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  • #561
  • Nov 5, 2010 9:00am Nov 5, 2010 9:00am
This fills me with confidence, as i had five out of the six marked up the same way .
Does this mean i am finally getting it???? I hope so, it's been a long hard road but i had a positive October and November is looking VERY good so far!
Dan i didn't get in EU i will wait for price to close above 300 or retrace to 4000.
Have a great weekend everyone, and it's good to have you back Dan.

Quoting DanUK
Ok chaps, I think I have replied to all PMs and have answered most questions directed at me. I have left a couple of posts that I felt have already been answered by the market!

If anyone feels I missed them please feel free to ask again... but for now - it is back to trading.

Something I am going to try and do is post my opinions on the trends and a little analysis for a few of the major pairs - just for newbies to compare to their own thoughts. [b]Please note that this is not intended as trade signals or trade advice - just my own personal...
  • #562
  • Nov 5, 2010 9:17am Nov 5, 2010 9:17am
Quoting bez3000
This fills me with confidence, as i had five out of the six marked up the same way .
Does this mean i am finally getting it???? I hope so, it's been a long hard road but i had a positive October and November is looking VERY good so far!
Dan i didn't get in EU i will wait for price to close above 300 or retrace to 4000.
Have a great weekend everyone, and it's good to have you back Dan.
HI all,

If you have patience Dan, to do it that would be good... That way we have a way to compare our own analisys...

Regards,
Laranja
  • #563
  • Nov 5, 2010 9:44am Nov 5, 2010 9:44am
Dan if not too personnel would you mind posting your recent results using this system?
I mean in the last say two months, how many brake even trades / small losses / 1000+ runners have you had?
I think this would serve to not only inspire people as to what is possible but also let people know that having BE and small losses is something we must all face including you. And just because someone has had a run of BE and losing trades doesn't mean they should give up and move on to the next strategy/holy grail.
I think it would be very beneficial but would understand if you don't want to publish that information.
  • #564
  • Nov 5, 2010 11:14am Nov 5, 2010 11:14am
Quoting DanUK
The most important thing though is my trading is much more relaxed now.
Hi Dan and others:

I "discovered" forex about 5 months ago, and I have spent a great deal of time studying. After finishing the School of Pipsyology at babypips, I spent four months reading the James16 thread. It was quite helpful to read all of the posts by some of the senior members there.

However, when I decided to start demoing the concepts, I woke up at 4 a.m. EST to start reviewing 4hr charts on 4 different brokers: 4 a.m., 5 a.m., 6 a.m., 7 a.m. closes etc. It was quite frenzied. I did that for a month, and only found one setup that fit the criteria.

Then I started studying an Asian session/ London open breakout 1 hr/ 4hr strategy. That too was frenzied.

What I've learned is that I need to follow a strategy that is profitable, but also fits my personality. In other words, I need a strategy that is "relaxed." I will be much more comfortable holding a position that has thousands in unrealized profit than constantly monitoring trades to figure out if I should close a position after entering it 30 minutes before.

Dan, I even appreciate your relaxed manner of posting. While focusing on the daily charts, it seems like one thorough post from you each week is enough guidance. Thanks for your willingness to teach.
  • #565
  • Nov 5, 2010 7:22pm Nov 5, 2010 7:22pm
Quoting bez3000
Just to pick things up:

Current Trades:

audcad long @ 0.98845
usdchf short @ 0.98500
gbpchf short @ 1.58000

Bez, Congrats on your success. If my take on your three open positions is accurate, you've made about 1,200 pips in the last six weeks on these three trades.

I hope you keep posting. Your growth and success is inspiring and motivating, too.

I am going to start demoing on Monday.
  • #566
  • Nov 7, 2010 12:14pm Nov 7, 2010 12:14pm
Quoting DanUK
Strategy Summary

The basic premise of my trading method is to follow the trend as defined by the higher time frames (typically 4 hour and above). It is a very simple method that is essentially made up of four main elements:

 

  1. Support & Resistance Levels
  2. Trendlines
  3. Fib Retracements
  4. Candlestick Patterns & Breakouts

Quoting DanUK
if price is moving in an upward trend and then starts to consolidate and move sideways I will still look for entries (to buy) at the bottom of the range.
Hi Dan:

In the trade summary you mentioned that breakouts can be entry points in this method. Is looking for PA formations within a sideways market how you anticipate breakouts? Do you use Fibs and/or Trendlines?

I hope that I am not trying to overcomplicate things, but can you provide some guidance regarding how you analyze, and utilize breakouts? Thanks for all the great teaching.
  • #567
  • Edited 12:59pm Nov 7, 2010 12:21pm | Edited 12:59pm
Quoting bez3000
it's been a long hard road but i had a positive October and November is looking VERY good so far!
Bez,

As someone who has been learning this method since the first day, do you have any advice for someone just starting out?

What were some of the key breakthrough lessons for you? What do you know now that you wish you had known at the beginning?

I hope these questions are not too invasive.
  • #568
  • Nov 7, 2010 3:10pm Nov 7, 2010 3:10pm
Hi Dan,

Thanks for all of you really helpful threads and posts.

I have a few quick questions if you don't mind.

1: How do you define a trend? Is it a series of higher highs and high lows in and uptrend and the reverse in a donw trend? - If this is the case could you please let me know how to read these as you mentioned on one post that you were short Euro all the way down to around 1.26 which was a great trade but there was one place where you could have come out of the trade. It was around the 11th of April. On my charts it seems as though the price failed to make a lower low which would signal a trend change? Is that right? Is it possible to let me know how you would decide to stick with it.

2: When you talk about counter trend lines being signals to get back in the direction of the trend, do you require a candlestick signal or a close? How do you handle taking the breakof the counter trend?

3: This is probably related to question one but when you consider highs or lows, do you consider only the really major ones? or do you consider smaller ones? Is it possible for some examples?

Thanks for your help.
  • #569
  • Nov 8, 2010 3:44am Nov 8, 2010 3:44am
Quoting Location
Bez,

As someone who has been learning this method since the first day, do you have any advice for someone just starting out?

What were some of the key breakthrough lessons for you? What do you know now that you wish you had known at the beginning?

I hope these questions are not too invasive.
Hi Location,

What i would say is "Patience Patience Patience" i know we have all herd it before about waiting for the right setup and not over-trading but it is so true.
I think as a group most of us want to become professional FX traders one day, and with that in mind we think that thee only way to accomplish this is by aways being in a trade (as that's what we believe the professionals do, and lets face it if we are not in a trade are we professional traders?) I would say yes, we don't need to be in a trade all the time to be traders. I found this very hard to grasp as in life we are always told we need to be doing our job to get the rewards, well in trading i think "doing our job" does not always involve being in a trade but also monitoring charts and waiting for setups to confirm.
The next thing i found was dealing with losing trades, again in life we are taught not to loose, loosing in failing and who wants to fail? Well i think in trading thats not the case, loosing is a big part of trading and if we can't accept that we should move on and find something else. I found this very hard t deal with, as in the real world i don't deal well with failier so this was a huge obstacle for me.
Finally i would say money management, starting with a small account makes this one of the most difficult things to stick to. As i said we might want to become professional traders and if you start with a small micro account, sticking to money management rules is hard to do.
For example if you have £1000 account and you can make a healthy %10 per month risking %2 per trade that £100 is not enough to live on so the temptation is to risk 10% or 20% per trade could make you 100% or £1000 in a month. The only problem with this is when you get a loosing streak (which you will) you get whipped out so can not trade anymore, this isn't how the pro's do it.
Hope this has helped, i think it's helps me to wright this to remind myself of all the things i have learned from this thread and DanUK.
Thanks Dan.
  • #570
  • Nov 8, 2010 4:35am Nov 8, 2010 4:35am
Hi ya Bez3000..

All important points you've brought up here and a few questions to go with if you don't mind please..

Quote
What i would say is "Patience Patience Patience" i know we have all herd it before about waiting for the right setup and not over-trading but it is so true.
we don't need to be in a trade all the time to be traders. well in trading i think "doing our job" does not always involve being in a trade but also monitoring charts and waiting for setups to confirm.
With this point did you move towards higher TF's of 4HR+ to have time to get into the trade and also avoid all the noise or was there another idea you used?


Quote
The next thing i found was dealing with losing trades, again in life we are taught not to loose, loosing in failing and who wants to fail? Well i think in trading thats not the case, loosing is a big part of trading and if we can't accept that we should move on and find something else. I found this very hard t deal with, as in the real world i don't deal well with failier so this was a huge obstacle for me.
Was there one thing or several things you did to get to grips with this part of trading of having to handle taking losses?


Quote
Finally i would say money management, starting with a small account makes this one of the most difficult things to stick to.
For example if you have £1000 account and you can make a healthy %10 per month risking %2 per trade that £100 is not enough to live on so the temptation is to risk 10% or 20% per trade could make you 100% or £1000 in a month. The only problem with this is when you get a loosing streak (which you will) you get whipped out so can not trade anymore, this isn't how the pro's do it.
What would your advice be on this if you had a small account..stick to that 2% as hard as it will be or do paper trading or something else which may help with this situation?

Sorry for all the questions..

Cheers,
Adrian
  • #571
  • Nov 8, 2010 8:05am Nov 8, 2010 8:05am
Hi aarangio,

Hope this helps:

With this point did you move towards higher TF's of 4HR+ to have time to get into the trade and also avoid all the noise or was there another idea you used?


Yes i moved to 4h and Daily TF's which helped with my patience i think.

Was there one thing or several things you did to get to grips with this part of trading of having to handle taking losses?

I think handling losses is a mental thing, it's about reprogramming ourselves to discard the loss and move on not holding the market responsible for the loss as that could affect the way we trade. Also risking only a small percentage amount per trade makes it easier to swallow i think.

What would your advice be on this if you had a small account..stick to that 2% as hard as it will be or do paper trading or something else which may help with this situation?

For what it's worth my advice would be to paper trade until you understand how this works and are making constant paper profits. Then open an account with money you can afford to loose and trade risking a percentage per trade you are comfortable with. Remember even at 2 - 4% your account won't stay small for long, thats the power of compounding especially if you can add a small amount over time

Sorry for all the questions..

Hope this helps some.

Cheers,
Adrian
  • #572
  • Nov 8, 2010 8:36am Nov 8, 2010 8:36am
Quoting bez3000
Hi aarangio,

Hope this helps:

With this point did you move towards higher TF's of 4HR+ to have time to get into the trade and also avoid all the noise or was there another idea you used?


Yes i moved to 4h and Daily TF's which helped with my patience i think.

Was there one thing or several things you did to get to grips with this part of trading of having to handle taking losses?

[color=red]I think handling losses is a mental thing, it's about reprogramming ourselves to discard the loss...
Hi ya Bez3000..

Thanks a bunch for this....been very helpful!

Making sure I'm on the right track with these issues as I'm stuck in the middle of most of them at the moment now..

Thanks again..

Adrian
  • #573
  • Nov 8, 2010 8:40am Nov 8, 2010 8:40am
Quoting bez3000
Hi Location,

What i would say is "Patience Patience Patience" i know we have all herd it before about waiting for the right setup and not over-trading but it is so true.
Bez,

Thanks alot. This is helpful. These are the take-a-ways for me:

1. Be patient while waiting for a setup.
2. Accept that losing is a part of trading. To throw out a few United States sports analogies: The best NFL quarterbacks only complete about 65% of their passes, Michael Jordan only made 50% of his shots, and the best baseball player only got a hit 40% of the time.
3. Be prepared for losses. Your risk has to be based on the reality that some loses are inevitable when trading to win.

Thanks for the insight.
  • #574
  • Nov 8, 2010 12:07pm Nov 8, 2010 12:07pm
Does anyone know how soon to move your stop to B/E, assuming your trading from a daily chart?
  • #575
  • Nov 8, 2010 1:52pm Nov 8, 2010 1:52pm
I think until this longer term method is mastered 1% risk per trade especially live account is quite reasonable.
Today, I entered trade based upon FX Primus set up Pin Bar candle. As it appeared on GMT brokers did not show Pin Bar...
I understand now as Dan is located in GB, he obviously posts and tardes from GMT broker. Just downloaded IB FX MT4 platform. Must be ok now.
  • #576
  • Nov 8, 2010 2:27pm Nov 8, 2010 2:27pm
Quoting shiko
I think until this longer term method is mastered 1% risk per trade especially live account is quite reasonable.
Today, I entered trade based upon FX Primus set up Pin Bar candle. As it appeared on GMT brokers did not show Pin Bar...
I understand now as Dan is located in GB, he obviously posts and tardes from GMT broker. Just downloaded IB FX MT4 platform. Must be ok now.
Hey Shiko..

How did you finally go with this trade? http://www.forexfactory.com/showpost...postcount=9014

Adrian
  • #577
  • Nov 8, 2010 2:57pm Nov 8, 2010 2:57pm
Quoting aarangio
Hey Shiko..

How did you finally go with this trade? http://www.forexfactory.com/showpost...postcount=9014

Adrian

I am still in. it is ranging. There were not PB on IB FX MT4 platform but was one on Primus which I used to enter, so , there were not reason to enter. But ok, we will see how it will end.
  • #578
  • Nov 8, 2010 4:50pm Nov 8, 2010 4:50pm
[quote=DanUK;4148568]
Something I am going to try and do is post my opinions on the trends and a little analysis for a few of the major pairs - just for newbies to compare to their own thoughts. Please note that this is not intended as trade signals or trade advice - just my own personal opinion on a few currency pairs! Also, remember - I don't do "to the pip" s/r levels which is why I mention "areas" of s/r.


Thanks Dan. This will certainly help a newbie like me!
  • #579
  • Nov 9, 2010 3:04pm Nov 9, 2010 3:04pm
Quoting bez3000
Dan if not too personnel would you mind posting your recent results using this system?
I mean in the last say two months, how many brake even trades / small losses / 1000+ runners have you had?
I think this would serve to not only inspire people as to what is possible but also let people know that having BE and small losses is something we must all face including you. And just because someone has had a run of BE and losing trades doesn't mean they should give up and move on to the next strategy/holy grail.
I think it would be very beneficial but...
Hi bez,

Yes I agree this would be good as a way to show people that patience pays off in the long run... I haven't got the time to do it at the moment but I will endeavor to post some recent results very soon.

Regards,

Dan
  • #580
  • Nov 9, 2010 3:07pm Nov 9, 2010 3:07pm
Quoting Location
Hi Dan and others:

I "discovered" forex about 5 months ago, and I have spent a great deal of time studying. After finishing the School of Pipsyology at babypips, I spent four months reading the James16 thread. It was quite helpful to read all of the posts by some of the senior members there.

However, when I decided to start demoing the concepts, I woke up at 4 a.m. EST to start reviewing 4hr charts on 4 different brokers: 4 a.m., 5 a.m., 6 a.m., 7 a.m. closes etc. It was quite frenzied. I did that for a month, and only found one setup that...
Hi,

I'm glad I've been able to help - I get the odd message of thanks now and then and I do feel that I have achieved something greater than just making money when I've been able to help someone out!

I hope I will be able to continue to help... even if it is in my relaxed manner!

Regards,

Dan
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