Sonic R. System

I've a short running on this, however a long setup looks to be formed, possibly for a pullback run before more downside. The TP is set at the FR 79% level for the move yesterday, swing high to low.

Bear flag ? :nerd:

eurjpy Bulls canal?

London open I think shows direction

I will waith other wave to long setup

Careful. Today Changes in Non-Farm Payrolls will announce ... It's safer to stand aside today ...

Regards,
Basber

eurjpy stoploss hit -24 pips

Now waithing gbpjpy long,looks good

The long setup didn't run....was just consolidation for next leg down.

This leg down reached TP2 of the short trade. All closed at 93 pips profit. I still have a short running on this from a couple weeks back....beginning to feel better about it now.

I know your post was almost 3 hours ago, and look how things can change! It looks like a short setup now.

No more releases on this now. The week is over. But, could it make one last dash down?

Interesting NVO Story here:

Looking at M30, there is a huge spike in activity, but unfortunately the bar is a whip....no telling if the activity predominated the highs or lows. So.....

Dropping down to the M5 it becomes more evident there was a preliminary drop with high activity (selloff). But price was "rescued", brought back up on low activity where later there was a high activity pump immediately folllowed by even more activity back down (selloff)....and again the price is "rescued".

The conclusion I draw is that the PPMs are "consolidating" here for another leg down. It may be today, or next week.

Still one more release today; medium impact. Meanwhile, PA has been drifiting lower. The big signs yesteday and today are "For Sale" signs. Therefore, we could yet see one more drop before the week is over. Maybe yes. Maybe no.

Ignore the whipsaw candles. That is just the PPMs jumping over from the wrong side of the fence to the right side of the fence before the next big move (imho).

Edit: It is not to be for today, which is almost over. Just one last pump up on extremely light trading....late in the day while there is little resitance to such manipulation....getting the price set higher for the open next week. The higher the better, if this is being set up for another strong leg down.

Have a good weekend, Sonikers!

SonicR is elegantly simple and effective. Here are some SonicR setups from Friday:

First Impression of the Week:

The last two days of last week were strong downside days, back down to a previous support level. And both moves down were followed by retraces, which is normal, because as price reverses (or seems that it might be) traders want halts and pullbacks. The pullbacks give them new opportunities to "adjust" their positions in light of what might become more moves in the new direction.

Taking this into account, it is also the perogative of the Central Bank trading desks to start the new week off with a gap, as they did here, which saves them a lot of time and money over having to manipulate the price into a higher pullback via real trading.

So, my first impression is the gap up (EU also) is the CB trading desks taking the easy way out to get the price higher where longs will be closed and shorts will be opened....all ahead of the next leg down.

I have applied the FE study to the attached chart. It shows how another run down, equal to the first one but starting up here where they gapped the price up to, aligns nicely with the average range low mark for today.

It might not work out all that simply, of course. Because, once the euro/US traders come to the table with all their money, they might want an even higher pullback before allowing the next leg down to prosper.

Let the market decide. Trade what you see.

Hi Traderathome.
How do you trade long bars like the ones on this picture?
SonicR indications are to wait until candle close and then place your order 5-7 pips above last closed candle (implied all conditions like wave,indicators ok etc are met).
Where do u put the entry exactly?The entry point where a really long bar pierce the dragon is one of the thing of this system still unclear to me.

In the attached black M15 you can see the highlighted candle making a low out of the Dragon right at the US open. It would be two more TFs before price passed that low, but that low would be the reference for EP, where I have placed a white line. It was the first tall candle that passed that low. That was the candle that gave the SonicR entry. Does this help?

Edit: Added two more charts. The expanded M15 shows The WAVE using the FE study to draw the first two legs of it. The FE study provided confirmation of an H4 support area as near the FE 200% level.....good target. The H4 shows the reasoning behind the placement of the red and blue S&R lines.

Coming into trading hours, both show lower high/lows, or at least lower highs.

On Friday, EU had a whipsaw after a run down, finishing low. Since gap up today, we have the lower highs, lower lows.

GU also had a whip on Friday, finishing high. And no gap up today, just the lower highs.

The whipsawing meant "something is up". We may get signs today. As an added comment, it is frequently true that the early euro market, including the Frankfurt Open, causes PA that is more "positioning" for a move, than the move itself......which then happens with the ensuing London Open, or later. There is a term called the "Frankfurt Head Fake", and I guess that is where it came from....Frankfurt trading for position rather than making a "move".

Let the market decide. Trade what you see.

Very preliminary is the possible SonicR long setup in the attached M15 chart. NVO shows the current drive down has brought in an increased amount of trading at the lows, which may be traders jumping on board for a later move north. And note that this current drive down, is down to the whole number natural support area....a good place for the PPMs to take on longs.

WARNING: Speculation!

Let the market decide. Trade what you see.

Here is another possibility. You can see the earlier boxed tall candle with price falling was on very high relative trading activity.....a selloff. For this reason, this might later become a SonicR short setup. Chart is H1 to better show the larger WAVE.

Here is another possibility. PA could turn out a Double Top, with price twice rejected at the upper whole number area. Currently, at these highs, the trading has increased dramatically.

An alert on this one was posted earlier. It is now a SonicR short trade setup.

Still preliminary, but I would be expecting a lower EP area to be created by PA; somewhere as shown on attached chart.