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B.S. Trading with Kenneth Lee

  • #4,981
  • Jan 24, 2013 10:11am Jan 24, 2013 10:11am
Quoting hiteshjethra
Hi Everyone, I am considering joining a trading room to pick up S/D trading quickly. Could someone suggest me a good one? I came across one in another thread here. Would really appreciate if somoene could take a look and lemme know their thoughts abt it. Thread: http://www.forexfactory.com/showthread.php?t=288707 Site: http://www.thetradersguild.co.uk/ Incase my post is inappropriate pls let me know, I will remove the links. Thanks in advance
Before you go spending money to join a room, take your time. review all of Sam's Vids.. Spend a good amount of time reading KL's thread.. There are others as well that will help with maybe a different perspective.. Sometime that can "turn the light on " for you. There is a tremendous amount of information availbale for free regarding trading S/D...No need to spend $$ now. Learn what you can now.. Open a demo account...Then ??? Once you have learned the concepts.... then maybe ?????? you might ????? consider a room.

Dont get me wrong.. It is good to learn from different people in this business.. I have learned from many. BUT. take the time to learn on your own here and with all the info out there...This will take you a long way mentally to being a good trader. it will teach you about yourself and how you think..trust me when I say " You will need to change the way you think first before you can become a profitable trader.. Following someone around in the begining.. taking trades .. sure .. You will make money " hopefully" but you may not really learn how to trade...As soon as you branch out on your own everything changes... Yes there are a select few that an make that transition very well.. and you may be that person...But take the time to learn the method... See if it right for you...Some methods are just not geared for certain people.... Much like time frames.. Some are only comfortable with longer time frames...So can trade the very smaller very well.. But it will take time to discover this for you.

Personally this method for me works very well.. But I do know other PA methods that are equally profitable for other traders I have known for the last 12 years.. And yes, they are still trading today..

So take your time...learn.. do not be in a hurry... being in a hurry will cost you many $$$$ in the long run

just my 2 pips

Good trading to all

TSD
  • #4,982
  • Jan 26, 2013 10:34pm Jan 26, 2013 10:34pm
Hi,

I've done much reading in this thread, but no posting. Great thread, KL. Thanks to the other great contributors too.

I've been learning SD and would appreciate any opinions on my levels or my thoughts.

I like to find a S & D level on each of the timeframes, starting on weekly, working my way down. I've got stuck on what to think of the AU 1H chart.

Pretty close to current price, there’s a pivot low at 1.0394 and just below that there seems to be a level that cannot be ignored (1.0394 – 1.0344) – meaning I don’t think the market will ignore it – yet it doesn’t seem like a clear level or a good level. Support and Demand meet at the same place though, which is TSD’s odds enhancer.

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But if I look at what happened around 21 and 22 Nov 2012, I’m not even sure the above level is fresh. See the grey ellipses. Those didn’t look like proper levels at the time, but would they mean I should disregard the level formed late in December 2012?

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After this, going back further, I get even more confused J
I see potential levels at 1.0267 and 1.0218 and also 1.0169. What concerns me is that they seem close together. Does this mean the levels are less likely to hold? Does it mean I should not try to trade the upper levels at all, even if they seem like strong levels?

The ellipses and question mark looks like a pivot to me, but strong moves in and out, and I cannot see that the market will ignore that level. Should one try to trade it, or ignore it?

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I’d appreciate any feedback. Thank you.
  • #4,983
  • Jan 27, 2013 12:31am Jan 27, 2013 12:31am
Quoting Gerry
Hi,

I've done much reading in this thread, but no posting. Great thread, KL. Thanks to the other great contributors too.

I've been learning SD and would appreciate any opinions on my levels or my thoughts.

I like to find a S & D level on each of the timeframes, starting on weekly, working my way down. I've got stuck on what to think of the AU 1H chart.

[color=black][font=Verdana]Pretty...
I would love to spend more time on this. But don't have it available. Sometimes the thing to do is start at the higher time frames then work down this will help get rid of some of the potential problem areas. That is mark your zones out on a 4h chart then see what it looks like on the hourly. Maybe fine tune it. Remember new orders come into the market all the time. Also orders leave. The thing to do is be ready as the zones approach for your plan of attack.
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Illegitimi non carborundum - Noli pati a scelestis opprimi.
  • #4,984
  • Jan 27, 2013 1:37am Jan 27, 2013 1:37am
Appreciate it, Rufus. On the 4H, the level I liked was 1.0334 - 1.0287. That seems very wide to me (50 odd pips??) and also pretty far from the current price. But based on the compression you pointed out, would that mean I could ignore the earlier action in the area and make the new level 1.0394 - 1.0374. The thought of putting my SL in the area where I have it is scary, but maybe that's just because I don't know better...

What I've been doing is the analysis on all levels, starting with weekly, and then enter trades on lower timeframes. Recently I've found that 15 and 30 min's have worked best for me. I've carefully studied levels, odds enhancers, etc. but find myself in 'what if' situations where I don't know what to do with the information I see. Incomplete knowledge.

I currently have a stop loss at 1.0368 (on the chart). Should I feel uncomfortable about that? You'll not be wrong to note that I should not have put the order on if I was not comfortable in the first place, but this is how I will learn. Trading very small risk... a dollar or 3 at a time. I'm aware that I should not be holding this trade over the weekend. I messed up on that.

Would you consider Friday's action to have 'completed' the reaction to this level at this time? What I mean: would you be expecting a move to 1.05+?

Rufus, if you don't have time, you can ignore this, though of course your help is appreciated when you can manage it. I hope if you don't have time, someone else will pick up on it and continue.

If someone is aware of a GOOD source of information on compression, please refer me to it.
  • #4,985
  • Jan 27, 2013 1:43am Jan 27, 2013 1:43am
sorry, here's the chart for the above... no, I don't seem to be able to upload it. I'll try later again
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  • #4,986
  • Jan 27, 2013 2:58am Jan 27, 2013 2:58am
EURUSD daily...
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  • #4,987
  • Jan 27, 2013 11:04am Jan 27, 2013 11:04am
Quoting Gerry
Appreciate it, Rufus. On the 4H, the level I liked was 1.0334 - 1.0287. That seems very wide to me (50 odd pips??) and also pretty far from the current price. But based on the compression you pointed out, would that mean I could ignore the earlier action in the area and make the new level 1.0394 - 1.0374. The thought of putting my SL in the area where I have it is scary, but maybe that's just because I don't know better... [color=blue] ( Compression takes out the demand in this case. So if price hits it, it will usually fall through....

Have fun with it Gerry. I am not sure of one concise source for compression. You can PM me if you like.

Rufus


Well crap everything I wrote inside your post did not go through. I will try again latter
Illegitimi non carborundum - Noli pati a scelestis opprimi.
  • #4,988
  • Jan 27, 2013 11:45am Jan 27, 2013 11:45am
Quoting Gerry
Appreciate it, Rufus. On the 4H, the level I liked was 1.0334 - 1.0287. That seems very wide to me (50 odd pips??) and also pretty far from the current price. But based on the compression you pointed out, would that mean I could ignore the earlier action in the area and make the new level 1.0394 - 1.0374. The thought of putting my SL in the area where I have it is scary, but maybe that's just because I don't know better...

What I've been doing is the analysis on all levels, starting with weekly, and then enter trades on lower timeframes....
All right Gerry. I got myself a big ole bowl of grits with cheese on it. So lets try this again.

Compression takes out the demand in this case. So if price hits it, it will usually fall through so where your stop is where I would put it. However the zone you are trading is not a fresh one. Don't get me wrong though there is nothing wrong with trading a second test of a zone. It is just that the more it gets tested the weaker it becomes.

but find myself in 'what if' situations where I don't know what to do with the information I see. Incomplete knowledge.

We will never have complete knowledge. We have no idea of the new orders coming in or orders taken off the table. As a trader we need to find our edge, accept the risk, then to hell with the what if's.


I'm aware that I should not be holding this trade over the weekend. I messed up on that.

There is nothing "wrong" with holding over the weekend if it is a part of our trading plan. We don't hold and hope. We hold with a plan. The Forex market is one of the most trending markets in the world. A small position on a large trend can be very rewarding. There are traders who hold positions for months and add to them. So you are not necessarily wrong. Just be careful not to box in your thinking on how to trade this market.

Would you consider Friday's action to have 'completed' the reaction to this level at this time?

I don't know. For me it ain't over till the next price prints on the chart. So I will tell you latter today. ERRR the chart tell you. You may get a 100 pip jump up or down, or maybe stay right where it is. I know lots of help there. But just remember price is going to do what ever it does in spite of what all the traders think. We just trade what is handed to us.

If someone is aware of a GOOD source of information on compression, please refer me to it.

Not aware of one concise place...pm me if you want.

There we go. Grits half gone now getting a tad hard. Trade safe

Rufus
Illegitimi non carborundum - Noli pati a scelestis opprimi.
  • #4,989
  • Jan 28, 2013 7:10pm Jan 28, 2013 7:10pm
break demand or rebound
Attached Image
if there is something you should keep secret,simply just save it,, so, just
  • #4,990
  • Jan 28, 2013 8:00pm Jan 28, 2013 8:00pm
Quoting sandycarrot
break demand or rebound

look like she will break demand
if there is something you should keep secret,simply just save it,, so, just
  • #4,991
  • Edited Jan 29, 2013 1:17am Jan 28, 2013 11:50pm | Edited Jan 29, 2013 1:17am
Quoting TraderinSD
Before you go spending money to join a room, take your time. review all of Sam's Vids.. Spend a good amount of time reading KL's thread.. There are others as well that will help with maybe a different perspective.. Sometime that can "turn the light on " for you. There is a tremendous amount of information availbale for free regarding trading S/D...No need to spend $$ now. Learn what you can now.. Open a demo account...Then ??? Once you have learned the concepts.... then maybe ?????? you might ????? consider a room.

Dont get me wrong.....
Appreciate your valuable advice TSD. I do understand the need to find the system that suits MY own trading style. SD trading definitely does. My inclination towards a trading room is because I want to learn in a LIVE environment. Coz its one thing to view snapshots of setups and exits and another thing to watch it unfold pip by pip. I am not discounting forums, its just that I felt that a live environment in addition to forums might add something to my learning.
  • #4,992
  • Jan 29, 2013 8:09am Jan 29, 2013 8:09am
Current Gold trade.
Still learning but S/D does seem to be the right way.
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Thoughts are things
  • #4,993
  • Jan 29, 2013 12:07pm Jan 29, 2013 12:07pm
Quoting Quezoy
Current Gold trade.
Still learning but S/D does seem to be the right way.
Nice example of taking a trade into a Supply level ot of the base. I call these Magnet trades as the Supply Level that created the Drop-Base-Rise acts like a Magnet for price to come back into the level. They are definitely Counter Trend trades but the principals are the same.. We have a series of HL's preceding the entry.. We do not have a lot of clutter ( looking left ) to get in the way of the price move.. Looking left you can a couple of S/R areas that appear to be holding. We see the SM active (relative to the TF).. You Demand Level was not the classic KL set up .. ( but I see nothing wrong with that given the contex in which your trading ).. Based on your target the R/R was correct for this size of Demand Area.

Well done

Good trading to all

TSD
  • #4,994
  • Jan 29, 2013 12:14pm Jan 29, 2013 12:14pm
Quoting hiteshjethra
Appreciate your valuable advice TSD. I do understand the need to find the system that suits MY own trading style. SD trading definitely does. My inclination towards a trading room is because I want to learn in a LIVE environment. Coz its one thing to view snapshots of setups and exits and another thing to watch it unfold pip by pip. I am not discounting forums, its just that I felt that a live environment in addition to forums might add something to my learning.
If you able to stay with that view consistantly you will benefit from both ...The single biggest thing you can do ( IMHO ) is start a trade log.. You can write down what you are think , doing before you see it in the room..Making a desicion before you see the outcome live... This will help you see if your thinking was correct or incorrect.. It is a great way to suppliment the room.

We expect a full report in 3 months....

TSD
  • #4,995
  • Jan 29, 2013 3:20pm Jan 29, 2013 3:20pm
Finally got my new internet service.. Then of course the old router wouldn't work with windows 7 . so had to get one of those . always something. to get back into the groove.
Good Trading To All ; Ken Lee
  • #4,996
  • Jan 29, 2013 4:05pm Jan 29, 2013 4:05pm
Quoting Kenneth Lee
Finally got my new internet service.. Then of course the old router wouldn't work with windows 7 . so had to get one of those . always something. to get back into the groove.
Hurry up.. We've missed you...

Good to hear things are starting to come together..Hope all works out well shortly.

TSD
  • #4,997
  • Jan 30, 2013 11:45pm Jan 30, 2013 11:45pm
Quoting TraderinSD
If you able to stay with that view consistantly you will benefit from both ...The single biggest thing you can do ( IMHO ) is start a trade log.. You can write down what you are think , doing before you see it in the room..Making a desicion before you see the outcome live... This will help you see if your thinking was correct or incorrect.. It is a great way to suppliment the room.

We expect a full report in 3 months....

TSD
Yes SIR !!!
  • #4,998
  • Jan 31, 2013 12:39am Jan 31, 2013 12:39am
Attachment

Overview of the long. Notice that we had two touch prior to my entry. What I was specifically looking for was a deeper move inside the Demand level on the 3'd touch... KL speaks to this in his thread.... Price did just that.

Attachment

We got long on the PIN BAR w/ a 2 lot.. Yes, this is a very aggressive counter trend trade. My equity allows me to do this. Yours may not??

Attachment

I tend to move down in TF to the 15M to manage my trades. Sometime I will step down to the 5M.. I am basically looking inside my trade. This will sometimes give me clues as to how my trade is progressing. It's my comfort zone if you will. Some will agree, some will not.

Attachment

I exited the trade with 28 pips on the 15M PIN BAR...Initial SL was 12 pip x 2 lots = 24 pips.. So basically we had a 1:1 return... Looking back my original target, it was a bit aggressive .. Ya Think ...

But what is more important... I was long off a 3 touch, counter trend.. Can not get greedy.. Management of counter trend trades has to be a bit more aggressive.

This level may very well turn into a Swap Level trade.. Will just have to wait and see ??



Good trading to all

TSD
  • #4,999
  • Jan 31, 2013 6:13am Jan 31, 2013 6:13am
In attempt to manage my trading better , than let it manage me with less screen time , trying to set limit orders where I would take trades If I was sitting here, OF course the key will have to be bigger trades to cover the mediocre trades I would have scalped , Like this one If I had placed a TP at the yellow line or Not woke up last night would have been better
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Good Trading To All ; Ken Lee
  • #5,000
  • Jan 31, 2013 6:24am Jan 31, 2013 6:24am
of course you can see the initial entry on the chart above was very poor as it was a third touch of that level. But if I had taken profits at the big number 95.00 and had only the second loss would have been a decent setup , Or not taken the first trade at all. In hindsight the first one was to risky not a clean setup.
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Good Trading To All ; Ken Lee
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