5Min Intraday System

Hi On

I cannot find you on Skype. Are you sure your ID is correctly spelled?

Sorry , I misspelled

add me as onlookerfx

Thanks for caring

Hi MJ

Sorry but I missed your post and I don't know how it happened. But I did put you and Onlooker on the chat:

[2007/12/31 06:00:00 PM] Phillip Nel says: Wishing you all a very good and full of pips 2008
[2007/12/31 06:58:07 PM] *** Willem Kruger added DIlip to this chat
***
[08:14:46 AM] *** Willem Kruger added mjurban30 to this chat
***

You'll receive the chat very shortly. Please make sure you bookmark the chat and never click on the green "Leave" icon except if you want to leave the chat permanently.

Phillip's trade on EUR yesterday in a very fast moving market. It is not that easy for newbies to take trades like this - I am sure Phillip will agree. Even I struggle to enter fast moving markets. But Phillip has studied his two pairs very thoroughly and he knows what he's looking for.

At this stage I think I'm a very conservative trader while I am familiarising myself with the markets as well as the price movements.

His trade and picture of his entry - just remember the time is GMT + 2h if you want to follow the trade/chat on your own chart:

[2007/12/31 05:31:36 PM] Phillip Nel says: Hi. Hope you people took the E/U short. I took the trade and then went to the chat. It took a while to start
[2007/12/31 05:31:54 PM] Phillip Nel says: Entered on 1.4659
[2007/12/31 05:32:03 PM] Phillip Nel says: Allreade BE
[2007/12/31 05:32:18 PM] Phillip Nel says: Sorry 1.5657 was filled
[2007/12/31 05:32:29 PM] Phillip Nel says: 1.4657 typo
[2007/12/31 05:32:52 PM] Phillip Nel says: Will see if it goes past the previous low.
[2007/12/31 05:33:54 PM] Phillip Nel says: My skype takes about 5min to go live
[2007/12/31 05:35:42 PM] Phillip Nel says: It is getting stuck now. Will wait and close if reverse
[2007/12/31 05:36:00 PM] Phillip Nel says: Will take 8pips
[2007/12/31 05:36:37 PM] Phillip Nel says: Have put stop on 1.4649
[2007/12/31 05:37:35 PM] Phillip Nel says: http://imagebin.org/12693
[2007/12/31 05:37:39 PM] Willem Kruger says: Hi Phil - well done. I missed it
[2007/12/31 05:39:01 PM] Phillip Nel says: Hi. I just sat down, did some posting on 4H and went to 5min and there the setup was. Getting lucky as well
[2007/12/31 05:39:15 PM] Phillip Nel says:
[2007/12/31 05:39:40 PM] Willem Kruger says: Yes, too quick for me. Busy working on other stuff
[2007/12/31 05:40:18 PM] Phillip Nel says: It is on the 4H 200sma
[2007/12/31 05:41:09 PM] Phillip Nel says: It should go now
[2007/12/31 05:41:26 PM] Phillip Nel says: Either up or down
[2007/12/31 05:41:36 PM] Phillip Nel says: It is at critical point
[2007/12/31 05:42:42 PM] Willem Kruger says: And I saw the EY bounced already twice - strong support
[2007/12/31 05:45:01 PM] Phillip Nel says: I just had to scare the monkeys as they are in my mango trees
[2007/12/31 05:45:29 PM] Willem Kruger says: Don't go now!
[2007/12/31 05:45:33 PM] Phillip Nel says: Look as it wants to go. Moved stop to 44
[2007/12/31 05:49:14 PM] Phillip Nel says: Will wait for 5min bar close to maybe readjust SLoss
[2007/12/31 05:50:39 PM] Phillip Nel says: Move stop to 38
[2007/12/31 05:50:48 PM] Phillip Nel says: Might see pullback now
[2007/12/31 05:52:30 PM] Phillip Nel says: The previouse bar is still bearish. Price is currently stalling.
[2007/12/31 05:55:37 PM] Phillip Nel says: There is a small green inside bar. Might see upmove. Will wait and see
[2007/12/31 05:57:53 PM] Phillip Nel says: 1.4638 taken out. +19pips
[2007/12/31 05:58:14 PM] Phillip Nel says: That was nice. I liked this trade.
[2007/12/31 06:00:00 PM] Phillip Nel says: Wishing you all a very good and full of pips 2008

Great one Phillip - still haven't lost your touch. I know you are very busy with your 4h system and I am glad to see you on the 5min chat despite your very busy schedule.

I don't know if this would be useful to anybody but I'd just like to see what I want to do in writing. It helps me to stay focused. Otherwise, I tend to deviate from my plans and do stupid things.

I do have a hard copy of all My Rules, appendices and now my trading plan. I developed this trading plan of extensive reading and visiting several websites.

It is very interesting how one develops through a forex trading career. When I started training, I couldn't understand money management principles until I blown my first mini account. Now, I developed my risk management plan (1.5% risk per trade) and I am still surviving. Then I start reading about all this psychological stuff and I thought - this stuff is not for me. Now that I am into live trading, I can see the importance of the mental side of trading. That is why I do have a whole section in my training plan on psychological rules.

Attachment 1: My trading plan

Attachment 2: My trading journal

Attachment 3: My risk management for a mini account in Excel spreadsheet - I just change the amount of capital available, the percentage risk I want to take, the SL size in pips and it determines the number of lots to be used per trade. I like to keep my calculations as simple as possible and it is working for me.

Attachment 4: An explanation of attachment 3

Attachment 5: Just an extensive risk management sheet -it is just an estimate number of lots to be used when the mini account is between a certain value. I like to use attachment 3 to detemine my lots to be used per trade. This is just a rough estimate.

Like I always say - "Enjoy the trading"

I think it's necessary to post some negative trades - just to be realistic about the system and to learn from the mistakes.

It was a church to right formation but there were signs that I shouldn't have taken this trade:

1. Double top present - a sign of some resistance

2. Just below M3 line

3. Small support line broken (the major reason not to take the trade)

4. Activities on the wrong side of the 21MA with the previous pullback - a sign that the 21 is no longer support.

4. Just be aware - the 21MA on SMAngle is above 0.5 line.

I know it was a high risk trade but I decided to take it (another no-no; I have entered on the negative (red) candle) - I also wanted to see how to manage a loser. Getting out as quickly as possible with the minimum loss. I do feel great about this one.

Just to show you what can happen if you don't follow the rules - a high risk trade which didn't work out

@Golfer

i wonder why my MA(21) in the SMA window is so diferent to yours

Hi MJ

Right click on the MA, open the properties and make sure that in the parameter block, the "Apply to" option is "First Indicator's data" and not the "Close" option.

That is usually what is causing the difference.

Hi Golfer

How do i get access to your skype chat room?

Hi On

You will receive the chat once somebody start the chat. I'll put something on the chat right away and hopefully you will receive it.

The picture as discussed on Skype.

The drawing of the two resistance lines on the Swissy as discussed on Skype.

Once I do see a possible set up or is being developed - I will start looking for my points is to draw the support or resistance line. Then I will wait and see what the price is doing when it gets nearer to that line.

This is the trade i took in GU ending up with losing . It actualy missed 1 pips to trigger my break even but well , it dint triggered

This is a high risk trade with small resistance and also the bounce off from the 10 ema .

The trade i make in EU , i open 2 position with
1st postion
TP 10 pips, SL 10 pips break even 6 pips

second position
TP 20 pips, SL 10 pips and break even 6 pips

both postion end up in break even ..

Hi ZZ

My chart and comments on it. As you can see on Skype, it is not that easy to recognise price patterns while it is being formed. You need lots of practice - I am still struggling because I don't alway know what to look for. But I feel I am getting better at it.

To all the Skype chat members:

That is exactly what I want to achieve with the Skype chat. Making people aware what to look for as a price pattern is starting to evolve. Sharing that experience with everybody. Not to

It is very easy to see it afterwards and that gives you a false sense of confidence. Just to get very upset after a negative trade

Advice:

Don't enter a trade in the middle of nowhere/no-man land - it is high risk. It should be take (on the correct side of the MA)(and wait for it):

1. Close to 21MA within the war zone
2. Very close to 10MA if price pattern gives an indication
3. CLose to the 50MA in the 3 little sister formation
4. Of the Small resistance/support line as indicated

I made the mistake and paid for it with a loss.

If you see you've missed the entry - let the setup go and wait for the next one. Don't get upset because you missed a great setup and then try to get in while the move has already started - high risk. Looked what happened to my trade.

I hope it helps.

Hi ZZ

My comments on the chart. That correct entry point is somewhat risky because the small support line was not really tested - only the 10MA was tested twice (the reason why you can take the risk on).

Just one other comment - after a tail like that (previous high), I'll take only 10pips profit and I won't let my profit run. But then - I am a somewhat conservative trader.

Advice:

Drawing of small support/resistance lines as filter:

1. Look for point where you can draw a line.

2. For this chart, I started with candle 1, 2(usually the pullback after the 50MA is broken - not in this case) and then luckily we had candle 3 (first pullback after 50MA is broken).

3. Now draw a line between the 3 point.

4. The more points you can get in this line, the stronger the support/resistance.

5. The longer the line goes through time - also the better.

6. Once the 1st SMall support/resistance line is broken, you can draw a 2nd line.

7. For this chart I've used candle 1 and candle 4 (usually the next pullback after the first Small support/resistance was broken.

Once the 2nd SMall support/resistance line is broken, I'll stay out of the market. The Rule stated that you can only draw two SMall lines for a move.

I hope it make more sense - specially for Onlooker.

Just another practical piece of advice (I've already discussed it on the thread). During a quite time of the day of when there is no action:

Use a demo account or micro lots (0.01 if your broker allows it) and ignore the SMAangle indicator. Use a live chart (don't use a backtesting method) and look for pullback where you would expect it to bounce off the 21MA or your SMall support or resistance line. See how close can you enter to the 21MA and look at the price actions after you've entered. That will give you a sense of the correct entry point.

Don't wait for the actual trade to practise your entries. Do it while nothing is going on and you'll be surprised how better you'll get at getting it right.

This is like seeing Tiger chili-dip an approach shot, or Phil 3 putt...Thanks for keeping it real. And a big thanks for keeping this thread alive. While I have been focusing more on the 4Hr MACD, I still use this method for entry points and when I have a "need for speed".
Best Wishes for a prosperous new year.
Frick

Hi Frick

My pleasure. And the same wishes to you.

Or Ernie who hit it in the water twice on the 18th to loss by 1 shot in December (don't now if you've seen that one on TV).

But they'll be back to play another tournament. So, don't blow your account on 3-4 bad trades - come back after a few bad trades to play again.

Hi

The trade i make in UJ , open 2 position with
1st postion
TP 10 pips, SL 10 pips break even 6 pips

second position
TP20 pips, SL 10 pips and break even 6 pips

both position hit TP with 30 pips gain