Powerful Fib Based System - by DAZfx

Good spot and nice analysis!

there is something i watch, the breach of HH, HL et al: if u look at, EU has breacheed former HH and its making new High,
anything can happen though coz we are still in a downward trend, but if we have a setup, i will advice that u let stoch crossed out out of over bought area.

am watching too

Thank you naijafx for the comments.

Happy pipping.

You guys can also look for reversal candle formations at these levels, such as morning and evening stars, tweezer tops and bottoms and engulfing candles.

wot currency are u refering to here?
thanks

Hello all,

here is the indicator that spots adequate swing hi-lo
nice one

Mike

No specific currency. Just saying spotting reversal candle formations at Fib. levels can be a plus.

Hi Mike

Thanks for the reply.

EUR -- Still watching. Here is the 240 with price approaching the upper trend line and the 50 fib. But stochs are wide apart for now, and still pointing up. I will watch out for that more in the future. 4800 should be a key level here.

CHF -- here is a chart of the continuation of yesterday's trade above. Price hit all 3 targets, before reversing. Another demonstration of the apllicability of this method. Now price has broken out of the trend channel on swiss strength and a little dollar weakness. We will have to wait and see whether this is the signal of a new trend direction on this TF, or whether price will return to the channel.

AUD -- here is an updated chart of the AUD mentioned yesterday. The TC did hold price at the lows, and gave you a shot at 50 pips or so, depending on your money management. And it still trending up at this point.

hi all
i just read this thread up to page 7, it's definitely great..
i find nice setup in eur/jpy now..it's valid signal?
thx from share this trading style

hello sir,

could u plz read this post
http://www.forexfactory.com/showpost...&postcount=980

u will get the answer to your question
thanks


Juan,
I love the way u draw the linear regression, hope am rite? i have to watch it closely, they will guide one very well.

maybe i have to dump demark TL to help as well.

thanks

thx for quick response..

Is this the setup I'm looking for? can anyone confirm?

http://img145.imageshack.us/img145/2...dhr1kn2.th.gif

Look at the Daily chart, price is meeting resistance and left some candle formations (Tweezer bottoms & Hammer). May see GBP/USD turn around here, for a retrace on the daily. Graph being posted next post.

1 zoomed out, 1 zoomed in.

hi all, can someone help me how to show price at current fibo level in my chart?
someone show me to add char @ in level description but i forgot.

Hi Just add @%$ on the percentage line

regards
mike

Hi folks:

Here is an updated 240m EUR chart referenced a few posts above. The trend channel did hold at the 4800 + 50 fib level, and there was a short there for 50 pips or more, depending on how aggressive an your entry you chose.

I think some have been looking for the long here for awhile, and it may work. But keep in mind that same upper trend line will be there to offer resistance. And it has now been tested and confirmed, so we know its a good line. Maybe something to keep in mind when determining your TPs? And, if you do use that as a factor in setting your TP for along trade, keep in mind the degenerative effect of time on price, since its a downtrending line.

That is one reason I look for shorts at the outer, top TL of a downward sloping trend channel. Still wait for the same indicators for entry as well-discussed here. Even if that trend line line didnt hold, I would still be looking for it to retrace back down to that line (barring some intervening news release that may have altered the fundies, of course). If nothing else, that line will often work as support upon retrace.

As you can tell, I like trend channels. They are simple to use, offering both an easy visual of the trend in your timeframe, plus the same or similiar S/R characteristics as independently drawn trend lines. TCs also mesh very well with DAZ's method since they are both grounded in the use of swing highs/swing lows. They are part math, part art, but it doesnt take much practice to get a handle on them.

Just my 2 pips worth. Hope someone finds it useful.

The second chart is the CHF updated from above. If you recall, the idea was that price would return to the channel. Which it has for now.

Looks like the TC did indeed contain price.
And even gave a nice DAZ short

Juan,

I like your way of highlighting trends, using channels. It's reassuringly visual. I've always used higher highs, higher lows/lower lows, lower highs on the daily charts to give me an overall 'trend' to determine direction on the hourly; but that means a one, two, three or more day retracement against the main trend has left me going in the wrong direction. Your way I get an almost immediate retracement trend channel breaking away from the main trend channel.

Well, so it seems. I'm still looking into it.

Anyway, thanks for your posts.

Great System

Being reading the thread and demo tried a few trades on sunday, they all worked well, but didnt used fib expansion for targets. I tried to subscribe me to trading rooms, but they didnt confirmed me as a user, so my account didn't got activated... have someone susbscribed there?. Are the users there or here?.

I will post here, and wanted to post there any setup i can find, as you did yesterday, we can discuss pros and cons for any trade, and get "consensus" about any particular trade. It would be nice to get feedback... 4, 6, 8, 10 eyes can look better than only 2... lol

Best regards, and thx
WP

Juan,

your way of generating the channel has been getting attention.
do u use indicator or you manually draw them?
could u do a brief post on how u generate those point.
thanks

Mike