Using the DASR for successful trading

Got AUDJPY on my platform. Three lovely bars today on the 4 hr! Anyway there's always tomorrow!

Guys EURJPY moving up like a rocket! What a day!!

Up we go - 50th floor please!!

Two great days of trading but thanks to the DASR system we have a strategy and really it works. It's not rocket science. What we are doing is really using the DASR created by price action itself to trade price action. It's NOT foolproof because when we go down to the lower time frames to find a good place to trigger our trade, we are at the mercy of the horrid whipsawing that you get on the lower frames. That's why I sometimes (and it's usually more successful!) just take a trade directly from the 4 hr chart. I did that just now on EURUSD and EURJPY. Price action well above DASR and nice looking bullish bar!

Well, if you check my post No. 100 yesterday, I said 12950 was the target today and we've just about got there. Not sure if we will get there because we've banged against strong resistance which of course is the DASR on our daily chart (we see that on our 4 hr by using the 1 vegas tunnel) In the meantime, EURJPY has got back to 100.00 which is quite something.

Well it's been a great day and the worse thing you can do is spoil a good run by over trading!

So I'm going to take a break now and hope to catch you all in the morning.

I hope now that any who have been following this thread understand the system or strategy and use it to at least have more successful trades then unsuccessful
ones! Of course always remember to use good money management and have a SL (always on the other side of the nearest DASR - on the appropriate lower time frame). If you're trading a full lot rather trade a half-lot if you're trading a half -lot rather trade a quarter-lot! You'll still make money and be able to tolerate double the amount of losses you could before! AT ALL COSTS PROTECT PROTECT YOUR TRADING BALANCE!!

RGDS
JERRY

Thought I'd post this:

EURUSD Outlook | Written by ActionForex.com | Jan 19 12 15:03 GMT

EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.2774; (P) 1.2821 (R1) 1.2908; More.

The break of 1.2878 resistance in EUR/USD today suggests that a short term bottom is formed at 1.2625 on bullish convergence condition in 4 hours MACD. Intraday bias on the upside for further rally to 1.3076 resistance. But at this point, we'd expect strong resistance from 38.2% retracement of 1.4246 to 1.2625 at 1.3244 to limit upside and bring fall resumption.

In the bigger picture, price actions from 1.6039 are unfolding as a consolidation pattern in the long term and is still in progress. Fall from 1.4939 is a falling leg inside the pattern. It's hard to anticipate the length of a leg of any complex corrective pattern. The first line of defense would be on the above mentioned 1.2452 projection level. Strong break of this level would then likely send EUR/USD through 1.2 psychological level to 1.1875 and below. Meanwhile, we'd prefer to see sustained break of 1.3145 support turned resistance before considering near term reversal.

Hi everyone

Well today quite obviously we are going to look for more of the same as yesterday as no prizes for guessing that the EURUSD as well as our other pairs have shown quite extraordinary counter-trend moves and the correction looks like continuing for some time yet.

How do we trade it? Well price is far away from our DASR on 4hr chart so we obviously have to go down the the lower time frames to find a good entry. An example of this could be found on this morning's USDCHF 15 min chart (see yellow circled area)

rgds
Jerry

A similar situation with EURUSD - as we can see in the attached 15 min chart, price has been bouncing nicely up the 15 min DASR - we could have entered anywhere at that support line.

Of course so true - "Close bad trades fast and let good trades run"

So ideally we should try to put a SL well behind the DASR which is what I could have done yesterday when I sold USDCHF at 9371 if I had put a SL on the other side of the DASR on 30 min chart (see yellow line on 30 min chart attached) and let it run - wuld be sitting with 60 pips by now!!

Hi Jmtini and other traders, I like the concept of DASR. I trade mainly short time frames (5min), but I am going to try to incorporate your method into my trading - to let trades ride the trend, and take quick profits counter trend.

Thx for your time and effort Jmtini, much appreciated

Thanks lappies!

Well we've had an inevitable reversal.

Our final line of defense is the DASR on 1 hour

see attached

BUT WE DON'T SELL WHEN PRICE ACTION IS ABOVE DASR ON 4 HR CHART!!

Looking to buy euro soon, as can see from 2nd chart we are on previous resistence now support aka pivot, so if there is a turnaround back to bulls this is the place.

1st chart. Also on the 1hr chart on DASR we are getting a nice reaction at the DASR with pivot also

Hi everyone

Been out this morning so haven't traded.

Euro looks weak today (take a look at all Euro pairs)

Cable looks a lot stronger so I've gone long off the hourly "bounce"

Also might be good to take a trade on Aussie pairs - Aussie looks really strong today. Taken a small trade off the 4 hr

Hi deankenny

News related "eurozone woes" could be hitting the euro today which will affect cable of course so maybe better to stick to Aussie for buys today. This afternoon's NY session could see the euro fall. It's a "Friday" after all!

AUDJPY looks particularly strong. CHF looks flat at the moment. JPY looking weak still so maybe to concentrate on JPY pairs?

rgds

Euro now below daily pivot so looks like a dangerous afternoon for bulls! I've closed my GBPUSD trade just in case.

Looks like all bullish pairs for yesterday are in retreat. Would suggest to stand aside this afternoon unless position reverses in a hurry!

Cable holding up and a weak euro looks like a nice time to trade EURGBP

Well smack on wrist time for me!!

GBPUSD bounced nice off our DASR - why did I close the trade??