Draw 'n Trade (DnT)

The price is moving a downwards sloping channel with an angle around 40-45 degrees...And the price has retested the red resiştence line both yesterday and today...and seems to fail all the time...

First of all we can easiy say that 1,22 is seen at the moment as the most possible target.In case the price achieves to break the red resistence line in the upper direction,then we can target to be at 1,28 at once...

Both of the possibilities shud not be forgotten and the money menagement shud be oriented around these two possibilities...

Both gold and EURJPY pairs havent reached the target energy points.EURJPY needs to be around 97,00 in the first week of JUNE (the enbergy point shown in circle) ...and at the moment EURJPY is waiting right below a resistence level and offers us good opportunities to SELL and take profit at 97,00-97,20ish...

But XAUUSD has a weird and unexplainable picture , the price has not reached the target at the estimated time (20-25 May , 1510)...this might be a sign showing how strong bulls are...so we shud be ultra-careful while entering positions in GOLD...honestly i will be BUYing Gold right after 1610 , and will be SELLing right below 1523 ....

God bless all of us !

Possible scenarios...

Thanks for sharing your views on how you perceive the market. This whole price in a square, triangle, rectangle, circle, etc.... really fascinates me. Here's a chart that I made last night. I'm still fine tuning it with getting the lines exact. One chart is zoomed in. The other one, zoomed out. I like how using vertical and horizontal lines, along with trendlines, act as support and resistance. And the way price reacts to those areas.

Thank you for sharing ur screenshots...as i see you are a Gann-man I shud confess that I admire Gann and his methods but on the other side I shud confess that I know nothing about his methods.Once I wanted to learn abouth the square of nine and I wanted to start from astrology that most of Gann's methods were based on astrological numbers.After reading 7-8 pages of stupid jokes of the fun-men in the astrology thread I gave up...People shud respect each other and shud not block the chances of other people for learning things !! They just invaded the thread with their stupid jokes saying" Do you really believe that stars are selling and buying?" ...

Anyway...ı will be proud if u share ur analysis here , I need to learn about gann too..geometry is one of the leading indicators/tools in the market.ı mostly use pitchforks,equidistant channels and sup&res levels in my trading and i think i am quite successfull...my basic understanding is based on Newtons theory :

"For every action , there is a reaction"

I really use that theory in my predictions...and it works most of the time..and its roved once more with EURUSD...

Anyway..i will not talk and talk and talk..i feel talkative...But I will ask a few questions about ur screen..

1- There are many lines on ur chart ...which of those lines are important in ur trading style ? Which of them will make u decide to enter positions ? Isnt it better to decrease the number of the ossibilities ?

Only one question for now...

When I look at lines, a lot depends on what I'm looking for. Short term or long term. It's kind of like where there is support and resistance within support and resistance. Just like there's daily, weekly, monthly, and yearly pivot points. So, when I add another set of lines within the lines, it's like going deeper into the "zone" or whatever you want to call it. It's all trial and error for me right now, since I'm new at it. But I wish I would have played my cards right after these charts attached will show. I drew it a few months ago, when I was all into "where price meets time." Then I stopped looking into it, and was reading up on geometry and shapes in regards to the market. And sure enough, on two different charts, with the same concept, but just different time frames, they both jived with price meeting time, in reference to the big fall that happened with the E/U at the beginning of this month. Live and learn, I guess. But next time, I'll know what to do.

And as far as which lines to use for entry and exit, SL, I'm still experimenting with it, and taking notes. Since I'm a part time trader, I'm leaning towards longer term trading. That's why after this pair bottoms out, I'll put my long in for a long time, and keep adding to it as it goes up. Instead of trying to catch every move. And yes, I'm a big 50% retracement trader. The only number in there that's not a fib number, in case anybody wasn't aware of that. 50 was added to it based on DOW's theory that price normally retraces 50% back to where it came from. And yes, Gann has really opened my eyes on how to look at the markets. After reading up on his square of 9, it told me that it was his way of using support and resistance.

What I did on one of the charts below is square off the high and the low. Then I measured that distance between the two. Then I'd take that same distance, and measure it into the future. Then I know where the next possible reversal, or major price action could occur. On the other one, I took the highest price on the chart and added it to the lowest price, then divided it by two, in order to get the horizontal line in the middle. Then I went from there with drawing the rest of it. And notice where price is at right now, on one of the drawings. Bouncing off the trendline.

The last book I just read called The Geometry of Stock Market Profits, by Michael S. Jenkins was a great read. That book really opened my eyes on how to look at the market.

I look forward to your views on how you see the market and such. And GL on your journey. Thanks for sharing.

As I told in the beginning of the thread , I didnt discover anything new...I just chose my style in the beginning andinsist on learning it through application.In other words I can easily say that I am still a student about trading. I have tried almost every indicator in the past , I even tried different parameters which led me into failure and loss of money.Such things made me want to learn the real things about the market...And the results were like this :

1- The market moves in geometric harmony , and you can even make [price+time] predictions by making use of geometric shapes
2- "Geo" means "world" and "metry" means "measurement" ...so like everything on earth "geometry" as a brach involves market movements too
3- For every action , there is a reaction.....So symmetry plays an important role in the market (That is wat i use mostly)
4- Classic support and resistance levels are really useful...but they shudnt be accepted as "exact" levels...the felxibility of those levels shud be calculated...and each support or resistence level shud be drawn in a 30pips width (minimum) (for H1 charts)
5- Equidistant channels can be used in order to predict targets including time...
6- %50 retracement mentality works nice...but mostly in GBP pairs...it chnages from pair to pair...For instance %78 is the most useful retracement level in JPY pairs...etc.


When I look at a chart the first thing I do is trying to see the price movement as zigzag waves...but the knows zigzag indicator is not wat I mean...I try to improve my eyes in a way that ı can see those waves in a more logical form with bare looks After identifying the price movements as wavves the rest is so easy...I draw support and resistance levels and channels and others...and the intersection points give me the targets (energy points)...ı ll show a picture about how i see the market...Its taken from Gold..I uploaded it here in this forum , but people made fun of me and told me that Gold will go up to 2135 soon...anyway..here is the picture...

By the way its really nice to know someone who believes in the power of geometry...I am really honoured to meet u...Regards...

These two pairs seem to move in a parallel axis foor some time...and both of the charts really look like each other..And both of the pairs still did not produce BUY signal...so it is essential to remain short in these pairs.

In case the resistance areas (yellow area on the pictures) are broken , then we can say that bulls are back...for now there is no reason to BUY these pairs...

(It is a H4 perspective)

Regards..

Marhaba!

I just read your charts and see much similarities to my trading strategies as well.

I am currently using:

ED channel
"1234" retracement to project future prices with fibonacci confluence
res/sup lines
candlesticks
chart pattern

basically price action,
in addition with using kumo clouds to predict future support and resistance.


I am keen to find out more about how u use ichimoku in your system.

Add me to skype - [email protected]
Hope to learn more from you!

Regards,
Yong
Singapore

The pair has just broken a resistence level on friday...and its target was 2490 ...and today we reached that target despite the absence of London in the market

Anyway...now we have another setup for another position in this pair..we shud assume that there is a castle at this area made by the bears and they will not let bulls invade that castle easily...on the other side they have settled in that castle area and have made their preperations...if bulls are really determined to penetrate that castle..they need to spend too much effort and momentum...their strength shud be enough to scare the bears ...

So in this situation we shud be beside the stronger one and we shud SELL this pair with a tight SL over the castle (2520 ish) and a pending BUY Stop order at that level...Because in case the castle is invaded then the bears will run back to the previous castle (2635 ish)...and bulls will not let them relax and settle somewhere in the middle of the way...so in case the 2490 castle is penetrated..then we can easily target 2635....

Trading is like a strateggy game..isnt it ?

Regards...

Hi guoyong..

I am glat to know you.At the moment I am studying for an exam (tomorrow) that is why i cannot write long...I am not a forex guru...u can be sure.I am just at the process of learning , so there is not much that you can learn from me.I just believe in market geometry and use martingale...here there are threads which i follow regularly (I noted them down in the first post of this thread)...

Ichimoku once was a great part of my analysis (maybe 1,5 year ago) ... but nowadays I use it only in the weekends when i am studying the charts...but I dont use any other thing except support and resistence levels actively while trading...they are the sharpest weapons to earn money in the market (I think)...But like everyone ı also study the charts in the weekends , draw picthforks , draw equidistant channels and detect energy points which give me the opportunity to include "time" in my predictions...

In other words I do not use ichimoku actively anymore...because I dont know how to use it efficiently.Also I have a strategy which makes me earn regularly...so I do not even need to improve it...

The abstract topics have much more importance than having systems in this profession.Being teremined , patience , self confidence , discipline , experience , ability to accept the loss as well as the profits , having strict money menagement rules.....

Again I need to tell that ı am glat to know u..take care..I will be happy if u also share ur experiences about the usage of ichimoku.İts a valuable tool , and I do not enjoy watching people talk nonsense about it

No need to make further explanations...its a good setup...enjoy it...

Hi Selym,

Thank you for replying! I believe that I can learn from everyone; and if you are already profiting regularly then that is good enough for me to learn from!

To the point on using ichimoku effectively, sadly I do not have a mentor to guide me in the system. Most of the things that I knew were picked up from the internet. I do not know much of the intricacies, only know the textbook entry signals and the purposes of the various lines.

Before using a strategy similar to 'Draw n Trade', I was depending on Tenkun Kijun cross to enter trades.
From my observation, the crossover seems to be better in h4 timeframe but does work so well when the market starts to range.
If u are interested to use their proprietary Tk KJ crossover signal alert -
www.ichi360.com will be the place to go.


Do you have any good articles on pitchfork and energy points to read up on?

Regards,
Yong

Hi Yong...

All of my exams are finished , and now i am back in the market actively Ichimoku is a good tool for long-term analysis...and we both now that it is designed for daily charts...so it will be essential to keep that in mind all the time...I mean ichimoku can be used as a filter for the minor trades...and the triggers for trades should be support-resistence levels...

I have known a guy who has been using ichimoku cloud as a filter for his braintrend indicators ...he told me that wat he does in the mornings is checking the daily charts to have an overall idea about the general trend...then he goes to smaller timeframes and enters a trade with the arrows of his indicator at the same direction...although that indicator gave late signals he had a successfull overall about his profits...

There is a thread on forexfactory started by zamanib...i dont know if u have seen or not...but they use ichimoku cloud with the modified settings for smaller timeframes...and they are in the commercial thread now.Wat they cared about was the cloud only (with different settings designed for smaller timeframes)....but they still did not have a secific tstrategy to determine the target...so they used fixed targets like 50-60 pips...

As a conclusion Iı shud say that ichimoku is slow enough to be only a filter..but it is a high quality filter.And it can act effectively with the supportr and resistence levels...thats my idea...

By the way ı ll be glad to see ur charts here too...take care...regards...

I hope everyone has enjoyed that trend...

There is a bullish trend in this pair as long as it stays above the yellow zone.And the energy points (potential targets) are shown in the picture...1,2665 is the first target that the price shud reach...

In case the yellow support zone is broken , then it can be told that a bearish trend started again...

Hi fellows...

It was amazing tonite when the market opened...I took +308 pips of profit .And three of my pending orders were just at negative just because of 80 pips of spread ....so it was supposed to be +308+240 pips.....but anyway...we still have lots of chances to make money until tomorrow nite...

Ill share only EURUSD screenshot...the pair has broken the previous HIGH and its a nice place to BUY this air with SL right below the yellow support zone.This BUY order shud be targeting 2850s....and there shud be a pending SELL STOP placed right below the yellow suport zone for a possible reversal...

Take care ...

At the moment ther are lots of pairs available for profitable orders...and i ll tell you about the one which has the biggest potential (i think)...it is GBPUSD which is stuck between two levels (support and resistence zone)...and the price will move in the direction of breakout...so pending orders whud be placed right above the resistence zone and right below the support zone...enjoy it...

Regards...

XAUUSD D1...the pair has been moving in a descending channel for a long time and the angle of the descending channel is 30 degrees which can be accepted as a trending market structure.The price has just penetrated the upper resistence line of the channel with the wick (06-06-2012) of a daily candle...which was a sign showing deeper targets like 1530s...and fortunately the price has retraced back in order to re-test the upper resistence line which gives us a good opportunity to SELL this pair...

At the same time , when we evaluate the market in a horizantal aspect we have a resistence zone between 1609-1589 which acts as a thick wall keeping the target below...so it also supports the SELL order...

In case the thick wall (yellow resistence zone) is broken and in case the upper resistence line is broken then the price will target 1750s ...so pending BUY STOP order shud be placed at the most appropriate place above the yellow zone...

Regards...

And the resistence in GOLD D1 chart was broken by the close of todays candle...and the PA also confirms the uptrend.But TP levels have a little weirdness...TP2 is lower than TP1

TP1 : 1700 (in 4-5 days)
TP2 : 1670 (the end of the month)

It will be easier for me to express myself by means of screenshots...