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  • #661
  • Edited 11:23pm Apr 30, 2012 9:12am | Edited 11:23pm
Intraday volatility has been steadily falling on major pairs since November last year. What this means is that if you trade 15mins charts and use a 20pips stop loss, you could expect to capture half to two-thirds of ADR (average daily range) from the HOD or LOD for much less than 80pips intraday.

The Volatility indicator below (in red color) is from TradeStation library, so I'm not sure what is the equivalent on MT4 platform. What it shows is that EUR/USD (103.53pips), GBP/USD (99.48pips), and AUD/USD (96.08pips) are moving with much less volatility than what some teachers are implying using historical references. It might be better for less experienced traders to switch to swing trading and hold their positions overnight over several days to capture the trend moves.
Attached Image(s) (click to enlarge)
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  • #662
  • May 1, 2012 12:45am May 1, 2012 12:45am
Greetings to all,

It's my 1st post. New to fx, from Indonesia, been lurking around this thread for some time, after jumping from one system to another.

Kapten, you seem to get decent results using LST. How long have u been using it?
  • #663
  • May 1, 2012 5:45am May 1, 2012 5:45am
Hi Guys, Thanks to Zabana, Pipanator, bstay2 and many other posters, i have been reading this thread for a while and have been looking for MW setup and other patterns.

I have studied the three levels and the various reversal patterns. With a reliable entry i immediately see the power of the "scaling in"; The attached image shows my EU demo trade where i scaled in every ~5 pips.

"32H-RR" shown on the comments is short for "Three to the high - Railroads"

I am very new to this particular "Market Maker" method of trading, one week of intensive study so far, however it really feels like its falling in to place; for once i can feel comfortable with a particular setup. Plus, I have never bother to scale up my lots before as all previous systems i have traded were net losers overall. "Marker Maker" really seems have a structure that can be defined.

In the past, I developed and extensively tested an EA which in effect straddled the market with 5 buy/sell stops either side of the market. this EA would make incredible gains *IF* it caught the right part of the cycle. But with inaccurate entries it was pretty flat in terms of profits overall.

I would like to put a question comment here: Should a "scale in" be a max of 5 orders in total, spaced at say 5-10 pips? (depending on pair) and do you scale in with a pyramid either up or down? for example.

Should scale ins be: Fixed lots size on all orders ?
OR
1st order 0.1 Lots, 2nd Order 0.2 Lots etc ?

I have never bothered to post on a forum before, as most of my "Technical" methods were not worth posting/talking about, having demo traded them for years with medicore results... Finally in this thread i find a group of traders quietly working with a method/strategy that delivers pips from the market. Good work guys!

It seems obvious in hindsight.. The Market Makers have been in business for decades, trading the same "system" over and over, thus wringing huge profits from the retail punter who always lose. And I observe that virtually none of the trading systems "out there" really talk about what "the other side - The Market Maker" is actively doing to wreck your trade and drag all the retail punters the wrong the way.

I'll leave my first post there for now and hope to make further contributions in future. Cheers.
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  • #664
  • May 1, 2012 8:42am May 1, 2012 8:42am
Quoting MaxForex
Hi Guys, Thanks to Zabana, Pipanator, bstay2 and many other posters, i have been reading this thread for a while and have been looking for MW setup and other patterns.

I have studied the three levels and the various reversal patterns. With a reliable entry i immediately see the power of the "scaling in"; The attached image shows my EU demo trade where i scaled in every ~5 pips.

"32H-RR" shown on the comments is short for "Three to the high - Railroads"

I am very new to this particular "Market Maker" method of trading, one week...
Max, congrats on your wins.
I'm new to fx, and lately been learning about market maker's WM here.

You mentioned that you understand about the 3 level counting.
Until now, it's still a very hard concept to digest for me, when i open my chart i am clueless at which level price is now.

I really appreciate if you don't mind to share your knowledge on counting these 3 levels. And does the WM or railroad pattern need to be at certain level?

Thanks.
  • #665
  • Edited 9:19pm May 1, 2012 9:12am | Edited 9:19pm
GBP/USD my initial bias was bearish (possible StraightAway), so shorted 1.62159 and added 1.62074. However, GBP/JPY formed 15mins bullish W-pattern at 4:45amET and so had to scratch this short trade for +18pips.

GBP/USD switched bias to long side, initial entry 1.62153 adding more at 1.62047 & 1.62177. Best partial exit at 1.62449 for +40pips (from best entry 1.62047). Trailed out remaining lots at 1.62062 due to 10amET news spike. Pretty messy with all the dotted lines .......

GBP/JPY formed 15mins W-pattern at 4:45amET. Took initial late entry at 129.437, adding more at 129.467 & 129.554. Best partial exit at 130.10 for +66pips (from best entry 129.437). Closed out remaining lots at 130.052.
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  • #666
  • May 1, 2012 1:19pm May 1, 2012 1:19pm
bstay or anyone else post more info on level counts how we know which level we are in i hear this 90 pip level count does that mean after an approx 270 pip move we are expecting a reversal? between 90-180 - 2 levels?

Also, bstay is their anywhere I can give this thread a 5 star rating?
Find your Favourite Pattern
  • #667
  • May 1, 2012 1:19pm May 1, 2012 1:19pm
Quoting Tradinglivin
Hello everyone!

My first post on FF.

Been a lurker on FF from 2006 .

Trading full time mainly forex.


I would like to say that M and W trading is base of most full time traders i have met . Most use variations developed with experience to gain most of these formations.
I myself base my most trades on this and to say the least if used with market experience this has very high success rate .

Will share some charts as the opportunities arise.
Do these full time traders work for brokers or banks?
Find your Favourite Pattern
  • #668
  • May 1, 2012 5:06pm May 1, 2012 5:06pm
In reply to coo.za... In regard to "Levels" i will not answer directly as i dont wish to mislead you, however on this same thread "Pipanator" summarised this MM system in one very useful post linked here.

As a newby to this method i would like to ensure i have an absolute understanding of levels before i attempt to explain it to others However, my understanding is as follows:

Attached jpg shows
1) Price drop - consolidate
2) Price drop - consolidate
3) Price drop - consolidate
Then a possible "Mid week reversal" could be imminent, that is the 3 Levels play out again only this time to the upside.

If you are just starting with this method then i would highly recommend watching Steve Mauros sales video on the home page of his site marketmakersforex I say "sales" video but really he reveals most of the system right there and goes in to some depth. Its over 1 hour long. Also listen to the testamonials on the "video" page
Attached Image (click to enlarge)
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  • #669
  • May 1, 2012 8:34pm May 1, 2012 8:34pm
Quoting MaxForex
In reply to coo.za... In regard to "Levels" i will not answer directly as i dont wish to mislead you, however on this same thread "Pipanator" summarised this MM system in one very useful post linked here.

As a newby to this method i would like to ensure i have an absolute understanding of levels before i attempt to explain it to others However, my understanding is as follows:

Attached jpg shows
1) Price drop - consolidate
2) Price drop - consolidate
3)...
Great, thanks, Max. You have gone to great length by showing example in the recent audusd chart.

Since audusd has reached level 3, and we see a NY reversal yesterday (as shown by the W ard 1.0304-1.0327), can we say the current asian session is on level 1 consolidation thus straightaway trade is possible?
  • #670
  • May 2, 2012 12:36am May 2, 2012 12:36am
Quoting bstay2
I draw (yellow) boxes on 60mins chart of AUD/USD to help see the bigger picture, when trading 15mins & 4mins. At this point, I don't think it is at Level3 bottom yet.
Thanks for the charts, bstay2.
I joined neorio's skype room few days ago, and one of the guys there who has watched steve's MMM videos at least 3 times said that levels are not important, the important thing is the pattern.
What do you think about this?
  • #671
  • May 2, 2012 12:54am May 2, 2012 12:54am
Quoting bstay2
I draw (yellow) boxes on 60mins chart of AUD/USD to help see the bigger picture, when trading 15mins & 4mins. At this point, I don't think it is at Level3 bottom yet.
Thanks for pic bstay2.
Are the yellow boxes drawn using the ADR, or is what feels/looks right in your experience? Any clues to help us newbies start to draw our own boxes please?

Thanks for all the great m/w postings too.

Cheers
  • #672
  • May 2, 2012 12:54am May 2, 2012 12:54am
I keep hearing about this 90 pip tool price has got to retrace after a certain big move on longer and smaller timeframes. The level counts are upmost important as you will be in the dark about where you are and are going in the bigger picture?
Find your Favourite Pattern
  • #673
  • Edited 3:08am May 2, 2012 3:06am | Edited 3:08am
I dont intent to post a running commentary of my demo trades, however i thought i would share my Euro trade with you guys. You will see that i commented this as "SA" for straight away, i am not 100% sure this is a "straight away" - however it panned out quite well.

Scaling in can really bump up those profits on a correctly predicted trade. These 5 trades came out at +$221.50 on a ~$1k demo account.

Good Trading Guys!
Attached Image(s) (click to enlarge)
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  • #674
  • Edited 4:59am May 2, 2012 4:22am | Edited 4:59am
Is this a level 2 down day on eurusd? looking at the hourly - 2 sizeable drops.

bstay2 - is that why you took the eurusd short today? I can see an M with tdi-divergence on the eurjpy & gbpjpy trades you took (well done!) but can't really see the reason for the eurusd short?
>edit==> bstay2, I see you have updated with more info - thanks.. so eurusd was an anticipated straightaway trade.. did I see an earlier (editted) post by you about levels, saying that on level 2s you expecy straightaway trades? If that was you, could you re-post it please?

any help on levels or trade reason appreciated.

thanks
  • #675
  • May 2, 2012 10:12am May 2, 2012 10:12am
Quoting bstay2
EUR/JPY shorted 106.422 (12pips from HOD), added 106.257. "Brinks Trade". Prices made higher highs at 3:15amET but 15mins TDI showed M-pattern signature with bearish divergence. Best partial exit at 105.756 for +67pips. Closed remaining lots at 105.828.

GBP/JPY shorted 130.591, added 130.364. "Brinks Trade". Prices made higher highs at 3:15amET but 15mins TDI showed M-pattern signature with bearish divergence. Best partial exit at 130.044 for +55pips. Trailed out remaining lots...
Hi Bstay2,
Thanks for extra notes & explanations.

Does a bearish reset on eur/jpy mean that we are on level 1 down again? and may expect another 2 levels down?

What made you see that a reset was coming on eur/jpy (as after a peak low monday, tuesday bull rise(level 1 rise?), I would have expected a W & a level 2 rise), was it;
- the clear M on eur/jpy peaking at 800ema?
- or the bearish bias on eur/usd (having just formed peak high & expecting a level1 drop) ?

thanks for your patience.
  • #676
  • May 3, 2012 10:10am May 3, 2012 10:10am
  •  sam21
  • | Joined Aug 2010 | Status: Soon to be employed by the market | 125 Posts
gbpusd long Bstay2 i would like your coment on this one...thanks
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  • #677
  • May 9, 2012 8:22am May 9, 2012 8:22am
Hi, need you guys to help correct me if I am wrong. Below are the charts how I identified the setup. The Black line is the entry point. Let me know if this is correct. I did not do any trades but trying to understand the charts. Any comments are welcome to correct my self. Thanking you guys in advance.

Regards,

PShark
Attached Images
  • #678
  • May 9, 2012 2:06pm May 9, 2012 2:06pm
Yes those entries would have been correct, the market maker trend was down so short entries were right.



Quoting pshark68
Hi, need you guys to help correct me if I am wrong. Below are the charts how I identified the setup. The Black line is the entry point. Let me know if this is correct. I did not do any trades but trying to understand the charts. Any comments are welcome to correct my self. Thanking you guys in advance.

Regards,

PShark
  • #679
  • May 9, 2012 5:56pm May 9, 2012 5:56pm
Quoting sam21
gbpusd long Bstay2 i would like your coment on this one...thanks
I'll comment on it. Stop using 30 Minute charts.

Bstay2 charts are 4 minutes, and you want him to comment on 4 days with 30 minute charts?

There are multiple setups there, but they aren't as clear as on 15 and 1hr.

In between is just in between.
  • #680
  • May 15, 2012 9:06am May 15, 2012 9:06am
Was so sure we were going to get a 3-ways up reversal on the EU and EY pairs (as well as others today). Seemed to start out that way but soon emerged as the classic 'M' formation followed by the drop. My reading of the 1Hr indicated a rise was imminent but the fundies were all pointing down and they seemed to win out on the day.

Tech vs Fundies - each has their day, I guess
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