B.S. Trading with Kenneth Lee

The thought is that it takes a abundance of Demand to break the Supply level. So we believe that there is at least some residual Demand orders left over in that area. The lack of any type of sign , a Spinning top or Doji or even just the crossing of wicks. Will not give us much as far as setting our stop or seeing a great spot to enter.

But as you said we can fall back on the old classic comment that resistance becomes support and we know that some will take this trade based solely on that ideology. So we can 1 pass and wait for a clearer level or 2 take the chance knowing that it is a bit higher risk than we would like so we can be on our toes and be ready to exit with a few or BE ( Break Even).

This huge moves based of commentary and not on factual numbers, always make me a bit nervous as far as their ability to hold price after a move. Oz has been more bullish looking to me over the last couple of weeks .

But just beware you know you don't see anything and treat it as a higher risk trade. or just pass and look elsewhere , always trades out there.

The better you understand and can SEE price action in action , will be a deciding factor on how good your entry will be on any level without defined parameters.

This is one thing that sets Supply and Demand ahead of other types of entries is the spot on entries achieved based on the knowledge of the buying and selling levels as really seen on the charts. Just that understanding alone used in conjunction with other trading ideas can greatly improve anyone's trading.

Dear Ken,

Do I quantified the swap level of this gold correctly ?

If yes, does the demand zone (up arrow) have good winning probability to enter long when price revisit?

Thank you

I don/t trade gold but just looking at the chart these would be my areas of interest

Thanks Ken...it's very helpful

Ken..sorry to ask you once again

What do u think about that level and blue circled area?
I see it as a weak or not (maybe?) demand zone because of the wicks but what confuses me that it also has strength of the move to the upside.
What do u think ?

That area is consolidation after the euro summit news pushed it up then the next push up was after the u.s. release. But the long candles leaving these areas show great demand. I would probably try longs there . but would be careful the rumors about the euro is that this isn't a real fix. so care should be taken with any longs. but that should always be the case.

e/u 30 min

using new charting software? Or new broker?

just curious

Hi guys,
can you advise me, what software can I use to test supply/demand method?
please don't offer metatrader it is not suitable for testing, because I cant switch between timeframes normally.

Thanks in advance

Hey YouGee

Metatrader would probably be easiest otherwise you can always pay for a licence for Forex Tester which would allow you to back test.

There are also the free options of VHands which is an EA for MT4 and can be found on FF here.

Alternatively I recently came across something called OrganiChart (do a search for it) which allows you to view multiple timeframes not normally available on MT4 (e.g. 2 minute, 2 hour chart etc.) and also has a back testing component to it which I have not yet tried. Also a free EA.

I've got Forex Tester but to be honest I prefer manually backtesting in MT4 but have a look at the above.


Ken,

Great thread by the way!

Old broker being revived, GFT

They were my first broker. was a deal between them and a software i was using. I like their charting package . but they slip during high volumes I would rather be able to watch the spread widen and take my chances . plus they re-quote so if your trying to do something in a hurry can be very annoying.

But overall for this strategy they are ok.

Hey, all. I'm new to Ken's approach and wanted to post a trade I just opened up.

Many thanks for your ideas, Ken.

I think she's gonna shoot up at London open before diving down, given 4h s/d levels.

chart

chart a

and , how big do your trades need to be to make a living ?

I was up this am and decided to watch the gbp news come out . I saw the low at1.5630 but didn't take it as didn't see any level or PA. But now this flip at the bottom was why i took it. it has made a lower low and 1.5660 was a lower high. so more low maybe in the cards. But holidays and retail traders can make a mess of a good plan .

I was looking for a massive move back south was what I was waiting for. Loads of news surrounding the euro summit news , saying it is a false hope so was looking for price to correct. Oh well, take what u can .

Just in case your wondering >>>>>>>>>>>>>