herds_sheep_lemmings - and nothing more!

lots of pretty colors on chart to look at too!

Hello Twiitch
So you trade from twoo timeframes and you use mainly volume+charting...
Is it effective? If you run it for some time, How much profit(average) does it monthly? How do you feel, when you trade this method? Thank you. Fana

It tracks what smart money is doing...it supplies the trader with a simple BIAS for market direction better than any indicator could ever hope to..and it tells us the next move in the direction of that bias is 90-100+ pips or more...this method follows in harmony the folks who run the markets....accumulate when they accumulate and profit take when they profit take. we can read from the charts when these specialists are accumulating a position against the public..and we can then profit take along with them. so we know 2 things
bias for direction of the next profit taking move...which is...most of the time 90-100+ pips. you would have to decide if this is effective for yourself. you can do that by asking simple questions about what you would need in a profitable trade.....1. which direction, 2. entry, 3 where to take profit. 4. how much do you have to risk.
I like this method of trading, it helps to get rid of guesswork...when the market shows me accumulation of say buying by the "smart money" I know ....beyond any doubt that the next 100 - 200 pip move is up! is there much risk when....the next move of profit taking has to be up...and I know that. it is not the fib retrace or macd or moving averages that are the forces that drive the markets. I do agree that s/r and trendlines play a role in where public will buy or sell. but price action and volume will tell you where Smart money will take the market next...and luckily for us...they tell us pretty much once every day or every second day for sure...so there are alot of opportunities almost daily in each pair. as for pips..well... I am not a full time trader..I wish I could trade more often than I do.....one day though...one day..

A

not sure if this view on gu makes any sense on how it's manipulated.
short accumulation made sense when we look at long term picture...GBP had to get up to the channel resistence area...for sure. this post I have been watching for the last few days to see how it would play out.
http://www.forexfactory.com/showpost...&postcount=424
since gu was so close the 1.4875 entry short...on the 17th profit taking up move...only 40 pips away... I wasn't sure how they were going to pull it off...after the fact I see how.
for sure keep the big picture in your back pocket...where might the market likely go to.

A

It looks very bearish on GU to me.

hour and ten minutes to the news.

Nice thread my man...

Need to get my head around the whole accumulation/distribution. I'm sure your thread will be insightful.

keep up the good work

1. wait to see enuf acc after a profit taking
2. this is gonna be at least 5 hours
3. start looking for an entry after 2. has been met
4. watch ppl get locked in wrong....
5. look for a nice entry....cuz you now have the best bias for trade direction that you could ever have.
6. hold for 90 - 100 pips for sure.

there's a 1a, 2a, 3a, 4a, 5a, 6a ...all in the above
it says 'BE PATIENT'

audusd chart

the eurusd this am

distribution at previous highs

previous day down...today down too!

end of previous day is distribution...

nice colors to look at on the chart too.

accumulation then profit taking.

same but different

somehow a double...double top

why long?

Hi Twiitch . . . Thanks for turning me on to this thread. Great stuff! Two questions, if I may:

1. What cues can help us recognize when profit-taking is turning to accumulation?

2. The blue lines on the black background are crazy hard to see. Are you keeping everyone over 30 out of reading your thread? ;-)

Twiitch - Using the chart link you gave before:

http://www.dukascopy.com/plugins/fxMarketWatch/

and looking at D1 GBP/USD . . . Does it appear that last week was an acc week on an upmove? Is there a longer-term bias down?

Hey Marcus... as for last week it looked like huge support in the 1.6 area for GU. a rally off that support is not that hard to see. I don't really see a trend in GU right now.. it's in a large triangle and range bound
I personally use daily, 120min 60min and 10 min charts....
I will look to 30min and 15min for vsa style entries.
the 60min and 10 min charts make it easier to see how I read the market. you can see in lots of my charts how I try to mark the end of a profit taking on the hourly or 10 minute chart.

the fast 100 pip plus down moves tell me when profit taking is ending...give me a starting place for next low volume session and an accumulation.....it takes time to acc a position..if you can see that before trading. you have additional edge to direction of next 100 pips.

blue sux but orange is fruity!

the markets are tricky they are meant to be...but using volume is the way to go...

Twiitch - This may be a little off topic, but it might help to separate noise from the actions of the Smart Money.

Concerning that rally off of 1.6 in GBP/USD, I can see why you say that was looking highly likely.

But can you see any evidence that the SM created that situation? Did something bigger than SM create it? I guess that could also be asked this way: "Is the rest of the market big enough to do its own thing sometimes, regardless of what SM does?"

And I would suspect that if that's true . . . SM was clever enough to see it coming and capitalized on it.

Maybe we could call orange "citrousy"? Does that make it sound less fruity? <snicker>

And hey . . . thanks for taking the time to answer my questions and posting your charts. It REALLY helps!