Using the DASR for successful trading

Hi everyone

I've just opened a new trade on GBPUSD 5min chart - hoping for a downwards bounce off the 5 min DASR. 10 pip SL and 20 pip TP

As you can see it's just 5 micro lots - 0.05 (50 cents a pip)

So ROLL UP and PLEASE place your trades! If you are shy you can just trade one micro lot (0.10) to get going. Even if you get stopped out it's only a loss of $2.00 and you and ALL of us will learn something!!

OK

Just in case you don't know how to do this:

1/ Download a demo MT4 platform from SVSfx.com

2/ Open it and go to: tools, options, server - then you put in the account
number and password in post 540 above.

Hey presto - you are seeing what I'm seeing! And you are welcome to trade with us all. As I said you can just trade a micro lot to start with until you gain confidence with our trading off the DASR strategy. If you are new to the thread PLEASE do read the last 20 posts or so to understand our great system!

I am posting my templates again below. The ones I use for 4 hr chart DASR trading and the one I use most for 5min and 15 min chart trading. Just in case new visitors to the thread would need them. If you don't have the vegas tunnel indi's just let me know.

Hi everyone

Well that's forex for you! We got stopped out on GBPUSD but had we GONE UP to the 15 min chart we could have picked up a much better bounce at 5988


Anyway I've opened 2 half mini lots buy trade on EURAUD hoping to get the bounce off the 4hr DASR lets see how they go!

Hi everyone

Well I opened 5 trades last night and we picked up 89 pips.

Got stopped out on AUDCHF only by the spread which is really annoying - because our SL was too small!


I'm long EURUSD to pick up the early morning bullishness - hopefully!

Hi Jerry, first post here, and I've read the first 3 pages thoroughly, skip the rest and here I am.

Really nice lessons throughout as well as reminder about the strategy, I will contribute when the time is right. I am well known (self-proclaim) for my teaching skills, like Dean (supersonic) mention in his thread, "I can do one better" on teaching people, that is once I understand "your system" fully. I use videos (look at my signature>YouTube channel, you'll get the point)

I will go back from pages 3 onwards to see what I miss.

Thanks again, and I'll be around.

Alright, just something on my teaching skills...

Video Explaining The Different Type of Internet Connection (under 3 mins & over 3 thousand views)
(From My other youtube channel)

Look at the pic, So I first look at the H4 Chart to see where the market is compared to the "blue line".., In this case it bashed through it (look at pic), so next, what I do is go to smaller timeframe (M30), and find a good spot to place my "sell" order. Am I doing everything correctly?

Noob questions I should already know but I don''t:
What is "200 SMA"?
What's the other two charts used for? The "4hr white chart" & "trendfinder" Look at my attachment picture, I've used your "5min & 15min black chart"

Other question:
You open charts for all currencies?

And about the S/L, it's not always the same for all currency, I've seen some recently where the market bashed through the blue line and bounced back...
Kinda like touch and go. It does not go all the way through...

For AUDUSD, S/L 30-35 pips is quite safe
For EURGBP, S/L 13-15 pips is alright

Don't count on these so much cos it's just based on the last market action...

Hi Fan

Sorry about the delay in answering your post. I've been away but am around for the next few days. Nice going! You've got the idea. To answer your questions:

1/ 200 SMA is the 200 simple moving average. I don't use it much on the higher time frames. You really just need the 2 vegas tunnels.
2/ I am mainly now using the white "4hr chart" template and the white "30 min and 1 hour chart" template. I suggest that you discard the rest. I will explain the reasons why in my next posts.

Hi everyone

Although I've been away I have been continually demo-ing and analysing our strategy. Guys, our strategy is sound there is absolutely no doubt about that!!

The 2 templates I have attached are the only 2 you need. In fact you only need one but the "4hr chart" template is exactly the same as the "30 min and 1 hr chart" template except that it's got less lines and fib pivot points so that one can see more easily what is going on.

A great example of the strategy can be seen from the attached EURUSD and AUDUSD charts. They broke through their respective DASR's but by having a pending sell order placed ON THE OTHER SIDE of the blue lines, we could have picked up a nice few pips already!!

Hi everyone

Went short off 4 hr EURUSD 4hr chart DASR

As I mentioned I'm using only the attached two templates.

I am also going to explain why I only lookat the 4hr DASR , 1 hour DASR or 30 min DASR as a rule.

ONLY take trades off the lower time frame DASR's when it's OBVIOUS that the trading pair is trending strongly! WHY? because the lower the time frame the LESS the chances of a successful trade.

Could you link up your trade explorer with your journal please ? Thanks. :-)

No problem, simran, I'll put it up right now.

It's almost time to link a live trader as we have been demo-ing the system for a month now. I messed up a couple of demo accounts by "gambling" (normal small -trader type trading) which really shows how much better and more powerful our strategy really is!

Hi everyone

This weekend we are going to look at some very interesting facts.

I have posted a EURUSD chart below using our 30min/1 hr chart template.

There are 2 incredible things that CONSTANTLY show up WEEK AFTER WEEK. What are they?

1/ Have a look at those aqua trend lines. They are NOT random! They closely follow trading sessions!! The first session starts loosely around 8.00am (GMT) and the next one loosely around 1.00pm (GMT). There is often a third but it varies around 3.00pm to 4.00pm (GMT)

2/ Have a look at the green circle. When price action TOUCHED the 4hr falling resistance level on the 30 min chart, it never again got back up to that level. Because the TREND IS FALLING. What does that mean?Well obviously if we had opened a trade at that time (around 1.2570 at 8.00am on the 29th May last Tuesday), we would have been sitting with +250 pips by Friday morning!!

OK so what are we doing here??

1/ We are using our 2 vegas tunnels to find great trading opportunities
especially using the 30 min chart for intraday trading. The 2 DASR (blue)
lines represent DYNAMIC support/resistance levels.
Loosely we can say that the one is the 30 min trend whereas the other is
the 4hr trend.They are "dynamic" because they are NOT horizontal. They
are formed by and constantly moving with price action. Price action often
reacts violently to them. Why? Because the large institutions are quite
obviously using these levels too which means we are trading WITH the big
guys for a change!!

2/ We are especially looking for price recovery back to our DASR levels. When
we see CLEAR evidence of a rejection (see attached 30 min chart which
shows nice rejection not only of 4hr DASR but also 200 SMA) we can
enter a possible HIGH REWARD trade!

Guys as you can see, I spend a LOT of time doing a complete analysis of my trades COMPARED to my system. Where did I go wrong??

You MUST do the the same. Download my templates, THEN analyse the trades you made last week compared to our system. BIG difference, huh? Don't worry that is how we learn!!

In the next few posts we are going to work out HOW and WHEN we look for trading opportunities using our great strategy.

Hi everyone

Another nice trading opportunity this last week was on the AUDUSD pair. The aussie had recovered on Monday but started dropping. We saw lower highs and lower lows and a nice descending trend line (aqua coloured line). Eventually a nice signal bar off the 4hr DASR (30 min chart) presented itself on the evening of 29th or another chance on the evening of 31st. NOTE that the trading times DO NOT correspond with euro or cable because a lot of movement takes place on aussie and kiwi pairs during the Asian session.

Hi everyone

As I said, we have a strategy but How and when do we look for trading opportunities?

Well our strategy revolves around TWO dynamic DASR (dynamic areas of support/resistance) on each time frame chart. So obviously we only want to trade when price action is close to or around these areas. I repeat: WE ONLY WANT TO TRADE WHEN PRICE ACTION IS CLOSE TO OR AROUND THESE AREAS!!

I have attached two examples. Both are AUDUSD charts. One is the 4hr chart and the other the 30min chart (taken from 29th April and 30th April). To make it simple I have marked with arrows the trading opportunities off the DASR's . Really it's easy. When price action is ABOVE the DASR, we look for a buying opportunity based on a BULLISH 30min candle signal. When price action is below the DASR, we look for a selling opportunity based on a BEARISH 30min candle signal.

Hi everyone

Of course it's great to see lovely pictures showing wonderful trades after the event. In forex trading hindsight really IS a wonderful thing!

The problem is first finding a good LIVE trading possibility and then ACCURATELY assessing it's probability of success!!

Firstly we have to realise that trading off different time frames inevitably brings different ratios of success. With our strategy, trading the 4 hr time frame has a good success ratio but really good opportunities can be few and far between. Trading the 30 min time frame offers far more opportunities but far easier to make a mistake! So obviously we want to be looking at the 4hr time frame FIRST. If the pair are in a strong trending situation (like EURUSD has been) then we go down to the 1hr and then 30 min charts to look for trading opportunities off the DASR always TRADING WITH THE TREND (as defined by the 4hr vegas tunnel on the 1hr and 30 min charts). Have a look at the EURJPY chart attached. No doubt it's a strong downtrend thus ONLY SELL TRADES ALLOWED!!

LOWER TIME FRAME TRADES ARE ONLY FOR SCALPING!!

Hi everyone

You can keep up with my trades by watching my explorer.

Nice day today with trades on EU, EJ, GU, USDCAD, GBPCAD

Having a look at the 4 hr charts we see EU and EJ at critical levels. Will they continue up??

I say yes.

If EURJPY breaks 9800 it's all the way back up to 100 again