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  • #1,341
  • Apr 12, 2013 2:23pm Apr 12, 2013 2:23pm
Quoting mmaker
Hope to learn from you about Money Management. We all hear cliches like "trend is your friend" or "just trade the price action", as well as you said, "most important thing is money management". But cliches aside, if you could help us in this thread sharing your ideas about money management would certainly help us struggling here for over two years (since the start of this thread) with no visible results. Thanks in advance. This group of traders can certainly learn from your proven method, finally solving the frustrations that many had till...
M & W patterns do have some validity. Look at the EU today. The key is to make sure you aren't trading a pattern that appears out in space. The chart below has some lines. These are the areas to take a stand today. You can believe me or not but these lines were placed yesterday afternoon. Top green is yesterday's high. Top yellow is the London close, bottom yellow is the NY close/London-NY rolls. Bottom green is yesterday low. Blue is Last week high. The W that appears around the strong support at the lows would be tradable. My question is why wait for the W to form and enter several pips above the action when you could enter half a position at yesterday's low and add the other half at the previous weekly high. Draw down is minimal and profit is maximized. People are steering you down the wrong path if they council you to wait for confirmation. The lowest risk and highest reward is had at the source of the trade's movement. By entering at the source of the move we are given room to make trade management mistakes and still make good profits. God knows I am one of the worst trade managers alive. If I showed all my trades this week and how much money I left on the table by closing early You would be blown away but it doesn't matter because I am more often than not entering at the source of the move.
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  • #1,342
  • Apr 12, 2013 10:30pm Apr 12, 2013 10:30pm
Here's mine...
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  • #1,343
  • Apr 12, 2013 10:34pm Apr 12, 2013 10:34pm
Quoting Luska
Here's mine... {image}
  • #1,344
  • Apr 12, 2013 10:40pm Apr 12, 2013 10:40pm
Here's with some explaination... both trapping at highs and lows... I like to use 4 digit broker...notice at stop hunt low... theres some candles gapping...although i got in with the spread, i dont even mind as it moves in my favour and sl was intact before i shift it to free trade while taking some profits off..
The signal is when an inside candle appears at the 3rd level drop...
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  • #1,345
  • Apr 15, 2013 3:16am Apr 15, 2013 3:16am
Did anyone trade EU today?

I'm confused as there are, IMHO, 2 valid PFs at work. So I didn't trade it.

It's a toss between a safety trade and W pattern.

And I thought pattern comes first, timing comes second, level comes third. So, what do you guys think?

Thanks!
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  • #1,346
  • Edited 4:20am Apr 16, 2013 3:02am | Edited 4:20am
Quoting Ishtana
Did anyone trade EU today? I'm confused as there are, IMHO, 2 valid PFs at work. So I didn't trade it. It's a toss between a safety trade and W pattern. And I thought pattern comes first, timing comes second, level comes third. So, what do you guys think? Thanks! {image}
As a losing trader myself, I'm certainly not qualified to give advice so I will pose it as a question instead: Why look at EU when most days it is not moving as much? Today's European range after 1amET was only 39pips (1.3044 to 1.3083) and GU range after 1amET only 26pips (from 1.5288 to 1.5314).

If you had traded GJ, you could have grabbed 50pips long, and then reverse immediately to grab another 36pips short. Have you considered analyzing and trading EJ instead of EU?
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  • #1,347
  • Apr 16, 2013 4:57am Apr 16, 2013 4:57am
Quoting anyone
As a losing trader myself, I'm certainly not qualified to give advice so I will pose it as a question instead: Why look at EU when most days it is not moving as much? Today's European range after 1amET was only 39pips (1.3044 to 1.3083) and GU range after 1amET only 26pips (from 1.5288 to 1.5314). If you had traded GJ, you could have grabbed 50pips long, and then reverse immediately to grab another 36pips short. Have you considered analyzing and trading EJ instead of EU? {image} {image}
I guess I heard someplace when Steve said that in general, the MM uses the majors and the patterns are more apparent in them than the crosses.

My screen only has 4 windows. I only trade the 4 majors. I haven't got my head around fractional disparity yet. I don't really understand the way Steve teaches the concept. And I got really confused looking at so many pairs at one time.

I'm very impressed by your hi-lo drill. You are constantly nailing the HOD and LOD. I'm sure you won't be a losing trader for long.
  • #1,348
  • Apr 16, 2013 4:59am Apr 16, 2013 4:59am
SM really only suggests the 15 min timeframe to trade I think anyone and also the stoploss for the GJ is much bigger than for EU so the R:R is often comparable since EU has less volatility.
  • #1,349
  • Apr 16, 2013 9:00am Apr 16, 2013 9:00am
Hello Ishtana,
which pairs you have (4 windows) ?

regards, Dan
  • #1,350
  • Edited 9:20am Apr 16, 2013 9:06am | Edited 9:20am
Quoting Ishtana
I'm very impressed by your hi-lo drill. You are constantly nailing the HOD and LOD. I'm sure you won't be a losing trader for long.
Unfortunately, luck plays a huge part in my trading. Sometimes I nailed the exact turning point, sometimes I don't and took many many losses. When I'm right, like today's EJ trade I shorted 127.985 and the HOD was 128.02 at that time (3:26amET to 3:39amET) so I came within 3.5pips of the top. I wish I could be this lucky everyday but most days I lose money. The dilemma is I'm quite good at it after practicing this drill for so long, yet my live account is not showing the success consistently. On days like this I'm confident to show my TradeExplorer and proved my actual trades on live account. But on losing days I questioned myself if I should continue doing what appeared to be lucky strikes. Should I quit trying to pick the tops and bottoms? Nobody in this world ever did it consistently or they will be billionaire hedgefund partners.

Quoting russss
SM really only suggests the 15 min timeframe to trade I think anyone and also the stoploss for the GJ is much bigger than for EU so the R:R is often comparable since EU has less volatility.
As Jim's slides explained in Post#1312, the Hi-Lo Drills get us into the trade earlier than waiting for 15mins candlestick to close by which time the logical Stop Loss can be very big. If we enter the trade earlier, with very tight stops, then Risk-Reward is greatly in our favor.
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  • #1,351
  • Apr 16, 2013 9:10am Apr 16, 2013 9:10am
Hello,
maybe EU 15 min, PFH?

Dan
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  • #1,352
  • Apr 16, 2013 9:27am Apr 16, 2013 9:27am
Quoting Trader MT4
Hello, maybe EU 15 min, PFH? Dan {image}
I am short there, the blue line is the previous week high.
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  • #1,353
  • Apr 16, 2013 9:40am Apr 16, 2013 9:40am
Quoting Seneca pilot
I am short there, the blue line is the previous week high. {image}
Your trades were very impressive this past week. This M&W thread can benefit from your continuing guidance.
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No longer trading forex. Looking for full time job.
  • #1,354
  • Apr 16, 2013 9:43am Apr 16, 2013 9:43am
Quoting mmaker
Your trades were very impressive this past week. This M&W thread can benefit from your continuing guidance. {image}
Thank you.

Stops have been run and fifty level touched we are clear to go down or breakout. M trade at an important level.
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  • #1,355
  • Apr 16, 2013 10:19am Apr 16, 2013 10:19am
Quoting Trader MT4
Hello Ishtana, which pairs you have (4 windows) ? regards, Dan
It's the 4 biggest majors: EU, GU, UJ, UF. I'm staying away from other 2 majors AU and UC. They are semi-commodity currencies. The majors are also affected by oil and gold but having the highest trading volume makes them more speculative. I'm not avoiding trading any other currencies than the majors, but I just don't want to run before I can walk. I barely understand the SM method. He suggested to focus on just 2 pairs early on.

Took the same trade as Seneca did, I'm on +15 pips.

I'm not sure about your previous trade Seneca. Wasn't that trading toward the peak? Something Steve said never to do?
  • #1,356
  • Apr 16, 2013 10:32am Apr 16, 2013 10:32am
Quoting Ishtana
It's the 4 biggest majors: EU, GU, UJ, UF. I'm staying away from other 2 majors AU and UC. They are semi-commodity currencies. The majors are also affected by oil and gold but having the highest trading volume makes them more speculative. I'm not avoiding trading any other currencies than the majors, but I just don't want to run before I can walk. I barely understand the SM method. He suggested to focus on just 2 pairs early on. Took the same trade as Seneca did, I'm on +15 pips. I'm not sure about your previous trade Seneca. Wasn't that trading...
I sell the weekly high when it gets hit. I don't follow Steve, don't know a thing about his method other than what I have read here. I think he is selling some measure of thin air especially with respect to counting levels. I sell resistance and buy support nothing more complicated than that.
  • #1,357
  • Edited 11:48am Apr 16, 2013 11:12am | Edited 11:48am
Quoting Seneca pilot
I sell the weekly high when it gets hit. I don't follow Steve, don't know a thing about his method other than what I have read here. I think he is selling some measure of thin air especially with respect to counting levels. I sell resistance and buy support nothing more complicated than that.
You can read about Steve here, will cost you US$5,150 to sign up for his 4 days course. I can tell you that 1,147 students have paid and almost all have regretted. Do the calculations: $5,150 x 1,147 = .....?
http://compassfx.com/steve/
http://compassfx.com/steve2/
http://www.forexpeacearmy.com/public...akersforex.com

Additional info about Steve can be found in his current lawsuits with ex-partners Clint and Zen,
http://idahobusinessreview.com/2013/...-his-business/
Robertson v. Mauro et al
Mauro et al v. Alldredge et al
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No longer trading forex. Looking for full time job.
  • #1,358
  • Apr 16, 2013 12:04pm Apr 16, 2013 12:04pm
Quoting anyone
Should I quit trying to pick the tops and bottoms? Nobody in this world ever did it consistently or they will be billionaire hedgefund partners.

I think you have come across the irrefutable point.
Chance favors the prepared
  • #1,359
  • Apr 16, 2013 2:28pm Apr 16, 2013 2:28pm
Hello Ishtana,
which major pair is UF?
Regards, Dan
  • #1,360
  • Edited 1:01am Apr 17, 2013 12:31am | Edited 1:01am
Quoting Trader MT4
Hello Ishtana, which major pair is UF? Regards, Dan
He meant USD/CHF as opposed to UC which is USD/CAD. I never liked this kind of shortcuts because it doesn't save time and in fact cause more miscommunication and confusion and wasting more time. For cross-pairs some people like to use GA, GC, GF which is confusing because GC can mean GBP/CAD or GBP/CHF. Why not just type the whole thing out, it doesn't take more time.

I think to trade with one monitor is too constraining. Making money in forex is difficult enough, why make it more difficult by trading with only one screen?? Even if you have a 14" or 15" laptop, there is a VGA connector that lets you connect to additional LCD monitor. LCD are cheap nowadays, 20" to 24" sizes are affordable for those trading only $500 accounts. Similar on a desktop PC, your primary monitor is usually connected to the DVI connector, and there is still the VGA connector for use on second screen. I know, you will buy the second monitor AFTER you make some profits with one monitor .... duh.

The pairs you can watch include:
1. EUR/USD
2. GBP/USD
3. EUR/JPY
4. GBP/JPY
5. USD/JPY
6. USD/CHF
7. EUR/GBP
8. AUD/USD
9. USD/CAD
10. AUD/JPY

Watching EUR/GBP is useful during European/London session between 2amET Frankfurt/Paris/Zurich bank open to 3amET London bank open to around 4:30amET or 5amET, when the order flow between EUR and GBP currencies often caused EUR/USD and GBP/USD to move in opposite directions depending on the relative strengths. If EUR/GBP is trending up, it means EUR is being bought against GBP so buying EUR/USD has more volatility than buying GBP/USD.

Watching USD/JPY is useful during 7pmET or 8pmET Tokyo bank open to see if JPY pairs are being moved, which means EUR/JPY and GBP/JPY is going to have more volatility than EUR/USD or GBP/USD during the later European/London session. If USD/JPY is rallying up and up, and EUR/JPY is also rallying during Asian session, then no point playing EUR/USD because it's most likely not going to move unless there is EUR/GBP order flow that negates the USD/JPY flow.

I haven't look at USD/CHF for a long time since it was pegged at 1.20-1.22 but since returned to volatility. I don't trade it because it moved in opposite direction of EUR/USD so same thing.

AUD/USD and USD/CAD seriously haven't been moving much, so not sure the old cliches of these being affected by commodities movement are still valid today. If you heard something like that, it's probably outdated info from books and passed around in forums.

AUD/JPY and GBP/JPY I agree is difficult for newbies because of the large spread at some brokers e.g. 5pips. But with ECN brokers the spread can go down to 0.9-1.2 which is alright for intraday trading.

Some people will tell you they trade GBP/NZD or GBP/CHF or GBP/CAD. These people are looking for volatility because they move fast if you are correct in the direction. You also lose faster.

Here's Kim Krompass's workstation setup which you can consider. Doesn't matter if those were 24" or 29" monitors, you buy what is affordable in your situation. I would think two screens are minimum and 6 screens are excessive if you still not profitable.
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No longer trading forex. Looking for full time job.
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