@arunsideas
Good idea, i'll test it
Good idea, i'll test it
- #19,125
- Edited 6:26am Jul 20, 2010 5:29am | Edited 6:26am
- Joined Jul 2008 | Status: #welcomebackGator | 2,418 Posts
Two trades today:
Two dimensional view
1 dimensional view
Two dimensional view (notice that even though the 5m rainbow hasn't flipped yet the MAs have all changed color)
[ 
1 dimensional view
Do you notice how hard it is for price to change direction before you get 10 pips when all the trixes are lined up with recent crosses , and both the rainbows are the right color?
Two dimensional view
1 dimensional view
Two dimensional view (notice that even though the 5m rainbow hasn't flipped yet the MAs have all changed color)
[
1 dimensional view
Do you notice how hard it is for price to change direction before you get 10 pips when all the trixes are lined up with recent crosses , and both the rainbows are the right color?
- #19,129
- Edited 12:18pm Jul 20, 2010 11:53am | Edited 12:18pm
- Joined Jul 2008 | Status: #welcomebackGator | 2,418 Posts
The first one looks fine.
The second one (the Euro) I would have entered earlier if at all (I think it's a bit counter trend to be long now because theres a double top with divergence on the 4 hour chart). The reason for entering a bit earlier is because of the h&s pattern with divergence. Usually when you see that and you see that there's been a big move down with not much retrace, and then you see the first bump where PA broke the rainbow is exceeded, and you see that all the Rainbow MAs have changed color (even if the flip isn't complete) and you see all the trixes lined up it's good for a nice move. This is where I would have entered (I almost did, but I already got my daily pips and I didn't like that divergence on the 4 hr chart so I didn't)
There's quite a few divergences in a row here. I'm going to be surprised it it doesnt go for about 1.2750 (where the coral meets the 23.6 fib) at least, maybe after retesting the trendline it just broke.
The third one is not the Euro. I really don't know how the other currencies work. The reason I like the Euro is because usually it has the turnaround time of an aircraft carrier. Once it gets going at a certain speed, then you can usually squeeze out another 10 pips on a retrace when everything lines up for a trade in the original direction of the move. I really don't know if that works for the others.
The second one (the Euro) I would have entered earlier if at all (I think it's a bit counter trend to be long now because theres a double top with divergence on the 4 hour chart). The reason for entering a bit earlier is because of the h&s pattern with divergence. Usually when you see that and you see that there's been a big move down with not much retrace, and then you see the first bump where PA broke the rainbow is exceeded, and you see that all the Rainbow MAs have changed color (even if the flip isn't complete) and you see all the trixes lined up it's good for a nice move. This is where I would have entered (I almost did, but I already got my daily pips and I didn't like that divergence on the 4 hr chart so I didn't)
There's quite a few divergences in a row here. I'm going to be surprised it it doesnt go for about 1.2750 (where the coral meets the 23.6 fib) at least, maybe after retesting the trendline it just broke.
The third one is not the Euro. I really don't know how the other currencies work. The reason I like the Euro is because usually it has the turnaround time of an aircraft carrier. Once it gets going at a certain speed, then you can usually squeeze out another 10 pips on a retrace when everything lines up for a trade in the original direction of the move. I really don't know if that works for the others.
Hi Miss pips and Everyone!
are thise trades wrigth? all rules are met, but in the 3th pic it went wrong because its not a valid entry(short) of only for market volatility?
thank you and have a good one!
- #19,130
- Jul 20, 2010 12:14pm Jul 20, 2010 12:14pm
- Joined Jul 2008 | Status: #welcomebackGator | 2,418 Posts
- #19,132
- Jul 20, 2010 3:57pm Jul 20, 2010 3:57pm
- Joined Jul 2008 | Status: #welcomebackGator | 2,418 Posts
- #19,135
- Edited 2:30am Jul 21, 2010 12:54am | Edited 2:30am
- Joined Jul 2008 | Status: #welcomebackGator | 2,418 Posts
I think it depends on market conditions and price action. For example, is there a strong trend that is relatively new or is it and old trend and divergence is occuring? Is the trend you want to trade against really a retracement against the daily trend or is it with the daily and how new is the daily trend? Have the swings with the trend been getting shorter and smaller and the swings against it been getting stronger? etc.
But in general there's a reason for the saying that 'the trend is your friend'. (The 'until it end's' part of that saying is where you can think about trading against it but make sure you recognize when that is.)
The thing is that you can never predict what the market is going to do. But there are certain situations where (in the absense of some new factor like unexpected news) it's more likely to continue doing what it has been doing and I prefer to trade those.
Here is an example. This morning the Euro has chopped around and only done 33 pips since the open. But heres a situation where the 15 5 and 1 trix are all newly crossed down and you have both rainbows showing in the direction of the previous 5 m trend which was down. And boom, there's your ten pips. Try scrolling back in history and see how often you see that situation and the trade goes wrong.
I try to remember that just because I'm sitting in front of my screen doesn't mean I have to trade. I just wait until I see something that I recognize and have seen work out hundreds of times.
But in general there's a reason for the saying that 'the trend is your friend'. (The 'until it end's' part of that saying is where you can think about trading against it but make sure you recognize when that is.)
The thing is that you can never predict what the market is going to do. But there are certain situations where (in the absense of some new factor like unexpected news) it's more likely to continue doing what it has been doing and I prefer to trade those.
Here is an example. This morning the Euro has chopped around and only done 33 pips since the open. But heres a situation where the 15 5 and 1 trix are all newly crossed down and you have both rainbows showing in the direction of the previous 5 m trend which was down. And boom, there's your ten pips. Try scrolling back in history and see how often you see that situation and the trade goes wrong.
I try to remember that just because I'm sitting in front of my screen doesn't mean I have to trade. I just wait until I see something that I recognize and have seen work out hundreds of times.
Wow thank you Miss pips, one last question, what do you think if I enter In a trade with 6 lights and 1m and 5m trix in the same direction or I strongly need to trade in the direction of the coral and rainbow?
Have a grate life!
