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B.S. Trading with Kenneth Lee

  • #2,861
  • Feb 28, 2012 1:24am Feb 28, 2012 1:24am
Pulled my PO - Post 2860 as it would appear that PA made the short on the 30 M level..

TSD
  • #2,862
  • Edited 3:19am Feb 28, 2012 2:24am | Edited 3:19am
Well, as planned (#2859), I bought EURUSD on a bounce from a swap zone on M30, after not bad news.
There was already the down reaction from the next Supply level on M30, so I protected +1 pip and will wait.

Edit: OK, out with +1 pip. I'm satisfied with the results of this "battle reconnaissance" - it is not an uptrend yet. By the way, another reason for immediate breakeven was that the price pierced through the swap level.
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  • #2,863
  • Feb 28, 2012 6:23am Feb 28, 2012 6:23am
Quoting Shaltay
Happy trading day to everybody!

Osman, thanks for your kind opinion about my Sell trade.
Stoli7188 - you are the Champion in CHFJPY-Sell, congratulations!


I will wait for a Buy possibility. Anybody who sees this situation from another angle, please share your opinion.

Hi Shaltay,

I am watching the eur too. I have a PO @ 1.3547 . The reason for that is that I see on the weekly chart that this area was previously demand that turned supply. So we might expect some reaction there. I am no expert so I could be wrong tho. For the ones that are looking at Pivot Points, we have a weekly PP @ 1.3559... We might not get all the way to 1.3547 but if we do, I will be a seller.

PS: Kenneth Lee, nice thread you have here! Lots of very good info!
Thanks,
@mel
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  • #2,864
  • Feb 28, 2012 6:26am Feb 28, 2012 6:26am
Waiting for this eurusd 30min, RBR demand + swap. Rise came in the middle of the night, no news nearby, so I expect genuine demand there. And it's also in fib zone.
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  • #2,865
  • Edited 9:07am Feb 28, 2012 8:34am | Edited 9:07am
Quoting hotochin
Thank you for the response. I was asking because it looks like everyone is taking all of the pullbacks on the smaller time frames that align with the higher time frames. With Sam it seems like he draws upper and lower lines and then only takes the trades that are higher or lower on the curve. In other words he might be going against the trend.
For his longer term time frames Seiden uses a simple 50% line between the weekly supply/demand. Below the 50% line in an uptrend he looks for longs only on the D1. Above the 50% line he will look for shorts as well as longs on D1 but longs limited the higher price goes to weekly supply. No reason why this rule cannot be applied to lower time frames to keep you on the right side of the higher time frame curve. I use it myself between the daily supply/demand when trading the H1/15min levels. Its a no brainer and keeps me trading at extreme levels and out of trouble even though sometimes I might miss out on the odd screamer level.
  • #2,866
  • Feb 28, 2012 9:27am Feb 28, 2012 9:27am
Quoting nawlins51
I like it and will be watching this area myself. In my chart you can see i pulled 2 Fibs just too look. Seems like it agrees with us. I am not a fib guy usually but will pull one from time to time just to see.
Hey Naw,

We got a bounce of the a 15mins level based on the swap.

Let see how far it goes..

Edit: 2:1 reached..stops to BE closed half
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Trade Smart
  • #2,867
  • Feb 28, 2012 9:30am Feb 28, 2012 9:30am
Quoting Porkpie
For his longer term time frames Seiden uses a simple 50% line between the weekly supply/demand. Below the 50% line in an uptrend he looks for longs only on the D1. Above the 50% line he will look for shorts as well as longs on D1 but longs limited the higher price goes to weekly supply. No reason why this rule cannot be applied to lower time frames to keep you on the right side of the higher time frame curve. I use it myself between the daily supply/demand when trading the H1/15min levels. Its a no brainer and keeps me trading at extreme levels...
Thank you for the response! Do you just take those levels above the 50% line or will you go down to smaller timeframes once price is in those levels and see if they will hold or not?
  • #2,868
  • Feb 28, 2012 9:51am Feb 28, 2012 9:51am
Quoting Kagawa
Thanks Good Lookin!

Yes, I think I understand. It's probably a mistake to treat this supply area as two seperate zones in the first place and only be prepared to take the lower zone. I'm not saying that we shouldn't define two areas there and prepare for two consecutive entries (if price pushes higher) so that we can define an appropriate R:R, but rather that... since we have a 'level upon level' situation going on, it makes no sense to only take the lower zone and discard the higher zone, right?

But if we merge these zones together into one...
You got it Kagawa. That red line (swap, resistance, strawberry railroad, whatever you wanna call it! ) was placed because you noticed price is continually respecting it. On the 4h there isn't a real base to trade off of in this situation. But since you know that the strawberry railroad has been pushing price away everytime it gets there then when you go down to a lower time frame you should be looking for bases near to it. This is essentially how i trade.

Look for a daily trend or channel and set daily zones to be aware of.
Go to the 4h and look for big drops.
Go to the 1h and trade bases in the direction of the trend or sell at the tops of channels and buy at the bottom.
Go to the 30m if the 1h isn't as clear.
  • #2,869
  • Feb 28, 2012 9:59am Feb 28, 2012 9:59am
Quoting hotochin
Thank you for the response! Do you just take those levels above the 50% line or will you go down to smaller timeframes once price is in those levels and see if they will hold or not?
Regardless of where the level is in relation to the 50% line (equilibrium),it makes no difference. Limit order entry or confirmation entry is dependent on the actual quality of the level as discussed elsewhere in this thread.
  • #2,870
  • Feb 28, 2012 10:20am Feb 28, 2012 10:20am
So I get up this AM and what do I see. PA would have taken me in on my
Short PO @ 34577 on the 15M Post #2860, eventually hitting my target. Yes, it would have been a long bumpy ride....but the level was the right call.. errrrrr !

Stay with the plan. Give it time.

TSD
  • #2,871
  • Feb 28, 2012 2:06pm Feb 28, 2012 2:06pm
Quoting Good Lookin
You got it Kagawa. That red line (swap, resistance, strawberry railroad, whatever you wanna call it! ) was placed because you noticed price is continually respecting it. On the 4h there isn't a real base to trade off of in this situation. But since you know that the strawberry railroad has been pushing price away everytime it gets there then when you go down to a lower time frame you should be looking for bases near to it. This is essentially how i trade.

Look for a daily trend or channel and set daily zones to be aware of.
Go to the 4h and...
Gold!
  • #2,872
  • Feb 28, 2012 2:11pm Feb 28, 2012 2:11pm
Had two trades today one win one loss. The loss first:

Quoting Kagawa
Waiting for this eurusd 30min, RBR demand + swap. Rise came in the middle of the night, no news nearby, so I expect genuine demand there. And it's also in fib zone.
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I think the idea was correct, but I placed the zone wrong, if I had placed the zone lower then the trade would be a very easy and quick win. The correct zone extends much lower and I didn't notice that because I was too focused on the swap and the alignment with the fib.


The win was on USDCAD 30min DBD. Chart:
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  • #2,873
  • Feb 28, 2012 11:31pm Feb 28, 2012 11:31pm
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PO @ 1.08380 Sell on the AUDUSD


TSD
  • #2,874
  • Feb 28, 2012 11:46pm Feb 28, 2012 11:46pm
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Referencing post # 2873 Update

GBPUSD tends to move inverse from the AUDUSD. If the GBPUSD is able to break the Daily High and Close of 2/28 I expect a bounce to the short side on the AUDUSD.. Really nothing in the way of PA move long into the daily Supply on the GBPUSD.

Will see ?

TSD
  • #2,875
  • Feb 29, 2012 1:39am Feb 29, 2012 1:39am
E/U nice demand level on daily:nerd:

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  • #2,876
  • Feb 29, 2012 1:44am Feb 29, 2012 1:44am
Quoting bullzeye
E/U nice demand level on daily:nerd:

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I am long in that trade
  • #2,877
  • Feb 29, 2012 2:01am Feb 29, 2012 2:01am
demand failed sitting near higher time frame supply:

  • #2,878
  • Feb 29, 2012 3:48am Feb 29, 2012 3:48am
Long CHFJPY from 90.01, after analysing D1 and M30 charts.
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  • #2,879
  • Feb 29, 2012 4:20am Feb 29, 2012 4:20am
Quoting bullzeye
E/U nice demand level on daily:nerd:

Attachment

Hey Bullzeye,

Correct me if im wrong but I see euro in a supply area on the daily, we are at one but above we've got another one which has been touched already but with the consumption on the actual level its gonna make it hard to break it imho.


Os.
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Trade Smart
  • #2,880
  • Feb 29, 2012 4:33am Feb 29, 2012 4:33am
Quoting Osman
Hey Bullzeye,

Correct me if im wrong but I see euro in a supply area on the daily, we are at one but above we've got another one which has been touched already but with the consumption on the actual level its gonna make it hard to break it imho.


Os.
And it is at the 38.2 ret. In the end, we are still in a downtrend.
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