Higher low, lower high system

Mrs V has raised the question of just having 5 min charts up and waiting for good angle on ma's. Coming from President of the Society for the Prevention of Changing Charts thats a surprise. I don't think thats gonna happen.

Great charts V, keep them coming.

Mrs V was not in front of charts the whole day, pity this is exactly what we are looking for when 1hr resumes trend but 5 min ma's not yet crossed.

See charts a few posts back, 5378 when we said view of eur and gu is down.

1hr lh itself, upper wick then neg close. 5 min lh little/no lower wick right on the close of 1hr chart as shown by red line.

Eur a very similar story except 1hr upper wick more pronounced then a neg close candle.

5 min chart red lines show the close of both 1hr candles. In this case the 5 min lh that occurs below the RN is exactly what we would look for.

5 min ma's do not have good angle for selling but thats OK for us as 1hr moving back into line with our sell view.

Mrs V missed out yesterday being away from computer and missed out again today.

Eur and gu pretty identical 1hr charts, she traded eur for -11 just after the gu move.

Then with a nice 1hr close on eur (red line on 5 min) she missed this one also.

This is the perfect set up, another 1hr lh neg close candle in direction of our trend view. 5 min good angle down on ma's lh little/no lower wick. Pic perfect set up of what we look for.

These things happen.

Hello! Can you share a link to download 123patternsV6 ?!
At 5 min, I understand that you use ema5 but what is the other ma?!
Thanks!

123 patternsV6 link http://www.forexfactory.com/showthread.php?t=326305 and ma's are 8lwma cross + close gives generally easy visual for entry, 21 ema and 96 lwma (to approximate 1hr 8 lwma).

Thank you very much!

Hi Vantage, thanks for this system!
I'm only on page 6 now but like it very much, and did allready take 1 demo trade on UJ this afternoon, wich was succesfull + 20 pips

I will read the whole thread and am pleased to see you are still around after starting this thread 3,5 years ago.

Hi Chake, You wont regret doing that. The best thing I did after reading through this thread once was to go back to the beginning and do it all over again. Vantage is more than generous in sharing how he trades (successfully) and I have learnt a very great deal here.

It is interesting that to all intents and purposes we are trading the same way after about 4 years. I don't regard a tweak of a ma here and there as a change in trading style (not sweating the little stuff).

We have picked up a lot of seemingly minor bits of info scattered throughout the thread that have turned out to be worth their weight in gold. To name a few:

 

1. London open head fakes
2. Not taking counter trend pre/early US session hl/lh trades from weak 1hr set ups (the US head fake as I'll call it)
3. The little/no wick in direction of trade as a good entry off 5 min
4. Action and effect (basically did a candle follow through ie a good hammer should have a move up or 2 1hr closes at the top a sign move up may fail)
5. London close small reversals
6. Much more attention to 1hr higher lows/lower highs as set ups
7. 3 legs up/down
8. A much better understanding of following the daily as a good indication of what may come today
9. A much better understanding of D candles with divergence as a clue
10. A much better idea of selling rallies in downtrend and buying dips in uptrend
11. A much better understanding of the failings of indi's (price moving quickly away from a ma is an obvious one) and if you are going to use them realise those weaknesses
12. A much better understanding of 1 hr entry candles (OK hammers and shooting stars are obvious) in particular the candle that just breaks the immediate range i.e. an engulfing close

These are just off the top of my head. With the possible exception of the pre/early US head fake (avoiding weak counter trend 1hr candles setting up poor 5 min entries) which I don't think I picked up elsewhere there's isn't an original idea in my trading. There is absolutely nothing new around and I thank the many, many, many people that have given generously of their ideas over the years. I just picked up a few and put them together in a style that works for my personality.

On that basis here are the threads I currently lurk in:

 

1. Psych levels pivots and T/L's http://www.forexfactory.com/showthread.php?t=98028 good patterns in the trend of the day
2. True trading tactics http://www.forexfactory.com/showthre...65#post5395965 a better appreciation of 1hr candles
3. X Mans super simple system http://www.forexfactory.com/showthre...84#post5395984 also helping with appreciation of 1hr but beware this one has lots of tangents with people asking about everything under the sun
4. Beyond the candles http://www.forexfactory.com/showthread.php?t=317593
5. Trading made simple for D charts http://www.forexfactory.com/showthre...73#post5393773

I do not use TDI or the 'funny' candles in the latter 2 threads they have helped with view of 1hr/D pa.



I am bad that I don't check out more at FF and there are quite prob loads of great threads I never even look at.


Basically the whole of this is a very, very long winded way of saying try and get as much info on good 1hr set ups then use 5 min hl/lh's to fine tune entry.

thank you for your last post.
nice orientations

This was a post from 2 Feb.

It took a couple of days but we then had 2 dojis with big rsi divergence setting up potential sells. The D neg close evening star type pattern set up the sells for the week. Each 1hr rally with a neg close 1hr set up good sell opp's.

A big pos close hammer should have followed through higher but the shooting star Fri still sets up sell opps.

I haven't drawn the upper TL but would like to see any poss moves up rejected. By the same token I'd like any moves below Fri's low to only have a small upward reaction to set up sell opp's.

We'll see how the candles shape up but thats the current thinking.

GU is not quite as clear. RSI above 50 level and crossed above its red ma. Gu had a morning star pattern around 5700 where it ws getting sold in Dec. The shooting star on Fri not quite as clear as eur's. I haven't put the red line at 5770 but its the area of the upper wicks in Dec.

The 1hr sell div from Fri just as clear. I'll be suggesting Mrs V treads very carefully on GU on Mon, obviously depending on how the candles shape up.

EJ pretty clear and a little space before next areas I have as potential R levels.

Mrs V had a day off with US hols.

Our view of eur fall on D chart analysis didn't pan out with a big move up with Asian news.

This 1hr hl bounce off high from 15th should have given a good opp to buy. Red line on 5 min shows pos 1hr close. 2 nice hl's little/no upper wick nice angle on ma's.

EJ did plan out as expected following the D chart higher. Red line shows 1hr close 5 min hl 20 mins later, little/no upper wick.

Vantage

Your thread is one of the best I have read. Clear concise and full of great tips and help. I think we should all be thanking you.

Your first page helped the penny drop and together with Rob and your contributions on 123 patterns revisited I have learnt a lot.

I have combined this with some basic money management - thanks to Udine on Invictus and some of his ideas and had a really good day today with 39 pip haul over 3 trades.

So thank you for your insight and thread.