Price Action in Day Trading by Dadas | Page 53 | Forex Factory

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Price Action in Day Trading by Dadas

  • #1,041
  • Apr 17, 2013 12:28pm Apr 17, 2013 12:28pm
Quoting Dadas
Any specific reason why it should retrace to the rectangle?
I thought the way to enter trades in the system you described was to wait for the price to retrace back up after the engulfing candle takes it out of the consolidation zone.

Hrmmm that chart quoted in the original reply is not the chart i was referring too. I was referring to this one http://www.forexfactory.com/attachme...3&d=1366209881
  • #1,042
  • Apr 17, 2013 12:35pm Apr 17, 2013 12:35pm
Quoting Dadas
Any specific reason why it should retrace to the rectangle? And, which "Engulfing" Candle are you reffering to?
@Bookman

The M5 Break Down Candle did retrace back to the PTECZ.
The next Candle was the one which retraced.
You were not quick enough!
Trade the facts, not opinions.
  • #1,043
  • Apr 17, 2013 12:40pm Apr 17, 2013 12:40pm
Quoting Bookman
I thought the way to enter trades in the system you described was to wait for the price to retrace back up after the engulfing candle takes it out of the consolidation zone.
Yes, so, does it mean that that price must retrace to the PTECZ, because you want it to?

Quoting Bookman
Hrmmm that chart quoted in the original reply is not the chart i was referring too. I was referring to this one http://www.forexfactory.com/attachme...3&d=1366209881
That, only ejiexe knows.
He is a fan, but not a good follower!
I have no idea how he traded that one.
I suppose he reacted on emotion and nothing else.

ejiexe is not the person you should take example from!
Trade the facts, not opinions.
  • #1,044
  • Apr 17, 2013 12:43pm Apr 17, 2013 12:43pm
@ejiexe

Show your EURUSD Trades on M5 chart.
Trade the facts, not opinions.
  • #1,045
  • Apr 17, 2013 12:52pm Apr 17, 2013 12:52pm
Quoting Dadas
Yes, so, does it mean that that price must retrace to the PTECZ, because you want it to?

I assume the reason it is a good idea to wait for it to retrace is to improve risk/reward.
  • #1,046
  • Apr 17, 2013 1:16pm Apr 17, 2013 1:16pm
How do you determine which direction the trend is on a chart like this? Seems very easy to end up in buys and sells at the same time.
Attached Image (click to enlarge)
Click to Enlarge Name: usdjpyh4.png Size: 40 KB
  • #1,047
  • Apr 17, 2013 1:21pm Apr 17, 2013 1:21pm
Quoting Bookman
I assume the reason it is a good idea to wait for it to retrace is to improve risk/reward.
The idea, here, is to recognise Trend as early as possible by using Price Action
in combination with the Zone Candle and/or the PTECZ. Thus, enter position
early and minimise risk.

In order to do that, one must first understand Price Action, the workings of the Candlestick,
or the Bar, understand Consolidation, understand how the Market works, finally, understand
the idea of using the Zone Candle and/or the PTECZ.

Which this thread is about!

So, my friend, go back to post#1 and start your journey.

There are no shortcuts!
Trade the facts, not opinions.
  • #1,048
  • Apr 17, 2013 1:32pm Apr 17, 2013 1:32pm
Trade the facts, not opinions.
  • #1,049
  • Apr 17, 2013 2:06pm Apr 17, 2013 2:06pm
i can see how this works very well for trading 15m or 5m charts with the top down analysis, my problem is how to make this work for trading daily charts. I don't have the time at the moment to trade intraday.

I'm looking for PTECZ on monthly, weekly and daily charts and then the PA to enter. I'm just not sure of the best time to be entering the market could you give me some guidance on this Dadas please.
Attached Image(s) (click to enlarge)
Click to Enlarge Name: 17th Apr 13 GBP:USD M1.png Size: 86 KB
Click to Enlarge Name: 17th Apr 13 GBP:USD 1W.png Size: 97 KB
Click to Enlarge Name: 17th Apr 13 GBP:USD D1 Chart.png Size: 127 KB
  • #1,050
  • Apr 17, 2013 2:19pm Apr 17, 2013 2:19pm
I still would like to know if it is possible to enter off of the blue PTECZ. ejiexe or dadas please let me know.
http://www.forexfactory.com/attachme...3&d=1366209881
  • #1,051
  • Apr 17, 2013 2:33pm Apr 17, 2013 2:33pm
Quoting Bookman
How do you determine which direction the trend is on a chart like this? Seems very easy to end up in buys and sells at the same time. {image}
Your question just proves that you have not read the thread.
I cover the issue of Trend in one of my posts.

Do you have a strategy?

First of all, do you know what style you want to trade?

Do you know which of the Trends you want to take profit from?

Yes, there are many trends, on every Timeframe there are Trends,
and Sub-trends, and even smaller Sub-sub-trends.

You can not trade all of them.

You must, first know your strategy depending on the amount of time
you can spend on analysis and trading.

Then, you can start recognising the Trend that you are interested in taking.

All of this has been covered in this thread, you must only read it all, from begining.
Trade the facts, not opinions.
  • #1,052
  • Apr 17, 2013 2:52pm Apr 17, 2013 2:52pm
Quoting Bookman
I still would like to know if it is possible to enter off of the blue PTECZ. ejiexe or dadas please let me know. http://www.forexfactory.com/attachme...3&d=1366209881
First of all, this is not the way to do it.

But, OK, let's see.
The H1 PTECZ on my chart:
Attached Image (click to enlarge)
Click to Enlarge Name: eurjpy-h1-fxsalt-ltd.png Size: 67 KB


The H1 PTECZ on my chart with M15 PTECZ overlayed:
Attached Image (click to enlarge)
Click to Enlarge Name: eurjpy-m15-fxsalt-ltd.png Size: 66 KB


The H1 PTECZ on my chart with M15 & M5 PTECZ overlayed:
Attached Image (click to enlarge)
Click to Enlarge Name: eurjpy-m5-fxsalt-ltd.png Size: 66 KB
Trade the facts, not opinions.
  • #1,053
  • Apr 17, 2013 2:59pm Apr 17, 2013 2:59pm
Sorry, wrong pair.

Here is the EURUSD:
Attached Image (click to enlarge)
Click to Enlarge Name: eurusd-h1-fxsalt-ltd.png Size: 75 KB

Attached Image (click to enlarge)
Click to Enlarge Name: eurusd-m5-fxsalt-ltd.png Size: 63 KB


But, like I said, this is a shortcut way.
Not the proper way to do it.
Trade the facts, not opinions.
  • #1,054
  • Apr 17, 2013 3:18pm Apr 17, 2013 3:18pm
Quoting Bookman
I still would like to know if it is possible to enter off of the blue PTECZ. ejiexe or dadas please let me know. http://www.forexfactory.com/attachme...3&d=1366209881
If only I could trade intraday.
Attached Image(s) (click to enlarge)
Click to Enlarge Name: 17th Apr 13 EUR:USD D1 Chart.png Size: 95 KB
Click to Enlarge Name: 17th Apr 13 EUR:USD 4h Chart.png Size: 104 KB
Click to Enlarge Name: 17th Apr 13 EUR:USD 15m Chart.png Size: 119 KB
  • #1,055
  • Edited 3:34pm Apr 17, 2013 3:22pm | Edited 3:34pm
Quoting stevepatt
i can see how this works very well for trading 15m or 5m charts with the top down analysis, my problem is how to make this work for trading daily charts. I don't have the time at the moment to trade intraday. I'm looking for PTECZ on monthly, weekly and daily charts and then the PA to enter. I'm just not sure of the best time to be entering the market could you give me some guidance on this Dadas please. {image} {image} {image}
GBPUSD seems not a good instrument for LongTerm trading.

Look at the MN chart:
Attached Image (click to enlarge)
Click to Enlarge Name: gbpusd-mn1-fxsalt-ltd.png Size: 80 KB

Those spikes at the bottom are the AllTime Low.
The higher PTECZ is from the previous Bearish retrace.
The lower PTECZ is from the earlier historical retrace.
It is hard to see any trend, because Price is forming a triangle and the range is narrowing.
It looks like the Bears are dominating in the Monthly context.

Let's look at W1:
Attached Image (click to enlarge)
Click to Enlarge Name: gbpusd-w1-fxsalt-ltd-2.png Size: 83 KB

The Pip potential between PTECZ is 275 Pips.
Around 780 Pips to the lower W1 PTECZ, but there is the MN PTECZ on the way.

A look at D1:
Attached Image (click to enlarge)
Click to Enlarge Name: gbpusd-d1-fxsalt-ltd-2.png Size: 71 KB

If you had Sold somewhere up in the D1 PTECZ, that would maybe make some sence.
Trade the facts, not opinions.
  • #1,056
  • Apr 17, 2013 3:39pm Apr 17, 2013 3:39pm
@stevepatt
It clears out more on H4, the entry, I mean:
Attached Image (click to enlarge)
Click to Enlarge Name: gbpusd-h4-fxsalt-ltd.png Size: 78 KB
Trade the facts, not opinions.
  • #1,057
  • Apr 17, 2013 4:06pm Apr 17, 2013 4:06pm
@stevepatt

I just remebered something!
This might give you some helping hint.
Remeber the Multi_Zone_Candle_OHLC_Lines.mq4?
It has the Y1 Zone Candle visible on the MN chart, only.
Attached Image (click to enlarge)
Click to Enlarge Name: gbpusd-mn1-fxsalt-ltd-2.png Size: 79 KB


In case you do not have it, it is available for download at post#1!
Trade the facts, not opinions.
  • #1,058
  • Apr 17, 2013 4:32pm Apr 17, 2013 4:32pm
@stevepatt

I have got to show you this!
Follow!

EURAUD MN chart with last year Zone Candle:
Attached Image (click to enlarge)
Click to Enlarge Name: euraud-mn1-fxsalt-ltd.png Size: 60 KB

There is a PTECZ from D1 on it, you will see in a moment!

At shift of Months!
Attached Image (click to enlarge)
Click to Enlarge Name: euraud-w1-fxsalt-ltd.png Size: 66 KB

Attached Image (click to enlarge)
Click to Enlarge Name: euraud-d1-fxsalt-ltd.png Size: 64 KB


Actually, the PTECZ is from W1, just the High of the PTECZ is lowered
to the D1 historical PTECZ High!

Get the idea?
Trade the facts, not opinions.
  • #1,059
  • Apr 17, 2013 4:43pm Apr 17, 2013 4:43pm
Quoting Dadas
Sorry, wrong pair. Here is the EURUSD: {image} {image} But, like I said, this is a shortcut way. Not the proper way to do it.
Thanks, now I am seeing what you're saying. One more question, do you put your SL above the candle that touched the 5min PTECZ or above the top of the 5 minute PTECZ?
Attached Image (click to enlarge)
Click to Enlarge Name: attachment.png Size: 42 KB
  • #1,060
  • Apr 17, 2013 4:49pm Apr 17, 2013 4:49pm
Quoting Dadas
@stevepatt I just remebered something! This might give you some helping hint. Remeber the Multi_Zone_Candle_OHLC_Lines.mq4? It has the Y1 Zone Candle visible on the MN chart, only. {image} In case you do not have it, it is available for download at post#1!
Hi Dadas,


Thanks for your help, it's a matter of selecting the correct PTECZ on the higher TFs and then waiting for PA at these levels I like to trade inside candles and engulfing candles not to mention pin bars.

I will also be keeping an eye on intraday setups for when I have more time to dedicate to trading. The EUR/USD setup, I posted earlier, I had all the levels marked but wasn't around to trade it when the PA occurred which is very frustrating.

If I have time I will post more setups when I see them.
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