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Price Action in Day Trading by Dadas

  • #1,601
  • May 2, 2013 6:02am May 2, 2013 6:02am
Quoting Dadas
{quote} iahmedz This is not "What do you think" thread. This is a thread about Price Action. We read Price Action and see which way Price wants to go. General rules for thread: 1. No predictions about future price movement. 2. No private opinions about future price movement. 3. Fundamental hints allowed, as long as in: "Watch PA on ..., because ..." style.
OK
  • #1,602
  • May 2, 2013 6:11am May 2, 2013 6:11am
Quoting P.Action
{quote} dadas i looked first 20 pages, not last ones. so some of your chart data could not exist. it is first chart with your method.
I, really, do not understand where the problem comes from.
I see all the charts on my two computers.

Anyway, here are the 3 most important to my method:

1. CZCS - Candle Shadow Consolidation Zones
Attached Image (click to enlarge)
Click to Enlarge Name: CZCS.gif Size: 16 KB

2. TBCZ - Trend Begining Consolidation Zones
Attached Image (click to enlarge)
Click to Enlarge Name: TBCZ.gif Size: 14 KB

3. PTECZ - Potential Trend Ending Consolidation Zones
Attached Image (click to enlarge)
Click to Enlarge Name: PTECZ.gif Size: 14 KB


You must try to look at the Zones as if the right side was not there, yet.
A sort of time machine! Imagine you were watching it then!
Trade the facts, not opinions.
  • #1,603
  • May 2, 2013 7:09am May 2, 2013 7:09am
I have just experienced how the PTECZ can save your ars, even if you make a mistake!

After closing the Intraday Trade, I looked at the EURJPY H4 and
thought I would repeat Short on retrace up.
I did not do the analysis from top.
So, I Entered Short.
Attached Image (click to enlarge)
Click to Enlarge Name: eurjpyh4.png Size: 69 KB

It was still before London Session.
For a while the Price went my direction, but very small Pips.
The Price did not want to go Down, but also did not want to go Up.
So, I waited.
Attached Image (click to enlarge)
Click to Enlarge Name: eurjpym15_trade.png Size: 63 KB

Then, while posting I drew a PTECZ and realised I was in the wrong direction!
So, I quickly did the analysis from top and ended up with the yellow PTECZ.
The Price started running away, but I saw it had not reached the PTECZ.
So, I decided to take a risk. I had my Intraday Pips, so I could afford some risk.
I raised my TP above the PTECZ.
You can see the rest. I got my TP just at the bounce momentum retrace.

Then, I wasn't quick enough for the Long.

Was I only lucky?

Some people will say that.

I know it was the PTECZ that saved my ars!
Trade the facts, not opinions.
  • #1,604
  • May 2, 2013 8:48am May 2, 2013 8:48am
More on Japanese Candlesticks and Candlestick Formations

Obviously, I wasn't there when the Japanese Candlestick chart was invented, but
my common sence tells me that someone had the idea of the Candlestick, first.

Then, they created the chart formed of Candlesticks.

And, still later they observed, analysed the charts and found some repeated Formations
which they later standardised, named and described their meanings.

They did not invent the Candlestick Formations before they were there!

It is the Price Action which creates Candlestick Formations,
not the Candlestick Formations creating the Price Action!

There wasn't any Forex Market at those times.

Certainly, the Market wasn't anything near as volatile as today!

The Price Action is Forming Candlestick Formations.

They may not look just like those standardised by the original idea!

It is the Trader's role to recognise those Formations which apply today!

Some people claim that there is no such thing as the Break Down or Break Up Candle!

I see on the charts that there are such Candles everywhere there is some Trend Shift.

I hope you see them, too.

Those, who can not see them, obviously can not read charts.

They may have some knowlegde about Price Action,
but it seems they are unable to think for themselves.

I prefer to see and to think for myself.
I encourage you to go my way - see and think for yourself!
Trade the facts, not opinions.
  • #1,605
  • May 2, 2013 9:04am May 2, 2013 9:04am
EURJPY
After all, somehow Price went my direction.
Well, it got stuck in the PTECZ to PTECZ Range.
Attached Image (click to enlarge)
Click to Enlarge Name: eurjpyh4_adr.png Size: 68 KB

What's interesting is the Daily Range and my Weekly Average Daily Range (WADR).

Well, the Support was strong, because it was all the way from MN.
Obviously, the Average Range had to be realised, somehow.
The only direction was Up, because Down was Supported strongly.

The upper PTECZ also came from MN and got optimised to H4.

This, just shows how important it is to do the analysis of S/R Levels,
from the top, always!
Trade the facts, not opinions.
  • #1,606
  • Edited 10:47am May 2, 2013 10:05am | Edited 10:47am
Important note:

I do not add users to my ignore list because they disagree with me.
I do not add users to my ignore list because they have their own opinion.

I add users to my ignore list because they abuse me, they abuse this thread,
they abuse other readers and they violate the Forum #1 Rule: Respect the fellow Trader.

Nobody will get added to my igore list as long as they show the proper attitude.

Proper not only due to my age, but proper due to all the readers.

Proper due to what I am doing for free.

Everyone is entitled to their own opinion.

As long as they respect the fellow Trader, respect the Forum rules, respect the Reader,
they are Most Welcome on my thread.
Trade the facts, not opinions.
  • #1,607
  • Edited 10:42am May 2, 2013 10:23am | Edited 10:42am
As this thread develops, there has come the neccessity to modify the thread rules.

The new set of rules is as follows:

General rules for thread:
1. No predictions about future price movement.
2. No private opinions about future price movement.
3. Fundamental hints allowed, as long as in: "Watch PA on ..., because ..." style.
4. Critisism of my method and/or myself, and attempts to prove me wrong will be treated as
violation of Forum #1Rule: Respect the Fellow Trader.
5. People who take no interest in my method for whatever reasons are
welcome to post on my thread as long as they show proper respect to the
thread starter, other readers, respect the Forum rules, and respect the thread rules.

Anybody who fails to follow the above rules shall be added to my ignore list and cleanedup.

Rules for charts:
1. Only plain charts with the helpers and indicators supplied by me!
2. No Moving Averages, no Fibos, no other Moving Average based indicators
are allowed in this thread! No indicators other than stated in point 1.
3. Trend lines and Andrew's Pitchfork are allowed.
4. There might be singular exclusions upon my decision for educative reasons
as negative examples or examples necessary for the context of the post.
5. No future price movement predictions or private opinions on charts.
6. Descriptions and indications of Price Action, Consolidation Zones,
CSCZ, TBCZ, PTECZ and Zone Candle are allowed on charts!

Rule for following posts which I can not edit (and posts preceeding this one):
1. The term "Engulfing" should be substituted with the term "Break"
as in the text above. Thus "Engulfing Candle" should be understood as "Break Candle".

I am willing to help anybody who is willing to follow my rules.
Anybody who will post charts that do not apply to the above rules
will be reported and cleaned up, and I will not be able to help them.

Changes have been introduced to post#1.
Trade the facts, not opinions.
  • #1,608
  • May 2, 2013 10:43am May 2, 2013 10:43am
Hi Dada . Is there a way to have the zones indicator coded for Ninjatrader ?
thanks
  • #1,609
  • May 2, 2013 10:45am May 2, 2013 10:45am
The above, officially ends the "Engulfing" issue on this thread.

I shall not return to this issue from here on.
Trade the facts, not opinions.
  • #1,610
  • May 2, 2013 12:19pm May 2, 2013 12:19pm
Quoting numoon
Hi Dada . Is there a way to have the zones indicator coded for Ninjatrader ? thanks
I can not do that.
You should find someone who can.
Trade the facts, not opinions.
  • #1,611
  • May 2, 2013 2:43pm May 2, 2013 2:43pm
I wasn't looking at EURUSD, because frankly, I do not like this pair.
I looked just now, and WOW! What a beautiful PTECZ setup!
Attached Image (click to enlarge)
Click to Enlarge Name: eurusdh4.png Size: 68 KB

Attached Image (click to enlarge)
Click to Enlarge Name: eurusdm5.png Size: 54 KB

If someone was quick enough at decisions, they could have
Profited both ways! Long and Short! Or, just Short.
Trade the facts, not opinions.
  • #1,612
  • May 2, 2013 10:54pm May 2, 2013 10:54pm
Quoting Dadas
I wasn't looking at EURUSD, because frankly, I do not like this pair. I looked just now, and WOW! What a beautiful PTECZ setup! {image} {image} If someone was quick enough at decisions, they could have Profited both ways! Long and Short! Or, just Short.
hey dadas can you show the entry with arrows?
  • #1,613
  • May 3, 2013 3:37am May 3, 2013 3:37am
Quoting msetai
{quote} hey dadas can you show the entry with arrows?
Entries are for you to decide.

You have got the PTECZs, you have several good Entry moments.
Especially at H4 shift. On Close of H4 observe PA on lower TF.

If you had done just the D1 PTECZs, you would already have this:
Attached Image (click to enlarge)
Click to Enlarge Name: eurusddaily.png Size: 57 KB

Looking at H4 you would get this:
Attached Image (click to enlarge)
Click to Enlarge Name: eurusdh4.png Size: 59 KB

You wouldn't have to optimise the Resistance PTECZ,
because the Price had already been there the day before.
You could look for different Potential Short Stops, but the picture is
quite clear here, too.

Where you would have Entered is up to you!
Attached Image (click to enlarge)
Click to Enlarge Name: eurusdm5.png Size: 46 KB

Either you see it, or you must continue practising until you get it.

I would like it if you showed me where and described why by PA.
The whole story is right there inside the Resitance PTECZ on M5.
You just have to read it!
Trade the facts, not opinions.
  • #1,614
  • Edited 4:34am May 3, 2013 4:02am | Edited 4:34am
Anybody willing to show they have been working?

Please, read the story in the double highlighted window at the top:
Attached Image (click to enlarge)
Click to Enlarge Name: eurusdm5_0.png Size: 55 KB

And post it, please!
Trade the facts, not opinions.
  • #1,615
  • May 3, 2013 4:26am May 3, 2013 4:26am
Attached Image (click to enlarge)
Click to Enlarge Name: eurusdm5_0.png Size: 56 KB


Price consolidating Inside PTECZ
at point A price break in to the bigger TF PTECZ
at B price consolidating between 2 PTECZ
even thought the momentum is down but at that point the best odd is to buy SL below last low at 2 May 15:15 the breakout candle at previous post could be the first buy signal
TP 1 around 1.30795 TP 2 around 1.31281

Been long time not post here how are you Mr. Dadas I hope you fine and prosperous :4:
  • #1,616
  • May 3, 2013 4:33am May 3, 2013 4:33am
Quoting zarach
{image} Price consolidating Inside PTECZ at point A price break in to the bigger TF PTECZ at B price consolidating between 2 PTECZ even thought the momentum is down but at that point the best odd is to buy SL below last low at 2 May 15:15 the breakout candle at previous post could be the first buy signal TP 1 around 1.30795 TP 2 around 1.31281 Been long time not post here how are you Mr. Dadas I hope you fine and prosperous :4:
Hi zarach! Long time! I was wondering what's with you?

Very good!

I meant the highlighted area in the upper PTECZ, yesterday's Short.
But, Candle after Candle!
Trade the facts, not opinions.
  • #1,617
  • May 3, 2013 6:22am May 3, 2013 6:22am
I´ll give it a shot then. Now I´ll describe two scenarios here since I´m struggling with the early entries a little bit.

Price breaks up into higher time frame PTECZ area (Big green candle of course (1)). The next candle is still higher (2). Then there is a retrace but closing higer than the previous candle (3), (so far reatrace of bullish break up). And a retrace it was, next cadle is higher once again (4). Then there is another retrace and a new low has been created (5,6). Then, the next two green candle are unable to close anywhere near the highs of the initial break up (7,8). In other words this could very well be the earliest short signal. After that price comes. Price comes down (9). Then, price gets rejected and breaks up (10) but was countered by a break down that reversed the previous move, a new low has been created (11). Retrace back up, price gets rejected from the high (12) and another short entry at the top. Etc, etc.

As one can see very early entry maybe was a little bit too early. Was there a way to avoid this. Could I have been using a PTECZ here? Should I hvae benn waiting for a break down aas seen in candle 13 and 14?

I also noticed that your entries are in the shadow zone of previous candles since that´s were the consolidation occured. So I could incorporate that as well?
  • #1,618
  • May 3, 2013 6:36am May 3, 2013 6:36am
Quoting Christianfx
I´ll give it a shot then. Now I´ll describe two scenarios here since I´m struggling with the early entries a little bit. Price breaks up into higher time frame PTECZ area (Big green candle of course (1)). The next candle is still higher (2). Then there is a retrace but closing higer than the previous candle (3), (so far reatrace of bullish break up). And a retrace it was, next cadle is higher once again (4). Then there is another retrace and a new low has been created (5,6). Then, the next two green candle are unable to close anywhere...
Hi Christian,
Could you post charts with indications such arrows or #...?
  • #1,619
  • May 3, 2013 6:49am May 3, 2013 6:49am
There you go. I hope it´s clear now. Otherwise the chart becomes too cluttered.
Attached Image (click to enlarge)
Click to Enlarge Name: Download.png Size: 57 KB
  • #1,620
  • May 3, 2013 7:16am May 3, 2013 7:16am
Quoting Christianfx
Price breaks up into higher time frame PTECZ area (Big green candle of course (1)). The next candle is still higher (2). Then there is a retrace but closing higer than the previous candle (3), (so far reatrace of bullish break up). And a retrace it was, next cadle is higher once again (4). Then there is another retrace and a new low has been created (5,6). Then, the next two green candle are unable to close anywhere near the highs of the initial break up (7,8). In other words this could very well be the earliest short signal. After that price comes. Price comes down (9). Then, price gets rejected and breaks up (10) but was countered by a break down that reversed the previous move, a new low has been created (11). Retrace back up, price gets rejected from the high (12) and another short entry at the top.
Very good Christianfx!

I will show you how I see it with the PTECZ!
Attached Image (click to enlarge)
Click to Enlarge Name: eurusdm5_1.png Size: 43 KB

1. Strong rejection at Support - Trend up,
2. Continuation of Trend up - Price rejected at Resistance PTECZ Zone,
3. Closes as PTECZ - Potential Bullish Trend End,
4. Bulls test new high, rejected at top, again,
5. Another PTECZ - Bears show they are there,
6. Bears try down, but not strong enough,
7. PTECZ - Bulls don't give up, but look weak now,
8. Bulls try once again, but get rejected even lower,
9. PTECZ - the Consolidation is clear, now,
10. Bulls attack once more,
11. Buls are counterred by Bears with a Break Down - Bears are stronger, now,
12. PTECZ with strong rejection at top,
13. Break Down from 12. PTECZ (Close = 1st Short Entry),
14. Break Down from D1 PTECZ (hold your breath - do not Enter, now!),
15. PTECZ - Closes lower than Break Down Candle (Close = 2nd Short Entry).

You could as well just Entered on Risk anywhere in the D1 PTECZ with your SL tight.
But, it is better to know than not to know.
Trade the facts, not opinions.
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