ok i am waiting , i really need that
Trading the Cable swings via averages
- #7,044
- Jun 29, 2021 8:45pm Jun 29, 2021 8:45pm
- Joined Mar 2016 | Status: Trader | 6,389 Posts
Here below on the 1 hour chart I have the main stuff I am looking for. There is a bit more but even with this small print it is hard to fit it on a single chart.
So...
1) we see a signal at a ZOO and take a punt on a tentative trade using the lower time frame to better manage our entry and stop.
2) If the signal was a div then watch out for the retest i.e. the dreaded HOOK
3) Consider the target distance both for the price and the EMA
4) Load trades to make the required profit in a reasonable distance/time.
5) Rinse and repeat
Keep it all very simple like this and mark the charts with these similar labels and you will quickly get a handle on what price action is doing.
The story is almost always the same day in day out so no signal no trade. I have a saying 'Quote" If nothing changes it remains the same. So if there is no signal then price may still be working on an older one. It does have to get it all done in one day, sometimes many months are involved in the major moves.
So...
1) we see a signal at a ZOO and take a punt on a tentative trade using the lower time frame to better manage our entry and stop.
2) If the signal was a div then watch out for the retest i.e. the dreaded HOOK
3) Consider the target distance both for the price and the EMA
4) Load trades to make the required profit in a reasonable distance/time.
5) Rinse and repeat
Keep it all very simple like this and mark the charts with these similar labels and you will quickly get a handle on what price action is doing.
- #7,046
- Jun 30, 2021 7:56am Jun 30, 2021 7:56am
- Joined Mar 2016 | Status: Trader | 6,389 Posts
Yes Des perhaps the chart below will make things a tad clearer.
See how we can get information from the two speed RSI's
I use this info a lot to add to positions.
See how we can get information from the two speed RSI's
I use this info a lot to add to positions.
- #7,047
- Jun 30, 2021 8:15am Jun 30, 2021 8:15am
- Joined Mar 2016 | Status: Trader | 6,389 Posts
We can also use this two speed for an inference on the daily chart.
Look for lower time frame signals to got in the desired direction
- #7,053
- Jul 1, 2021 9:15pm Jul 1, 2021 9:15pm
- Joined Mar 2016 | Status: Trader | 6,389 Posts
{quote} what is the meaning of strong and weakness of rsi, sorry if the question is so basic, and how we get the idea of buy and sell?
Observe the chart is showing we are trading below the average indicated both on the price chart and the RSI being below the 50% level (highlighted red)
Now look at the red boxes showing where the fast RSI has pushed above the 50% leaving the slow (black) RSI below the line.
These are clues to short the market so we do our two bar tests (Blue)
Note during the Asian market there was not much movement but we could have scalped a few pips.
Look at box 3 we could not two bar test it so we would not take it.
Once we reached the 108 bar things started to pick up and boxes 4 and 5 proved to be nice runners.
So we have timing and we have signals and we would be targeting price making the average swing low. Box 4 did the deed and made 66 pips.
Put this together and you have a decent trading plan.
Timing... Signal... Target.. Money management... Stop management.
OH I forgot to mention the Magenta line in the middle of 4 and 5. This was where price hit the target and the two bar test told us to go long.
- #7,055
- Jul 2, 2021 3:27am Jul 2, 2021 3:27am
- Joined Mar 2016 | Status: Trader | 6,389 Posts
Now the above were the bear moves but the bulls also have their say.
Since we are trading down we need to consider where to hedge our shorts'
Look at this same 1 hour chart with the bull signal red boxes. We see the fast RSI fails to close across the slow RSI.
So once again we apply the two bar test at these points and protect our short trades with a hedge and collect a few pips for our trouble.
Not forgetting the all important stops.... 
Don't forget the NFP tonight, I don't trade it because the spreads widen too much for me to be interested.
Remember if going long below the EMA it is only a scalp or a hedge. It could turn into a trade should it cross and find support.
Since we are trading down we need to consider where to hedge our shorts'
Look at this same 1 hour chart with the bull signal red boxes. We see the fast RSI fails to close across the slow RSI.
So once again we apply the two bar test at these points and protect our short trades with a hedge and collect a few pips for our trouble.
Not forgetting the all important stops....
Remember if going long below the EMA it is only a scalp or a hedge. It could turn into a trade should it cross and find support.
- #7,059
- Jul 2, 2021 9:30pm Jul 2, 2021 9:30pm
- Joined Mar 2016 | Status: Trader | 6,389 Posts
These failing divs go to show the importance of only taking them at the specific target levels.
Below we see the EMA made the LL and price reached the next level to drag it there.
Then we get the signals... Price was in a bullish div at this target and the fast RSI was showing current weakness.
The bulls crossed the EMA this time and found support and subsequently went to the ABCD target.
Lots to consider there but nothing I haven't already explained.
Looking at the NFP news it was good for the bears but the charts say the opposite. To me news is just rubbish, better to pay attention to the reality of the charts.
Below we see the EMA made the LL and price reached the next level to drag it there.
Then we get the signals... Price was in a bullish div at this target and the fast RSI was showing current weakness.
The bulls crossed the EMA this time and found support and subsequently went to the ABCD target.
Lots to consider there but nothing I haven't already explained.
