Against Conventional Wisdom

Looks like the H2 resistance held and it is back testing the weekly support.

The Daily is Down with an open below DPP. This should give us enough umph to break through that Weekly Support. My only concern is the Bands closing in. But they are still far enough out for more Down movement.

Hi,

Just wondering if you are going to consider a trade tonight? If so I would like to tag along and make some pips Your comments are amazing.

Sorry noting going on at the moment. Didn't even realize I was still on the thread.

Counter Trend Trade

Here's a counter trend trade from this morning, which had two possible entries. I believe I have mentioned (and if I haven't I am now) you can actually trade any of these charts as a stand alone.

(1) On the H1 at 0600 was a nice entry. This shows the Gold cross of the Purple, with the open and yellow right there with that cross. Entry was at the open. Price 1.2899. The Draw Down (DD) on this entry was only 4 pips. And as you can see it gave up the 40 pips without any trouble. In fact this trade went on to give up about 65 pips.

(2) Shows the Gold cross of the Yellow which essentially ends the Down move and puts everything into a consolidation mode. Just because your in consolidation does not mean price will only move sideways. Many times price will retrace while in consolidation mode.

Now taking into account the crosses I just mentioned, here is another entry off the M30 ST. The open was right at the EMA wit the TI on top of EMA for the cross (3). The Parabolic had also flipped for the up move (4). Entry here was also at the open at 1.2908. When taking counter trend trades off any 30 cart you usually only go for 20 pips. This entry gave that up in less than 30 minutes.

Sir, please. This man is not here to solicit or suggest trades. He's trying to teach. He and the people around him take this very seriously and don't have time for individuals that only are looking for free pips/when should I enter. He is dedicated in giving back and sharing serious knowledge unlike anything you'll ever see, be it on a thread or some advertised, high tech program.
Trust me, he is "real" and what he has to offer is unbelievable but yet so very simple once one learns to focus.
If you haven't, I suggest you send him your info, get rid of that attitude and pray to the Holy Spirit he finds you worthy.

Thank you Duffy, but let's just leave it there. I appreciate your support and we will make a trader out of you yet.

I have already sent him my info.

Here's a quick look at the Daily.

The E/U has moved below Weekly support (1). And is now just above the next Daily support (2). The Bands should go flat on the next Daily which should give plenty of room to move through that support.

Another thing I want to point out is the Pivots. Today is a great example of how price reacts at one of the Pivots. If you recall, I said that the M1 and M4 Pivots are often the end of a move for that day. Today is definitely one of those. It got down there and so far has decided to just hang out. Other times it will retrace of these Pivots to a S/R level on the trading charts. On rare occasions these levels will be broken and then there is a test of S3/R3, or when volatility is high price will hit one then move all the way to the other side.

One more thing I would like to point out is the DMI (3) (Directional Movement Indicator). As you can see it is moving toward the mid-point. On the Daily the DMI is used primarily to see when over-bought and over-sold conditions exist. On the lower trading charts it does that and aids in trend identification.

Now with S/R levels, just because price has gone through a level does not mean it won't return. It can, does, and will. Does this always happen? No. But it is something you need to be aware of. And I know if that area does get retested, most if not all who still think this is in a full up trend will react to that movement looking for who knows what level in the sky. This reaction of theirs will be due to a few factors. One factor being their bias toward the up right now. This bias comes from two things - one is they do not know what the actual trend is, the other is paying too much attention to FA and the "experts". Another factor is they fall prey to the Illusion of PA. PA means NOTHING. ZIP. ZILCH. NADA. When it comes to price it's not the movement in one direction or the other, it's how price REACTS to a specific S/R area.

Daily 9-26

The Daily is still showing Down. The open was below DPP. There has been no retrace to test the Weekly Support (orange dashed line). And yes it is still considered support.
(1) The M1 is just below the next Daily Support.
(2) And the DMI is about ready to cross.

On the Daily 2 chart (3) points out the Bands going flat. There is a good likelihood that those Bands will be hit. A hit on them would be the same as I have referenced in some of the other posts. With them being flat as they are, they can easily act as S/R. In this case it would be support. So what we want to see when price gets there is the bands fan out.

All in all everything still looks good for the continuation of the Down. I have been telling you all week that the E/U is Down. And everyday it's moved down. Does this mean it won't have an up day. Absolutely not, as anything can and sometimes does happen in this market. What I am pointing out is that this system gives a very accurate gage of the trend. This is a far cry from the guessing I've read in numerous other threads here on FF mostly calling for up.

Most of you know who I am and also know my reputation as a trader. Through the many years of being a trainer and mentor in the Foex the one most important thing I have noticed about traders is they know nothing about balance when it comes to life itself. They do not understand, even as a trader, there must be balance.

Most traders get involved with Forex, or any other realm of trading, for the wrong reasons. That is why more than 90% fail miserably. Through the many, many years of training; one, maybe two, make it to the realm of being called one of the Elite in the world of traders from a class of 20 or so students. And why is that? The reason is because of the wrong reasons for wanting to be a trader in the first place.

To become one of the Elite goes beyond your own understanding, your own knowledge, your own wisdom, because in reality – you have none. To become one of the Elite comes from within and not from outside sources.

I want to talk about 4 previous students from classes I have held. One trader has been with me for many years – from class to class. And he is one of the Elite. Another trader; in which he is the one that opened this thread is also one of the Elite. The third trader has been following me for many years and was finally accepted into my previous class in which today he is one of the Elite. And the forth trader is one who has been trading a live account for a lot of years but could never make it and today – he is one of the Elite.

What makes these traders different from any one of you? The answer is because they finally came to terms of what the word “balance” really means.

This trader, spzd, that had opened this thread had come into one of my classes carrying much baggage; just like most traders. But what made this man unique is he had no excuses for his failures. He came into that class without ego and/or pride; but with a total open mind and heart. He knew there was something missing in his life in order to bring his dreams into reality. And that was his first step in becoming greater then himself.

I have seen so many traders on this forum going from thread to thread looking for the “Holy Grail” and not realizing – it is not about someone else’s system – but it is about what is inside of one’s heart that makes the system work. It is about total balance of your reasons why you are here in the first place. If you are here for any wrong reason then you will fail.

Listen very carefully to spzd and you will hear the balance in which he speaks. He is not a failure but very unique and 100%.

Thanks Dove, that truly means a lot.

Here is a quick view of the analysis when looking for an entry.

On the M30 ST there is the hit to the upper flat Bands.

On the H1:

(1) The Gold is in what we call a cycle and is at the upper Bands. This means it has crossed the yellow and is now acting as resistance.

(2) There is also another resistance right above this.

What this is showing is the charts in their initial phase of setting up for a possible short entry.

It looks as if it has decided to test the resistance (1) I mentioned. This puts everything into a holding pattern.

appreciate it.

No problem.

The H1 is in a full cycle (1) and I missed it. I have already discussed this with Dove. The best entry was the hit on resistance that I mentioned. But - we should be getting a classic entry before too long and I will show you that when it happens if all goes OK.

Well, this may be one of those slide sideways until London nights. We shall see.

Almost there.

Just need price to move down a bit more.

That will give the crossing of TI and EMA (1) and the flip of the parabolic (2) on the M30 ST.

And the Parabolic flip on the H1 (3).

Asian session does not want to co-operate tonight. This seems to happen the night before the weekly US unemployment release quite a bit.