james16 Chart Thread | Page 1532 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Where can I learn more about Price Action like those in James16 charts? 9 replies

Attachments: james16 Chart Thread
Exit Attachments

james16 Chart Thread

  • #30,621
  • May 20, 2009 5:17pm May 20, 2009 5:17pm
Quoting dmc
I agree with this analysis. I did have an order in on IBFX for a little as I thought it over but cancelled. The bar on IBFX had a better close and was appealing beacuase of the 1.38 round number that has been S/R in the past. I had TP1 at those bar highs and would move stops to BE on the rest right there. Canclled thoough.

I have only been trading live for 3.5 months and I am a dead BreakEven Trader. I definitely think I understand the material more and more each day but I think it is trades like these that I need to stay out of to make it to...
THis post is awesome Dave has a lot of points that I 100% agree with!

Keep at it

Mike
  • #30,622
  • May 20, 2009 5:23pm May 20, 2009 5:23pm
Quoting mbqb11
Hey Nook

On my chart it close very poorly. While the open and close are still within the prior bar, when the close is that much higher and not within the body, I don't give much wait to the bar....
Hi Mike,

Just something I was mulling over, have you ever done a study of price as a line.. say closing price. Then compared it with the tradeable pin bars. What I am getting at, is possibly that the pin bar is not the best qualifier and one of the ways to check into that would be to find an archive of pin bars... and then compare those to charts of price lines for the similar time the pin bar was forming. So the visual would be comparing the pin bar with the price line of the close. Just a thought.
  • #30,623
  • May 20, 2009 5:25pm May 20, 2009 5:25pm
Quoting Lou
Hi Mike,

Just something I was mulling over, have you ever done a study of price as a line.. say closing price. Then compared it with the tradeable pin bars. What I am getting at, is possibly that the pin bar is not the best qualifier and one of the ways to check into that would be to find an archive of pin bars... and then compare those to charts of price lines for the similar time the pin bar was forming. Just a thought.
Hey Lou

Nope never done anything like that. I have spent thousands of hours with the charts, that I know it is all about location, and now I know exactly the look of the price bars I want. For me it is such a visual habit now, I don't even realize it(pretty sick LOL).

But sounds interesting but tedious, and I am a very lazy man!

Best
Mike
  • #30,624
  • May 20, 2009 5:27pm May 20, 2009 5:27pm
Looks like ES is going south tomorrow...
Attached Image (click to enlarge)
Click to Enlarge Name: 2009-05-21-002617_962x815_scrot.png Size: 39 KB
Trading: the skill of avoiding trades
  • #30,625
  • Edited 6:27pm May 20, 2009 5:45pm | Edited 6:27pm
Quoting zimdonks
something else to look at on USd/CAD....bullish divergence on daily
Long USD (Two Positions) @ 1.1445. Take Profit#1 @ 1.1470 and Take Profit #2 @ 1.1536. Reasons for long here are 1. Pin at swing low--2. Pin formed off support @1.1373 and major fib level.--3. Divergence on this four hr chart and daily--4. Room to run north for profit with sane R/R.

I will move second position to BE as soon as I take profit on first.

K.I.S.S.
Attached Image (click to enlarge)
Click to Enlarge Name: usdcad.gif Size: 60 KB
  • #30,626
  • May 20, 2009 5:55pm May 20, 2009 5:55pm
Quoting mbqb11
Hey Lou

Nope never done anything like that. I have spent thousands of hours with the charts, that I know it is all about location, and now I know exactly the look of the price bars I want. For me it is such a visual habit now, I don't even realize it(pretty sick LOL).

But sounds interesting but tedious, and I am a very lazy man!

Best
Mike
Truth revealed. So the real reason you don't over trade Mike?
It's hard to trade when the "keyboard stick" doesn't reach, eh?
.
Bundy's status today: "Waiting..."
  • #30,627
  • May 20, 2009 6:08pm May 20, 2009 6:08pm
Quoting dmc
I agree with this analysis. I did have an order in on IBFX for a little as I thought it over but cancelled. The bar on IBFX had a better close and was appealing beacuase of the 1.38 round number that has been S/R in the past. I had TP1 at those bar highs and would move stops to BE on the rest right there. Canclled thoough.

I have only been trading live for 3.5 months and I am a dead BreakEven Trader. I definitely think I understand the material more and more each day but I think it is trades like these that I need to stay out of to make it to...

Mike & DMC-
Hey thanks for the response to my chart. I keep watching your pinbar video in the guest area, reading PA and the j16 thread and waiting for setups with my demo acct hoping to get the ah-ha moment soon.

I saw that it didn't have far to go (20+/-pips) but thought the busyness of the area to the left might be far enough away to make a so-so trade as I understand your concept of space.
The other trade qualifier for me was it looks like it may have exhausted into a S/R line at 1.38 although my lines were not in the right place. I wasn't sure it would be a significantly large price reversal. I'm still working out the nuts and bolts but was encouraged to at least have identified one as it was happening.
I hope to join the PF soon.
Thanks again for the input. It was great to get an idea of what you thought.
  • #30,628
  • May 20, 2009 6:51pm May 20, 2009 6:51pm
Quoting Jlr
Mike, out of curiosity, if you don't mind, are you ever interested in how a bar was formed? For instance, you see a daily bar, are you going to lower time frames, to see how exactly it was formed. I notice a lot of the really clean looking set ups, in terms of how the bar was formed, hold a lot of power. Whereas some of the daily trades, when going to lower timeframes, and not forming in such a clean manner, don't seem to work as well. For instance, xyz shots up during a stretch of 23 hours, completely 360 the next hour, forms a pinbar.... these...
I do this pretty much every time Jlr. I believe it makes a big difference.

It does go hand in hand with location though. For example, on a clean chart with no lines etc, I will look at an inside bar formation, head down the time frames to check it out and know from that sub-formation that the inside bar is a reaction to a trend line(or ppz etc) and is about to bounce , or in contrast, the price is just gathering up against that line wanting to break into a continuation push. Zooming back out (further to weekly monthly etc) that trendline will stick out like the proverbial ( ).

I've given a few examples of doing this over the past few years. Mainly with pin bars. The best pin bars I found were ones where the formation looks like a head and shoulder formation. Even better is when the right shoulder barely forms (shallow fib retrace) and the run from top of the head to the shoulder was very quick. Once again a contrast example would be where the pin bar is obviously just a pullback and looks more like breaking the wrong way (Or right way if you know what you're doing )

Answer to your question to Mike.... I find definite benefit in understanding the underlying price action that forms my bar. And it goes hand in hand with the location/situation it is taking part in.
.
Bundy's status today: "Waiting..."
  • #30,629
  • May 20, 2009 7:41pm May 20, 2009 7:41pm
It concerns me that I see so many posts here about PB's against the major trend. Yes, they do appear frequently, and, while they can give occassionaly lucrative profits, I find one is better to patiently wait for PA that supports the major trend. One can create a PPZ where one wants at times! Why surf the ripple when one can surf the wave?
  • #30,630
  • May 20, 2009 7:56pm May 20, 2009 7:56pm
Quoting Alexandra
It concerns me that I see so many posts here about PB's against the major trend.

What are your thoughts on the 2dayPB/BEOB that happened on the CAD in November last year?
  • #30,631
  • May 20, 2009 8:03pm May 20, 2009 8:03pm
Thanks for the comments Blackinc, g_j_hook@yah, jarroo, Jlr, Markmm, Jdeuster, SupremeChaos, Mike, gorubin and anyone I forgot to mention.
  • #30,632
  • May 20, 2009 8:10pm May 20, 2009 8:10pm
Quoting Blackinc
What are your thoughts on the 2dayPB/BEOB that happened on the CAD in November last year?

I tend not to "create" PB's. Yes, they do appear at major tops, especially when looking retroactively at charts, but the amount lost along the way in chasing counter trend PB's erodes one's capital. It can be done if the trader is nimble, with solid money management techniques and absence of geed. Witness the recent AUD/USD trades on this thread. European traders I find, are more supportive of counter trend quick moves. I prefer, however, to be rescued by the tide after the trend declares itself. In that example, the Dec 4 daily retest and failure was more comforting. Adding on Dec 29-30 cured the post-Christmas spending blues.
  • #30,633
  • May 20, 2009 8:11pm May 20, 2009 8:11pm
Here is an area I am keeping an eye on. We have a weekly resistence area, that the price is currently, the 365 ma, the upper trendline in the retracement all converging in the same area, and we also have divergence on the RSI indicator.
Will just have to wait and see if we will get a good PA setup to enter on.
Attached Image (click to enlarge)
Click to Enlarge Name: audusd.gif Size: 27 KB
You got to know when to hold them, and know when to fold them.
  • #30,634
  • May 20, 2009 8:20pm May 20, 2009 8:20pm
I am with ya KissFan and bring the KISS Army to put in some buy orders!!
  • #30,635
  • May 20, 2009 8:30pm May 20, 2009 8:30pm
Quoting Rosco_P
I am with ya KissFan and bring the KISS Army to put in some buy orders!!
Maybe she'll "Rock'n Roll Over" 1.1500!



K.I.S.S.
  • #30,636
  • May 20, 2009 8:41pm May 20, 2009 8:41pm
Quoting Alexandra
I tend not to "create" PB's. Yes, they do appear at major tops, especially when looking retroactively at charts, but the amount lost along the way in chasing counter trend PB's erodes one's capital. It can be done if the trader is nimble, with solid money management techniques and absence of geed. Witness the recent AUD/USD trades on this thread. European traders I find, are more supportive of counter trend quick moves. I prefer, however, to be rescued by the tide after the trend declares itself. In that example, the Dec 4 daily retest and failure...


If the exact same price action happened in a brokers 24 hour period, it would be a pin bar.
It instead happened over a 48 hour period. Doesn't change a thing.

More importantly though, the location of this price action was gold, and the PA was merely the defining trigger of entry.

I didn't take any of the recent AUD trades mostly because of "space"(location) issues i had. So we agree for different reasons on them.

The Dec 4 retest was against the trend, and really, if you look at it from a "flagpole" technical aspect, people were no doubt waiting for it to break up. I don't feel that supports your argument.

If you feel that trading PA based more on trend direction over location, then all the best to you sir. But i do differ in opinion.
  • #30,637
  • May 20, 2009 8:42pm May 20, 2009 8:42pm
Quoting Rosco_P
I am with ya KissFan and bring the KISS Army to put in some buy orders!!

Indeed, one may need an army for that!
  • #30,638
  • Edited 8:57pm May 20, 2009 8:46pm | Edited 8:57pm
Quoting Blackinc
If the exact same price action happened in a brokers 24 hour period, it would be a pin bar.
It instead happened over a 48 hour period. Doesn't change a thing.

More importantly though, the location of this price action was gold, and the PA was merely the defining trigger of entry.

I didn't take any of the recent AUD trades mostly because of "space"(location) issues i had. So we agree for different reasons on them.

The Dec 4 retest was against the trend, and really, if you look at it from a "flagpole" technical aspect, people were no doubt...
LOL - Indeed, that makes a market! Good to have spirited debate here. Not sure I follow that flagpole business, but I do recall an old Candlestick expression - "what do you call a 2-day reversal candle in an uptrend?............a retracement."....i.e buy the third day. A one day move of similar proportion would indicate a sentiment change and be sold on retracement the other way. Indeed, look what happened on that third day (Nov 25)
  • #30,639
  • May 20, 2009 8:49pm May 20, 2009 8:49pm
Quoting alter
From this time I will post only winners I promise. I will not waste precious space with losers. I'm really sorry.

alter,
listen closely, this is important.
if u are trying to learn the james16 method, posting winners, & especially losers will help u hasten your learning.

& don't be bothered by unhelpful posts just like MrFox's.
Insulate, but do not isolate (U must insulate yourself from "the bad" but be sure not to isolate yourself in the process)

Keep on learning
  • #30,640
  • May 20, 2009 8:53pm May 20, 2009 8:53pm
Quoting Alexandra
Indeed, one may need an army for that!
With all respect that is due and sincerity would you kindly post a chart or give some reasons why this trade is not an "A" set-up in your opinion? I value good traders opinions on this thread and your perception is appreciated. Thank you.

K.I.S.S.
51 traders viewing now