The rounded retest working in a trending market.
http://i1084.photobucket.com/albums/...SD30042012.jpg
http://i1084.photobucket.com/albums/...SD30042012.jpg
- #3,385
- Apr 30, 2012 11:08am Apr 30, 2012 11:08am
Well spotted there quidsey...did you take any of these setups or was this chart merely hindsight? The other question to ask here is when does the trend start? Different traders would probably give different answers. Not being critical but just wanting to spark a debate here!!
Best,
Kal
My thoughts are that it doesn't really matter if we're trading the wizard style as in the beginning of the thread where Tom talks about making sure we're taking money off the table, he also clearly marks out the FTA's before he trades, so he's already got the exit lined up, and of course he uses discretion at that moment too. This is what he previously said about the subject:
Running trades. It is not neccessary to be trying to run a trade for 500 pips profit with this strategy. The people that try to do this are usually either ;
- Trying to compensate for a huge stop e.g. when you are trading a D1 pin with an entry on one side and a stop on the other.
- Trying to compensate for having a small account.
Once again, I am NOT saying that profitable traders do not run trades. Many do. However, I am saying that this is not my style and I think that if you have been trying to do this and not having success so far;...
In out, get ready for the next one.
Get what you came for, get money in the account and stop worrying about what might have been.
This whole strategy is intraday, so everything is wrapped up at the end of the day anyway and hopefully we've come away with a winner.
Btw, my effort on this pair was a win, a f@ck up, and a miss.
I got the first one, it squeezed a bit (luckily I wasn't watching at the time) but got a 2R trade out of it in the end.
Second one I got scared out of, pitiful, for a handfull of pip dust..... and the third one I wasn't around for.
I'd like to add that I don't think really any of them are A+ trades according to the majic chart where Tom has laid out certain criteria for this set-up.
Not being critical but just wanting to spark a debate here!!
Then the rest of the move (trend) was driven by fundamentals i.e. BoE appearing unlikely to print more money due to stubbornly high inflation and weak US data as well as who the f**k wants to buy Euro's on risk as Spain is increasingly looking like a basket case?
The price moves that Quidsey pointed out are simply a function of how smart/professional traders trade and this is (imho) really what the underlying theme of Tom's thread is here.
Smart traders simply don't buy breakouts but as you can see they will definitely buy previous day price highs IF they believe the current macro picture. Yesterdays high price becomes today's low bargain buy price.
Very similar trending price moves on AUDJPY long only - look at the period from February to the end of March... Also very interesting level on AUDJPY at 82.87 especially as we've been in a tight sideways range for three weeks.
Tomorrow we've got UK Manufacturing PMI and so I'm looking to see cable's price re-test 1.63 or 1.6280's if the number is good and then fade that when the buyers exit the market ahead of when the FOMC start gassing
I might have missed the boat though since it looks like everyone's been selling risk today ahead of China's PMI release later though... we'll see...
Hindsight... it's fucking amazing
- #3,396
- May 1, 2012 6:54am May 1, 2012 6:54am
- Joined Mar 2008 | Status: Trader | 1,462 Posts
