Trading using Murray Maths and Price Action

Just close the long in eu with 150 pips .still pointing UP but enough today and again fed rate news coming after 1:23 hrs .
enjoy good experience in long trading today & though scalping may have more pips with so easy & expected moves today.

fontu

fed rate is over , not traded & they ( eu,gu,gj,ej) should start short but very volume may complicate. still place some shorts & go. see in next afternoon( morning left for one meeting at a distant) . Trade well friends .
fontu

Short E/U at 1.3275. SL a little above todays high 1.3339. This has enough momentum to go down to at least 1.3175 or 1.3150.

to xard777 or anyone who knows this,

how do i make the dots of the indicator final draft arrzzx2 smaller? thanks

Hi xard how are you?, nice to meet you in this forum. Regards,Ledi

UC should be going up and EU going down today....

agreed, concurr.
A break and sustain of 3245 on the eur could send this down to the the 3177-3188 levels if that holds we are heading to 3140 range. give or take 5-10pips.
good luck everyone!!!

and the jpy crosses are still showing good strength...first target for GJ should be 146.8....lets see though....be on ur toes...

Hi Horn,
I understand your dilema about direction regarding a trade and pulling the trigger. In order to trade successfully the first and foremost thing is to look at charts in different time frames at the same time. So you know at once wether the trend is up or down. Some simple indicators that I have ploted on my charts to help me trade better are :
50 EMA (close) I will only take longs above it and shorts below it.
5 EMA (or 5 SMA) to help me pull the trigger confidently. Most people like using the 5 SMA. I prefer 5 EMA

So here is how it works (I am sure you know it already):
- If on higher time frame (let's say 60 Min) PA is above 50 EMA and on lower TF (let's say 5 Min) PA is below 50 EMA, I will wait for price to cross above 50 EMA on the lower TF before entering the trade. That's the first thing.
- The second thing you can use is the 5 EMA or 5 SMA on the lower TF to enter trades. How? Lets say your directions of the trend in your lower and Higher TF are in harmony (set up for a long for example). Then as soon as the 5 EMA crosses one of the MM level from the bottom on your 5 min chart and, all your trade criterias are in place, you can pull the trigger with confidence. I hope this helps. I know it did help me take out some of the hesitation in using MM Levels in my trading.
- Once you have pulled the trigger of course you can manage it according to the higher time frame or simply take whatever profit you have targeted and look for the next trade.

I hope this helps.

Regards,
Pahadi


I ..... I find I am still unable to pull the trigger most of the times. Is it cos we need to rely on more than just SR and PA......

[quote=Pahadi;2705619]Hi Horn,
I understand your dilema about direction regarding a trade and pulling the trigger. In order to trade successfully the

Hi Pahadi,
Thank you for your suggestion. Will give it a try.

Cheeers

[quote=Horn;2705637] Anytime Mate.
Please post the result to see if others can benefit from it.

Regards,
Pahadi

I have been reading and watching here and am glad this isn't a huge thread with alot of winey babies so you have to go through 25 posts to learn something.I am encouraged and impressed ,I only can trade early Asia and early morning est time into USD so I am happy to see posting here this morning in this time frame. Please keep up the posting.

Thanks Karthik for your valued opinion. Just back & see the charts , virtually no such improvements .In eu the price tested exactly the UTLs in h4 tf & some retracement happened. I got some profit from short set last night & sl was well over UTL & close immediately today. similarly profit in GU but still good loss in gj & ej,will close them if any chance.

Me too think they should but market not falling so easily, not know what the big boys intention.
fontu

target reached....here we will have some small correction but it looks good for more...

Hi Karthik


I experience following difficulties in pulling the trigger

1) PA simply zooms past the MML and does not retest the MML. Unless it retests MML and confirms that break or bounce is valid, I simply watch the PA take off without me

2) PA simply dances around MML for 3-4 candles. It retests both break as well as bounce, and PA does not give clear signal if it is going to go south ot north. This happens so often that even when valid retest may occur, It creates enough doubts to prevent me from taking the trade.

I am wonfering if there is clear set of rules that one can follow that can allow newbie like me to spot the low risk entries using MML.

I also have attached a chart if Karthik can analyse how he would have handled the PA action around marked MML lines.


Thanks

now, lets take ur chart.....lets look at the first highlighted portion...price has broken thru resistance...u think thats wonderful and u r itching to go long...but wait....the candle that broke thru the resistance was not a big one....the resistance has been strong so far and so if it has to be broken, u need lot of buyers to push the the price and so u expect a very long candle...but what u have is a small one...so lets wait and watch for other stuff...it is an area of previous resistance....i.e. not only is it a resistance cos MM level is there, it is a resistance cos there has been a previous high in this area..as can be seen on the left of the chart...so u stop and think again...in such cases, when a previous high is near a MM level, the indicator to go long is not the break of the MM level, but the break of the previous high....the previous high tells u that there has been a lot of sellers in this area...u want all the sellers to be overcome before u go long...u want to be with the big boys who push the prices past sellers...not with the small traders who get caught with false longs...

u see the price pushing thru resistance, then a small retrace and u see that price did not break the previous high after the retrace...and u see a pin bar as well...all signals for u to be careful and to wait b4 u go long...as expected the break thru resistance breaks down and down we go again....always look for previous highs or lows b4 u take a trade apart from seeing the MM levels....this would lead to u wasting many trades but u get money for the pips u make not the number of trades that u take...

now, lets move on to the second highlighted portion...this is pretty obvious as there is no clean break nor is there any retrace...its pretty obvious that it is going to go down...

now the third highlighted portion...a nice break on high volume....first point is good on our checklist...wait for a retrace and retrace happens....second point in our checklist is fine...but the retrace goes down below support !! a good retrace is one which goes to the nearest support available but this one goes below support...u have a previous high in this region and u wait for the retrace to come back and break the previous high...it never happens....and a bearish pin bar as well....that too with high volume...if this volume was buyers, the candle would close at the top, not the bottom..so all this tells u that the break is false...and down we go...

now the fourth...well, this one never closes below support...u have long wicks closing above support with good volume...all of which shows that there is good buying....so literally , there has been no break of support at all....surely not a short...maybe a good long.....


all the above would show u that learning PA is quite difficult...yes it is and it takes lot of practice....but it is like car driving...initially, u have to learn so many things....clutch, gear, brake, hand brake, petrol, oil, wiper, rear view, front view etc and u feel giddy...but once u have got a hold on everything, it automatically comes to u and after 2-3 yrs, u dont even realise that u are doing so many things...u r doing everything sub consciously....thats how i do it now...it was so much for me initially...retrace, support, resistance, break, low volume, high volume, pin bars, timeframes...soo many things....but now i can see stuff in a couple of minutes...any pair, any chart, any time...and i can tell u good trades from it....i see resistances, retraces, pin bars, volume, previous highs ...everything within 30 secs...

hope u understand....

Thanks a lot Karthik for the pin point explanation of the events of pa action .
The overal picture arround those areas ( not exactly highlighted ) they indicate bullish continuation flags /signs though I am still trying to learn/identify at the first impression .

Likewise if more questions come we will learn more .

fontu

very good explanation by both karthik and fontu....I have been through quite a bit of other threads and none are more educational than this one. Great job everyone.

Just thinking why EU not coming down any more ?
Seems it in heavy bullish mode rather popular bear for few days by many of us .and fundamentally fed perhaps want weak $ ( read somewhere before) and anti hedging policy in US from 15 May can be a cause effect , traders practicing oneway trades from now .

please check the charts .
fontu

Thanks for this wonderful thread. I just started reading it all.

I found the indicator which plots the MM levels, but, I don't see the writing that tells what lines are '2/8 or weak, stall etc.

Can someome tell me where it is? Also,, is there a pdf on murray maths?

thanks

trademeister