james16 Chart Thread

has anyone ever devolped an EA to trade these price action bar sequences??

I'm not sure about an EA but there are some indicators floating around to pin point some of the PA setups.

But IMO, there's no EA that can be created to trade this PA successfully. Discretion is needed for every trade.

Tom

This pin bar /eye concept I still don't understand. Could someone please explain how should one trade this setup.

Thanks in advance.

Hey TS

The main part to focus on is the left eye. I circled it in the picture. You want the open and close of the pinbar to be contained within the previous bar(usually around the left eye) and you want them to be towards the top of the bar in this case(towards the bottom when looking for a short). You preferably want the close to be higher then the open. In this case of our pinbar it is the same. That is ok also. The main thing is you can see that the left eye is near the bottom of the bar, and the pin bar has a long nose sticking out and the open/close are within the previous bar, and also near the bottom of the previous bar(what allows it to stick out). After that it is all trade managment, but it is identifying the good pins from the bad pins(location location location)

Hope this helps,
Mike

hey moneybags,

thanks for the response, do you know where i can find these indicators to download? thankyou...

i know this is one of them

http://forexfactory.com/attachment.p...839&d=10-10-06

if you click the paperclip symbol at the top tight of the screen of this page you can see there are a few others that i believe do similar things

I have never used any of them though so I have no idea whos they are or anything sorry

Mike

Hey mbqb11,

Do you consider the pinbar on the EU daily a healthy one, or is the open close to far down the previous bar?

Gerard

Hey Gerard,

My main problem from my point of view is that our nose isnt long enough. If we had a nose sticking out higher out, it would show me price was really being rejected. Another problem is the location. If you notice the market is kind of stuck in this sideways action. That isn't to say that a pinbar in this location wouldn't work. But I am very conservative so generally I like to see them at the very top of swing highs and lows.

Mike

edit here is a picture of what I would have liked to see. I added in the tip of a longer nose(the pink) and see where it would ahve been rejecting off. Previous support, too me that would be more ideal in me making a decision to risk some $$ in this trade.

Thanks Mike.

I see what you mean about the location and the nose and the sideways movement on my chart but your chart looks quite different to mine.In fact even your prices are very different.

Gerard

haha gerard i posted the eur/jpy by mistake! not the euro/usd

My bad!

Lemme check the euro out for you

Ok with the euro, it is very similar also. The body of the bar(open -close) is about the same size as the nose, which makes it not a pinbar really. I would have wanted to see the open and close much closer together and the whole bar moved up to the top of that area.

What this does still show is heavy resistance that it is really having trouble cracking to the top side.

I am still long from the pin back on the 16th. If that top area breaks, I will look for that resistance to flip and turn to support to place my stop under it. For now I am just holding on to my position with my stop at 1.3540

Sorry about that confusion again

Mike

On my chart (Alpari) the o/c is very close,only 3 pips apart, which makes the body to nose ratio very good, but as per my original concern and your confirmation the whole bar is just to far down the previous bar, as well as the other points you mentioned.

Thanks again for helping a new trader.

Gerard

Hi all,
Just wanted to post what my eur chart looks like. On my feed the nose is very long and the o/c is very close together. As mike says, its kind of in traffic though. I think I would only go short on this one if it were to break below 1.3605ish, where I have 50 fib/pp confluence And a trendline support. I would be looking for pa confirmation from there, above that it looks too risky for me.
Last week I took the swissy long from a mediocre in traffic pin, although it was from a pp fib confluence and trendline area. My limit order was hit and it waffled around after that until eur had its burst above 1.3675. My long order on eur kicked in just above 1.3700, and thinking swissy was out of the game I closed that for a small loss. Eur of course began to drop so I took a 20 pip loss before reversing. I managed to come out with a few pips for this week but I am very disappointed in myself, I dont like jumping in and out of positions, Ive worked hard to stop doing things like this...I also spent the better part of the week fiddling around with a currency strength meter (demo only but still what a waste of time)It seems the lure of easy money is still there...I am very disappointed in myself!
A friend of mine has spent the week boasting about positions and his ability to see where the market is going, and I finally got fed up with it and told him to be humble, I ADORE my friend and think he is brilliant, but none of us are invinceable. Best of luck to all of us, I mean that sincerely,
Well, Im rambling....heres my eur chart and BACK TO THE GRIND
take care all, Raz

Does this count as a DBLHC ??? ( Last two bars )

Tiki,
as long as the two lows are within two pips of each other and the second bar closes higher than the high of the first, its a dblhc, Raz

LOL dude you want to get out in your field and start getting that Wheat to market...have you seen what it's selling at??

Well I hope so !! I have seen the pattern so often before but never counted it as DBLHC... but great if it is !!!!!

Well I know the cost of my cheerios keeps going up !!!

LOL Tiki, don't you know that to win consistently, a trader needs a decent breakfast to wake up to?

It's all about Golden Grahams.

Heya Raz.

I know the feeling and phenomenon. Well, it's been a bit tricky going for a lot of folks I feel. I know it's been for me, albeit mostly due to self-sabotage (great plan, manual botch up, wasting most profits...old story).
Just wanted to say that the fact that you notice this behavior and can see it also gives you the chance to work progressively against it. Find out when what "triggers" you and then find out in what ways you can prevent this.
Anything from just walking away to working out or doing a crossword or whatever. Just something to counter-act it.

If you've worked hard on it then I am convinced you will continue to work hard on it, since that work in itself is an investment you're loathe to just give up, right?

Don't be disappointed or disheartened. Use the frustration to strengthen your resolve to be more level-headed and disciplined in the future instead.
Ask yourself why you're doing the bad things. Then ask yourself why you are here trading in the first place. Ask yourself what you want. Why you want it. What it's "worth" to you. What it means to you.
Realize where you are in your value system with all this.
Get a path laid out. Look for your goals. Look for your way towards them. Have a reason. Know this reason. Keep it in mind, always. When wavering, remember. Write it down, put it on post its, write it on cardboard, hang it over your desk/TFT, whatever.
Know what you want. Know why you want it. Achieve it.

(...I admit I am once again saying 90% of this to myself..)


And as for your invincible friend, humble or not, no matter. He is of no importance to YOU or YOUR trading. YOU matter and nobody else.
Don't spend thought, consideration and emotion on it/him while you're still developing yourself. You might even consider a "cutoff" period so that you can FOCUS. Sometimes you need to be alone to be able to be with others again. Only after finding yourself you can be someone others can find again as well.

And before I go too Buddha-mystical I will just stop here. And allow me to say this wasn't "your fault" alone Raz, this is what I came around to after playing basketball with a friend today and thinking a lot about all of this for myself, too.

Take care.

SeekingLight