james16 Chart Thread | Page 2134 | 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

  • #42,661
  • Aug 31, 2009 9:11am Aug 31, 2009 9:11am
Quoting joelcf

The quick version is that this happens because there were a bunch of sellers, they all sold their stuff and left. So now the buyers push the price through the PPZ, and the buy orders on the other side get filled (pushing price up more).

But each time, there are probably less and less sellers there. The rest already sold up, went home and made dinner. Eventually, price breaks through.
This is very interesting as usual. I think I have summed it up in the chart below.

That makes sense now to say that the more a certain supportre/sistance area gets tested and the rejection is weaker from the previous time - the odds for a breakout grow.
Just a few things which passed through my head while reading this post.

Ben
Attached Image (click to enlarge)
Click to Enlarge Name: pפpppppppפppפפppp.gif Size: 40 KB
  • #42,662
  • Edited 9:52am Aug 31, 2009 9:24am | Edited 9:52am
Quoting supremeChaos
Yes Sir, it's Gerald Appel (from what i've read). & he probably does have "Appeal" too. LOL

RSI created by Welles Wilder
btw, RSI too, like Stochastics & other bound oscillator, can remain overbought/oversold for a long time, specially in trending markets.
hey now, I'm not a Sir.. yet. one day, maybe

Since watching Jim's YM video (also, the best training video I've ever watched), I've been playing with TRIX. It makes alot of sense to me, looks promising so far.. just need more time to test it and get to know it a little better.

(re: RSI, it can, definitely.. i'd hate to think of the number of orders that 'became liquidity' due to a misunderstanding about how a bound oscillator works - but overall, i feel it is probably easier to read for someone new because you can always judge where in its range it is. of course, this comes with the downside that people start autotrading like an idiot on a break below the 80/above the 20 and blow up their accounts without even considering what the chart is doing)

*doubleedit*
Quoting supremeChaos
in your chart, u say "This is what creates pullbacks on trends. every buyer needs a seller in order that the market will move."
if i understand your post correctly, i think this is not always the case.
technically, you are both right

If there are no buyers at a level, people trying to get out will need to offer to sell cheaper. and cheaper. and cheaper. until they find someone for the other half of the transaction. So, if 'price' refers to the current bid/ask, then it can move without orders.

On the other hand, obviously, if you use 'price' to mean the last transaction, then you obviously need two parties to agree on a price, and so you cant move price without a buyer and a seller :0

(this is a bit of a moot point in forex, it is more applicable to illiquid stocks and futures. talking to a guy today who runs the forex desk for a very large bank, he told me the daily market turnover is about a trillion dollars, give or take five hundred mil. At $100k a contract/lot, thats 10m ticks a day - well, i assume he meant an american trillion. point is, liquidity isnt an issue )
When you have to shoot, shoot. Dont talk.
  • #42,663
  • Aug 31, 2009 9:26am Aug 31, 2009 9:26am
Quoting supremeChaos
A PF member told me that the PF has tons of videos, so much so that he aint finished viewing all of them yet.
There's no way you can get through them quickly. The archived webinars alone are around 50 hours. I'd estimate 100-200 hours of video. But it's well organised so the important stuff is short, easily accessible and watchable again and again.

I still haven't got through all the content. But I have watched some videos over 20 times (seriously)
  • #42,664
  • Aug 31, 2009 9:34am Aug 31, 2009 9:34am
Quoting benji533
This is very interesting as usual. I think I have summed it up in the chart below....
in your chart, u say "This is what creates pullbacks on trends. every buyer needs a seller in order that the market will move."
if i understand your post correctly, i think this is not always the case.

see recent posts here ("When large orders come into the market and there are not enough counterparty orders to fill, price must go to the level where there’s enough to cover....")
&
here ("So I had to explain to her that "they" weren't moving the price away from her and giving her higher and higher fills. SHE was. I was like.. "Maam, the price is going up because YOU'RE BUYING IT." The offers were like in the hundreds, and her order was blowing through like dozens of levels in order to fill.").

if i understand these 2 posts correctly, it is these situations that (can) cause gaps &/or spikes/big moves.
  • #42,665
  • Edited 10:01am Aug 31, 2009 9:44am | Edited 10:01am
Quoting joelcf
This is alot longer than I planned. So, here is the short version.

Behold, the power of the sports analogy:
I kick a football at a window. It doesnt break, and comes back to me.

Next, I kick it at the window again, but from a bit further back. The ball goes to the same point (ie, to the window) but by the time it gets there, it is already decelerating, because I kick like a girl....
Nope they haven't. Nothing like that.

Superb stuff Joel. I always learn so much from your posts. A great explanation and totally in keeping with the "keep it simple" ethos.

I've had someone say to me that he avoids moving averages like the plague and that they are useless and only show where price used to be.

At the same time he sang the praises of divergence on MACD.

By the way, just like Joel says, divergence works just as well on any oscillator. RSI, stochastics, Trix with the futures, whatever you like.

I must admit my make up is slightly different from the "I don't want to trade it like a robot" approach that ben talks about. Neither is wrong it's just a personal psych thing. I used to be the kind of guy that would take Joel's post and then make it my project to try and work out where CCI worked better than MACD and where stochastics and TRIX trumped them all and with what setting.

I am an overthinker by nature and want to keep my trading so simple that I could do it drunk. In fact, I really do want to trade like a robot. See the same setup I've seen a hundred times before and pull the trigger. I don't want too much thinking to cloud the picture. Otherwise I'll start wondering if it's the "right kind" of divergence or pinbar.

I'm fascinated by this stuff and love hearing about it, but given that my personal psych struggle with trading is to keep it simple, I know to not go down the rabbit hole with it.

I have an British Ivy League style education that I was very proud of until I realised that it was getting in the way of my learning in so many areas. Rac once told me a story of how in his trading circle the doctors and lawyers and accountants were far from the best group. Who were the best group? Farmers.

That one story told me more about where I wanted and needed to take my trading than anything else. Thanks Rac.

As ever this is all about the individual personality. This stuff is so simple that once we assimilate the basics it really just comes down to what's between our ears.

So while all this stuff, is interesting and I love it, I just want to throw in for anyone new.... you really don't need to know any of this to trade. It's a simple simple package of good bars at good locations with supporting confluences from fibs, divergence, the 150 or 365 EMA and perhaps trendlines. That's it. That can get you to an astonishing return in and of itself. Trading is simple. We are what make it complicated.
  • #42,666
  • Aug 31, 2009 9:56am Aug 31, 2009 9:56am
Quoting joelcf
hey now, I'm not a Sir.. yet. one day, maybe
.....I've been playing with TRIX. It makes alot of sense to me, looks promising so far.. just need more time to test it and get to know it a little better.
....
cobraforex's THV system uses the Trix (unless u are referring to a different Trix). FYI, just in case.



Quoting TiaForex
There's no way you can get through them quickly. ....
I still haven't got through all the content. But I have watched some videos over 20 times (seriously)
Thanks a lot for confirming.
More videos to view & review, more stuff to digest. i'm
  • #42,667
  • Aug 31, 2009 9:58am Aug 31, 2009 9:58am
Hi, all! I've lurked this thread for a while, but have yet to post anything. I think this is a wonderful thread and I've been able to learn quite a bit from it. Everyone here seems very helpful, which is another reason I've enjoyed learning with you all. Anyway, I just wanted to jump in to see if anyone else is noticing the possible pin bar setup on the usdcad 4 hr chart. It appears to be setting up on a round number at a 23.6 fib level that was placed on the usdcad daily chart. If anyone can take a peek and confirm, I'd be grateful. I don't know if I posted this pic right, but here you go. Thank you!
Attached Image (click to enlarge)
Click to Enlarge Name: pin bar.gif Size: 14 KB
  • #42,668
  • Aug 31, 2009 10:02am Aug 31, 2009 10:02am
Well, the possible pin bar turned into the little pin bar that couldn't! Better luck next time, I guess. Good trading to you all today!
  • #42,669
  • Aug 31, 2009 10:09am Aug 31, 2009 10:09am
supremeChaos - Thanks for the links. By the way, all the things I say are thoughts..I need to stress it lol.

Quoting TiaForex
I must admit my make up is slightly different from the "I don't want to trade it like a robot" approach that ben talks about. Neither is wrong it's just a personal psych thing. I used to be the kind of guy that would take Joel's post and then make it my project to try and work out where CCI worked better than MACD and where stochastics and TRIX trumped them all and with what setting.
I am the kind of person you have mentioned - wants to know any thing he can. It is just interesting.

But so far I am managing to do the separation between the desire to know and understand everything, to the action of trading itself. When I see a setup I like, I never start thinking about sellers, buyers and all sorts of stuff. I just see it as bars. Mainly it helps me to prevent emotions that can mess up my decisions.

But I'll tell you why it is important for me to know all these things while I am not trading - I want to gain more confidence in my method. I want to know what I am doing. After I have proved it to myself, and know I am not just a dumb that does things without thinking - then I can do the specific action of trading without thinking. Then everything is very simple for me.

You are saying that you wish you were trading like a robot. That is a thing that many will be wishing IMO. We have already said that learning PA is very simple, but applying is the hard part. So if you can apply in without involving too much emotions (like a robot), it is great. But how can you know your method will work? you need to back test and check you aren't doing dumb things (that's me anyway).

This is the important part for me, because here I gain my confidence which allows me to trade like a robot

Hope that makes sense....we are quite similar Aaron

Ben
  • #42,670
  • Aug 31, 2009 10:11am Aug 31, 2009 10:11am
Quoting raczekfx
Fine. Limit buy has been set...
.
Attached Images
  • #42,671
  • Aug 31, 2009 10:14am Aug 31, 2009 10:14am
Quoting benji533
supremeChaos - Thanks for the links. By the way, all the things I say are thoughts..I need to stress it lol.



I am the kind of person you have mentioned - wants to know any thing he can. It is just interesting.

But so far I am managing to do the separation between the desire to know...
We really are similar Ben. That's exactly the road I went down and I couldn't have expressed it better myself.
  • #42,672
  • Aug 31, 2009 10:15am Aug 31, 2009 10:15am
Quoting raczekfx
.
All I can do to that Mark is applaud.

  • #42,673
  • Aug 31, 2009 10:17am Aug 31, 2009 10:17am
I have taken 3 trades today. Everyone of them now at least BE. Not A+ setups, but good enough to trade?

1. AUDUSD Daily PB

Beautiful PB closing below 0.84. Target was the two lows at 0.8240. Ran 34pips to my way, so I wasn't going to watch that ending up a loss. So closed it at BE +1.

2. USDCHF two 4H PBs

Strong PPZ and I was aware of the S/R level at 1.0585 so I put stop to BE there. I took half of the profit at 1.0565 (+36pips) and I'm going to let the rest run hoping to get below the 1.0520-1.0530 support.

3. USDJPY 4H PB

I know there's not so much space before the bar lows, so I set the stop to BE superfast at +15pips. I am going to take half of the profit at the bar lows at 92.55 and let the rest run hoping for a breakout.



Opinions?
Attached Image(s) (click to enlarge)
Click to Enlarge Name: 31.8 audusd daily pb.gif Size: 13 KB
Click to Enlarge Name: 31.8 usdchf 4h pb.jpg Size: 77 KB
Click to Enlarge Name: 31.8 usdjpy 4h pb.jpg Size: 72 KB
  • #42,674
  • Aug 31, 2009 10:23am Aug 31, 2009 10:23am
Quoting raczekfx
.
Cool

I was wondering if you have any thread or PDF summarizing your method? Seems that many like you advices

Ben

PS - we are killing this market
Attached Image (click to enlarge)
Click to Enlarge Name: pפpppppppפpppפפppp.gif Size: 21 KB
  • #42,675
  • Aug 31, 2009 10:38am Aug 31, 2009 10:38am
Quoting benji533
Cool

I was wondering if you have any thread or PDF summarizing your method? Seems that many like you advices

Ben

PS - we are killing this market
I'll let Mark answer this more correctly, but I know that if you read through all his posts on this thread, you can get a very good idea of what strategy he uses. I know because I've done it and I feel like I have a pretty good grasp of what and how he trades... takes time... only you can decide if it's worth it. He gives little hints about things he looks for in many many posts. It's just a matter of going through his material.

Nice trade btw!

Josh
  • #42,676
  • Aug 31, 2009 10:42am Aug 31, 2009 10:42am
Quoting Jduester
I'll let Mark answer this more correctly, but I know that if you read through all his posts on this thread, you can get a very good idea of what strategy he uses. I know because I've done it and I feel like I have a pretty good grasp of what and how he trades... takes time... only you can decide if it's worth it. He gives little hints about things he looks for in many many posts. It's just a matter of going through his material.

Nice trade btw!

Josh
Yea...he is on my list. But it will take a bit time to go through those 2,000 posts lol.
Hoped to find some shortcut.

Thanks anyway Josh

Ben
  • #42,677
  • Aug 31, 2009 10:51am Aug 31, 2009 10:51am
Quoting benji533
Yea...he is on my list.....
Hoped to find some shortcut....
Aha.... u are getting impatient.
U may be a quick sponge like some of us here, but it does not mean u can/should cut corners all the time.

I believe it's better & worth it, like Jduester said, to view each posts.
to me, the more posts to view & review, THE BETTER!

try & start with 1-5 traders u are interested to emulate, then read all their posts. ALL, not some. avoid shortcuts. U won't regret it

Take it from a possibly more impatient & inquisitive guy like me
  • #42,678
  • Aug 31, 2009 10:52am Aug 31, 2009 10:52am
Quoting Jduester
I'll let Mark answer this more correctly, but I know that if you read through all his posts on this thread, you can get a very good idea of what strategy he uses. I know because I've done it and I feel like I have a pretty good grasp of what and how he trades... takes time... only you can decide if it's worth it. He gives little hints about things he looks for in many many posts. It's just a matter of going through his material.

Nice trade btw!

Josh
Before I disappear Josh, let me hint you further...

On the forums, I'm only interested in REAL TRADERS AND REAL MONEY.
Everything else including theoretical stuff is a waste of time. And when you look what's happening around the world you shall notice that time is very precious.
Your mind can and will make wonders if you focus on your goals and skip the noise.....
  • #42,679
  • Aug 31, 2009 10:59am Aug 31, 2009 10:59am
Quoting supremeChaos
Aha.... u are getting impatient.
U may be a quick sponge like some of us here, but it does not mean u can/should cut corners all the time.

I believe it's better & worth it, like Jduester said, to view each posts.
to me, the more posts to view & review, THE BETTER!

try & start with 1-5 traders u are interested to emulate, then read all their posts. ALL, not some. avoid shortcuts. U won't regret it

Take it from a possibly more impatient & inquisitive guy like me
LOL

Today is the last day I can stay at home and spend my time in this thread all day lol.

Mike killed me with his 3,000+ posts....I need a break (But I admit it was one of the smartest things I ever did..Mike really rocks!).

Ben
  • #42,680
  • Aug 31, 2009 11:06am Aug 31, 2009 11:06am
Checkout this one.
Attached Image (click to enlarge)
Click to Enlarge Name: uj d.gif Size: 24 KB
197 traders viewing now