Jankone M5 thread

1) Build a strong, positive self-image that expresses the real you, the best you.
2) Set clear goals and achieve them predictably.
3) Stop seeing your mistakes as failures and actually learn to use your mistakes as valuable
feedback that guides you to your goals.
4) Be more productive and successful financially and in your career.
5) Forgive others and yourself and wash away resentment that take the joy out of living.
6) Learn how to relax and stay relaxed.
7) Learn how to deal with anger, even how to use it creatively.
8) Learn how think more clearly.
9) Feel good about your life and yourself all the time.
10) Learn how to improve your relationships with everyone in your life – your family, your
friends, coworkers, and especially yourself.
11) Feel a sense of overall satisfaction, fulfillment, and peace as you are bringing out the best
of yourself each day.

another pure gold are RyanMCD's posts at j16...
few days ago.

Been doing some reading this weekend, probably my favorite quote that comes to trading:

There was a student in India who wanted to become enlightened. He
left his family in search of an appropriate guru to guide him further
on his journey. Stopping at one guru’s place of business, he inquired
as to this guru’s method of becoming enlightened.

The guru said, “Becoming
enlightened is really quite simple. All you need to do is to go
home each night and sit in front of a mirror for 30 minutes asking
yourself the same question over and over. That question is: Who am
I? Who am I? Who am I?”
The prospective student replied, “Hey, it can’t be that simple.”
“Oh yes, it is just that simple,” replied the guru, “but there are
several other gurus on this street.”
“Thank you very much,” said the student, “I think I will inquire
down the way.”
[Today we call this action seeking a second opinion.]

So the student approached the next guru with the same question.
“How do I become enlightened?”
The second guru replied, “Oh, it is quite difficult and takes much
time. Actually, one must join with like-minded others in an ashram
and do Sava. Sava means ‘selfless service,’ so you work without pay.”
The student was excited; this guru’s philosophy was more consistent
with his own preconceived view of enlightenment.

He always
had heard it was difficult. The guru told the student that the only job
open at the ashram was cleaning out the cow stalls. If the student
were really serious about becoming enlightened, the guru would allow
him to shovel all the dung and be responsible for keeping the cow
stalls clean. The student accepted the job, feeling confident that he
must be on the right path.


After five long years of shoveling cow dung and keeping the stalls
clean, the student was becoming discouraged and impatient about enlightenment.
He approached the guru and said, “Honored teacher, I
have faithfully served you for five years cleaning up the dirtiest part of
your ashram. I have never missed a day and have never complained
once. Do you think it might be time for me to become enlightened?”


The guru answered, “Why yes, I believe you are now ready. Here
is what you do. You go home each night and look at yourself in the
mirror for 30 minutes, asking yourself the same question over and
over again. That question is: Who am I? Who am I? Who am I?”


The very surprised student said, “Pardon me, honored one, but
that is what the other guru down the street told me five years ago.”


“Well, he was right,” responded the guru.


“Then why have I shoveled cow dung for five years?” asked the
student.


“Because you are stupid, that’s why,” replied the guru.

Yes the way to financial freedom, or enlightenment, can be very hard to see, even though it is right in front of our eyes. It doesn't have to be hard, but real persistence is required.

Rather than ask "Who am I" it is better to meditate on "I am"
A subtle but distinct difference.
A good post Icehocey and a good message.

Hii Guys,

this thread is great. I love pin bars. I am having a confusion about drawing the divergence lines. Can anyone please explain in basic form how to draw these divergence lines.

Thanks a lot

Take a look at this pdf that should clarify it for you.

Lux

Man, has today been pretty. So far, I've had trades on the aussie, usd/chf, and eur/usd. All have been gains. Stuff's simple, ladies and gents.

Have I ever mentioned how much I love trades with a 9 pip risk potentially turning into a 4 hour pin bar and being a runner for a 100 or so? If I haven't, I do.

PB 1 (1st vertical line) - good entry in the line with the retracement that followed that "knee jerk" drop earlier this morning.

I reversed my position (i.e. exited Long and went Short) at PB2 (1st grey rectangular) - RSI divergence + price at top BB. I exited when price stalled at mid-BB a few bars later.

I took the 3rd PB (in the direction of the morning drop), but SL (BE) was hit by that reversal bar (2nd grey rectangular).

I took PB4 (3rd vertical line) - no RSI dib, but price overshot BB way too much. I exited at the level of prior High (PB2) and prior Lows (see the left side of the chart). Price stalled (as expected) after my exit, and then continued without me (not that I care - I had my reasons for the exit).

Nice setups my man, that first pin you traded was friggin' gorgeous.

Friggin is not encouraged in these forums. Chuffing is the preference.

Well found. That happens to me occasionally as well. More often nowadays...

Thank you! Yours was not bad either (to say the least)

There was smth else about that 1st PB: it was immediately followed by a... counter-PB. I tightened my SL, but I had my reasons to ignore that counter-PB. When counter-PB failed, it re-confirmed my original entry and gave me more reasons to stay in the trade for longer.

Those counter-pins happen all the time. They create the retracement needed for the move to retain itself. I'll set up a chart to show why.

This one is taking place right now actually so it's a good example that can be followed along with. It's the usd/jpy hourly BUOVB and 30 minute pin bar. You can clearly see that price is retracing into the buovb in order to gain more momentum on the way back up from the 30 minute pin bar. Sometimes price just closes while it's still making the retracement and creating a fakeout pin in the process. Does that make sense? If not, I can try to elaborate a bit more.

It's like the old saying, "price can't move in a straight line." I actually have no idea who said that, but it's still true lol

That's chuffin awesome! haha I'm tellin ya brother, Ryan tells no tales when he says that the 5 minute charts rock once you get acquainted with them.

I see your example differently. E.g. on M30 the counter-PB (cPB) (if that's the one you meant) formed not immediately after the original PB. That cPB signaled the end of the move initiated by the original PB. CPB stopped where expected (prior High) and it overshot BB too (forming RSI divergence).

I understand exactly what you're saying here and agree. I was noting how price will retrace back into a bar on a higher timeframe in order to gain more momentum; at the same time that will take the form of a reversal on a lower timeframe. For instance, on the 5 minute chart, price can close as a counter pin against the orginal, solely because it was still retracing when the candle closed.

I agree with you about the 30 minute not being directly behind. I was just noting the differences in time perspectives on price, relative to each other. On another note, I'm loving that analysis too. There are pips to be made on both sides of the fence.

I may be biased though, I just got long at 89.14. I guess I just made a horrible example to try to make it understandable, that's my bad. lol

I guess there is nothing wrong with being biased, as long you can change your bias at the drop of a hat when price doesn't do what expected (or hits the trouble zones you were aware of)...

his charts at j16 and comments are so great.
i wish i can understand what exactly and why he trade on m5
he said something about 10 trades a day...i don't understand really...
with this, there are no signals

He doesn't trade just Pinbars: once a STRONG trade is on, he buys every dip and sells every rally (depending on the trend).

Read this book (http://www.amazon.com/Reading-Price-...7485654&sr=8-1) - the author's style takes time to get used to, but once you are on his "frequency", you'll find out exactly what Ryan is talking about. That book is a GREAT hidden gem (hm, and maybe it should stay that way...).