4 Hour Strategy (MACD)

Hey folks...been away for a few days.

Finishing up the pdf to post soon....

hello everyone,

Hope you all had a great weekend. I just wanted to post my opinion on the Eur/Usd. As my daily chart indicates, price has broken the daily top trend line and when I switch to the 4H price has crossed above the 89sma. As per the rules, price comes back to the 89sma and then continues its original direction or comes back to the 8 or the 21 which the 8ema is pretty close to where the 89sma sits and so my bias is to the upside for a little before and if we decide to test the october lows.

Maybe a minor trend is in the making up to the 1.3200 and 1.3300 price point.

Share your thoughts

OK, this is my first post. I have been studying the 4hr method and the market since July and I am just starting to trade a practice account (still in major learning mode). I see the price on the EUR/USD has broken out of the wedge, has passed the 89sma, and is just short of the 200sma (resistance). According to the rule there should be a pull back toward the 89sma and then a continuation on its way up. Phil says this is a high probability trade. Besides R:R ratio and a TC, what would stop someone from taking this on?

Hi,all guy
As to breakout trading,Phillip said‘I use mostly the 1H pullback and then enter on the 1H candle that moves away from the breakout level provided that it is a nice strong move away. I enter on the close of that candle。’
But how to trade where there is no candle pullback to the breakout level?
Pls refer to the picture attached
Pls help me, thank you a lot!

Hi yuyudada,

Generally if there's no pullback, it's just one of those cases of where you pass on the trade - you can't get them all.
When the breakout is in the direction of the trend and comes with a TC on the MACD, Phillip has said in the past that it's OK to take the odds on (if you look back through some of his more recent posts - maybe through the last 1/3 of last year, you should be able to find some of his comments on this). When its a counter trend trade, definitely wait for the pullback. If there isn't one, there will always be another opportunity.

Hi all...

This pair has shown some significant rebounce of fib 100.0% during the end of last week. Okay...let's find out the current market situation:-

H4 (20 days trading = 120 candlesticks)
EU found it res levels between 1.3000 and 1.3050, where the fib 76.4%, 200 and 365 are in place. Below the price, we can see 89, TL, 8 & 21 become the immediate sup levels. MACD is currently making an aggresive turn around.

H1 (5 days trading = 120 candlesticks = 1/4 h4 chart)
Just for a clearer view using the same 8,21 and 89 from h4.

So, as 365 and 200 from the upper side of the price are trying to line up with the 89, 8 and 21 from the lower part of EU, are we going to see another big consolidation period? Does fib 100.0% is exactly the market bottom?

Only time can tell...

HAVE A LOOK AND MAKE YOUR OWN THOUGHT

Hi ssq. Now the price is below 89. it has changed from bullish to bearish. are u expecting a pullback to 21 and then downtrend TC?

HI FISHMEN
i am waiting for a bullish TC...
THE 8,21EMA AND THE 89SMA ARE GETTING TOGETHER,WE MUST WAIT.
BUT IN MY OPINION THE EURUSD IS MOVING UP !

Good Evening all,

So i've been away for a few days - just an update of a trade a took this morning.

I was in 2 minds whether to take this trade, as the the price action was right around the 8EMA at the point of entry. What made my mind up was the aggressive nature of the turn around from the 1.3000 level. From the chart below you can see a large bearish englufing pattern, and from the strength & momentum of this I took the short.

Entry @ 1.2823

TP: 1.2746

SL: 1.2915

+ 77 pips.

Please take a look at my chart and post any questions that you are unclear on.

CAN U EXPLAIN YOUR SL ?
Close and open of the 2 previous green candles ?
TKS
DAVID

Good evening all,

I am still watching the Eur/Usd on the sidelines as the 3 ma's are too bunched up in the 4H time frame.

The Gbp/usd however has a nice rhythm going as it crossed over the 89 and the 200 as they were bunched together and pulled back to them where the 8 ema was also close by and bounced off of them with a MACD TC confirming the move. I did not take this move for 2 reasons: One is that I do not trade this pair very often and second is that the price is in a channel on the daily time frame and price has just tested the top trend line of that channel.

The USD/JPY seemed to me that it might be reversing direction after that huge candle on friday but price seemed to move right back up to pre-friday levels. Price broke friday's high pulled back, and the 8ema caught up to price and that is where I switched to the 1H to find an entry and there it was, a nice TC on the 1H. On the 1H chart, the dotted purple line is where I entered after the close of that candle on my entries in the past few days and on the 4h, the arrows indicate the 1H trade I took within that 4H candle. My second trade was stopped out with that few big candles on friday............

Edit:
I have since closed 1/3 of my position with +20 pips

Edit:
my second target was hit with +55 pips
last remainder stop loss moved just below the 8ema.

Great work guys! Does anyone here know what this indicator is? Or where I can find someone who does?

David,

my stop lose is decided from risk management - I tend not to risk any more than 3% of my total capital which worked out to be around the 2920 area. Due to the large nature of the candle I could only afford to put it there instead of above the signal candle itself. Does that make sense?

Have just sold the Euro based on Daily setup.

Split SL:
SL1 = 1.2899
SL2 = 1.3005 (over entry candle high)

TP1 = 1.2559 (prev. lows) and will move SL2 to BE at this point to give it a chance to run

I closed the last lot on my Usd/Jpy trade due to the fact it is bed time now and price is just shy of 95.50 so it might act as resistance. My original target was 95.90 so I closed it manually. My first 2 profit targets were hit.

+20
+55
+73

I am happy with the pips, so I can go and sleep like a baby...............

I agree with you buddy...

Waiting (maybe for another week or two or more before EU having some clear direction) is perhaps the best thing to do for this pair...should be in case if you wanna keep your open position longer...say a week or more...then please be patience

Nothing much to say here...even though the price and macd in agreement with RB formation now...it is not that comfortable to "long" this pair as we know all the MAs are in flat direction and too tight to each other right now.

So...goodluck to all of us here...

HAVE A LOOK AND MAKE YOUR OWN THOUGHT

Took a few days off to do some 'stuff'....

There is a new pdf on the website called Plan 415. Visit the website and click on the Plan 415 link. This is a method that encompasses the 4hr, 1hr, and 5min entries. But, before attempting to trade the lower timeframes you must understand what the 4hr charts are telling you. The pdf is useless unless you know how to read the 4hr charts so spend a lot of time there. I posted before that I was with the 4hr charts for a good year before looking at the lower timeframes. Visit Phillip's 5 min intraday system here on the FF for more information on that method. If you are new to the 4hr method please put this aside for now. The gap indicators, rsi, and adx bar indicators are on the same page. The pdf goes into how the gaps are interpreted along with the rsi and adx bars.

There is no thread for this combined strategy and there is no way that I can start one, add posts, or make suggestions becuse I have no extra time with the other obligations that I have elsewhere. Please post no questions in this thread about this combined method. It would really confuse the hell out of new faces that are showing up here. You're free to start a thread on your own so good luck if you choose to go that route.

Cheers

Well done Palmer

I have read through your pdf. I must say you are the most devoted trader for this method.

Thank you so much for your great contribution so far. Give me a call if you wanna make a visit to my place someday. Will give you a warm welcome

Congratulation again...mate...

head and shoulders on the 4hr e/u macd...? (see ticks and arrows)
but unsure about going short!!
beginner to the system, made 4 trades, 3 right, 1 wrong. 200 pips profit so far
thanks