Price consolidation system: really as easy as counting 1-2-3? | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Counting number of past bars since price pattern occurrence 10 replies

Is the "system" part really so easy to come by? 86 replies

Entry is easy, but Exit is really difficult 24 replies

An Easy System (With the help of ES Trader - Another Simple System) 13 replies

The Really Really Boring Forex System 97 replies

Attachments: Price consolidation system: really as easy as counting 1-2-3?
Exit Attachments

Price consolidation system: really as easy as counting 1-2-3?

  • #1
  • First Post: Nov 2, 2010 10:54am Nov 2, 2010 10:54am
i wonder if this system really exist... im still doing a research.. if anyone had an experienced of this system please let shared on this thread...

the idea of this system is boxing a price consolidation and numbering it, then when the box form 3 consecutive upmove or downmove its time to take the trade.

enter at 3rd price consolidation, exit at 2nd price consolidation...

is it really work as easy as counting 1 2 3 ?

please share your view
Attached Image(s) (click to enlarge)
Click to Enlarge Name: 1.gif Size: 25 KB
Click to Enlarge Name: 2.gif Size: 22 KB
Verily, in every difficulties there is relief
  • #2
  • Nov 3, 2010 10:54pm Nov 3, 2010 10:54pm
in the short run eur usd targeting 1.4058

anticipation...

on higher timeframe (daily and weekly) there is a probability that consolidation could still create new high, even though in the long run eur/usd after 1.3344 or lower... lets see
Attached Image(s) (click to enlarge)
Click to Enlarge Name: 1.gif Size: 15 KB
Click to Enlarge Name: 2.gif Size: 16 KB
Verily, in every difficulties there is relief
  • #3
  • Nov 4, 2010 12:22am Nov 4, 2010 12:22am
advantage:

Trade break out (trade when price break low consolidation point):
- minimize risk ratio

counter trade (trade when price touch upper counsolidation area):
- maximize profit

disadvantages:

Trade break out:
- less profit
- if it is a false break need a further sl

Counter trade:
- there is a chance that consolidation still create new tops and wicks
- there is a chance that 1-2-3 steps failed due to consolidation on higher timeframe

so which one better
Verily, in every difficulties there is relief
  • #4
  • Nov 5, 2010 1:24pm Nov 5, 2010 1:24pm
INTERESTING
GREENIUS
  • #5
  • Edited 1:56pm Nov 5, 2010 1:28pm | Edited 1:56pm
How do you define your box?
Time hides Nothing
  • #6
  • Nov 7, 2010 9:29pm Nov 7, 2010 9:29pm
Quoting greenius
INTERESTING
thx

Quoting CindyXXXX
How do you define your box?
after creating new high / new low price corrected and then moving in between...

you can google it if u not satisfied with my answer... and this is some useful link

http://www.docstoc.com/docs/3866910/Price-Consolidation
Verily, in every difficulties there is relief
  • #7
  • Nov 7, 2010 9:37pm Nov 7, 2010 9:37pm
Quoting primzvicious

enter at 3rd price consolidation, exit at 2nd price consolidation...
had a cursory glance at the charts ...

did u mean :

enter at 2nd price consolidation and exit onn the 3rd price consolidation of the same colour boxes ?

or in previous 3rd box and out the next coloured 2nd box ?
  • #8
  • Nov 7, 2010 9:55pm Nov 7, 2010 9:55pm
Quoting TheArcher
had a cursory glance at the charts ...

did u mean :

enter at 2nd price consolidation and exit onn the 3rd price consolidation of the same colour boxes ?

or in previous 3rd box and out the next coloured 2nd box ?
no... enter in 3rd price consolidation and exit at the previous 2nd price consolidation box so the pattern should be 1-2-3-2
Verily, in every difficulties there is relief
  • #9
  • Nov 7, 2010 10:06pm Nov 7, 2010 10:06pm
now look at this... price currently consolidating on the 3rd consolidation area which is unfinished yet...

in the short term, price targeting 1.4020
Attached Image (click to enlarge)
Click to Enlarge Name: 1.gif Size: 15 KB
Verily, in every difficulties there is relief
  • #10
  • Nov 7, 2010 10:53pm Nov 7, 2010 10:53pm
hello

if u give more example as u did with eu thanks
GREENIUS
  • #11
  • Nov 7, 2010 11:09pm Nov 7, 2010 11:09pm
i just want to point out that what you are doing is really just a form of elliot wave. you are trying to be too predictive i believe. this will work, until it doesn't.
Congratulations ScalaFX for coming out of the closet!
  • #12
  • Nov 7, 2010 11:48pm Nov 7, 2010 11:48pm
Quoting greenius
hello

if u give more example as u did with eu thanks
Quoting nubcake
i just want to point out that what you are doing is really just a form of elliot wave. you are trying to be too predictive i believe. this will work, until it doesn't.
im not trying to be a mentor... i told u im still doing research, and i want this thread to be a trading discussion... from my view elliot wave is way too confusing could you counting waves while price is consolidating?
Verily, in every difficulties there is relief
  • #13
  • Nov 8, 2010 1:15am Nov 8, 2010 1:15am
Interesting,... suggestion from me.

1-IMO u are not drawing your boxes right. U dont seem to have a rule about when/how too draw a box, actually u dont need rules to draw a box as they are pretty much visual but for a trading system u have to refine things.

Look at your very first chart u posted in this thread. I have marked out some boxes (with white crosses) that in no way can qualify as consolidation boxes comparing to the ones i marked out myself too (with white rects) or even if you compare them with the link u provided yourself here.
.
Attached Image (click to enlarge)
Click to Enlarge Name: 1.gif Size: 29 KB
  • #14
  • Nov 8, 2010 1:32am Nov 8, 2010 1:32am
Quoting nasir.khan
Interesting,... suggestion from me.

1-IMO u are not drawing your boxes right. U dont seem to have a rule about when/how too draw a box, actually u dont need rules to draw a box as they are pretty much visual but for a trading system u have to refine things.

Look at your very first chart u posted in this thread. I have marked out some boxes (with white crosses) that in no way can qualify as consolidation boxes comparing to the ones i marked out myself too (with white rects) or even if you compare them with the link u provided yourself here.
....
wow thanks senior

but if i may defending, i draw the box which u x-marked because it did consolidate in lower timeframe, since i show attachment on H1 and this system might work in any timeframe so i include those boxes...
and u right on H1 timeframe wise my box (which u x-crossed) looks not consolidating...
thx for your input, and please keep posting in this thread..
Verily, in every difficulties there is relief
  • #15
  • Nov 8, 2010 1:37am Nov 8, 2010 1:37am
Looking at this chart below by your method the price should now go too 9757 which is also near 50% retracment lvl. But we'r not sure here cause there 3 factors that may could stop price as u can see i highlighted them in my chart.

But theses could also help us in taking partial profits or moving our stops behind them whenever price crosses them.

Interesting method but have do some R&D.
.
Attached Image (click to enlarge)
Click to Enlarge Name: 1.jpg Size: 109 KB
  • #16
  • Nov 8, 2010 1:41am Nov 8, 2010 1:41am
Quoting primzvicious
wow thanks senior

but if i may defending, i draw the box which u x-marked because it did consolidate in lower timeframe, since i show attachment on H1 and this system might work in any timeframe so i include those boxes...
and u right on H1 timeframe wise my box (which u x-crossed) looks not consolidating...
thx for your input, and please keep posting in this thread..
Let me tell u one thing straight ,,..when u work in H1 u just work in H1.If u mix things up by adding thing from 1M or 15M or 30M u would end up running in circles.

So always try to stay in only one timeframe (no matter its H1 or D1) to keep things simple.

Just my Humble Opinion.
.
  • #17
  • Nov 8, 2010 1:47am Nov 8, 2010 1:47am
Quoting nasir.khan
Looking at this chart below by your method the price should now go too 9757 which is also near 50% retracment lvl. But we'r not sure here cause there 3 factors that may could stop price as u can see i highlighted them in my chart.

But theses could also help us in taking partial profits or moving our stops behind them whenever price crosses them.

Interesting method but have do some R&D.
.
i saw 4 consolidation on this pair :nerd:
Attached Image (click to enlarge)
Click to Enlarge Name: 1.gif Size: 24 KB
Verily, in every difficulties there is relief
  • #18
  • Nov 8, 2010 1:49am Nov 8, 2010 1:49am
Quoting nasir.khan
Let me tell u one thing straight ,,..when u work in H1 u just work in H1.If u mix things up by adding thing from 1M or 15M or 30M u would end up running in circles.

So always try to stay in only one timeframe (no matter its H1 or D1) to keep things simple.

Just my Humble Opinion.
.
understood
Verily, in every difficulties there is relief
  • #19
  • Nov 8, 2010 1:54am Nov 8, 2010 1:54am
Quoting primzvicious
i saw 4 consolidation on this pair :nerd:
I can see u again mixed things up from lower TF's right but i am different when i am looking at h1 i am only looking at h1 and it makes things simple for me.
.
  • #20
  • Nov 8, 2010 2:02am Nov 8, 2010 2:02am
Quoting nasir.khan
I can see u again mixed things up from lower TF's right but i am different when i am looking at h1 i am only looking at h1 and it makes things simple for me.
.
im thinking between consolidation and next consolidation should separated with at least 2 long bar, and if theres no bar like that i assume it was a part of first consolidation...
Verily, in every difficulties there is relief
0 traders viewing now