Price Action, Pro, And Ichi Trading with 2ndskiesforex

Hello Misterboy and Knucklehead,

First off, Knucklehead is one of my top students (not just in the Ichimoku Course, but all of them). He's been with me a long time and has really developed into a damn good trader.

Although you do not need to combine PA with ichimoku, he does just that and has made them a powerful combination. His ichimoku wave analysis is really good, and when you combine this with the systems, an understanding of ichimoku, and Price Action, you can do some serious trading finding trades where most would not.

Often times the general trades from the ichimoku course go for a 2x reward play, but sometimes they can go for 3, 4 and several more multiples - just depends upon the trend, but if they go, we generally capture a large portion of that move.

Here is another example of a trade a student of mine took just using ichimoku and the strategies from the course. Notice how much of the most recent upswing he caught which is almost 80% of the move. Not bad at all.

Anyways, an excellent trade knucklehead so well done mate!

Kind Regards,
Chris

Hi Chris and Knucklehead,

Thanks a lot for the replies. The ichimoku trades look really great and well done for that.

So my understanding is, the ichimoku systems dont always have a fixed take profit but it trails as the trend continues.

Apart from that I also wanted to ask about the pro forex course or the shadow systems, especially about 4hr and daily. What is the min/max RR and accuracy as well as trade frequency of shadow systems? I am stuck between ichimoku and proforex course.

Hello Misterboy,

Correct, most of the ichimoku systems do not have a fixed take profit, but work to capture as much of the trend as possible.

In regards to the shadow systems, some of them have a fixed TP, some do not - similar to the Ichimoku Course.

But there is no max RR, but a min. of generally 1:1.

In terms of trade frequency, probably pretty similar to the ichimoku course, with the ichimoku course having a small advantage of being used on more pairs.

Hopefully this answers all your questions.

Thoughts?

Kind Regards,
Chris

Sounds great, thanks for the very quick reply Have an awesome weekend!

While the market is closed, I still find it a great time to study and learn, taking things to the next level.

Normally I am sharing my live price action trades, but I wanted to share some live price action and ichimoku setups from my members. Many of them were just like you only a few months ago - unable to profit, be consistent or successful in trading, while struggling to learn how to be profitable.

But each day another one turns the corner and shares another successful trade.

Below are a couple recent ones from my students, with one of them banking a 6.5:1 reward to risk play, snagging +78 pips in less than 2 hours!

So hopefully this inspires you to see how easy it is to turn the corner, and trade successfully and profitably.





NOTE: I'll be back with my normal daily posts starting tomorrow when the market opens.

Until then, may an ocean of good health, abundance and positive things come to you in the new year.

Kind Regards,
Chris Capre

Hello Traders,

I'm looking at the price action on crude oil which is offering several possibilities to get in with trend, including several pin bars, key support and resistance levels, and a possible breakout pullback setup. Chart below.

Crude Oil
On Wednesday this week, I opined in my forex commentary that Crude Oil was prime for a breakout around the $93.75 level which had acted as resistance during this recent uptrend.

In my commentary, my suggestion was to look for a breakout pullback setup just after price breaches the key resistance area. This is exactly what played out and offered a really good price action setup shortly after the break (see chart below).



Starting with the bottom left of the chart above, we can see the pin bar bottom which was followed by the accumulation buying. After price climbed strongly with the bulls taking control, price action rejected off the key resistance area.

Just prior to the breakout, you will notice how the bulls keep attacking the level.

The breakout bar is also quite large which is a healthy sign for a good breakout.

Shortly after, price uses the resistance level as now support, and then launches up over +80 pts in an hour.

Many of my students were savvy and picked up this textbook setup so hopefully you did as well.

I hope you enjoyed today's forex commentary and analysis.

Kind Regards,
Chris Capre

Hello Traders,

Here are a couple of charts I'm looking at for the week as offering some good price action setups in the near term.

EURJPY
Recently breaking into the stratosphere as of late, the EURJPY the pair is approaching a big figure at 120.00, and some crucial resistance levels at 121.84 & 123.33 (April 2011 swing highs and 2011 yearly highs respectively).

From a quantitative price action perspective, we are in extreme territory as we have never had more than 38 consecutive candle closes above the 20ema without having a touch on the 20ema and dynamic support (just hit 39 on Friday).

The pair has not shown any exhaustion price action yet, however it certainly could be coming up soon, so I'll keep my eyes out for potential shorts. However in the near term - buying on breaks is not my favorite as I do not want to chase this trend, so will wait for corrective pullbacks before considering getting long.



EURUSD
Busting through the key resistance level at 1.3300, I feel there is a moment of truth coming up for the Euro bulls. The prior resistance level was a pin bar rejection, so there is still strength in the bulls, but two key resistance levels are just north of the current price.

First on deck is 1.3387 (swing high from March of last year), and then the 1.3489 (yearly high for 2012). I'm guessing there will be a fair amount of bears parked at those levels which offers a few plays.

Bears looking to short can watch the aforementioned 2012 highs for intraday price action reversal signals, while bulls can wait for a breakout pullback setup. However for now, the series of HL's (higher lows) and HH's (higher highs) are communicating the bulls have short term control of the pair.



Good hunting for the week and I'll see you tomorrow for my regular postings of price action setups.

Kind Regards,
Chris Capre

Hello Traders,

Just wanted to share some potential price action setups on the AUDUSD.

The pair failed at the key 1.0600 resistance area, then pulled back to the role reversal level at 1.0522 where it found support before bouncing higher (chart below).



So far, the second leg up has formed a LH (lower high), suggesting possible weakness and failure in the short term up trend. 1.0522 becomes the critical level for bulls to hold, so a break below here could offer a breakout pullback setup. Bulls will need to clear the resistance above 1.0600, or pullback further before bringing in new longs at these levels.

For a video explaining the basic methods of how I like to approach breakout pullback setups, make sure to check out the video below;

Price Action Breakout Pullback Setup - 2ndSkiesForex

Enjoy and I look forward to your comments.

Kind Regards,
Chris Capre

Hello Traders,

I'm also watching the GBPJPY as its exhibiting similar behavior to the AUDUSD chart I posted above. Bull trends tend to pullback towards the dynamic support and 20ema, along with to a prior swing high, which often becomes a breakout pullback level in that uptrend. We have already formed a corrective pullback to the dynamic support and 20ema, so I'll watch the key role reversal level below for a possible signal, or failure of a signal.

(chart below)



Good Hunting!

Kind Regards,
Chris Capre

Hello Traders,

As mentioned in my weekly market commentary, the EURJPY has been showing a lot of price action signs of breaking down and reversing the long uptrend.

Earlier today, it formed an engulfing bar, but to mark the intraday lows, it formed an inside bar at the bottom of the range, which is also doubling as an inverted pin bar.

Keep in mind, inverted pin bars are really just failed attempts at a rally.

The pair is attempting to break below the current 117.54 lows and should it break cleanly, i'm expecting a sell-off towards 116.00, so i'm expecting a potentially good move on the cards.

Chart below;



Good hunting!

Kind Regards,
Chris Capre

Hello Traders,

Watching a few things today, one that has caught my eye along with many today, is Silver. $31.51 is a key upside level for the precious metal, as its a swing high resistance level for almost a month now, and formed a pin bar rejection there prior.

It recently formed a tiny pin bar there, but after pulling back, found the 20ema and dynamic support, where it found buyers who are now testing this level again.

Intraday charts spotted this reversal off the dynamic support, and has played out well. I'll be watching this level for either a breakout retest, or possible failure for a move back down to $31.00 and possibly $30.50 near term.



Until then - good hunting everyone.

Kind Regards,
Chris Capre

Hey Traders,

I'm looking at several of the major indices, particularly the S&P 500 which is not really inspiring bulls by the price action just under the multi-year highs at 1475. I'm anticipating a possible bull trap breakout, so if you see an upside breakout and failure, this could be the start of some solid selling.

Bulls can though look for corrective pullbacks towards 1450, or for a solid breakout pullback above the key level.

Also note the inverted pin bar from monday, suggesting it has been underpinned as of late.



Good hunting for today!

Kind Regards,
Chris Capre

Hey all!

I've recently bought the Price Action course. And have been vacuuming up all the info.
Ready for an honest opinion?

The best thing out there.

I've read countless books and bought a couple of courses. There’s been varying degrees of good information in all of them - but essentially your knowledge-base is like Swiss cheese. You overall know a good bit, but you have alot of holes! Which will be detrimental to your analysis and fundamental understanding of trading the Forex.
Chris has awesome database of videos with clear concise explanations of how to: get in, get out, manage your risk, quantative data to back up the methods... All with clear examples. Any questions people have just get posted below the video and Chris, along with a great community of members will assist you.
He's very forthcoming and helpful, the community feels inviting and supportive and the information is top notch.

Esentially Chris, supports and encourages the growth of independent confident traders, who are looking to be taught how to survive and prosper trading the Forex.

I'll happily answer any follow-up questions anyone has. Hopefully I'll see you round the 2ndSkies forum!
Donhwaande

Hello Traders,

With the US Markets closed today for MLK day, price action has been slow, so will not make any moves till London starts spinning the tires. But am looking at Gold which is in a range that should break soon (likely tomorrow). Chart below, but the key levels are clear so watch for intraday price action triggers off each level. Any of these that fail likely will translate into a breakout pullback setup so stay on guard. Remember, a failed signal is new information, and possibly a new signal as well.



Good Hunting!

Kind Regards,
Chris Capre

Hello Traders,

I just wrote an article called 'Trading is Not a Fashion Contest' which you can read some below;

There seems to be some fascination with newer/beginning traders to find this perfect setup, this small set of circumstances that give price action the appearance of a great trade opportunity. You've probably heard about these patterns and setups before, often referred to as Pin Bars, Engulfing Bars, Inside Bars, etc.

Beginning traders become hypnotized, thinking these price action patterns are all you need learn to trade the market, as if trading were a fashion contest, and your goal is to find the best dressed setup.

The problem is, this is a really confined view as these patterns are more often the result of order flow - not the cause of it.

A Means, Not the Reason
These price action setups discussed above, are a means to get into the market, not the reason why you should be. And it's often the case, they are the secondary reason why you should be entering the market.

The reason why you should be getting into the market, is because your understanding of the price action & order flow in the overall market, gives you an over-weighted picture as to a clear direction in the market.

This direction could be for 20 minutes, hours, or even days. The amount of time it will likely maintain that direction is not important. That the price action gives you an over-weighted picture of the direction IS!

And when this happens, there is a trade opportunity. If that opportunity offers you a good mathematical reward/risk play, then you should be trading it - not because of some picture perfect setup.....

Full article here;
Trading is Not a Fashion Contest

Enjoy and I look forward to hearing your comments.

Kind Regards,
Chris Capre

Hello Hwaand,

Thank you for the positive comments and sharing your experience. I take great pride in my work, so comments like these just reflect back to me that I am doing my work well, and continue to inspire me to work with people like you.

Onwards and Upwards.

Kind Regards,
Chris Capre

Hello Traders,

While a majority of the pairs have remained range bound, I have been focusing on Gold as of late, which is forming a pre-breakout price action squeeze on the 4hr chart.

Looking at the chart below, the pair has definitely come up against a clear resistance level in $1695 which has rejected the market several times since the 17th of this month.



You will also notice the 20ema carry and pin bar rejections on both sides. And now the squeeze is forming, suggesting a breakout is imminent.

I favor the upside, but am open to a failure of this and shorting as well towards $1684, but we should have our answer either today or tomorrow imo.

I'll also have a few more posts of how I traded yesterday on the EJ and EU and banked about 100 pips during a range bound environment so stay tuned.

Kind Regards,
Chris Capre

Hey Traders,

Although I'm not totally convinced the GBPJPY has formed a short term bottom, it is showing some signs of it near term with a few pin bars and a HL (higher low) off the recent 139.50 area. First hurdle is 141, but after that, all clear for about a 100pips.

A failure below 139.24 opens up 137.90.

Chart below:



Kind Regards,
Chris Capre

Nice Thread! Keep the info coming please.

A few Gbp/Jpy charts of my own if you dont mind.

Thanks,

sjc