Davit's Confluence Trading | Page 4 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

My Trading General following Davit Pivot Strategy 2 replies

Bollinger Band Confluence Trading 16 replies

Confluence Trading Adventures 0 replies

Trading based on Confluence 20 replies

Confluence Trading 30 replies

Attachments: Davit's Confluence Trading
Exit Attachments

Davit's Confluence Trading

  • #61
  • Dec 17, 2012 10:01pm Dec 17, 2012 10:01pm
Have not posted for a awhile.I find myself increasingly isolated among system threads.Don't fit anywhere comfortably.I trade with ideas which are some combination of Price Action,Andrews pitchfork,Fibs 200 and 10EMA bounces
Here is my outlook for GU tonight

1st real resistance at 6230 where Price hits important Andrews median line.Which corresponds with Fib level as well
Mostly likely will be looking to short GU at 6230 if Price struggles get through Median line.
Attached Image (click to enlarge)
Click to Enlarge Name: gu.gif Size: 25 KB
In trading, you have to be defensive and aggressive at the same time
  • #62
  • Dec 18, 2012 4:13am Dec 18, 2012 4:13am
UCAD is in demand zone.So I averaged into buying 4 orders and 1pending at 9830 and 1 major bigger lot at 9800 should the price reach there.
I like long term cad buys because swap is cheap hence no real damage as soppose versus Cable or even worse Aussie dollar which is real expensive.
My TP is around 9875-80 area however if the momentum is seriously up I will let them run higher.I suspect after budget gets sorted out dollar will regain her strength.
http://www.forexfactory.com/attachme...1&d=1355775250
In trading, you have to be defensive and aggressive at the same time
  • #63
  • Dec 18, 2012 4:29am Dec 18, 2012 4:29am
Quoting Davit
UCAD is in demand zone.So I averaged into buying 4 orders and 1pending at 9830 and 1 major bigger lot at 9800 should the price reach there.
I like long term cad buys because swap is cheap hence no real damage as soppose versus Cable or even worse Aussie dollar which is real expensive.
My TP is around 9875-80 area however if the momentum is seriously up I will let them run higher.I suspect after budget gets sorted out dollar will regain her strength.
http://www.forexfactory.com/attachme...1&d=1355775250
Davit,
Sorry if you already had to answer this question: how do you determine supply/demand zones? Thank you.
  • #64
  • Dec 18, 2012 4:49am Dec 18, 2012 4:49am
Quoting MidnightRun
Davit,
Sorry if you already had to answer this question: how do you determine supply/demand zones? Thank you.
Its very easy to spot them once you understand difference of supply and demand vs support and resistance.Two are not the same.
I think it would be worth your time to watch Sam Seiden master of SD and to me one of the best traders who actually trade!
http://www.fxstreet.com/search/contr...1-e9bf77216d2f

Read this PDF which is based on Sam's teachings.

Regards
Attached File(s)
File Type: pdf BS Trading.pdf   5.0 MB | 1,038 downloads
In trading, you have to be defensive and aggressive at the same time
  • #65
  • Dec 18, 2012 4:53am Dec 18, 2012 4:53am
Thanks Davit.
Oleg
  • #66
  • Dec 18, 2012 7:08am Dec 18, 2012 7:08am
Quoting Davit
Have not posted for a awhile.I find myself increasingly isolated among system threads.Don't fit anywhere comfortably.I trade with ideas which are some combination of Price Action,Andrews pitchfork,Fibs 200 and 10EMA bounces
Here is my outlook for GU tonight

1st real resistance at 6230 where Price hits important Andrews median line.Which corresponds with Fib level as well
Mostly likely will be looking to short GU at 6230 if Price struggles get through Median line.
Hey Davit,

I feel the same way. I don't fit in anywhere but I guess our styles somewhat fit. I trade ratio confluence and harmonics. Lets talk about confluence or ratios and see if we can find some more square pegs. LOL
If you fail to plan, you plan to fail.
  • #67
  • Dec 18, 2012 11:36am Dec 18, 2012 11:36am
Quoting Mr. Pip
Hey Davit,

I feel the same way. I don't fit in anywhere but I guess our styles somewhat fit. I trade ratio confluence and harmonics. Lets talk about confluence or ratios and see if we can find some more square pegs. LOL
Please do.
I am not very familiar with Harmonics.Subject fascinates me since I love fib numbers.Problem I face and many traders how one chooses the waves.I find lot of subjectivity.
Goal is to eliminate subjectivity when choosing wave patterns.They are Gartley pattern idies however I tried one and it drew patterns rather not very accurately.
Closest I came accuracy is using Zig Zag indi.It does a great job picking nice waves.
Just so you are aware by confluence I include not only fibs but EMA specially 10 and 200,Pitchfork,regression channels,round numbers,ADR,Key S/R zones.
Lately I have been reading about regression channels and I was not aware that Banks use that as a primary tool.Interesting.
Anyway feel free to contribute.I specially like to know how you pick your waves and ratios.
Regards
In trading, you have to be defensive and aggressive at the same time
  • #68
  • Dec 18, 2012 1:34pm Dec 18, 2012 1:34pm
The best trading tool is patiently waiting for an "obvious" trading opportunity. I haven't done any trading since last Wednesday because I didn't see anything I liked on any of the charts, then yesterday Fibonacci, RSI, and resistance all made shorting Feb GC from $1704 too "obvious" for me not to make the trade. I set my exit at $1694 because it was "obvious" gold would hit that target at least (if I'd stayed up to monitor the trade I would have made that a trailing stop and quadrupled my profit but I can't begrudge any profitable trade).

You've had good trades based on solid reasoning before, and I'm sure in time it will again. The point being, when nothing on your charts looks good, just step aside and take a break and wait for the right opportunity to present itself.
You can always make money tomorrow provided you don't lose it today.
  • #69
  • Dec 18, 2012 2:02pm Dec 18, 2012 2:02pm
Quoting KADC
The best trading tool is patiently waiting for an "obvious" trading opportunity. I haven't done any trading since last Wednesday because I didn't see anything I liked on any of the charts, then yesterday Fibonacci, RSI, and resistance all made shorting Feb GC from $1704 too "obvious" for me not to make the trade. I set my exit at $1694 because it was "obvious" gold would hit that target at least (if I'd stayed up to monitor the trade I would have made that a trailing stop and quadrupled my profit but I can't begrudge any profitable trade)....
Hi Kadc
Great to see you post.I have made mistakes and learned hard way.Yes I agree with you best wait for good opportunity.My recent Cad buys are in profit already.I have moved my stops so now they are free to climb as high as market can go.
Regards
Too bad I can't trade gold and oil.My broker is limited.
In trading, you have to be defensive and aggressive at the same time
  • #70
  • Dec 18, 2012 5:40pm Dec 18, 2012 5:40pm
Quoting Davit
Please do.
I am not very familiar with Harmonics.Subject fascinates me since I love fib numbers.Problem I face and many traders how one chooses the waves.I find lot of subjectivity.
Goal is to eliminate subjectivity when choosing wave patterns.They are Gartley pattern idies however I tried one and it drew patterns rather not very accurately.
Closest I came accuracy is using Zig Zag indi.It does a great job picking nice waves.
Just so you are aware by confluence I include not only fibs but EMA specially 10 and 200,Pitchfork,regression channels,round...

Hey Davit,

Harmonics is actually quite simple. There are many ways to skin a cat and honestly anything can get complicated if you let it. Luckily my motto is “Keep It Simple”. There is really no need to get into wave counting as I agree with you on the subjective nature of the Elliot Wave Theory. There is nothing subjective in my approach to harmonics.

I also do not use indicators as I find the very nature of them somewhat subjective. They are also misleading due to the fact that most of them repaint. This is the biggest problem with software that identifies these patterns they work in tune with the ZigZag which is huge on repainting.

To find my patterns I use Fibonacci only and have specific rules for each no subjectivity. As for the waves or swings as I refer to them, start with the dominant one. The dominant one is the one that has price trapped within its high and low. This is usually the AB or the XA of a pattern and always a good starting point. I can post a chart if you would like?

Cheers,

Mr. Pip
If you fail to plan, you plan to fail.
  • #71
  • Dec 19, 2012 12:37am Dec 19, 2012 12:37am
Quoting Mr. Pip
Hey Davit,

Harmonics is actually quite simple. There are many ways to skin a cat and honestly anything can get complicated if you let it. Luckily my motto is “Keep It Simple”. There is really no need to get into wave counting as I agree with you on the subjective nature of the Elliot Wave Theory. There is nothing subjective in my approach to harmonics.

[font=Calibri][size=3]I also do not use indicators as I find the very nature of them somewhat subjective. They are also...
Please do post recent chart.Love to see and learn more.
Thanks Mr.Pip
In trading, you have to be defensive and aggressive at the same time
  • #72
  • Dec 19, 2012 1:44pm Dec 19, 2012 1:44pm
Quoting Davit
Please do post recent chart.Love to see and learn more.
Thanks Mr.Pip
Whatis your prefered timeframe to trade? I'd like to show you on that timeframe. Harmonics apply to any instrument and timeframe. I want to show you something you are use to.

Regards,

Mr. Pip
If you fail to plan, you plan to fail.
  • #73
  • Dec 19, 2012 11:06pm Dec 19, 2012 11:06pm
Quoting Mr. Pip
Whatis your prefered timeframe to trade? I'd like to show you on that timeframe. Harmonics apply to any instrument and timeframe. I want to show you something you are use to.

Regards,

Mr. Pip
Thanks Mr Pips 1hr will do fine.
Regards
In trading, you have to be defensive and aggressive at the same time
  • #74
  • Dec 19, 2012 11:08pm Dec 19, 2012 11:08pm
Closed my UCAD buys +169PIPS
Attached Image(s) (click to enlarge)
Click to Enlarge Name: cad.gif Size: 38 KB
Click to Enlarge Name: cad.JPG Size: 21 KB
Click to Enlarge Name: Cad 2.JPG Size: 24 KB
In trading, you have to be defensive and aggressive at the same time
  • #75
  • Dec 20, 2012 9:58am Dec 20, 2012 9:58am
Hello Davit,

Pleasure to contribute some to your journal, I chose the current UCAD as it’s the pair you took profit on for the example.

I will post two of the same charts. I will demonstrate how precise harmonics and ratios help us navigate through price and forecast poss. reversal zones.

In the first chart we will start from the double bottom and work our way forward. Then we will look at the corrective swing and the area you entered (great trades by the way) and from there back up.

Harmonics are a great way to identify expectations in current price movement and maximum favorable excursions. They also help us identify what is reasonable for profit targets. These principles are applicable to and instrument you wish to trade and any timeframe as well. A common mistake among many traders is overlooking the Big Kahuna (price action).

Price action is king and will always guide us in our processes. Traders place more weight on indicators and that is something I will never understand. Indicators have 0 predictive values and only alert you to a condition of strength or weakness at a certain point in time. These facts should already be known to a trader who is in tune with price action.

I’m sure you’ve heard as I have that the markets are random and noisy. I couldn’t disagree more! There is nothing random about price action and there is no such thing as noise on a chart. There is a natural order to price action and a rhythm. It is our job to find it and exploit it.

Please review the charts below.

Regards,

Mr. Pip
Attached Image(s) (click to enlarge)
Click to Enlarge Name: $USDCAD (60 Min) 12_18_2012 1.jpg Size: 119 KB
Click to Enlarge Name: $USDCAD (60 Min) 12_20_2012 2.jpg Size: 130 KB
If you fail to plan, you plan to fail.
  • #76
  • Dec 20, 2012 12:55pm Dec 20, 2012 12:55pm
Quoting Mr. Pip
Hello Davit,

Pleasure to contribute some to your journal, I chose the current UCAD as it’s the pair you took profit on for the example.

I will post two of the same charts. I will demonstrate how precise harmonics and ratios help us navigate through price and forecast poss. reversal zones.

[font=Calibri][size=3]In the first chart we will start from the double bottom and work our way forward. Then we will look at the corrective swing...
Mr.Pip
Thanks for taking your time and explaining.
When trading your own what TF chart you asses Fib harmonics importance.1hr?4hr?Daily?weekly? Logically I assume if swing trader daily should be a solid choice but I don't like assuming.
If you know a great website or books please do refer me about Harmonics.I found few but not sure the quality.I trust you know better to recommend one.
Thank you
In trading, you have to be defensive and aggressive at the same time
  • #77
  • Dec 20, 2012 4:16pm Dec 20, 2012 4:16pm
Quoting Davit
Mr.Pip
Thanks for taking your time and explaining.
When trading your own what TF chart you asses Fib harmonics importance.1hr?4hr?Daily?weekly? Logically I assume if swing trader daily should be a solid choice but I don't like assuming.
If you know a great website or books please do refer me about Harmonics.I found few but not sure the quality.I trust you know better to recommend one.
Thank you

Davit,

Harmonics are applicable to any time frame. I enjoy trading the intraday time frames and have gotten away from traditional swing trading. I usually trade the 5 min and lately tick charts. It’s all the same no noise to worry about and I don’t have to hold trades over night and weekends. I don’t have to worry about those things anymore.

I don’t consult the larger time frames because I can zoom out and see what’s going on. In time you will be able to spot patterns and harmonics automatically. Your eye will train to spot them easily. At first it would be wise to move up one timeframe to take a look at what’s going one. Remember always the higher timeframe trumps the smaller. I am able to spot what’s going on in the larger timeframes right from the same 5 min chart just have to zoom out. Plenty of screen time has enabled this for me.

It is unnecessary to go beyond the 4H if you like to trade 1H and if trading lower timeframe no need to go past the1H. We are looking to capture price movement on that timeframe and if you are in tune with order flow the higher timeframe is no help. Use the higher timeframe for major support/resistance and main order flow that’s it.

I recommend visiting http://www.harmonictrader.com/ this guy is the pioneer of harmonics. Has also has a book Harmonic Trading Profiting from the Natural Order of the Financial Markets. The author is Scott Carney. Its price but a must read if you like harmonics. Lots of chart examples as well. There is a free download of an earlier version on that site. The one you buy is an updated version more current with newer infor. I got it through amazon. I don’t have a digital copy or I would give it to you.

Hope this helps.

Regards,
If you fail to plan, you plan to fail.
  • #78
  • Dec 21, 2012 12:53pm Dec 21, 2012 12:53pm
Quoting Mr. Pip
Davit,

Harmonics are applicable to any time frame. I enjoy trading the intraday time frames and have gotten away from traditional swing trading. I usually trade the 5 min and lately tick charts. It’s all the same no noise to worry about and I don’t have to hold trades over night and weekends. I don’t have to worry about those things anymore.

[size=3][font=Calibri]I don’t consult the larger time frames because I can zoom out and see what’s going on. In time you will be...
Thanks for the great inputs.I am "hooked" now.
Regards
In trading, you have to be defensive and aggressive at the same time
  • #79
  • Dec 21, 2012 12:55pm Dec 21, 2012 12:55pm
slept and missed 80pips down move on Cable
aghhhhh
In trading, you have to be defensive and aggressive at the same time
  • #80
  • Dec 21, 2012 1:42pm Dec 21, 2012 1:42pm
Quoting Davit
slept and missed 80pips down move on Cable
aghhhhh
There will be many more just be glad you didn't take a long and that sloppy Gartley Pattern PRZ. Price was telling us it had no intension to reverse.
If you fail to plan, you plan to fail.
0 traders viewing now