price seems to go crazy with news

We are not trading with the 5min chart, that is where we look for the entries when the 1 hour indicates something should happen.

Right now the 1 hour is telling us nothing so we don't look for something that is not there!

Bullish RSI Div on the hourly but price just moving between two swings on the 5 minute chart, some decent scalps mind. Which way will it break? That is the question

I am out now. I couldn't see anything on the hour so looked to the 15 min where we had a bearish HD. This gave a bearish regular div on the 5 min so short we go..

Thanks for clarification. Now i learn that we should follow the 1 hour chart and wait for the setup to appear, and then drill to 5m chart for best entry and R/R

Yes exactly that.

Take a look at the charts here below. On the 1 hour chart I have candles just in case you cannot see the bar open/close.

Look at the right chart i.e. the 1H. The RSI in the red box is way down the bottom. Do you think for one minute price is going to push down to the second green EMA swing (B) in order for the EMA to break the level A. It could but it is highly unlikely so we look for longs.

Now drop to the 5 min chart and by some miraculous piece of creativity a bull div is formed, again down in the pits of the RSI.

Why would we not attempt an entry here to the long side when we can see via the 1 hour chart the target is some 100 pips or so..

Even if we just take the 5 min chart we can see that if the EMA is to break A then price should reach B. Heaps of pips.

I have read as far as page 80, so bear with me.

I have an H1 chart on which I have drawn an ABCD and an abcd.
I like the target levels, which just happen to coincide with what I assume to be target levels already established.

Any and all kind comments valued.

Well it looks as if it worked out 40 pips box shown.

My problem is that I live in Mountain Standard Time and need to sleep sometimes.

Note how the price has landed on the old high to the left.

Hey Wab. Your RSI is not set up correctly. You need to set the 5 RSI to Previous Indicator's Data in the drop down menu. You will know it's correct when you see an arrow between the 14 and the 5 in the indicator window on your MT4 Terminal. ok good luck wab

The daily chart has finished with a bearish divergence, but after today's run up who knows! Something to note anyhow

Wab if you look in the bottom left corner where I have the lime arrow pointed at the RSI indicator window, this is where you should look for the small arrow between the 14 and 5 RSI. If you see the arrow, you are set