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B.S. Trading with Kenneth Lee

  • #4,321
  • Oct 2, 2012 5:37am Oct 2, 2012 5:37am
hey c.. good day what is ur opinion regardin gold ?
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  • #4,322
  • Oct 2, 2012 6:04am Oct 2, 2012 6:04am
Hi Guys
I'm having trouble identifying the following levels as they do not jump out at me.
Picture 1 Box B and C are they classed as level on level.
Box A is not a major drop but looking at the big picture it surely looks like a commanding level.

Picture 2 Box A not too sure about it.

What will your take be on these levels

Thx
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BE THE BEST YOU CAN BE AND BE IT TODAY
  • #4,323
  • Oct 2, 2012 7:09am Oct 2, 2012 7:09am
Quoting ax3l
Hi C-12,

were you watching the tick chart on 'F9' as you referred to the sell orders kicking in?
Or were you feeling how the price ticks from the chart? This requires a good broker feed. Are you using armada markets?
I'm using Pepperstone but I'm demo'ing Amarda also. I just watch the M1 and M5 for rejection.

Anyway. I just popped back home and seen my upper M5 level hit earlier and the higher M1 just now.
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  • #4,324
  • Oct 2, 2012 7:10am Oct 2, 2012 7:10am
Quoting Haydel
...My experience is telling me that there will be some reaction on those levels during this week...
This is already giving +30 pips
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  • #4,325
  • Oct 2, 2012 7:11am Oct 2, 2012 7:11am
Quoting extremerrage
hey c.. good day what is ur opinion regardin gold ?
You sold at a nice level
  • #4,326
  • Oct 2, 2012 7:19am Oct 2, 2012 7:19am
Quoting Haydel
This is already giving +30 pips

Nice ,, Just beware definitely a down trend on this 4 hr chart and daily is in consolidation right now lower hi and higher low ,

That being said I rarely pass on a 4 hr level they always deliver something . then again my goals are modest , PIP wise only 20 a day 100 a week to gain 20% on equity . AS you can all see that is real easy to do. But don't stop at that take what is offered .

But if your up 30 move to BE would be correct


Rule No. 2 Never let a winner turn into a loser.

Rule 1. is always have enough to take the next trade.

Rule 3 he who loses the least wins . Because the winners take care of themselves.
Good Trading To All ; Ken Lee
  • #4,327
  • Oct 2, 2012 7:21am Oct 2, 2012 7:21am
I know some will send me back into the closest saying that is a downtrend . But until it makes a higher high off one of the previous swings it is. If it makes that higher high , then start managing it as a home run.
Good Trading To All ; Ken Lee
  • #4,328
  • Oct 2, 2012 7:32am Oct 2, 2012 7:32am
sold again @ swap level took proft at the red sign thats a 5m chart
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  • #4,329
  • Oct 2, 2012 7:57am Oct 2, 2012 7:57am
Quoting Kenneth Lee
...I rarely pass on a 4 hr level they always deliver something...
..my goals are modest , PIP wise only 20 a day 100 a week to gain 20% on equity.

Rule No. 2 Never let a winner turn into a loser.

Rule 1. is always have enough to take the next trade.

Rule 3 he who loses the least wins . Because the winners take care of themselves.
Thank you Kenneth, this is very valuable information.
  • #4,330
  • Oct 2, 2012 11:01am Oct 2, 2012 11:01am
Quoting Kenneth Lee
But if your up 30 move to BE would be correct

Rule No. 2 Never let a winner turn into a loser.

Rule 1. is always have enough to take the next trade.

Rule 3 he who loses the least wins . Because the winners take care of themselves.
Great points Ken

Aggressive trade management is vital. I've even been taking very average looking setups earlier today and still grabbing pips here and there.

There's no excuse for leaving a stop behind a level and not trailing or taking profits when the opportunity arises.
  • #4,331
  • Oct 2, 2012 1:59pm Oct 2, 2012 1:59pm
Ready to Buy at the next Demand Level
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  • #4,332
  • Oct 2, 2012 2:12pm Oct 2, 2012 2:12pm
hey everyone... today i struggled very bad on the market, especially on the pair AUD/USD

the reason is that when the USD gains ground like it does today, i cant find a way to enter a trade.

lookin at the higher timeframes, i know that on the pair AUDUSD it would be safer to enter short, BUT we hit the lower stop of the trendline downwards at around 1,2770, market didnt care, also the interesting demand level at 1,300 wasnt really noticeable, just a short 20pip upspike and down it went again...

But my inner mind tells me I cant sell the pair because it already made such a strong move... is this the wrong thinkin or what? I dont even get good entry points, since its just dropping like a rock... no back up moves into supply, just a 45 ° degree fall..
  • #4,333
  • Oct 2, 2012 3:24pm Oct 2, 2012 3:24pm
Quoting Infest
hey everyone... today i struggled very bad on the market, especially on the pair AUD/USD

the reason is that when the USD gains ground like it does today, i cant find a way to enter a trade.

lookin at the higher timeframes, i know that on the pair AUDUSD it would be safer to enter short, BUT we hit the lower stop of the trendline downwards at around 1,2770, market didnt care, also the interesting demand level at 1,300 wasnt really noticeable, just a short 20pip upspike and down it went again...
Can you post some charts with some indication of how you managed the trade? Need to see stop location and entry.
  • #4,334
  • Oct 2, 2012 3:38pm Oct 2, 2012 3:38pm
Quoting C-12
Can you post some charts with some indication of how you managed the trade? Need to see stop location and entry.
I havent entered the trade, but looking at AUDUSD I can see that both demand levels at 1,0300 and 1,0250 have only made a really tiny correction...

usually looking at H4, I expect some larger moves if it hits such an area... I mean based on that I would place my SL and TP, so lets say I would have done that for the 1,0300 level: i wouldve placed the SL at 1,0272 and TP at least at around 1,0350

Im not quite sure yet how you guys decide if you either go for a longer move or take the tiny portion... I mean even if you wouldve bought at those demand areas, there would have still been 15 pips to make... but sometimes its the start of a bigger move such as the one of EURUSD yesterday... do you even take these demand levels or wait for the latest one, or do you only trade with the trend (sell right now)

I know, many questions, but they all arise before I pull the trigger...
  • #4,335
  • Oct 2, 2012 3:45pm Oct 2, 2012 3:45pm
Quoting Infest
usually looking at H4, I expect some larger moves if it hits such an area... I mean based on that I would place my SL and TP, so lets say I would have done that for the 1,0300 level: i wouldve placed the SL at 1,0272 and TP at least at around 1,0350

I know, many questions, but they all arise before I pull the trigger...
I would have taken a long on a lower time frame and got my stop to BE fast and trailed out that 15 pips. It doesn't matter how good the level looks. I know I keep banging on about this but it is extremely important to get your position safe if you want to avoid systematically blowing your account.

If you get stopped out at BE then re-evaluate and maybe retake the trade if it still looks good.

Remember, trading is about finding low, risk high reward entries and taking your risk out as soon as it's appropriate.
  • #4,336
  • Oct 2, 2012 4:11pm Oct 2, 2012 4:11pm
Quoting C-12
I would have taken a long on a lower time frame and got my stop to BE fast and trailed out that 15 pips. It doesn't matter how good the level looks. I know I keep banging on about this but it is extremely important to get your position safe if you want to avoid systematically blowing your account.

If you get stopped out at BE then re-evaluate and maybe retake the trade if it still looks good.

Remember, trading is about finding low, risk high reward entries and taking your risk out as soon as it's appropriate.
Ok that makes sense...

How about entering with more a bit more lots and take out portion of the position with the almost safe 15-20 pip reaction of the market and let the rest run on BE ?!
  • #4,337
  • Oct 2, 2012 4:40pm Oct 2, 2012 4:40pm
Quoting Infest
Ok that makes sense...

How about entering with more a bit more lots and take out portion of the position with the almost safe 15-20 pip reaction of the market and let the rest run on BE ?!
Yes you can be as creative as you like once you're safe. I'm currently just using 1 standard lot off the M5/M1 and trailing aggressively.

I'm basically looking to scalp what I can with a trailed stop but at some point one will run.
  • #4,338
  • Oct 2, 2012 5:34pm Oct 2, 2012 5:34pm
Quoting Infest
Ok that makes sense...

How about entering with more a bit more lots and take out portion of the position with the almost safe 15-20 pip reaction of the market and let the rest run on BE ?!
Infest,

What you need to remember is Job 1 = Preservation of Capital. Using multiple lots at this stage, without crafting the skill at a single lot, may put your account in serious jeopardy. Spend time learning how to manage the trade with a single lot.

In some circles this single lot to BE concept (aka the Scratch Trade) can keep your account moving in the right direction.

Let’s take a single lot @ 10.00 per point. RR is 2:1...@ a 10 pip stop size.

Expectancy is 50/50

So our initial risk in $$ = 100.00... Our target in $$ = 200.00... Com 20.00 per trade.

5L x 120.00 (20.00 x 5 for comm.) = 600.00
5W x 200.00 minus 100 comm. = 900.00
Profit 300.00

Now let's look at some scratch trades (defined as BE plus comm. /spread)

4L x 120 (20.00 x 5 for comm.) = 480.00
1S x 0 (scratch trade) = 0
5W x 200.00 minus 100.00 comm. = 900.00
Profit 420.00

4L x 120.00 = 480.00
2S x 0 (scratch trade) = 0
4W x 200.00 minus 100.00 comm. = 800.00
Profit 380.00

Learning to manage the trade based on 1 lot. Understanding the math behind why you are managing your trade this way will take you a long way in getting and staying profitable.

Sounds simple right, I wish. Money management is the key... This just takes time in front of the screen. Knowing when to move the stop to BE... Very difficult to teach... IMHO it is an art form to some degree. I look at the trade progression and stall points. This tells me when I should be moving my stop.

KL just stated... Never let a winner turn into a looser. Trade Management !!

C-12 stated... A move to BE... Stopped out... Is there opportunity get back in...?Very difficult. One must be in COMPLETE control of their emotions... Have a strong understanding of this method... But if you can do it successfully...The rewards can be amazing...

Just my 2 cents...Hope I did not speak out of turn


Good trading

TSD
  • #4,339
  • Oct 2, 2012 7:15pm Oct 2, 2012 7:15pm
Quoting Infest
hey everyone... today i struggled very bad on the market, especially on the pair AUD/USD
..
Hey there,
Although i dont look at the news very often, yesterday the Australian interest rates were reduced by a quarter percent (which is bad for aussie dollar strength wise).. This is probably a major reason why demand levels didnt work out i would presume, as this is a pretty major news release from my limited understanding.. just another thing to look out for in the future i suppose
josh
nollej is power..
  • #4,340
  • Oct 2, 2012 7:40pm Oct 2, 2012 7:40pm
Just looking at the "failed" Aussie H4 level and I probably would have took 20 pips out of it with a trail if I was at home.

Now I probably would have been stopped out for BE on the second attempt but I wouldn't have been too upset that it didn't run.

Ken is right, it is in a downtrend and just look at where it is on the monthly.
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