james16 Chart Thread | Page 2947 | 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

  • #58,921
  • Mar 23, 2010 12:40pm Mar 23, 2010 12:40pm
Quoting relict07
Question

I watched all of James's video from the free part of the PF and it seems that he doesn't like to lose more than 30-50 pips a trade. So do you all usually keep your stops static within a certain range?

I started thinking about it after I recognized that the really A+ Pin Bars are sometimes longer than 100 pips especially in the daily charts and +.

Thanks Ahead
A large part of that observation stems from trading a large account. If you have a 50K account, 2% is $1,000. If you have a 5 Million dollar account, 2% is $100,000. That simple dynamic would give anyone pause during a draw down. You can say all you want that it is 'just 2%', but - try it.

You are entering the age-old quest of increasing rewards without increasing risk. Very tough to do. In fact, I'll propose to you that it may not be possible.

Look at taking a PB with a different kind of entry - perhaps an entry of a fib level retrace. This will increase the value of your Reward, but your Risk moves up with it.

So, going back to your original question, is it reasonable to set a different SL level rather than the full bar? Sure, but you assume more risk in doing so. It all comes down to tolerances and what *works* for you.
I'm pretty much done with all this ...
  • #58,922
  • Mar 23, 2010 1:04pm Mar 23, 2010 1:04pm
Quoting StoragePro
A large part of that observation stems from trading a large account. If you have a 50K account, 2% is $1,000. If you have a 5 Million dollar account, 2% is $100,000...
Thanks for the info Storage. I guess I'll just have to test it out on my own to find my comfort level
Going to go Hunt for some large pips
  • #58,923
  • Mar 23, 2010 1:18pm Mar 23, 2010 1:18pm
Quoting relict07
Question

I watched all of James's video from the free part of the PF and it seems that he doesn't like to lose more than 30-50 pips a trade. So do you all usually keep your stops static within a certain range?

I started thinking about it after I recognized that the really A+ Pin Bars are sometimes longer than 100 pips especially in the daily charts and +.

Thanks Ahead

I do tend to keep my stop losses very tight, like James16, on a high quality setups. StoragePro makes an excellent point about account size and risk tolerances.


But as James16 recognizes and what Mikes talks about alot is that an A+ PA setup has an inherent characteristic when Price breaks its trigger: Momentum.

Aug. 2009 Weekly PB on the Gbp/Usd. A high quality PA setup by any standard. Price broke nicely for about 30-40 pips and then maybe had a drawdown of 2-3 pips before running for over 200 pip. Now a large account size like James16 may have closed his order at 30 pips with a nice profit. Or he could see that this setup was going to reach the 1st target (previous Bar High on the Weekly) and made 62 pip. Or the other targets presented on the Weekly.

By placing your stop loss above the Weekly PB (400 pips) and you decide that it is a top and that you were going to hold no matter what you would be up about 1600 pips right now.

But back to your question. Having a tight stop loss on a high quality PA setup is back up by the understanding the momentum of the setup will dish out some nice pips either at or before the 1st targeted area.

Jim
Attached Image(s) (click to enlarge)
Click to Enlarge Name: gbp809week.gif Size: 23 KB
Click to Enlarge Name: gbp809.gif Size: 27 KB
Indicators show the past. Price Action "Indicates" the future.
  • #58,924
  • Mar 23, 2010 1:53pm Mar 23, 2010 1:53pm
Cool video about Fib numbers.

Nature by numbers.

http://www.wimp.com/naturenumbers/
Indicators show the past. Price Action "Indicates" the future.
  • #58,925
  • Mar 23, 2010 2:11pm Mar 23, 2010 2:11pm
Quoting jarroo
Cool video about Fib numbers.

Nature by numbers.
Thanks for your thoughts Jarroo, and a cool video btw, FIBS ROCK!!
Going to go Hunt for some large pips
  • #58,926
  • Mar 23, 2010 2:13pm Mar 23, 2010 2:13pm
Quoting jarroo
Cool video about Fib numbers.

Nature by numbers.

http://www.wimp.com/naturenumbers/
buggy video, sorry for the spoiler

  • #58,927
  • Mar 23, 2010 2:17pm Mar 23, 2010 2:17pm
Quoting jarroo
I do tend to keep my stop losses very tight, like James16, on a high quality setups. StoragePro makes an excellent point about account size and risk tolerances.


But as James16 recognizes and what Mikes talks about alot is that an A+ PA setup has an inherent characteristic when Price breaks its trigger: Momentum.

Aug. 2009 Weekly PB on the Gbp/Usd. A high quality PA setup by any standard. Price broke nicely for about 30-40 pips and then maybe had a drawdown of 2-3 pips before running for over 200 pip. Now a large account size like James16...

Hi Jarroo,

Mike gave me some excellent advice yesterday on 500 and 1000 PIP BRNs. I noticed that on the weekly chart you show for Aug, 2009, that the pin did just touch the 1000 PIP BRN, as well as FIB retrace. A bit off subject, but just thought I'd bring it up because when I first looked at your chart I noticed the PIN a couple months prior and was trying to figure out what could have stopped me from taking it had I been watching it at the time.

Jacob
  • #58,928
  • Mar 23, 2010 2:25pm Mar 23, 2010 2:25pm
Quoting Jcp
Hi Jarroo,

Mike gave me some excellent advice yesterday on 500 and 1000 PIP BRNs. I noticed that on the weekly chart you show for Aug, 2009, that the pin did just touch the 1000 PIP BRN, as well as FIB retrace. A bit off subject, but just thought I'd bring it up because when I first looked at your chart I noticed the PIN a couple months prior and was trying to figure out what could have stopped me from taking it had I been watching it at the time.

Jacob
Yes there was many supporting confluences on this one. I remember the discussions back then.


I also remember crying to Mike about how I couldn't keep a full position open. lol
It was a nice profitable trade none the less.
Attached Image (click to enlarge)
Click to Enlarge Name: gbp809a.gif Size: 21 KB
Indicators show the past. Price Action "Indicates" the future.
  • #58,929
  • Mar 23, 2010 2:40pm Mar 23, 2010 2:40pm
I'm a newbie when it comes to trading the "snail pattern". Does anyone know how to trade it? I didn't see it in any of my trading books.

K.I.S.S.
Attached Image (click to enlarge)
Click to Enlarge Name: snail pattern.jpg Size: 106 KB
  • #58,930
  • Mar 23, 2010 2:44pm Mar 23, 2010 2:44pm
Quoting KissFan
I'm a newbie when it comes to trading the "snail pattern". Does anyone know how to trade it? I didn't see it in any of my trading books.

K.I.S.S.
Very slowly brother. lol
Indicators show the past. Price Action "Indicates" the future.
  • #58,931
  • Mar 23, 2010 2:47pm Mar 23, 2010 2:47pm
Quoting jarroo
I do tend to keep my stop losses very tight, like James16, on a high quality setups. StoragePro makes an excellent point about account size and risk tolerances.


But as James16 recognizes and what Mikes talks about alot is that an A+ PA setup has an inherent characteristic when Price breaks its trigger: Momentum.

Aug. 2009 Weekly PB on the Gbp/Usd. A high quality PA setup by any standard. Price broke nicely for about 30-40 pips and then maybe had a drawdown of 2-3 pips before running for over 200 pip. Now a large account size like James16...
Jim, does this mean you would set a more aggressive stop - i.e. not the "original J16" full pin bar stop? Or is it more managing the stop after the break (moving it as your targets are progresively hit)?

Some of these pins are soooo long. I understand position sizing to maximise risk to 2% max, but it can mean price has to travel a long way to get what others would consider a reasonable R:R (I know we have no pre-defined targets here).

Jonners67
  • #58,932
  • Mar 23, 2010 2:51pm Mar 23, 2010 2:51pm
Quoting Jonners67
Jim, does this mean you would set a more aggressive stop - i.e. not the "original J16" full pin bar stop? Or is it more managing the stop after the break (moving it as your targets are progresively hit)?

Some of these pins are soooo long. I understand position sizing to maximise risk to 2% max, but it can mean price has to travel a long way to get what others would consider a reasonable R:R (I know we have no pre-defined targets here).

Jonners67

Yes that's it.

"Managing the stop after the break moving it as your targets are progresively hit."

Riding the momentum of the setup until your targets are hit and protecting yourelf along the way.
Indicators show the past. Price Action "Indicates" the future.
  • #58,933
  • Mar 23, 2010 3:19pm Mar 23, 2010 3:19pm
Quoting benji533
Thanks artov...indeed a great day

Also it made me take half of my position off. Did not know when I'm coming back so trailing became a problem. second half BE.

Hope everyone around here is doing well
sweet
  • #58,934
  • Mar 23, 2010 3:51pm Mar 23, 2010 3:51pm
Quoting jarroo
Very slowly brother. lol
Haha! Seriously though I think now that I look at it I think that it is a legit pattern called a cup and handle. I still don't know how to trade it though. I'm going to check into it and come back later to look at it and see if it works out the way it is supposed to.

K.I.S.S.
  • #58,935
  • Mar 23, 2010 4:20pm Mar 23, 2010 4:20pm
Quoting KissFan
Haha! Seriously though I think now that I look at it I think that it is a legit pattern called a cup and handle. I still don't know how to trade it though. I'm going to check into it and come back later to look at it and see if it works out the way it is supposed to.

K.I.S.S.
Looks like a continuation pattern.

An inverted cup and handle which we will call what you have named it : The Snail.

http://www.investopedia.com/universi...ts/charts3.asp

Nice BEOB on the Hourly with support of the Snail. Let's see how it works out.
Attached Image (click to enlarge)
Click to Enlarge Name: gbpsnail.gif Size: 22 KB
Indicators show the past. Price Action "Indicates" the future.
  • #58,936
  • Mar 23, 2010 4:23pm Mar 23, 2010 4:23pm
Quoting KissFan
Haha! Seriously though I think now that I look at it I think that it is a legit pattern called a cup and handle. I still don't know how to trade it though. I'm going to check into it and come back later to look at it and see if it works out the way it is supposed to.

K.I.S.S.
take the break of the handle.

In this case, the break of the handle may be signaled by the BEOB.

http://www.investopedia.com/terms/c/cupandhandle.asp
  • #58,937
  • Mar 23, 2010 5:30pm Mar 23, 2010 5:30pm
What a daunting task. I am a fan of what I have learned so far on price action which isn't much. Other than here anyone know of another good place I can get some basic primers or any specific pages on here you could refer me to.

If not no worries I will eventually finish the thread. I read the new post and then go back and start catching up on all the old stuff from 5 years ago. Whew...

Coastalfx
  • #58,938
  • Mar 23, 2010 6:08pm Mar 23, 2010 6:08pm
Quoting jarroo
Looks like a continuation pattern.
...
Nice BEOB on the Hourly with support of the Snail. Let's see how it works out.
of course it will work out slowwwly.
  • #58,939
  • Mar 23, 2010 6:13pm Mar 23, 2010 6:13pm
Quoting coastalfx
What a daunting task...
If not no worries I will eventually finish the thread. I read the new post and then go back and start catching up on all the old stuff from 5 years ago. Whew...
Hello coastalfx,
yes it's daunting.... at first.
to be honest, im in the same boat as u, in so far as feeling that way (when i started out) & not having read all the old posts til now.
but the difference is, since i have improved my PA reading & comprehension skills, i am able to read & understand the posts much easier & quicker. thus, im able to read more pages at a time.
the same will happen to u, sooner or later.
  • #58,940
  • Mar 23, 2010 6:34pm Mar 23, 2010 6:34pm
Quoting coastalfx
What a daunting task. I am a fan of what I have learned so far on price action which isn't much. Other than here anyone know of another good place I can get some basic primers or any specific pages on here you could refer me to.

If not no worries I will eventually finish the thread. I read the new post and then go back and start catching up on all the old stuff from 5 years ago. Whew...

Coastalfx
Said the Docter to the Intern...
"What was it that made you think this was going to be Easy? It took me 7 years before I was allowed to act on my own descisions."

It's a Very Tough Road to Haul & not everyone has the guanxi to make it.

Only You will know IF You Have IT.

Study or Jump. It's up to You.
43 traders viewing now