Dislikedno... enter in 3rd price consolidation and exit at the previous 2nd price consolidation box so the pattern should be 1-2-3-2Ignored
Price consolidation system: really as easy as counting 1-2-3?
- #22
- Nov 8, 2010 2:19am Nov 8, 2010 2:19am
- Joined Apr 2009 | Status: Trader | 2,891 Posts
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...
Rest u have to figure out ur self and make a decision about your 2 long bar rules.
.
- #23
- Nov 8, 2010 2:40am Nov 8, 2010 2:40am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
Verily, in every difficulties there is relief
- #24
- Nov 8, 2010 3:31am Nov 8, 2010 3:31am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
now look at this... price currently consolidating on the 3rd consolidation area which is unfinished yet...
in the short term, price targeting 1.4020
now i can say consolidation area almost finished...
time to prepare entries
Verily, in every difficulties there is relief
- #26
- Nov 9, 2010 6:08am Nov 9, 2010 6:08am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
A long time ago Darvas came up with a system, manually implemented on stocks, which was based on boxes. There is a book called how i mad a million dollars or something like that. It may help you.
thx for input
Verily, in every difficulties there is relief
- #28
- Nov 9, 2010 9:27am Nov 9, 2010 9:27am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
Verily, in every difficulties there is relief
- #29
- Nov 9, 2010 10:31am Nov 9, 2010 10:31am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
i suppose u meant the red line .
ok , i get the picture. thanks .
this leads me to another question as per the chart ... what if it continues down further down instead of moving up to box 2 ?
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
if u want to counter... trade as farthest as possible on the consolidation 3
now current H1 chart look like this... then if u change ur time frame to H4... u'll see consolidation 1 and 2... use risk management wisely
Verily, in every difficulties there is relief
- #32
- Nov 9, 2010 10:44am Nov 9, 2010 10:44am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
Verily, in every difficulties there is relief
- #33
- Nov 9, 2010 10:48am Nov 9, 2010 10:48am
- Joined Feb 2009 | Status: Borderline yahoo & oh-no! | 6,607 Posts
hmmm i think i should.
Very long first post i'll skip that.....
.
- #34
- Nov 9, 2010 10:49am Nov 9, 2010 10:49am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
i am so sorry ! this even more confusing .... can u explain with a diagram or a chart ? thanks .
Verily, in every difficulties there is relief
- #35
- Nov 9, 2010 11:09am Nov 9, 2010 11:09am
- | Joined Jun 2008 | Status: Trader | 2,013 Posts
look at this... hope u understand
what if, after the breakout on the upper line , it does not reach the target and turns back ..?
what if it hits my SL and retraces back and never hit the target ?
after it reaches the target , what happens? ... mean, how do i trade the new trade ?
will it always do 1 2 3 and retrace back to 2 .. ?
why not just take the ride from 2 to 3 ?
how do u define consolidation ..i notice some boxes small and others big ?
- #36
- Nov 9, 2010 11:30am Nov 9, 2010 11:30am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
as per this chart i understand ...
what if, after the breakout on the upper line , it does not reach the target and turns back ..?
what if it hits my SL and retraces back and never hit the target ?
after it reaches the target , what happens? ... mean, how do i trade the new trade ?
will it always do 1 2 3 and retrace back to 2 .. ?
why not just take the ride from 2 to 3 ?
how do u define consolidation ..i notice some boxes small and others big ?
1. what if, after the breakout on the upper line , it does not reach the target and turns back ..? manage your risk n reward ratio
2. what if it hits my SL and retraces back and never hit the target ? manage your risk... did u see my position today?... did u see 2 red line upper and lower? thats my manageable risk...
3. after it reaches the target , what happens? ... mean, how do i trade the new trade ? be patient... there are many other currencies with optionable timeframe
4. will it always do 1 2 3 and retrace back to 2 .. ?
i dunno im still doing research, as per now i found sometimes it did 1-2-3-4 before retracing to 2
5. why not just take the ride from 2 to 3 ? do it if you like
... but i can assure in ranging market consolidation only 1-2-1-2-1-2 without 36. how do u define consolidation ..i notice some boxes small and others big ?
remember strong move i describe earlier and remember some people criticize me?
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
- #37
- Nov 9, 2010 1:23pm Nov 9, 2010 1:23pm
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
Verily, in every difficulties there is relief
- #38
- Nov 12, 2010 2:14am Nov 12, 2010 2:14am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
Verily, in every difficulties there is relief
- #39
- Nov 23, 2010 1:31pm Nov 23, 2010 1:31pm
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
http://cdn.forexfactory.com/attachme...9&d=1288842712
OMG this is happen... i dont think this happen so fast...no wonder no retraces on lower timeframe
Verily, in every difficulties there is relief
- #40
- Nov 26, 2010 1:05am Nov 26, 2010 1:05am
- | Joined May 2008 | Status: Ad Astra Per Aspera | 1,741 Posts
Verily, in every difficulties there is relief