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MTF Engulf / Engulf fail

  • #2,301
  • Mar 8, 2024 6:03am Mar 8, 2024 6:03am
Quoting Inthebox
{quote} are you using h4 as entry time frame? or which time frame is your entry time frame? different traders have their own preferred entry time frame. then we work upwards.
I use 4h as HTF and 1h/30m as LTF entry
profiting on actionable patterns
  • #2,302
  • Mar 8, 2024 6:26am Mar 8, 2024 6:26am
Quoting poap
{quote} this is what i'm actually asking, what is the alignment when we are at all times high - currently I'm looking at d1/4h and we are at all times high, just interested to hear opinion which situation would you look for shorts, 1. any BEEG in D1 -> look for BEEG in 4h to short 2. wait until price closes below EF and then look for the shorts {image} {image}
D1--> Wait for BEEG or BUEF, once confirmed and the price touched or retraced to the zone, move to h4
H4--> Wait for a BEEG or BUEF, once confirmed, a potential entry could be on the successful retest if the SL is within the risk tolerance. Otherwise, move to the next lower TF and repeat the above steps.



Edit: for the 4h/30m combo, replace D1 with H4 and H4 with 30m in the above-mentioned steps.
Success = Practice + Patience + Persistence
  • #2,303
  • Edited 7:13am Mar 8, 2024 6:50am | Edited 7:13am
Quoting poap
{quote} I use 4h as HTF and 1h/30m as LTF entry
so it is intraday.
right now there is no current example.
i show from beginning of the year.

the following is for best scenario.
starting on monday.
the w1 has to be bearish engulf. the d1 has to be bearish engulf to align with w1.
right now today. you are not able to short because you do not see that happening.
tuesday onward.
the d1 has to be bearish engulf. the h4 has to be bearish engulf to align with d1.
right now today you are not able to short because you do not see that happening.

you do not have many trades because we have many filters.

do not predict, only when i see it, i react to it.

a less than perfect scenario.
you do away with w1.
the d1 has to be bearish engulf. the h4 has to be bearish engulf to align with d1.

you have slightly more trades because we have less filters and slightly more riskly.
because in the first zone on the left was just the beginning of a higher time frame down trend.

if you further do away with d1.
it is just a matter of if you want to see more trades, it will be more risky because there are less filters.
only the concerned trader will have to weight it himself.

in a nutshell, everything goes back to this.
it is all about alignment.
and how many layers of filters to use.
the image looks simple but not easy to apply.
https://www.forexfactory.com/thread/...9#post14782689
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ITB - Seeing Orderliness amongst 'Randomness'
  • #2,304
  • Mar 8, 2024 7:30am Mar 8, 2024 7:30am
it is all a matter of alignment.
for m30 entry. you must have a h4 (htf) and m30 (entry) engulf alignment at the very least.
if you want more safe, add d1 engulf as additional filter.
ITB - Seeing Orderliness amongst 'Randomness'
  • #2,305
  • Mar 8, 2024 7:37am Mar 8, 2024 7:37am
Thank you both for the detailed explanation
  • #2,306
  • Edited 8:52am Mar 8, 2024 7:58am | Edited 8:52am
m1 scalping fun. not trading.

update.
all buy protected.
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ITB - Seeing Orderliness amongst 'Randomness'
  • #2,307
  • Mar 8, 2024 9:58am Mar 8, 2024 9:58am
AU: VOL GAP (another ICT concept) that works for me most of the time. I was expecting a bigger drop however the market is very thin now. Will deal with it on MONDAY.

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Success = Practice + Patience + Persistence
  • #2,308
  • Mar 8, 2024 9:14pm Mar 8, 2024 9:14pm
how a trader sees the market is the result of
the sum total compositions of his trading career experiences
that he is able to apply at that point in time when he makes a trade entry.
so no 2 traders can ever perform the same in P&L.
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ITB - Seeing Orderliness amongst 'Randomness'
  • #2,309
  • Mar 8, 2024 11:32pm Mar 8, 2024 11:32pm
the presence of being.
a powerful video ....... for me.
Inserted Video
ITB - Seeing Orderliness amongst 'Randomness'
  • #2,310
  • Mar 9, 2024 8:36am Mar 9, 2024 8:36am
I'm going to document down all those explanation so i can review them again during the week when I'm about to do lousy decisions.

Can you tell me which news events you prefer to close your trades before and wait for another coming setup after event? and which news you let them run if there is a setup?

Or how do you approach news overally?
profiting on actionable patterns
  • #2,311
  • Mar 9, 2024 3:08pm Mar 9, 2024 3:08pm
Quoting Inthebox
{quote} no preferred TF for entry. for me can be h1 if SL is say 30 pips. keep on switching until a TF that satisfy your risk tolerance SL. FE can be break out of engulf, 2nd one with confirmation. prefer to keep chart at h4 until price is near zone. upon alert switch 1 or 2 tf lower. i prefer not to see ltf movement which can hinder my original plan. also can take a look every half an hour or one hour. {image} {image}
here is something that come to my mind when starting to raze down entry using LTF:
1. I use H4 as direction and target, and H1 as entry confirmation and SL around the EG area
2. I saw setup using H4/H1 but wasn't satisfied with the SL risk and the target of the setup(R:R was 0.5:1 to the closest H4 EG)
3. so I switch down to M15 chart, now I see the M15 chart retest the H1 EG and I have entry after I see M15 EG confirmed.

now my target also need to be changed as I'm using H1 chart as direction and not the H4 as direction, or I keep using the main direction TF(H4) as H1 zone is within 4H zone(better alignment).
is it correct?
profiting on actionable patterns
  • #2,312
  • Mar 9, 2024 6:45pm Mar 9, 2024 6:45pm
Quoting poap
I'm going to document down all those explanation so i can review them again during the week when I'm about to do lousy decisions. Can you tell me which news events you prefer to close your trades before and wait for another coming setup after event? and which news you let them run if there is a setup? Or how do you approach news overally?
best to have no position before red news.
after the news re analyze whether there is any trade set up when market open.
if there is position if red news is approaching, you can either exit the current trade or protect it for a trend run.
ITB - Seeing Orderliness amongst 'Randomness'
  • #2,313
  • Mar 9, 2024 7:04pm Mar 9, 2024 7:04pm
Quoting poap
{quote} here is something that come to my mind when starting to raze down entry using LTF: 1. I use H4 as direction and target, and H1 as entry confirmation and SL around the EG area 2. I saw setup using H4/H1 but wasn't satisfied with the SL risk and the target of the setup(R:R was 0.5:1 to the closest H4 EG) 3. so I switch down to M15 chart, now I see the M15 chart retest the H1 EG and I have entry after I see M15 EG confirmed. now my target also need to be changed as I'm using H1 chart as direction and not the H4 as direction, or I keep using...
situations are variable. the answer can be complex or simple.
here is the simple one.
you can use h4 for direction and h1/m30 for trade entry as the basic model.
from there you can move up or down the time frames.
as per post 1, h4 is the lowest time frame for direction.
you can then include additional higher time frames for more aligning direction filters as you see fit.
for h1/m30 trade entry, you can go lower time frames to make your SL smaller or to precise your entry as you see fit.
ITB - Seeing Orderliness amongst 'Randomness'
  • #2,314
  • Mar 9, 2024 10:43pm Mar 9, 2024 10:43pm
Quoting Inthebox
{quote} ... you can use h4 for direction and h1/m30 for trade entry as the basic model. from there you can move up or down the time frames. as per post 1, h4 is the lowest time frame for direction. ... for h1/m30 trade entry, you can go lower time frames to make your SL smaller or to precise your entry as you see fit.
Understood how to raze SL for entry,
What I'm really asking is if i precised the SL, does my TP need stand around the H4 direction or need percision aswell, which from your answer I understand it suppose to still stay around that level and not precise it.

Sorry for repeating, just trying to adapt better habits in my trading from experienced traders
profiting on actionable patterns
  • #2,315
  • Mar 9, 2024 10:57pm Mar 9, 2024 10:57pm
Quoting Inthebox
{quote} best to have no position before red news. after the news re analyze whether there is any trade set up when market open. if there is position if red news is approaching, you can either exit the current trade or protect it for a trend run.
that answer verify what I tried to ignore, been years getting mixed results, sometimes my TP arrived fast from news, sometimes my direction was off, sometimes the spread was the trade killer as MT4/5 doesn't trade the opposite side of the spread, and eventually TP arrived without me in the trade .

After running backtest and forward test I can see that there are tools in this strategy which can help a trader to hop on the new trade after the news without the need to always be in a trade and gamble on direction and play into the broker hands
profiting on actionable patterns
  • #2,316
  • Mar 10, 2024 3:33am Mar 10, 2024 3:33am
Hi Traders,
here my view on GBPUSD
weekly up,
daily up,
however i will look for some countertrade as setup seems to be very good
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  • #2,317
  • Mar 10, 2024 6:44am Mar 10, 2024 6:44am
Quoting Inthebox
how a trader sees the market is the result of the sum total compositions of his trading career experiences that he is able to apply at that point in time when he makes a trade entry. so no 2 traders can ever perform the same in P&L. {image}


an in-depth exploration of trading "M(W)" pattern.

I must add to the above that the efficacy of the formation also depends on the careful consideration of the context which is always at the left of the whole formation.
Success = Practice + Patience + Persistence
  • #2,318
  • Edited 8:25am Mar 10, 2024 8:12am | Edited 8:25am
Quoting poap
{quote} Understood how to raze SL for entry, What I'm really asking is if i precised the SL, does my TP need stand around the H4 direction or need percision aswell, which from your answer I understand it suppose to still stay around that level and not precise it. Sorry for repeating, just trying to adapt better habits in my trading from experienced traders
post 1 from the overview image - vertically engulf to engulf TP.
when a move started from a certain time frame eg will end at that same time frame eg.
a move started from h4 eg will end at h4 eg.
similarly m5 eg to m5 eg, m15 eg to m15 eg, m30 eg to m30 eg, h1 eg to h1 eg.

you are an intra day trader using say h4 m30 combo.
in the following chart, it is not possible for you to hold the h4 eg to h4 eg right?
take days to finish that. you are supposed to close your trades by end of day.
so your other choice is that the up move also started from m30 eg to m30 eg right?
however if that particular day there is a momentum move from news, it can reach h4 eg on the same day right?
as i always say answer is depending on market situation.
there won't be any fixed rigid answer specific to handle every situations.
the daily target is take that 1% equity profit and take the rest of the day off.
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ITB - Seeing Orderliness amongst 'Randomness'
  • #2,319
  • Mar 10, 2024 9:20am Mar 10, 2024 9:20am
Quoting Inthebox
{quote} post 1 from the overview image - vertically engulf to engulf TP. when a move started from a certain time frame eg will end at that same time frame eg. a move started from h4 eg will end at h4 eg. similarly m5 eg to m5 eg, m15 eg to m15 eg, m30 eg to m30 eg, h1 eg to h1 eg. you are an intra day trader using say h4 m30 combo. in the following chart, it is not possible for you to hold the h4 eg to h4 eg right? take days to finish that. you are supposed to close your trades by end of day. so your other choice is that the up move also started...
It's clicking, at least starts to.
it's something that seem to hold me back in my trading, i was trading 30m stops with 4h targets so r:r was greater than 1:3 which cause eventually to winrate of 30%-50% as trades starts in my direction and hit some ltf eg which cause the market to turn back. if only i'd raze my tp to 1:1 or 1:1.5 my winrate can be around 70%-90%
Which can do huge difference in terms of equity curve.

When you approach the market from a perspective of trading engulf to engulf using the same timeframe, what is the r:r you can tolerate before taking the trade?
profiting on actionable patterns
  • #2,320
  • Mar 10, 2024 9:42am Mar 10, 2024 9:42am
Quoting poap
{quote} When you approach the market from a perspective of trading engulf to engulf using the same timeframe, what is the r:r you can tolerate before taking the trade?
i do not use r:r.
nothing is fixed for me.
i look at TP range as 1%.
then the SL can be lesser than 1% and dictated by the SL range that I choose for the entry time frame.
ITB - Seeing Orderliness amongst 'Randomness'
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