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We all need pivots to win..yes or not? 13 replies

The System (Irony included) 1,175 replies

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The System II (Yes with irony)

  • #3,201
  • Jul 31, 2009 7:55am Jul 31, 2009 7:55am
Quoting jplo
Searching back a little, I've found this Dare post that clarifies this matter...
There are also Julias and Fxachilies posts... I'm gonna take extra-work on this weekend.....
Take a look
Dare's ---- http://www.forexfactory.com/showpost...postcount=2893
Julias' ---- http://www.forexfactory.com/showpost...postcount=2893
Thanks jplo, I got it. And sorry for all the confusion, I guess all is clarified.

I must have missed that post. For me the 1st entry will always be too risky, because it is not according with the concept of identifying a trend with HH/HL & LH/LL, so that is why I was confused.

Good trades to all.

EDIT: Btw, both of your links go to the same post.
  • #3,202
  • Jul 31, 2009 7:59am Jul 31, 2009 7:59am
Quoting -jo-
Thanks jplo, I got it. And sorry for all the confusion, I guess all is clarified.

I must have missed that post. For me the 1st entry will always be too risky, because it is not according with the concept of identifying a trend with HH/HL & LH/LL, so that is why I was confused.

Good trades to all.

EDIT: Btw, both of your links go to the same post.
Sorry...
Julias' --- http://www.forexfactory.com/showpost...postcount=2883
  • #3,203
  • Jul 31, 2009 8:01am Jul 31, 2009 8:01am
Quoting -jo-
I agree with you. Personally I only trade the 123 setup with occasionally a fractal reversal (on the 1min chart, but psst, don't tell anybody). But the question I have is there a standard, unified and defined way of entry on a fractal break? So basically when I say "I just traded a fractal break", is everybody going to think about the same entry technique?

My point is, that we should define what a fractal break is and how we enter, so that everybody will know right away what it meant. Right now, "my" definition and jplo's differ on that matter....
I also agree with both...
1-2-3 entries are the basis here...
But having a consense about Fractal reversals would help everybody to grow as trader as well....
  • #3,204
  • Jul 31, 2009 8:03am Jul 31, 2009 8:03am
Quoting jplo
Sorry...
Julias' --- http://www.forexfactory.com/showpost...postcount=2883
Hmmm, this one always looked to me like a break out from a rectangle, I don't understand where the V fractals are located there.
  • #3,205
  • Jul 31, 2009 8:05am Jul 31, 2009 8:05am
Quoting -jo-
You mean these bigger swings?
No, not at all.
Swings are not a fractals, ... not exactly.
Fractals are the tops and bottoms of the swings.
You're marking a smaller or bigger swings ...
I'm referring to starts and finishes of those swings ...
for valid entry based on fractals, important is a recent support/resistance levels ...
  • #3,206
  • Jul 31, 2009 8:21am Jul 31, 2009 8:21am
Quoting DareXau
No, not at all.
Swings are not a fractals, ... not exactly.
Fractals are the tops and bottoms of the swings.
You're marking a smaller or bigger swings ...
I'm referring to starts and finishes of those swings ...
for valid entry based on fractals, important is a recent support/resistance levels ...
DareX,

Could I put in these terms? .... you are trading the probability of a swing reversal based on the support and resistance levels of the previous top and bottom. If it turns out to be a pullback/fakeout then you get out and play the continuation (1-2-3 set up). It is a way(although riskier requiring excellent risk management) to trade a possible reversal. Please correct me if I misrepresented your approach.

Unus pro omnibus, omnes pro uno
  • #3,207
  • Edited Aug 1, 2009 3:21am Jul 31, 2009 8:22am | Edited Aug 1, 2009 3:21am
Ok, here is my take again of what we are trading here.

The standard 1-2-3 setup, fractal break with risky entry, and fractal break with conservative entry where you can choose where to put the SL (either swing high, or the 2nd last swing high).

Comments please.
Attached Image (click to enlarge)
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  • #3,208
  • Jul 31, 2009 8:25am Jul 31, 2009 8:25am
Quoting DareXau
No, not at all.
Swings are not a fractals, ... not exactly.
Fractals are the tops and bottoms of the swings.
You're marking a smaller or bigger swings ...
I'm referring to starts and finishes of those swings ...
for valid entry based on fractals, important is a recent support/resistance levels ...
Ok, I got you now. This was a very good explanation. I won't mark it now on the chart because I am missing out on all those entries now So, maybe during the weekend. Thanks!
  • #3,209
  • Jul 31, 2009 8:28am Jul 31, 2009 8:28am
Guys,
... how is trading going ... "nice" strong and quick moves, very good opportunity for mega-pips if correctly entered ...
  • #3,210
  • Jul 31, 2009 8:34am Jul 31, 2009 8:34am
Quoting DareXau
Guys,
... how is trading going ... "nice" strong and quick moves, very good opportunity for mega-pips if correctly entered ...
AMAZINGLY GOOOD!!! Pretty much too good to be true...

Although I am still reluctant to enter sometimes, and I don't want to be too eager because it is only the 2nd or 3rd day I am checking it out on the 1min TF (I like it better than 5min). But the last couple of days it is like a "blessing" to watch the 1min chart with Feb's "system".
  • #3,211
  • Jul 31, 2009 8:34am Jul 31, 2009 8:34am
Quoting -jo-
Ok, here is my take again of what we are trading here.

The standard 1-2-3 setup, fractal break with risky entry, and fractal break with conservative entry where you can choose where to put the SL (either swing high, or the 2nd last swing high).

Comments please.
Jo,

Nice visual explanation.

Unus pro omnibus, omnes pro uno
  • #3,212
  • Jul 31, 2009 8:39am Jul 31, 2009 8:39am
Thanks Moneda.

A thunderstorm coming up here... thinking about turning off my pc...
  • #3,213
  • Jul 31, 2009 9:15am Jul 31, 2009 9:15am
Okay,

Here is another visual:

Blue= 1
Yellow= 2(possible continuation of 1-2-3 setup)
White= possible 3
Purple= fractal break short(more aggressive)
Green= fractal break short(more conservative)

Take your pick
P.S(after posting the chart)
Well, price action chose the path for us...1-2-3 is the winner!
Attached Image (click to enlarge)
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Unus pro omnibus, omnes pro uno
  • #3,214
  • Edited 9:52am Jul 31, 2009 9:31am | Edited 9:52am
Quoting moneda
DareX,
Could I put in these terms? .... you are trading the probability of a swing reversal based on the support and resistance levels of the previous top and bottom. If it turns out to be a pullback/fakeout then you get out and play the continuation (1-2-3 set up). It is a way(although riskier requiring excellent risk management) to trade a possible reversal. Please correct me if I misrepresented your approach.
Sorry Moneda, I'm not sure if I'm understanding above question correctly, but will tray to answer anyway.
In case of fractal reversal the entry is determined by a previous swing high and low (assume this was a downswing A-B)
then the price moved up a little bit (creating a small upswing B-C) then again moved down to the point (0) when reversed and continue going up.
So, my entry is just a couple pips above the point (B level) - aggressive or just a couple pips above the point (C level) - conservative
but, both entries are risky, because this new upswing is just forming and there isn't anything to refer where it's going to go and for how long.
Fibonacci techniques or Elliot Waves are not recommended as this would be pure guess-work or semi-prediction.
The only protection is reading/understanding of the current price action and acting quickly without any hesitation.
Strict money management is obviously a must. Stress free, relaxed approach is a big advantage.
Experience and confidence are necessary.
  • #3,215
  • Jul 31, 2009 9:38am Jul 31, 2009 9:38am
Hello,

On thuesday I had ~100 pips deficit. And I had found this one thread. And now I had finished this week in profit +12pips. Nice. I like it.

Have a nice weekend guys

P.S. Sorry for my english
Every moment in the market is unique.
  • #3,216
  • Jul 31, 2009 9:48am Jul 31, 2009 9:48am
Quoting DareXau
Sorry Moneda, I'm not sure if I'm understanding above question correctly, but will tray to answer anyway.
In case of fractal reversal the entry is determined by a previous swing high and low (assume this was a downswing A-B)
then the price moved up a little bit (creating a small upswing B-C) then again moved down to the point (0) when reversed and continue going up.
So, my entry is just a couple pips above the point (B) - aggressive or just a couple pips above the point (C) - conservative
but, both entries are...
DareX,
Thanks for your explanation.. perhaps my chart can clarify what I thought you meant by fractal reversal...just trying to help out with the current approach.
Unus pro omnibus, omnes pro uno
  • #3,217
  • Jul 31, 2009 10:01am Jul 31, 2009 10:01am
Quoting moneda
DareX,
Thanks for your explanation.. perhaps my chart can clarify what I thought you meant by fractal reversal...just trying to help out with the current approach.
Yes, ... and thanks for help.
  • #3,218
  • Jul 31, 2009 10:07am Jul 31, 2009 10:07am
Hi everyone,
here are my trades for today for those interested. Had a good day again. Exiting using expectancy skills.

have a nice weekend!
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  • #3,219
  • Jul 31, 2009 10:09am Jul 31, 2009 10:09am
Quoting DareXau
Yes, ... and thanks for help.
I hope I helped instead of creating more confusion. Listen, you guys are doing a fantastic job... so I try to stay out of your way.... I sometimes feel like the sheepdog that wants to make sure newbies and others keep up with the herd

Wish everyone a great weekend
Unus pro omnibus, omnes pro uno
  • #3,220
  • Edited 10:44pm Jul 31, 2009 10:24am | Edited 10:44pm
... that's all for me, last trade closed on target @ 1.4195
shit-loads of positive pips
Good week-end to all.
Attached Image (click to enlarge)
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