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  • #361
  • Aug 26, 2010 10:59am Aug 26, 2010 10:59am
interesting formation on the audusd, crab at [email protected], with BC3.618 at .8956, which isn't great confluence, but acceptable with the pivot at .8983.

If you take it as a Bat from X.8983, then the XA.886 comes in at .8959, but no BC extension to give comfort, with [email protected]. Trend line indicates some resistance work to be done in this area
Attached Image (click to enlarge)
Click to Enlarge Name: audusd bat.gif Size: 34 KB
Catching a falling knife, no, I'm just trading the Gartley!
  • #362
  • Aug 26, 2010 3:42pm Aug 26, 2010 3:42pm
Since you guys trade harmonics you may be interested in the following (that i wrote under another post here) and i will be interesting to hear your comments/ideas/suggestions.

... working on the Knowledge Base and Harmonics trading Overview (every day 1 picture and/or concept presented ...also to motivate myself :-) )

... currently all slides and ideas are posted on the Facebook Wall:
http://www.facebook.com/pages/Tradin...27059470640778

, but when section is completed will be available from:
http://www.tradingarsenal.com/

If anyone with ideas/comments/suggestions comming from the trading experience -> please let us know and participate.

see also http://harmonicstube.blogspot.com/

kind regards
kor4x
PS. korHarmonics went thru redesigns for optimalizations and functional changes (hopefully improvements), but we are no thinking on publishing till finally this theoretical part is done (it was too many questions where we had to answer - "Not available yet, sorry")
  • #363
  • Edited 7:06pm Aug 26, 2010 6:49pm | Edited 7:06pm
Hi China Wombat

I have been following this thread for some time and have the latest kor test version. I notice on your charts the fib lines appear...I have been unable to get this to happen on this version. Is this a separate indicator or customisable.The gartley ex4 i have does as well as one called 54 search patterns.

Can you also help with entry points

thanks

Ross
  • #364
  • Aug 27, 2010 12:44am Aug 27, 2010 12:44am
Quoting kor4x
Since you guys trade harmonics you may be interested in the following (that i wrote under another post here) and i will be interesting to hear your comments/ideas/suggestions.

... working on the Knowledge Base and Harmonics trading Overview (every day 1 picture and/or concept presented ...also to motivate myself :-) )

... currently all slides and ideas are posted on the Facebook Wall:
http://www.facebook.com/pages/Tradin...27059470640778

, but...
great work on your indi Kor...really appreciate it, your 3 drives coding is very nice as it has worked consistently everytime I have been fortunate enough to have scanned through and spotted one... happy to assist your good work anyway that is a benefit. I'm thinking of just having a stand alone screen for 3 drives
Catching a falling knife, no, I'm just trading the Gartley!
  • #365
  • Aug 27, 2010 12:47am Aug 27, 2010 12:47am
Quoting Rossb
Hi China Wombat

I have been following this thread for some time and have the latest kor test version. I notice on your charts the fib lines appear...I have been unable to get this to happen on this version. Is this a separate indicator or customisable.The gartley ex4 i have does as well as one called 54 search patterns.

Can you also help with entry points

thanks

Ross
Hey Ross, The fibs on my chart are just the fib function dragged on. The fib's on Kor can be adjusted to on-off via the indicator. How can i help with entry points?
Catching a falling knife, no, I'm just trading the Gartley!
  • #366
  • Aug 27, 2010 2:21am Aug 27, 2010 2:21am
I agree I've only seen a several 3 drives on multiple pairs on h4 charts the past few months but i haven't seen one fail yet. good for at least a 50 fib retrace of last drive.

Quoting ChinaWombat
great work on your indi Kor...really appreciate it, your 3 drives coding is very nice as it has worked consistently everytime I have been fortunate enough to have scanned through and spotted one... happy to assist your good work anyway that is a benefit. I'm thinking of just having a stand alone screen for 3 drives
  • #367
  • Aug 27, 2010 2:29am Aug 27, 2010 2:29am
Thanks for you work kor4x... awesome stuff!

Quoting kor4x
Since you guys trade harmonics you may be interested in the following (that i wrote under another post here) and i will be interesting to hear your comments/ideas/suggestions.

... working on the Knowledge Base and Harmonics trading Overview (every day 1 picture and/or concept presented ...also to motivate myself :-) )

... currently all slides and ideas are posted on the Facebook Wall:
http://www.facebook.com/pages/Tradin...27059470640778

, but...
  • #368
  • Aug 27, 2010 2:56am Aug 27, 2010 2:56am
Quoting ChinaWombat
interesting formation on the audusd, crab at [email protected], with BC3.618 at .8956, which isn't great confluence, but acceptable with the pivot at .8983.

If you take it as a Bat from X.8983, then the XA.886 comes in at .8959, but no BC extension to give comfort, with [email protected]. Trend line indicates some resistance work to be done in this area
Hi China,

tonight I had some problems falling asleep, so I had some quality time for thinking

I see you often base your trades mainly on XA and BC projections or retracements, constantly searching for those zone of the charts where at least two Fibonacci numbers and possibly a significant trend-line confluence. What about other complementary measurers, such as equivalent or alternate AB=CDs? Don’t you find them useful for refining your entries?

Secondly, I’ve always had a sort of fundamental approach to the markets, disregarding most of the technical analysis stuff as some sort of wizardry, but harmonic patterns did actually light a bulb in my head since they amazingly fit the quest for symmetry and order that many caos theorists have been talking for many years now.

Now, I think that the next step would to be to research a better way for refining the analysis of price action nearing a PRZ. Just candlesticks the Steve Nison’s way? I even tried reading Al Brooks’ “Reading Price Charts Bar by Bar” but found it to be by far too complex and time consuming…

Any idea?

Have a nice day, AT67
Aut tace aut loquere meliora silentio
  • #369
  • Aug 27, 2010 4:45am Aug 27, 2010 4:45am
Quoting At67
Hi China,

tonight I had some problems falling asleep, so I had some quality time for thinking

I see you often base your trades mainly on XA and BC projections or retracements, constantly searching for those zone of the charts where at least two Fibonacci numbers and possibly a significant trend-line confluence. What about other complementary measurers, such as equivalent or alternate AB=CDs? Don’t you find them useful for refining your entries?

[font=Verdana]Secondly, I’ve always...
Hi AT67,

I find re-reading some of my posts can quite easily put me to sleep

You're right about the ABCD's , they're intrinsic to all the patterns, however I do leave them out of the analysis as I feel I might be getting too detailed, or it becomes a bit confusing, or I'm just in a hurry, or they should be obvious.... i'll try to include them more if i have time

the BC point for me is the most fascinating, and as i do more and more of these trades, the way it can pinpoint price action, within the pattern consistently, is just a sheer joy to watch (maybe i've been looking at charts for a just a bit too long!!) when there is convergence of BC with the XA ratio, then it's just a no-brainer for me. I wont even bother with price action, candles etc, I'll just leave an order and wait. In fact I'd say I would base more of my trades now on the BC target, than the XA target.

I have always hated fundementals and fibonacci. From been a whipper snapper FX dealer who promptly lost a huge chunk of change of the banks money trading fx fundementally until I wised up to S/R and price action. Fundementals are old news, a company reports earnings that are based on months old sales invoices, unemployment stats that are based on weeks or months old data. Fundementals are these excuse that you told you're boss why you lost money...

I have hated fibonacci for a good period of time as well. There are just so many of the levels, but which one can you rely on? Buy the .382 dip, opps, went through that, buy the .50, opps, went through that, should hold at .618, opps,opps,opps.... so many people sprout fibonacci as the magical number but very few know how to use it. It's easy to harry hind sight a chart, but to do it in real time, and also make money...very few people can do it consistently. I did an elliot wave course once and was basically drowned with fibo's, price projections etc, not to mention the 'alternative count'.

For those reasons I have actually been quite dismissive of harmonics. It was only when I understood that Carney was just quantifying the gartley structures into a more reliable formation using fib's that I started to take notice. Hell, the patterns been working well for 75 years, why not stick with it. So for me that's why harmonics is different, it's the logic and simplicity in it. Once you get over your fibo phobia (for me at least) it all makes sense.

once we get a .382 retrace, then we know that we start to look for signals, where does it stop? .5 ok, look for bats or crabs, run the BC projections, what comes close? it continued to .618, then looking for gartley or crab. it continued to .786, ok lets look for butterfly. Any S/R in the area? with the trend, or against it? So it becomes pretty much a binary decision making process.

If you haven't puchased carneys books, then that would be my first step. I have larry pesavento's as well, and it's good, but doesn't have the crab or bat in it. His trade plans are also good for building a trading strategy. I think that with just those 3 books, or just Carneys 2, then you will be able to make a living for yourself from FX. I'd have a run through James16 for some input on price action, and candles. Nilson is good, but you just need to understand, that not all doji's-pin bars are created equal, the other guy I have no idea upon.
Catching a falling knife, no, I'm just trading the Gartley!
  • #370
  • Aug 27, 2010 8:10am Aug 27, 2010 8:10am
[quote=ChinaWombat;3981587]Hi AT67,

I find re-reading some of my posts can quite easily put me to sleep

Ok, I'll try it next time I have some troubles falling asleep

I mean, it's the same thing for me. All of sudden, harmonics came out of the blue; actually, I bought Carney's latest books out of mere curiosity and because I liked the covers... and read through both of them in a few days. So simple, so effective.

I never hated Fibs or Ganns or Elliotts. The fact is that an awful lot of lines amass on the chart that sooner or later some of them inevitably proves to be the right one.

I've been reading a lot about caos theory (not for trading purposes, mind you) and have always been fascinated by the intrinsic logic that most of apparently random time series actually seem to possess. Indeed, harmonics might prove to be some sort of equivalent in the trading world...
Aut tace aut loquere meliora silentio
  • #371
  • Aug 27, 2010 10:56am Aug 27, 2010 10:56am
[quote=At67;3982154]
Quoting ChinaWombat
Hi AT67,

I find re-reading some of my posts can quite easily put me to sleep

Ok, I'll try it next time I have some troubles falling asleep

intrinsic logic that most of apparently random time series actually seem to possess. Indeed, harmonics might prove to be some sort of equivalent in the trading world...
the common denominator is human emotion....people will still do things that have a negative effect on them on the understanding that they know this will be as bad as it gets. there may be a 'new paradigm' (just love that over used numbat phase from all the 25 year old MBA's who pissed up the wall all the investors money in the dotcom boom) in that you have iphones, new techy toys, a better life style or quality of life, but at the end of it, people haven't really evolved that much EQ wise over the last 100 years, or even further... dutch tulips anyone?

so what harmonics does for me, is quantifying that pattern of human emotion, wrapped up in the fib ratios.... i don't need a Ph.D in higher maths to try to develop a quant package to trade the market, the structure is already there.... you just have to be patient and look for it, or use the indi's to help scan for opportunities...


on the magic of the BC fib, i'm still developing that as a seperate trading methodology and don't want to post to much on a harmonic thread...but for bob-a job trading/scalping, the usdcad provides a nice example. I haven't traded this as it's friday night here, but you could develop a simple trading method with say a 2-1 reward-risk ratio and just sell the 1.618 provided you have some S/R nearby...ab=cd finishes 15 pips lower, so it provides some nice trading opportunities while waiting for patterns to form or fade away..
Attached Image (click to enlarge)
Click to Enlarge Name: usdcad fibs.gif Size: 34 KB
Catching a falling knife, no, I'm just trading the Gartley!
  • #372
  • Aug 27, 2010 7:38pm Aug 27, 2010 7:38pm
Quoting ChinaWombat
Hey Ross, The fibs on my chart are just the fib function dragged on. The fib's on Kor can be adjusted to on-off via the indicator. How can i help with entry points?
Hi ChinaWombat,

When the patterns appear, there is generally a box appearing as well. I understand the entry point is to be somewhere in the box, however when just observing the chart, the pattern may well spread out and up/down and through the box. How do you know when the pattern is finished and the entry point has been reached

thanks

Ross
  • #373
  • Aug 28, 2010 8:28am Aug 28, 2010 8:28am
Quoting Rossb
Hi ChinaWombat,

When the patterns appear, there is generally a box appearing as well. I understand the entry point is to be somewhere in the box, however when just observing the chart, the pattern may well spread out and up/down and through the box. How do you know when the pattern is finished and the entry point has been reached

thanks

Ross
you look for confluence of bc, ab=cd, s/r and trendlines, and candles...have you got any of Carney's books, or his patterns with the ratio's? All the information is there...
Catching a falling knife, no, I'm just trading the Gartley!
  • #374
  • Aug 28, 2010 2:29pm Aug 28, 2010 2:29pm
[quote=ChinaWombat;3982755][quote=At67;3982154]

the common denominator is human emotion...

You really got it, China. Human emotion is the key of the game...

I gave a look back at AUDUSD chart in your post #361. Really astonishing how price action is now being stalling around .8970. Let's wait and see how they wake up in Sidney on Monday morning to know the end of the story.

By the way, I'm just back home after spending a whole day in Pisa with my daughters. Fortunately, they were much more interested in seeing the Leaning Tower than searching for the statue of Fibonacci in the old graveyard...

Have a nice Sunday.
Attached Images
Aut tace aut loquere meliora silentio
  • #375
  • Aug 29, 2010 12:19am Aug 29, 2010 12:19am
Quoting ChinaWombat
you look for confluence of bc, ab=cd, s/r and trendlines, and candles...have you got any of Carney's books, or his patterns with the ratio's? All the information is there...
thanks ChinaWombat, yes i am reading them now and trying to understand it all.
Appreciate your help

thanks

Ross
  • #376
  • Aug 29, 2010 3:34am Aug 29, 2010 3:34am
be watchful
Attached Image (click to enlarge)
Click to Enlarge Name: butter.gif Size: 21 KB
  • #377
  • Aug 29, 2010 11:23am Aug 29, 2010 11:23am
Thanks for those beautiful pictures. For me, Harmonic Trading is the only way to trade.
  • #378
  • Aug 29, 2010 5:13pm Aug 29, 2010 5:13pm
All,
I just scanned thru the posts and pics. Unfortunatelly according to me 95% of the posts here that you say present Gartley are not Gartley at all.
It same % on other threads and forums.

Mr. Gartley defined a pattern and its position on the market. Without Fibs!!! I think it's one of the most profitable patterns defined, as it identifies the turn in the trend in the first possible moment.

Mr. Pesavento added later on Fibs definition - to more precisily define the pattern. It was more NICE TO HAVE that really NEEDED, but ok - helpfull.

Now, interestingly people started to call Gartley pattern only something that meets Pesavento Fibs numbers, forgeting completly about original position definition comming from Mr.Garltey.

Most of pattern failures that you observe come from the fact that you draw your "Gartley" in the wrong places.

At TradingArsenal we are working to present our thinking in set of diagrams/slides. It should be available for your comments/ideas/suggestions and ADD-ONs soon.

Cheers!
  • #379
  • Aug 30, 2010 4:17am Aug 30, 2010 4:17am
[quote=ChinaWombat;3982755]
Quoting At67

on the magic of the BC fib, i'm still developing that as a seperate trading methodology and don't want to post to much on a harmonic thread...but for bob-a job trading/scalping, the usdcad provides a nice example. I haven't traded this as it's friday night here, but you could develop a simple trading method with say a 2-1 reward-risk ratio and just sell the 1.618 provided you have some S/R nearby...ab=cd finishes 15 pips lower, so it provides some nice trading opportunities while waiting for patterns to form or fade away.....
Lesson learned, pal... (USDCAD currently trading at 1.0488)

Meanwhile, AUDUSD still stalling around .8980 (as your post #361)

Have a nice day, AT67
Aut tace aut loquere meliora silentio
  • #380
  • Aug 30, 2010 1:25pm Aug 30, 2010 1:25pm
Hi,
I placed first 8 out of 21 diagrams covering the Trading Gartley subject.

I would be happy to hear your comments and suggestions.
You can leave them on the Facebook below each diagram

http://www.facebook.com/pages/Tradin...27059470640778

... but also on the Arsenal forum where we will be placing some further related comments before publishing the next versions with updates:

http://tradingarsenal.com/

I hope you find it any useful,
thanks,
kor4x
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