Strat's Long Term Stress Free Trading

I spent most of my fortune on women and drink. The rest I squandered.(attributed to Mudbudda of FFF)

Hi everyone

I'm still reading thru the thread and hope to be finished before the new year. I am happy to report that a lot is making sense to me now when I read the posts of others and check my charts, I like to show on my chart only what was posted and try to decide what would I do, and I am finding I am getting a few right answers. I was very pleased when I decided I would not have taken some trades on cable and GY that someone posted (he has never returned, or has he).

I am not considering trading during this period because of the holidays interfering, but promise to start contributing as soon as I have finished the thread and got myself organised so that I can start seeing the potential trades.

A very happy holiday period to you all who have contributed so selflessly to the education of us newbies, this one will be sticking around, hope to give back 10 times in the coming year/s.

Larry

No idea who mudbudda is, but it's actually a George Best quote.
The actual quote is: I spent most of my money on women, drink, and fast cars. The rest i wasted.

Still a great line whichever way you look at it.

Mankind: A quality of life upgrade is available to each and every one of you. It should give you a quality of life upgrade, which means no drugs, no alcohol, no fast food - unless, of course, it's a mallard.

___ Ted Nugent

Many congratulations mstandifer!

I like the chart but i will be passing. The rest of the year is pretty much a bank holiday!

With Christmas this week and new years next i am pretty much shutting down the charts for the year. I will be peeking in here and there of course It's also shutdown time of the year at work for me so i am working crazy hours, so i may not be too active for the next month or so.

Hope everyone has a happy and safe holidays this year.

I want to say a big thank you to Strat too, I feel as if i see the light i have been searching for and with continued hard work, patience and discipline i will make it. I am looking forward to the new year and all of the opportunities that lie ahead. Thank you to all of the contributors as well.

Missed this - oh well - there will be another time.

I'm finally posting here just to show that I'm gratefull to find this thread. Thanks to strat and other for showing me the path to a stress free trading.

I'm from Malaysia and quite new to forex. Like to learn more on PASR. It would be great if i get some guide (not spoonfeed) from the old timer in forex trading.

Andrie

Hello all,

I'm not sure I missed anything, My feed hasn't shown me a stress free entry with the trend. The left side of the chart is very easy to read. I'm waiting patiently for a late Christmas present when the big boys come out to play in the new year. Best of the season to all of you.

Poncho

Hi Strat
Just joined FF a few days ago, I'm on page 100 of Strat's thread, fantastic, I'll be going thru it all. I've been trading FX about 6 yrs, NOT all successfully, lot's of high's and low's.
I took this trade the day before I joined your thread when I using a lot of other useless indicators. I was trading the 4hr.
I've applied ma's, vol ind, 2xfib, there is a confluence at or about 1.4171, there could be a bounce off 4171 the ma at 4237. I'll TP at .4237.
Then I will start "Long term stress free trading"

Have a very Merry Christmas and Great New Year all

RS

I'm not sure if I'm doing this correctly. Is this where the current support should be? I'm used to Murrey math for a long time, it's quite difficult to get back to naked chart.

I'm following these rules to spot the line. Hope this is the correct way.

1. The steeper the line the shorter it lasts, keep your stops tight if it moves away quickly. Keep your stops just above (resistance) or below (support) the line.

2. The price will always move back towards the support or resistance to test it, if there’s been a sizeable move, wait for the consolidation to bring it back to the line, then trade.

3. You need at least three touches (or points in a line) to confirm that it is a support or resistance level. Two is not enough. If the price action moves away fast from the line connected by these points......

4. A good way to choose an entry is to look for an established line and follow it up with sell orders a few pips below (support) or buy orders above the line (resistance) in the opposite direction.

5. If a “trend” is older and you're not sure if it's going to break or not, wait till you're on the line and then straddle it, that way you can get into an older move. I wouldn’t recommend this though; rather wait for a change in direction. Once you’re into the rhythm you’ll almost always have an open position.

6. If you’re not sure phase in your trades, add to your position every ten or twenty pips.

7. Breaks off support and resistance are generally confirmed by big bars or a big bar, so if you see one on a line you know the “trend” has probably changed.

8. Price does not like support or resistance levels. It mostly tests them and then moves away quickly. You’ll rarely find much price action in the vicinity of the line. If price is hanging around a support or resistance level, it’s likely to break in the opposite direction.

9. If the market is moving up you only trade the support line, if down you only trade the resistance line...

"old timer"........................Not a good way to start!

I missed what the BOSS was telling me!

I missed what the BOSS was telling me also, but at the skill level I am at I didn't see anything to tell me to go against Dr.Joe. As time passes I will be watching for more ATM trades, But I was cautious with the holidays approaching not knowing what the big boys apprentices are up to. Your thoughts are appreciated.


Poncho.

I'm used to Murrey math for a long time, it's quite difficult to get back to naked chart.

I used to use Murrey Math Lines before I identified SR from PRICE. Many times they are at the same level as our SR lines. I know of a few traders that make a living trading off these but they are, and always will be, 2nd best to TRUE SR identified from PRICE.

I'm following these rules to spot the line. Hope this is the correct way.

 

1. The steeper the line the shorter it lasts,

In general yes, but I would never use such a rule to trade with – I would just rather follow PRICE – steep, shallow or whatever.

keep your stops tight if it moves away quickly.
Depends on your style of trading. SL should always be placed near SR, swings and PASR

Keep your stops just above (resistance) or below (support) the line.
See above

2. The price will always move back towards the support or resistance to test it, if there’s been a sizeable move, wait for the consolidation to bring it back to the line, then trade.
Not “always” – I wish this was true, but it isn’t. When the big boys are moving PRICE in a determined manner, there is never time for a re-test.

3. You need at least three touches (or points in a line) to confirm that it is a support or resistance level. Two is not enough. If the price action moves away fast from the line connected by these points......
There is no rule for this. SR levels are determined by previous significant PRICE action. One touch can be significant if it is at a major turning point.

4. A good way to choose an entry is to look for an established line and follow it up with sell orders a few pips below (support) or buy orders above the line (resistance) in the opposite direction.
The only low risk, safe entry is to use a “set up” bar identified by PASR.

5. If a “trend” is older and you're not sure if it's going to break or not, wait till you're on the line and then straddle it, that way you can get into an older move. I wouldn’t recommend this though; rather wait for a change in direction. Once you’re into the rhythm you’ll almost always have an open position.
Not sure what this means. “trend” is older – this is relative – how long is a piece of string? We know how to identify trend changes but do not trade the tops and bottoms – only the meat in the middle.

6. If you’re not sure phase in your trades, add to your position every ten or twenty pips.
A sure way to BLOW YOUR ACCOUNT!

7. Breaks off support and resistance are generally confirmed by big bars or a big bar, so if you see one on a line you know the “trend” has probably changed.
RUBBISH – these big bars around SR are the big boys playing games and doing Stop Runs.

8. Price does not like support or resistance levels. It mostly tests them and then moves away quickly.
Nothing to do with “liking” or “not liking”. These are levels where buyers and sellers, in the past, have proved to act and re-act.

You’ll rarely find much price action in the vicinity of the line.
When PRICE stalls or consolidates at SR it is because there is an agreement between buyers and sellers on PRICE. Something needs to happen to make one or the other believe PRICE should do something different. This pause, stall or consolidation can be short or long in time, wholly dependent on how long it takes for either party to find reasons for PRICE to change.

If price is hanging around a support or resistance level, it’s likely to break in the opposite direction.
Sometimes but not always – definitely not a rule you can trade stress free and with low risk. We need to see WHAT PRICE does at these at these levels rather than guess, otherwise it’s just a coin toss.

9. If the market is moving up you only trade the support line, if down you only trade the resistance line...
Sometimes but not always. A strong trending PRICE may not come down to support but instead to a minor level or not at all.

A generalized set of rules like these are NOT RECOMMENDED for what is being taught on this thread. We learn basic PASR and apply that to each individual pair and trade each pair on a unique case by case basis.

It seems like you have just jumped on the thread WITHOUT reading and UNDERSTANDING the thread from Page 1. There is no shortcut or substitute for this. If you want to learn PASR trading you HAVE to READ and UNDERSTAND each and every post in the thread starting at Post # 1.

That's OK. It wasn't for you guys - it was for me - just talking out loud!

Thanks for your time strat... That's a long one. Really appreciate it.

In Malaysia the term 'old timer' generally OTAI.. is for someone who got lots of experience. No offence..

Well. Guess I have to re-read, understand each of the post again. While english is my second language, sometimes it's quite easy to misunderstood things.

I'll give another shot.

Cheers.
Have a very Merry Christmas and Great New Year...


Andrie

Hello strat,

From what I understand, your trade begins with:

1. Identify support & resitance area
- I've tried to draw the lines using weekly EU chart. I hope I'm doing it right.

2. Identifying reversal patterns on chart. Hammer, Engulfing etc.
- For now, I can only remember hammer, hanging man, engulfing & shooting star. They are not accurate in shape, but I'm seeing the candles as buyer & seller fighting for position each time.

2. Planning your trade by putting SL & TP.
- SL are put away from 'noise'. TP(approximately) on support or resitance where it apply.

3. Let your plan run
- Just let my mind off the terminal for the rest of the day.

I'm typing without any refference. I might missed something. (Hope not) I'm going to re-read the thread again.

Andrie.

To all Strat students past and present registered or not and yes, even the Lurkers, Trolls, Freebie Collectors etc.

I wish you all a Merry Christmas and a Happy New Year.

We have exciting things planned for sometime in 2010 all of which are designed for the serious student wanting to Trade for a Living, so.......

Thank you to all those who contributed to the thread (even the not so agreeable ones).

Special thanks to Nicola (elitejets), Blackeagle and Alexandra for their valuable contributions and teachings and thanks to Naws for his help with the administration of the thread.

Let’s really rock n roll in 2010!

I knew what you meant - I was just joking with you.

For you and all the other non native English speaking students, I appreciate it must be very difficult trying to understand the thread as we sometimes use words and phrases known only to "locals". I applaud your efforts and your always appreciated attempts to communicate in our language.

If the position was reversed, I probably would not have got past asking for a beer!