attaching a file about it..hope it helps
Attached File(s)
james16 Chart Thread
- #110,503
- Edited 12:37pm Apr 19, 2012 12:25pm | Edited 12:37pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
The setup itself isn't that bad . .PB is structurally valid due to the proxy of Support of the previous bars. At a Swing Low . .Size could be bigger (an easy "pass" for Mike due to its small size).
But as a strong Support level . .with a Daily bar (the PB) breaking through Support and then closing above the Support gave confirmation that this is a strong Support level. I posted the 87.80 entry, but the break of the PB was also valid.
Stop loss would be below the Low of the PB . . there are other S/L indications that can be used but I won't...
Once Price hits my 1st target, an action on my part has to take place. I absolutely reduce my risk, first and foremost. I may go right to break even or at least under the Support level that started the trade.
The same with a PB break entry . .stop loss moved from under the PB to under the Support level. . .the PB's 1st target would probably be the 2nd target on the chart.
b) how you trail your stop when your trade go in your favor? (hard answer to explain i know) Not hard at all to explain. .I move my stop loss under the targets as Price breaks through them and closes above them.
c) more important, if you usually take out all the profits at the next PPZ or SR you know price is likely to bounce or stall OR sometimes you take partial profit at first PPZ and then you hold the trade hoping for bigger profits and so when you act like this.
This is a great question
I will usually take full profit at these strong levels . .why? Because another setup my develop there. ..which may be a bullish or bearish setup.On the ChfJpy . .full pofit would be taken at the Highest Close of Resistance level (HCR) (88.74). If price break through and close above this level I can always re-enter on the Daily or a lower time frame.
Whats the R:R on this trade . I don't know, I didn't apply it. it had no relevance to this trade.
Jim
Indicators show the past. Price Action "Indicates" the future.
- #110,504
- Apr 19, 2012 1:01pm Apr 19, 2012 1:01pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
Thank's sir. trust and building the confident are the key.
gado
Did you see these setups that were also on the EurAud . .
Indicators show the past. Price Action "Indicates" the future.
- #110,505
- Apr 19, 2012 1:05pm Apr 19, 2012 1:05pm
- Joined Sep 2005 | Status: J16 Senior Member | 13,635 Posts
Keep it gado ..you just have to see it happen more and more. The confidence will come over time.
Did you see these setups that were also on the EurAud . .
Indicators show the past. Price Action "Indicates" the future.
- #110,506
- Apr 19, 2012 2:58pm Apr 19, 2012 2:58pm
Update AUDCHF: It started doing sth!!! And we have a down move - exactly like i wanted...Now pullback and some pa....
I'm already in. Where? why?
- #110,508
- Apr 19, 2012 3:32pm Apr 19, 2012 3:32pm
- Joined Oct 2010 | Status: full time beer drinker | 1,345 Posts
- #110,509
- Apr 19, 2012 3:36pm Apr 19, 2012 3:36pm
- Joined Oct 2010 | Status: full time beer drinker | 1,345 Posts
- #110,510
- Apr 19, 2012 4:38pm Apr 19, 2012 4:38pm
I'm sure your daughter tests your patience every day, pata . .
Just to continue . .You were asking about the Price movement of the EurJpy at the 106.00 RN.
The movement of Price tends to center around the common market dynamic of Support and Resistance levels . As you study this thread, James16 talks about the PPZ level (Price Pivot Zone) it is an area of the market where Support and Restance areas meet ..together. PPZ levels are great areas to look for in the market. Along with just Support levels and Resistance levels on their own....
ok, i'm on it... don't know much about anything in this thread, as in the fx by the way. I guess it makes me blank of any preconceived idea...
so: back to PPZ & S/R
and so many thanks for your time and kindness!!
Slow & steady
- #110,511
- Apr 19, 2012 4:39pm Apr 19, 2012 4:39pm
Nice trades. Will be interested to see how you manage. I'm not quite at BE yet....but 80% or so is off table. I really love the strong close below .9200. I'm going to pay attention to the daily level at .9181...if we make it that far...and then make the decison on my next move. The area is confluenced with the ema approaching. This one's honestly gone as far as I can expect, so anything else is gravy.
- #110,512
- Apr 19, 2012 4:58pm Apr 19, 2012 4:58pm
b) how you trail your stop when your trade go in your favor? (hard answer to explain i know) Not hard at all to explain. .I move my stop loss under the targets as Price breaks through them and closes above them.
c) more important, if you usually take out all the profits at the next PPZ or SR you know price is likely to bounce or stall OR sometimes you take partial profit at first PPZ and then you hold the trade hoping for bigger profits and so when you act like this.
This is a great question
On the ChfJpy . .full pofit would be taken at the Highest Close of Resistance......
setting properly profit taking levels is an art and i know has nothing to do with golden numbers or fixed amount. as you said before, once a high quality price action signal occur, there's usually a level where price is likely to go with a very high probability. after this initial "sure" move, we cannot predict with the same confidence what is about to happen: maybe the probability of the price to move further, breaking those levels, are still in our favor (>50%), but not as before.
i know that if you do your homework carefully you can predict very well where price is about to go, at least for the very next 1-3 bars (reaching usually a PPZ with a lot of bar highs and lows like the one on CHFJPY @ 89.00) still getting a good R/R ratio.
a) how you move your stop to breakeven? again, do you move it after a fixed amount of pips (maybe a small amount, to be sure to avoid virtually any losses) or do you think moving it after 0.5 SL in profit would be a good compromise?
Once Price hits my 1st target, an action on my part has to take place. I absolutely reduce my risk, first and foremost. I may go right to break even or at least under the Support level that started the trade.
The same with a PB break entry . .stop loss moved from under the PB......
looking back now i understand this is the point where i needed to focus most.
i used fixed amount of 30 or 40 pips in profit to move my stops to BE, but i can now understand this method isn't so good because it doesnt adapt to each trade (which is every time a whole new story) and the current market behaviour.
while im now much more strongly convinced about the way i was managing my take profits (dont worry that's the first time i talk about R/R and i will forget it fast
), i now belive i need to give more space to my trades and switch to a more "adaptable" moving-to-BE amount of 0.5 R/R. please note that i won't use it blindly but i will use it as a reference point to not falling again in the trap of setting too tight stops . of course, i will still reduce my risk moving my stop under the support or resistance which started the trade (and then trailing the profits as they come).
the more i go through it, the more i mend my trading style. i would have never been capable of making it without the patience and help of caring guys like you and other senior members i found in this thread. so, again, thanks!
before going to sleep i want to say that im pretty upset to have missed those good opportunity on audchf and cadchf because none of my 3 brokers allow me to trade such pairs
pfff
- #110,514
- Apr 19, 2012 5:10pm Apr 19, 2012 5:10pm
- | Joined Nov 2011 | Status: Trader | 1,078 Posts
Thoughts are things
- #110,516
- Apr 19, 2012 7:33pm Apr 19, 2012 7:33pm
Keep it gado ..you just have to see it happen more and more. The confidence will come over time.
Did you see these setups that were also on the EurAud . .
Let's watch this one gado . . on the EurAud . .
gado
- #110,517
- Apr 20, 2012 12:07am Apr 20, 2012 12:07am
- Joined Jun 2010 | Status: Hello,Mr.Market | 1,806 Posts
A chart helps those who can read it.
- #110,518
- Apr 20, 2012 12:27am Apr 20, 2012 12:27am
- Joined Feb 2009 | Status: kiki soso largyalo | 2,243 Posts
meine augen sind die sterne
- #110,520
- Apr 20, 2012 5:34am Apr 20, 2012 5:34am
- | Joined Nov 2011 | Status: Trader | 1,078 Posts
Thoughts are things