DislikedI assume that was a short trade if so you need to flip the fib extensions.Ignored
- #1,546
- Edited 2:28pm Aug 22, 2009 12:23pm | Edited 2:28pm
As promise here are the details for a few trades taken this week.
First chart below is GU daily. Its showing bullish engulfing candle at the test of the up trend line and also at the fib. 61.8.
As soon as it form we start thinking long. We could enter long here but seen that the stop would be so huge we switch to a lower time frame and look for long entries with smaller stops. On the lower time frame you either draw a rising/up trend line or a counter down trend line whichever one the chart allows. In this case we drew a counter down trend line, we then wait for it to break then wait for the market to retrace to enter, preferbly at a fib. number. The 4H chart below shows a retracement to the fib 61.8, our entry was taken at this level after the morning star formation on the 1H chart.
There were several entries similar to this throughout the week, I will post a few more .
First chart below is GU daily. Its showing bullish engulfing candle at the test of the up trend line and also at the fib. 61.8.
As soon as it form we start thinking long. We could enter long here but seen that the stop would be so huge we switch to a lower time frame and look for long entries with smaller stops. On the lower time frame you either draw a rising/up trend line or a counter down trend line whichever one the chart allows. In this case we drew a counter down trend line, we then wait for it to break then wait for the market to retrace to enter, preferbly at a fib. number. The 4H chart below shows a retracement to the fib 61.8, our entry was taken at this level after the morning star formation on the 1H chart.
There were several entries similar to this throughout the week, I will post a few more .
Similar to GU on EU we had engulfing bullish formation at the up trend line and at fib. 78.6 as show in the 1st chart below.
As soon as it form we start thinking long. This was a comfortable stop however we could still go to lower time frame for a better stop. This time on the lower time frame we get a rising/up trend line after the bullish formation. We then wait for a retracement to the trend line to enter, preferbly at a fib. number. The entry was taken on the 1H after the tweezer bottoms formation at the 78.6 fib.
The 15m had bullish engulfing at the same level.
As soon as it form we start thinking long. This was a comfortable stop however we could still go to lower time frame for a better stop. This time on the lower time frame we get a rising/up trend line after the bullish formation. We then wait for a retracement to the trend line to enter, preferbly at a fib. number. The entry was taken on the 1H after the tweezer bottoms formation at the 78.6 fib.
The 15m had bullish engulfing at the same level.
On the EU 4H we had a counter trend line that was broken and tested which gave another entry at the fib.s 38.2. Remember our bias is long all the way so these were good set ups after the daily confirms the direction.
Below is the 1H time frame which shows both tweezer bottoms and engulfing bullish at the same level.
Below is the 1H time frame which shows both tweezer bottoms and engulfing bullish at the same level.
The daily chart is showing a break of the up trend line and also it shows a current down trend line, we are both south of the down TL and the up TL, this gives us a short bias. Daily chart forms tweezer bottoms at the 38.2 fib. from the last down swing. As soon as this forms we start thinking short.
Again we can trade from the daily chart or we can go to lower time frames and look for entries with smaller stops. In this case we draw several counter up trend lines from the 1H chart. Next wait for the counter TL to break and retest preferbly at a fib. number. As you will see in the chart below the first counter TL breaks and then the market retrace to test and forms an engulfing bearish candle at the 61.8 fib, this was the first entry. Next it breaks below the lower counter TL and repeat the process explained above. Note that at this time we had a falling trend line which the market also test.
Again we can trade from the daily chart or we can go to lower time frames and look for entries with smaller stops. In this case we draw several counter up trend lines from the 1H chart. Next wait for the counter TL to break and retest preferbly at a fib. number. As you will see in the chart below the first counter TL breaks and then the market retrace to test and forms an engulfing bearish candle at the 61.8 fib, this was the first entry. Next it breaks below the lower counter TL and repeat the process explained above. Note that at this time we had a falling trend line which the market also test.
Similar to GU Gchf was showing bullish sign on the daily. Bullish engulfing formation above the trend line at fib. number. So I had a long bias as well.
After the formation I draw counter TL on lower time frame/4H, spread fibs and anticipate a bounce. In this case there was no bounce/bullish candle formation at none of these levels on the 4H nor the 1H so I didnt get an entry. Note how the market breaks the low and also the trend line. Once it breaks the low we wait for another setup to occour.
After the formation I draw counter TL on lower time frame/4H, spread fibs and anticipate a bounce. In this case there was no bounce/bullish candle formation at none of these levels on the 4H nor the 1H so I didnt get an entry. Note how the market breaks the low and also the trend line. Once it breaks the low we wait for another setup to occour.
- #1,556
- Oct 5, 2009 2:06am Oct 5, 2009 2:06am
- Joined Jan 2008 | Status: Trader | 2,996 Posts
Looking foward to selling this pair at a higher price ...would prefer to this up gartly concluded prior to shorting ....
