james16 Chart Thread

makes you want to hug them dont it?

lol

ive hugged my computer screen more than once because of these bars over the years.

thats as far as i go though.

http://www.threadbombing.com/data/media/3/calm-down.jpg

i dont think people understand what a profound statement this is.

within it stands why what we do really is a way to financial freedom if we are patient, learn it, practice it and generally accept that anything worth having of this magnitude will take some work.

what a great feeling to know that if your on this road with us here your not busting your gut for nothing.

its been proven over and over and over.

show me another thread at any forum, show me any website that can say what they do has been proven to actually build accounts long term in ANY market condition.

good bleeping luck.

i would be remiss if i didnt say that Jackos (wayne) approach has impressed me as few others have but there is a simple reason for that. simple being the key word.

here is an email i recieved today. i have many many hundreds of these and i would say less than 5 have ever been posted here. now that FF considers me an in-house commercial venture i could post every one of them if i wanted but i dont. i post them once ot twice a year when i feel they can help people mostly from a confidence and patience standpoint.

Anyone can accomplish what this guy has by spending time in this free thread, using some common sense, treating this like a real business and be willing to put in some hard work.

____________________________________________________________

Jim-

Just wanted to say thanks for the valubale resource you have built. I have a similar history as your, blown accounts and other self inflicted disasters. Have spent many years wandering the wilderness of CCI, Andrews Pitchfork, Vegas, Fibs, Crossovers, MACD, and many more best forgotten. Endless hours in front of charts, endless frustration. In the end the indicators mostly sabotaged good trades and for every step forward it seemed a big step back followed. Came across j16 on FF along the way. Looked but wasn't sure I could make 4hr work for me.

Older and wiser I came across j16 again at FF this summer , this time it seemed to make more sense. Joined six months ago and while I am reluctant to post much I wanted to share a bit of history.

I thought you might be interested in my experience since August. Only trade daily bars. Makes me a more sane person, just ask my wife and three daughters. One losing trade in six months.

Have made only three trades since December 1. All short, all still open, all doing quite nicely. Not necesssarily great entries but they have worked for me. Thought you might enjoy the success:

All short:

12/11/09 EURUSD @ 1.4680 +780 (50% retrace of the BEOB)
01/13/10 EURUSD @ 1.4499 +600 (small pin at prior resistance)
01/19/10 GBPUSD @ 1.6360 +360 (pin at 1.6400)

For me, not bad plus I have my sanity and my family. What more could you ask for?

Thaks again for your willingness to contribute and help.

well that got a laugh out of me for sure

.

It's the weekend... I think the un-seriousness is necessary... but this is serious: thanks for everything, I have learned a whole bunch... I have been looking back at the last 6-12 months of PA since before I found this thread, and I found so many obvious setups I WOULD HAVE traded, if I had the knowledge I have now.

Hi guys. I'm a little confused about "break of 2 matching lows/high" and "BUOB/BEOB". Aren't these 4 types of bars supposed to be continuation bars? But I am seeing many posters here using them as reversal bars.

As you sift through this place, you will find that different people use them in different ways....

BEOB= Bearish Outside Bar
BUOB= Bullish Outside Bar

they can be used as a continuation, in the correct AREA... AREA is 1st, the PA is second... location location location....

Here is a chart I can show you that should give you an understanding of when to use these bars as a continuation, the trend here is clearly DOWN, you can see by the horizontal blue line that this bar has bounced off of is clearly a previous support area (making it PPZ)... this I think is a legitimate continuation pattern of a downtrend....

^Thanks. Yes, I understand that the BEOB in your chart is a continuation pattern; but if a BEOB, appears at, say, a Resistance while the trend is increasing, would it be a good idea to go short?

absolutely....

Thanks! That clears up a lot. So, to be sure, the outside bars are either continuation and reversal bars, depending on location.

you are right they don't

A friend sent me this, it's funny

http://llerrahmusic.com/viewcard.php?code=236079

Be right back from the BC...

...

Hilarious!!

Yup!

And it's on a straight line basis...add into the equation the "compounding" factor and yeah 4% a month is ENUFF!!

g.

what a way to start a weekend, that was real funny

hi guys

i am looking to go long at the 1.3750. we have confluence at fib 61.8 and 50 and a strong support with divergence.

what are your thoughts?

thanks

I've gotten some PM's asking me to explain a little bit about what I meant in my post when I made reference to looking at / seeing price movement in the market as a function of demand & supply. I have responded in different emails but think I should post it here instead of having to reply all the time about the same thing. Of course it's nothing new to the old dogs here (as it is not a new fact) but just to help the ones who want to know.... (I think Mike touched on this earlier on (recently) but it's either some people missed it OR they just didn't read it maybe that's why the PM's are coming). It's simple...

By my statement, I simply mean that the trader should learn to look at these areas of support and resistance as areas of supply and demand in terms of order flow. When price reacts and gets rejected by a resistance level this tells you that there are more sellers willing to sell than there are buyers willing to buy at that level therefore supply > demand = SELL. Alternatively, when price reacts and gets rejected by a support level this tells you that there are more buyers willing to buy than there are sellers willing to sell at that level therefore demand > supply = BUY.

Looking at Price Action with the above in mind, you'll understand better what the market is telling you at different levels and where the order flow is. It's simple economics when you combine this with the first law of Demand & Supply which states that the lower the price of a commodity, the higher the quantity demanded (also the higher the price, the lower the quantity demanded) and the higher the price of a commodity the higher the quantity supplied (also the lower the price, the lower the quantity supplied) which clearly describes or explains the constant battle / tussle going on between buyers and sellers in any market. Consumers are always looking to acquire a commodity at the cheapest possible rate while sellers are always looking to dispose a commodity at the highest possible rate to maximize profits. This is why you must trust price itself.

Hope this helps.

Good luck.

Hilarius Dale!

LOL...

If only she asked it in a proper way... Well you can't blame her for being old fashioned.. Nice one Dale.