DislikedI want to post these notes I made by listening to Phillips audios for new people.
I have notices the most important things philips said I only 1 or 2 sentences on the audio.
So far I have 18 rules from the 4 hr system.
·Rule1: After an Uptrend,says when price closes below the 21, price is going to pull back to the 21 upwards and then turn back to the 89. (does not happen 100% of the time, might happen 7 out of 10 times), if it does not happen it means the trend is not finished.
oRule1.2: Anticipation of the rule 1 at the end of a move when a price will come back to the 89, which might indicate the end or a start of a new down move which is not necessarily going to happen because the price might just find support the 89 and move up again.
·Rule 2: After a Downtrend, says when price closes above the 21, price pulls back to the 21, then price go back up to the 89. (does not happen 100% of the time, might happen 7 out of 10 times), if it does not happen it means the trend is not finished.
·Rule3: When the price goes through the 89 and 21 it tends to pull back to the 21 unless the speed of the market is high it go above the 8 and then pull back to the 8 until moving on
·Rule4: When the price comes back to the 89 it means that the rhythm is going to start again.
·Rule 5: Never chase breakout always wait for retracement
·Rule 6: take trade on smaller candles
·Rule7: Tails, Get into the market after the tail IF the macd gives a signal (Tails take out the stop losses)
·Rule 8: Counter trend trade only when:
oNear major Trend, Resistance and Support lines
oRR is 1:1 or better
oTowards the 21MA as profit target
·Rule 9: When price breaks through the 200SMA, it moves back to it before moving on.
·Rule 10: Look at the support and resistance levels (on every trade) and determine where the price will go, set profit target according to this
·Rule 11: When price break through major resistance or support it moves back and test it before moving away
·Rule 12: take trade on smaller candles
·Rule 13: 200 is the trend determinate (above the 200 upward trend); 89 is the mood of the trend
·Rule 14: When price breaks out through a trend line (or major moving average) it tends to return to the trendline before moving on or to the moving average that went though with the price
·Rule 15: If price breaks out it can return to the break out level
·Rule 16: Lower low or higher high needs to be used for conformation for change in the trend
·Rule 17: When price is between 2 moving averages or TL and price is getting squeezed there will be a break out of the price (don’t take MACD signals when price is squeezed)
·Rule 18: Most of the time when the 4hr candle is moving off the 8 EMA the 1 hr will usually make a TC with in hour or 2.Ignored
- #16,148
- Edited 7:04am Jul 16, 2008 5:10am | Edited 7:04am
- | Joined Apr 2007 | Status: Trader | 1,126 Posts
