sorry, I meant the bar next to it..... the beginning of the change in direction...
Okay, I'll stay away from almost (disaster) setups...
Dave
james16 Chart Thread
- #43,742
- Sep 14, 2009 4:29pm Sep 14, 2009 4:29pm
Attachment
sorry, I meant the bar next to it..... the beginning of the change in direction...
Okay, I'll stay away from almost (disaster) setups...
- #43,745
- Sep 14, 2009 4:56pm Sep 14, 2009 4:56pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
Thanks Jaroo, I sometimes have random Ideas.. which will probably lead to me randomly losing all over the place.
yes 1.65 has some strong history behind... and then the 365 day ema is lurking below that...
another random question, I set my EMA for the close of the candle, is there any advantage to using a different setting?
James16 uses long term MAs as a confluencing tool, just like Fib levels , MACD divergence, etc. He has been using them for a long period time, but most importantly, he is successful using them. So I use them. But it is important that they are used to add confluences to a level or area, not on their own or by themselves.
You can try different setting and see how they line up with PA. It should be fun.
Indicators show the past. Price Action "Indicates" the future.
- #43,746
- Sep 14, 2009 5:05pm Sep 14, 2009 5:05pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
eu and uc hit their first targets for now..
and so on and so forth and so on and.....
.
I swear, I don't know how he does it....so many times....to the exact pip.
(and I'm holding my UCAD looking for just shy of 1.1 If we go down from here I'm blaming you Rac man...
I can find the heavily confluenced layers that are obvious but I just need to fine tune it a bit more. Which comes from practise, of course.
A great benefit that people have studying the Rac's way is finding great locations and understanding why they're great location. And I like that he doesn't outright tell you about it, you gotta find out yourself. lol
Indicators show the past. Price Action "Indicates" the future.
- #43,747
- Sep 14, 2009 5:09pm Sep 14, 2009 5:09pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
I'm with Joel. ...Waiting it out. Too many issues for this pair to deal with for the minute. ( and the retarded bit. ...it's bed time. lol)
If you want my thoughts on how much room? ...Enough room to get into profit and start moving stops. Where the stop is likely to be nicely protected. ...That's just me though.
I haven't heard it put better.
Those first levels almost always see a bounce of some kind. The question is always is it just a temporary bounce or a full on stop-killing reversal.
If that first level is far enough away from my entry then I have some breathing room to work out which one it is. My stop gets to break even and the trade still has room to move.
If that first level is 15 pips away, well it's going to put me in drawdown even if it's only a small bounce. And I find that hard to handle.
I've had too much time in a cold room...
Exactly.
...oops. ...Hang on ...I mean "exactly" to the rest of what you said.
You see the same thing happen time after time on close range trouble spots:- Draw down ....and with it the realisation that once again you could have waited for a better opportunity anyway... ...either as a better entry to that particular trade with even more reward , or for a totally different trade somewhere else down the track. In the mean time you stress about it while it screws around.
Edit: [i]LOL I think I just repeated...
Thanks guys.
Indicators show the past. Price Action "Indicates" the future.
- #43,748
- Sep 14, 2009 5:13pm Sep 14, 2009 5:13pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
I always get the impression that when Rac asks these questions he's already pretty sure of the answer....
I agree.
Indicators show the past. Price Action "Indicates" the future.
- #43,749
- Sep 14, 2009 5:31pm Sep 14, 2009 5:31pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
Thank you. Super! Location Location Location again .... I always see people trading daily more leniently but I guess it is just WAITING for the best setups and locations
Thank you
Indicators show the past. Price Action "Indicates" the future.
- #43,752
- Edited 7:15pm Sep 14, 2009 6:59pm | Edited 7:15pm
- Joined Feb 2009 | Status: Borderline yahoo & oh-no! | 6,607 Posts
Yupz it does
the more senses we involve (sight, smell, hearing, taste, touch), the faster & better our learning becomes.
- #43,753
- Sep 14, 2009 7:42pm Sep 14, 2009 7:42pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
AH, but he does tell us!... one simply must read, study, and understand his 1900+ posts...For those willing to put forth the effort, everything is laid out, imo...now that doesn't mean that the trader will feel comfortable trading that strategy... but it might spark a new, original idea too...
I'm guessing this is what you were talking about anyway...
http://www.forexfactory.com/showpost...ostcount=43732
This was the best post on FF in the last month in my opinion. Newbies take note. I know I did.
Josh
What did I miss? What was the 1.0920 on the Cad based on? I had the 1.0900ish level, I just didn't know the "ish". Looks like more Rac reading for me. lol
I agree. Another Mike classic post. I'm glad he's on our side.
Indicators show the past. Price Action "Indicates" the future.
What did I miss? What was the 1.0920 on the Cad based on? I had the 1.0900ish level, I just didn't know the "ish". Looks like more Rac reading for me. lol
I agree. Another Mike classic post. I'm glad he's on our side.
- #43,755
- Sep 14, 2009 8:29pm Sep 14, 2009 8:29pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
fib retrace?
Indicators show the past. Price Action "Indicates" the future.
- #43,757
- Edited 9:42pm Sep 14, 2009 9:23pm | Edited 9:42pm
- Joined Feb 2006 | Status: 'Try-hard' extraordinaire... | 2,151 Posts
But do have 1 question though, no matter how much space the bar is in, there is usually some bar highs or lows to the left of it which we can miss out where on hindsight we will say, hey I missed that high ...
No offence to James or anyone here but just trying to figure this out.
.
.
I really this PA works but when we get to the nitty gritty part of this, I am LOST!!!.....
Bar high and lows in the past are reasons your trade could go wrong. A lot of them though are just weak levels. Just as you wouldn't trade off them, you can also take it that they aren't trade-ending levels - ...probability wise.
The best way to look at your chart is information about where the orders are sitting. Or are most likely to be still sitting from previously.
If you're long:- Don't look for bar highs as such. Look for recent tell tales of where orders are sitting that will go against your trade direction. (For that matter, also do the same on the other side of your trade for stop placement reasons). These levels are where every time they get hit someone (or many someones) comes in and blows away the ground that was just made up.
....For example:- On the previous down run (short ) you might have had a pull back upwards at some point. Where did that pull-back stop? When you look at the bars at the top of the pull-back - how dramatic was the sudden re-commencement of the downward leg? Does it literally look like everyone suddenly went "Right! thanks for giving me a better price, that's far enough! Let's continue down everybody! This is as far as it's going to go! At this price level I'm back in!" and then placed orders at that particular level?? Orders that threw the price down violently. A level that will STILL have orders waiting on the other side of it the next time we get back up to it. (A strong PPZ on the weekly chart will have more orders than a 1 hour chart PPZ and so on , of course)
....These are the sort of targets you can expect to aim for. (be conservative though, aim for the close price of that bar or something. Don't try and be a hero!)
(In the opposite regard these target areas are also great trailing stop areas.)
All those other little bar high/low areas you see are, on the whole, only worthy of being kept in the back of your mind as possible stumbling blocks. If recent moves seem to have little regard for these levels created a week or two ago then it's less likely they will be a problem soon. If you choose the strongest trade areas with the PA bars that offer strong indication of major orders being behind them then you can have a reasonable expectation that small road blocks will just offer up pauses in your trade's movement in to further profit.
Don't read the chart as a bunch of graphical symbols representing buy and sell signals and magical levels. Read what the chart is telling you about orders that are there, or likely to be there. Look for bars that show violent direction changes after a level was re-hit. If it's happened at the same point a couple of times it's even better! ...It means there are BIG orders sitting there. Traders are seeing it as a bargain level and going "THANK YOU!! I'll have that!". Then you see this happening at increasingly lower levels (in a down trend) you have an easy trade to manage.
Saying all that though you'll have to study this further, as you pointed out experience helps. You'll get there though!
Where are the orders, Where are the orders , where are the orders!! ....Think "HAMMER TIME!" Level get's touched ..they come in with a sledge hammer to knock it back to where it come from.
If you don't understand something I've said let me know for sure.
Bundy's status today: "Waiting..."
- #43,758
- Sep 14, 2009 9:34pm Sep 14, 2009 9:34pm
- Joined Feb 2006 | Status: 'Try-hard' extraordinaire... | 2,151 Posts
I prob spend the least amount of time actually trading then anything
....I mean getting the point where waiting actually feels really relaxing.
There is a whole week to fill in and so little time is actually needed to actively do something with charts and trades.
It's almost like checking that the fireplace doesn't need another log. LOL
(I like that one . Man, I'm good!
)
Bundy's status today: "Waiting..."
- #43,759
- Sep 14, 2009 10:00pm Sep 14, 2009 10:00pm
- Joined Feb 2009 | Status: Borderline yahoo & oh-no! | 6,607 Posts
It's good isn't it?
....I mean getting the point where waiting actually feels really relaxing.
...
very nice. very much looking forward to that stage.
(i missed my 'sports & music lives' for +/-4yrs now due to 'trading'
)
- #43,760
- Sep 14, 2009 10:31pm Sep 14, 2009 10:31pm
- | Commercial User | Joined Oct 2005 | 2,899 Posts
Or Fib extension.
