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  • #221
  • Nov 19, 2011 3:28am Nov 19, 2011 3:28am
Hi Fxgroup,

Thanks a lot for sharing a new way to identified buyer and seller.

Can you advise how to determine the SnR level ? since I see you use the candle open and close. It is all candle or you have other specification to draw the SnR line in some candle.

Sorry for newbie question since I really no idea when to draw the SnR line


Thanks a lot.
  • #222
  • Nov 19, 2011 4:35am Nov 19, 2011 4:35am
Quoting pipfirst
Hi Fxgroup,

Thanks a lot for sharing a new way to identified buyer and seller.

Can you advise how to determine the SnR level ? since I see you use the candle open and close. It is all candle or you have other specification to draw the SnR line in some candle.

Sorry for newbie question since I really no idea when to draw the SnR line


Thanks a lot.
You didn't read all the thread, I see. Read the posts above
  • #223
  • Nov 19, 2011 4:48am Nov 19, 2011 4:48am
Hi
sorry for answers delay, but as I said family issues kept me away of the screen....and it worth it....last sunday, my wife born our second child..so....!

The levels are one of the most important elements in trading, but are not everything. Understanding what the buyers and sellers are doing at our levels, becomes fundamentally.
The old levels that are dating by years are important and becomes very important levels when the recent levels are missing.
Obvious we have to pay more attention to those level that were important in price's evolution.
Let's see some charts with the same levels: CADJPY and how to understand what the buyers/ sellers are doing.
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Nothing personal,just business
  • #224
  • Nov 19, 2011 6:02pm Nov 19, 2011 6:02pm
Quoting nikim
With regards to stop level I was more asking about stop loss. If you enter a trade short do you set your stop loss at the next swing high/ w level or do you use the high of the previous bar?
The SL depends on a series of factors but the most common for a short sell are:

- Right above the high of the PA pattern that triggered the trade. Basically it's similar to James16's, including putting SLs above the high of the PBs.

- In case there is a PA pattern close by resistance (above), the SL is 5-10 pips above such resistance.

Mirror the above sentences for going long.

The entry order instead is few pips below the triggering PA pattern, sometimes the pips are some more because some prior candle has a low (high for going long) that goes a couple of pips below the PA pattern close. This helps against SL hunting.
  • #225
  • Nov 20, 2011 12:08am Nov 20, 2011 12:08am
Hi Fxgroup,

thanks a lot for your give the sample.

Can you advise how you be sure that price will bouncing at the SnR line ? or its going to break the SnR line.

Please advise

Thanks


Quoting fxgroup
Hi
sorry for answers delay, but as I said family issues kept me away of the screen....and it worth it....last sunday, my wife born our second child..so....!

The levels are one of the most important elements in trading, but are not everything. Understanding what the buyers and sellers are doing at our levels, becomes fundamentally.
The old levels that are dating by years are important and becomes very important levels when the recent levels are missing.
Obvious we have to pay more attention to those level that were important in price's evolution.
Let's...
  • #226
  • Nov 20, 2011 2:49am Nov 20, 2011 2:49am
Quoting pipfirst
Hi Fxgroup,

thanks a lot for your give the sample.

Can you advise how you be sure that price will bouncing at the SnR line ? or its going to break the SnR line.

Please advise

Thanks
I hope you'll pardon me for giving replies in place of FXGroup, I wish to help too since he says he's so busy.

Basically you don't "lead" the market. Some of those using indicators try and fail that. You follow and listen to the market.
Therefore, you can't be "sure" of anything, you have to wait for the market to tell you what he wants to do and only then, with much patience, take a responsible decision.

When P hits a SnR line you know there will be a bias pressure from the long term trend but you can't be sure such line will be broken or not. This is why other PA methods are less safe, they will tell you to trade that pattern right on the SnR line and then > 30% of the time you get SL.

Instead, with this method, you first wait for market to tell you WPD, then act. In this case you:

1) First wait for the market to break the SnR line (may or may not happen).

2) Then wait for the market to retrace back to and hit the SnR line again (may or may not happen). The SnR line must be M or W (not D, they are too weak).

3) Then you wait for the market to show a PA pattern you know, i.e. a BEOB / PB / DBHLC (may or may not happen).

4) Then you check if you have enough room to trade before hitting the next strong M or W line.

5) Only at this point you open a position.

The most common criticism this method gets is: "yeah but I have to wait a lot and also to miss lots of very nice trades!"

It's true, but you also miss a lot of very nasty (100-200 pips) stop losses!
Anyone who used other methods to trade PBs can tell you how nasty is to get a SL on a long tailed daily PB, this method of FXGroup aims at people who don't have huge capitals to lose nor a whole day to spend before a monitor.

FXGroup's method FIRST asks the market to clearly tell what it wants to do, then trade. There's as little "betting" and "lucking out" as possible.

You can still get plenty of trades, you just have to trade multiple markets instead of hammering on just one. You also get the beneficial effect of hedging and spreading risk, by trading multiple markets you don't keep all your eggs in one basket.
  • #227
  • Nov 20, 2011 5:06pm Nov 20, 2011 5:06pm
We turn back to talk about some very important trading steps:
Psychology
-plan the trade-one of the most important in trading process is the trade plan, understanding what the price is doing, who is in the market control, waiting for the price to reach our levels and the emotion control.
We accept and we are taking all the responsibility for our actions as trades, entries, exits, etc.

Trading decision
-the fase when we have the confirmation by who is in the market control. we have a trading decision only if the price does what we are expecting, for all the rest of market situation…we stay out.

After we studied our chart and read it, we complished one of the most important step in trading: Psychology.

Now, all we have to do is wait patienceously and prepair for the next step: "Trading decision". Waiting for the right set-up, becomes an emotional games to respect our own rules: "we have a trading decision only if the price does what we are expecting, for all the rest of market situation…we stay out" !
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  • #228
  • Nov 21, 2011 2:23pm Nov 21, 2011 2:23pm
I know that we have allready talk about this pair, but is very interesting how the P reacted exactly how we anticipated.
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  • #229
  • Nov 21, 2011 2:48pm Nov 21, 2011 2:48pm
Quoting fxgroup
We turn back to talk about some very important trading steps:
Psychology
-plan the trade-one of the most important in trading process is the trade plan, understanding what the price is doing, who is in the market control, waiting for the price to reach our levels and the emotion control.
We accept and we are taking all the responsibility for our actions as trades, entries, exits, etc.

[font=Calibri][size=4]Trading...
Hello, fxpro,

You are looking for bullish signal on that pair, but W and M are in downtrend, aren't they? Should we stand in the front of this big train going down?

Thanks,
Donatas
  • #230
  • Nov 21, 2011 4:02pm Nov 21, 2011 4:02pm
Quoting fxgroup
Monthly levels are are very strong on daily chart .
hi fx

going through the thread and read this Monthly levels are are very strong on daily chart

so true

john
  • #231
  • Nov 22, 2011 2:36am Nov 22, 2011 2:36am
[quote=BaliuxXx;5153980]

Quote
You are looking for bullish signal on that pair, but W and M are in downtrend, aren't they?
The M is in a good bullish momentum and after the PB's pressure, now the P reached it first target..so..a partial taking profit of long positios rather than sellers is absolutely a normal reaction...and personally I don't think is at its final target...but we wait to see it !
On W chart we are seeing HH+HL and now the P is stuck in W RM with the first M target as R.
Remember that one of the most important rules is to act ONLY if the P respect our plan, otherwise...we stay out !
Nothing personal,just business
  • #232
  • Nov 22, 2011 4:38am Nov 22, 2011 4:38am
The battle between the buyers and the sellers for the 1.7511 level is still goes on and made this market congestion as triangle(RM dynamic) arround our level.
A breakout with a level's confirmation as S will push the price up and the RM's R supported by the PB M, becomes our target.
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  • #233
  • Nov 23, 2011 3:54am Nov 23, 2011 3:54am
The price is in RM M+W and reached to an important W level.
A W confirmation would be nice for a D RET !
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  • #234
  • Nov 23, 2011 4:46am Nov 23, 2011 4:46am
With a PB W right into W R and a sellers reaction on D, it is easy to understand that in such a tight W RM, the best thing to think at, is capital preservation.
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  • #235
  • Nov 23, 2011 7:57am Nov 23, 2011 7:57am
Quoting fxgroup
I know that we have allready talk about this pair, but is very interesting how the P reacted exactly how we anticipated.
BUT!!! - We had no entry, because there was no PA (PB, OB), right? (post 228)
  • #236
  • Nov 23, 2011 12:42pm Nov 23, 2011 12:42pm
[quote=Milton;5160393]
Quote
BUT!!! - We had no entry, because there was no PA (PB, OB), right? (post 228)

Not a traditional one ....BUT....the evening star....did its job !
Nothing personal,just business
  • #237
  • Nov 23, 2011 3:20pm Nov 23, 2011 3:20pm
Quoting fxgroup
The price is in RM M+W and reached to an important W level.
A W confirmation would be nice for a D RET !
hi fx

so we wait for the weekly bar to close below the M support line and then look for a daily retracement PA at the M resistance line

thanks john
  • #238
  • Nov 24, 2011 7:53am Nov 24, 2011 7:53am
Since both M and W are in RM with the price right now at the S, perssonally I prefer more a W bullish PA candle..is with the main trend and on W chart, the price looks nice exaustion.
Nothing personal,just business
  • #239
  • Nov 26, 2011 7:48am Nov 26, 2011 7:48am
[quote=desperate;5154160]
Quote
hi fx

going through the thread and read this Monthly levels are are very strong on daily chart

so true

john

That means you worked with them for some time....look to our AUDCAD...no surprise at all !

P.S. Put some charts with M levels and I'll show you some other nice stuffs !
Nothing personal,just business
  • #240
  • Nov 27, 2011 4:39am Nov 27, 2011 4:39am
hi heres some of monthly charts,

blue line is monthly

white line is weekly
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