james16 Chart Thread

Hi Forex Man,
sorry for the delay.
here's the link to the VWB docs.
http://www.forexfactory.com/forexforum/showthread.php?t=4113

EA = Expert Advisor (automated trading)

Don't know how Highway did that. Best you ask him personally or some other MT4 guru.

I use InterbankFx, GciTrading and FxSolutions. No problems with any of them.

Hope it helps.

Take Care
Habeeb

That cough syrup is kicking in now. I'm setting my limit to 1.9620 and gonna hit the sack.

Take Care
Habeeb

The safest way to trade pivots seems to be retests.

GoodThings,

At the bottom of this post is a chart, showing the power of these pivot levels. This is for yesterdays price action on Cable and is based on the pivot been calculated at 22:00GMT.

Some days pivots just won't work like this, but NO WAY is the below price action just a fluke. It follows the levels and reacts almost to the letter.

LOOKING AT THE CHART:

Beginning of the day --- After a slow drifting Asian sesion that had seen Cable fail to break up through the main Pivot we come to...

Point "1" --- where the Euro and London sessions kick off.

There is a Bullish Outside Candle that, for the fist time that day, ignores the pivot level and begins a possible bullish move. This is followed by a large Bull Candle.
It would have been nice if we'd had a return to the pivot for a safer entry, but in this case it just didn't happen. Things happened relatively quick. If I was watching at the time I'd have bought at the close of that large bull candle, just from experience in knowing it was a good solid move.
Moving on though...

Point "2" --- would be a good take profit level.

The strength of pivots and there ability to act as decisive reversal levels makes them a perfect spot to take some profit off of the table. The Solid Lines in my chart are the classic pivot levels calculated from pivot formulas. The dotted lines are mid-levels (often named M1-M2-M3-M4. ...but beyond the scope of what I'm showing you here.)
-- Notice how the preceding candle peaked through, but closed at the pivot, indicating sellers got on board thinking there would be a reversal (or "pivot" of price) here. We have our retracement to the pivot, which is respected, showing possible support for a continued move up. The next bar failed to break the previous high and as a consequence we got ourselves a Double Bar High waiting to be broken. ....A long trade addition could be taken at the break of this DBH (as a bonus. And the break came quickly too!) ...The next profit target being....

Point "3" --- Where we take some more profit again and we keep an eye on the price action to decide our next move.

A few bars after point "3" there is a swing low "pin" bar (or hammer) that co-incides with a mid-level. When I've traded moves like this I have trailed my stops against support areas like that . A few pips below the pin would have been good (Once price had moved up away from the pin again) The pair has already moved through two pivot levels, I already consider that a good move. Anything else is a bonus. Another tactic is to trail just behind the previous pivot level (previous solid line). ...that would have kept us in the trade for this day.
I'd be out at the break below this point , though.

Point "4" --- I've marked point 4 to illustrate another good entry oppurtunity as described by Habeeb. ...Waiting for a retrace to the pivot before entering. I've learnt to get in later at a worse price and play the break of the peak rather than risk the return being an actual reversal. ...For now . Still learning. I wouldn't have been awake to take that trade and it's the wrong time of day anyway.

Don't trade like this. I only know a handful of setups so far myself that I trade. You have to study them for a long time. There's a lot of the "Language" or technique to learn before attempting this. I intend to get a better understanding over time, but I'd rather continue on with larger time frame charts and techniques (Playing daaily pins etc), and using pivots mainly for fine tuning profit points etc.

Hope this helps...
, Bundy

great job on how pivot points apply, but i couldn't help but notice you seem to have an indicator for metatrader to plot your pivot points. i am able to do so on v-trader but not metatrader. do you mind sharing.

Pivot Indicator as per above post.

Make sure you grab the version that's a few posts into the thread (V1-41)

And, if you can, direct any questions regarding the indicator to that particular thread or PM me.

Cheers,
B

forgive my lazyiness, i did not realize you had a thread on this indicator, thanks

ah that was nice to wake up too, i passed out on my computer!

excellent post bundy, i keep going to write bunny instead not sure why i keep donig that lol


Mike

Hi,

http://img124.imageshack.us/img124/6788/cadxf0.jpg

Is this an example of the dbhlc on the 4hr USD/CAD chart and does that mean I should go long? I'm starting to understand price action now but i just need some confirmations

Thanks

hey lamdu,

no this is not a DBHLC. A page back or so I posted some examples of DBLHC and DBHLC is just the opposite. let me go pull up a chart and find a few for you.

Mike

Lamdun, A Double High Lower Close, suggest a down move. The closer the tops are the better. As you increase time frames you can allow for a wider range. This is up to the trader. On this bar on the 4 hour there is a 1 pip difference. This is acceptable to ME. There are different ways to play these bars. Please note though, as James stresses, its not just the bar formations that matter but where they are that is most important, and should be what you consider when decidiing to play them. let me know if you need more clarifying.

Best, Mike

Here is the same DBHLC and now I show you why this bar is one worth trading. A pin bar starts this down move also. Then the DBHLC comes back to the 50% FIB line. You see how awesome this stuff is. You dont need any of that indicator bullshit cluttering up your screens!


Best, MIKE

Yup, that was a good one.
You taking cough syrup too

Indeed.

Take Care
Habeeb

LOL... Yeah, I've noticed. Always get's me a belly laugh.

Check out the confluence now.

For those watching Cable....

It's reacting to the trendline, as Habeeb pointed out. (Thick black line)

The main daily pivot is there.( Dark grey square-ish line)

The 150 EMA is there.

And to top it all off, it also co-incides with the 38.2% retracement.

On the 1 hour chart, as shown , we have now had an inside bar with following price action that's looking bullish.

hello.

i m new to fx, could already learn much. i practice each day.

I wanted to thank for its fantastic forum and PF.

particularly thanks to jeams16, i cant spell my gratefulness.

merry chrismas to al and good new year

(sorry my en)

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hahah this always happens to me about once a week cause I try to stay up for the euro and american session(im in the states) and all my missed sleep hits me. Then one morning I'll wake up on my keyboard with a bunch of letters pressed into my face lol

good times lol

good post again BUNNY

Best,
Mike

wow, thanks a lot. Good thing i came here first before putting in an order. And I would like to move away from indicators. What should i use? pivot points and fib retracements? One thing that I don't get is which two points i should use for the retracements.

thanks alot!

Well you need to find what works for you, first I would suggest go through this thread(i know its big but well worth it) a few times. Second you can probably google fibonacci tool and find a good easy tutorial. Basically you want to take points swing highs to lows. Often you have many trends within a trend.

Here is something i posted in the private forum for someone else. I suggest searching the internet first because this may confuse u cause i have trouble getting out things sometimes lol. here it is anywy


__________________________________
For retracments you can use any swing highs or lows to try to find confluence. So you have the larger trend with the "smaller trends within". I am posting a chart of the GBP/USD. Point C-D is the current Fib Retracemtn withing Poitns B-D which are within points A-D that you cant see. The Blue diagonal line is where that Fib Retracement could be for point AD. I didn't include it because we didn't have any confluence. For points CD and BD we have confluence shown in blue. So you try to find areas that match up then look for other price action at these levels, along with other things(MA, S/R etc).

I am looking for an entry to short. Will wait to see where today will close. Next target might be the middle trendline.

Might even get an inverted head-n-shoulders forming on the 4hr at around 1.9520 area.

Looks like 1.9654 has become a resistant point on the 1hr.