james16 Chart Thread

Sure, there you go.

It's good to hear from the experienced guys here, thanks for your active support!

So there you go. Just as Mike pointed out. If that PB was at that Low level (1.2750) then we may have something.

Chris , I took 9 weekly setups this year , 5 hit SL (and 9th in DD) so I wouldn´t say the time frame is the problem. And yes I was demoing 3 months first.
Here are my daily and weekly levels, a lot of room up to next level, however the trade is not taken from daily PPZ but 4H PPZ (dashed line)

Hi ya Everyone..

I was just wondering what would the usual direction be if your getting a level DB like so? also as is in traffic is it more like to go down due to strong resistance even if it keeps bouncing off the daily 50% Fibo?
This chart Pic is actually the 4HR GBP/AUS..

thanks,
Adrian

Alter I can understand your frustration, but it isn't just about demoing. It is about demoing till you get consistent. Then moving slowly to live so that demoing translates to live. Timeframes like the 1hr will eat up most traders if they can't do it on the higher. The need to process information quicker and lots of less important bars seem more important then they are(location becomes even more important on the lower timeframes to know what really carries weight). Those of us say this b/c we have been there before and don't want everyone else to have to feel the same angst and frustration, believe me. A lot of seniors here have different ideas of how to go about learning, but most of us agree that it should be done on the higher timeframes either way.

As a side note here is what smacked your trade down before it could get off its feet.

Just keep at it, it is a long road, but can be made shorter with a few simple things.

Take care bud
Mike

Hey Alter,

As Mike said, we know where you're coming from. It's way in Mike's past, but I still slip on this from time to time as well. Take the recent eur/usd pb on the weekly. I played that, knew where it would find resistance, but didn't move my stop to BE. That's a kick in the gut and a reminder of what I already know. This stuff really is straightforward. We just tend to make it harder!

I've posted my charts below with my S/R lines on for the cad/jpy. The way I like to trade (should I say, the way I have learned to trade profitably - hence I now like it ), is to draw out the really obvious PPZ's on the chart and then wait for price to come to them and see if we get some action. Hopefully the lines are pretty obvious places for you from the first daily chart - you're getting this stuff already . Next comes the waiting game. That's the trickiest part IMO. Waiting for price to come to levels where you are pretty sure there's going to be a reaction. (This is where trading can really provide you with a simple and flexible lifestyle if you want it to. Set all your PPZ's and then set SMS alerts to fire off when price gets near them. No need to sit chart watching all day, or even better, more time for backtesting new ideas!)

Let's next take a jump down to the 4h chart. Here you can see as clear as day (in Jim's words ) a lovely looking 4h PB off the weekly ppz. Ok, so maybe the close could have been closer to the low, but it's the LOCATION which is of upmost importance. Where does it go from here? Back to the next area of support/resistance of course.

The next chart also shows the PA on a 1h timeframe. Here as well you can also see that we got a PB off this level. You can also see lots of other PA all over the chart, and this is why it's vital to know what you're doing before you head down to these timeframes.

An exercise which I found really helpful when I first started, and something which I would urge any newcomer to do. Pull up as many chart as you can, zoom out to the weekly so you can see as much data as possible and draw on all the obvious PPZ's. 99% of the time they'll line up with round numbers (00, or 50). You can then go into the daily and refine them or add one or two more. From there, go back and look at what price action you get off those levels. Start with the weekly and daily. Once you've done that step down to the 4h. Then STOP. Don't go any lower. Make a note of how price reacts every time it gets to those levels. Look for PA in the form of PB's, BEOB's, BUOB's. Then see where price goes to after reacting at those levels.

By doing this on 40+ fx pairs (if you can get the s/r line s down on MXN/JPY for example, the EUR/USD is going to be a breeze!), you'll cram about 2 years woth of experiance into a matter of days/weeks.

Keep these lines on your charts and then see how price reacts as we move forwards in time. Every weekend, pull up your charts and draw in new lines and set your alerts as needed.

This is how I finally managed to figure out what I should be doing. I have to give a big nod in the direction of Clockwork71 (Chris), Mbqb11 (Mike), and of course James16 (Jim), for all their work and direction.

I promise anyone, if you do this exercise you will become profitable.

Wow, ok that was a little longer than intended! Hope it helps a few.

Best,
Chris

I think i saw bars like this mentioned in Larry Williams book, but do any of more experienced guys trade a bar like this as a continuation play?

Rebound or a tease.....
.

Very good post Chris.

But I don't see any reaction yet.....

enough of the darkside already!

Thanks Jim. One thing I've found, is that by helping others it really helps you to focus on your own game.

Hence why yours is A+

more of the same....

Chris P,
excellent post. 'twas quite long but worth it.

wish granted....

Let's now test 1.2660 again..

Mike it is difficult to take just weekly and daily setups , I have 16 hours every day that I can spend trading {or learning}, but I had just 9 weekly and 12 daily setups this year. How can I learn from that? I know this H1 trade was not good one, in fact I took it just because I took some loses on EURUSD/NZDJPY weekly, so I wanted to make something back. Not smart. This is different from demo.
Chris, thank you for your advice. It is difficult to do some back testing with this method, I just press F12 on my MT4 and move forward.

alter

Yes man!!!
(notice - 21 ema is sometimes very good PT )

http://www.forexfactory.com/attachme...1&d=1236274170

Yw. Quicker than waiting for the next 4h bar to close though huh!

Personally, I didn't use the F12 method. I just scrolled PA until I saw it get to the PPZ. Then jot down different exit scenarious: 2 bar trailing stop, exit only on reverse PA, or first area of s/r indicated by bar highs/lows. See what gives the best results. Also take into consideration if the market is curently trending or ranging.

All good things to keep you busy during your 16 hours

I am not too sure myself but these appear to be good reversal or trend continuation indicators when at good locations, I've never really tradded them but noticing the behavior they generate each time they come into being. We had a similiar bar on the USd/CAd daily that brought some bears into the market.

I threw in a post or two identifying them on some yen crosses abt a month back, and got some positive response. I've been watching them keenly since then, dunno when I can be ready to actually trade them though.

here's that post:

http://www.forexfactory.com/showthre...66#post2532166

Regards,
Ghous.

Great post Chris

Regards,
Ghous.