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Simple, Powerful and Effective Price Action Trading Strategies

  • #21
  • Jul 16, 2013 7:03pm Jul 16, 2013 7:03pm
Quoting edge540
{quote} One scammer to another....what a joke.You guys respond with the same old cliche's assuming you know all about me when in fact you know nothing.I haven't actually been scammed,unless of course you would call a month on old "Strats" thread a scam.It's interesting to note that "Strat" is a mate of "Jacko",FF's biggest scammer of all time.
You know what I am really interested in; in light of the fact that you seem to know what is a scam and what is not a scam, perhaps you can enlighten us with your personal recommendations of who or what to follow?

Apart from BabyPips that everyone suggests, is there any place to learn about price action, money management & successful trading?

If that may might include a "commercial" person and you do not wish to post publicly, please PM the information to me.

For me, that would give a greater positive contribution to the thread rather than trying to knock these guys down; this is the Commercial Content section and they are doing no wrong, breaking no forum rules.

Thanks, E.

It takes a lot for me to IGNORE you, but you can try.
  • #22
  • Jul 16, 2013 11:05pm Jul 16, 2013 11:05pm
http://i.imgur.com/ieleDiK.png


Revisiting GBP/USD, we're left with an interesting set up. This chart is of the daily time frame.

After a failed break out attempt downwards from an inside bar, price dropped right into a key support level and stalled. This support area held off any bearish pressure and shot price right back up to drop off two consecutive bullish rejection candles. This kind of price action indicates to us that the market is currently favouring long positions, and that we should anticipate more bullish movement to come.

We would favour long positions at this point, and we should keep an eye out on the nearby swing HH area and take notice of how the market reacts to it. A break of this level would imply further higher prices ahead.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #23
  • Jul 17, 2013 8:25am Jul 17, 2013 8:25am
http://i.imgur.com/9AT30QW.png

A quick update on the GBP/USD set up.

As we anticipated, higher prices developed off the back of these bullish rejection candles. These set ups draw confluence in from the support level that held strong and the higher low that was created.

This is why we are fans of price action trading, because simple analysis like this can identify these high rewarding trades. Not that bad for 15 minutes of work.

We will always keep an eye out on price action and how things develop, to know how to handle our trade.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #24
  • Jul 18, 2013 10:24am Jul 18, 2013 10:24am
http://i.imgur.com/AQLx6Wc.png

In the last few weeks, this market has been chopping and consolidating itself into an untradeable mess.

The last few daily candles and recent price movement shows us that price recently broke upwards and closed above the consolidation containment resistance, which livens up this market a bit.

Shortly thereafter, we can see that price retested the break out area, which is now confirmed to be holding price as support, while it drops off displays of bullish price action rejection. This has us anticipating further higher prices.

We will be waiting and keeping an eye out to see how this daily candle closes before making any trading decisions. We want today's candle to close as another bullish rejection candle to strengthen our trade set up.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #25
  • Edited 4:06am Jul 22, 2013 3:29am | Edited 4:06am
http://i.imgur.com/VTZvMAw.png

Another update on GBP/USD.

The GBP/USD market continued to move higher off the back of the bullish price action signals we pointed out earlier, and has actually hit the 1:3 risk/reward target. This means the trade has already returned 300% ROI.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #26
  • Jul 22, 2013 4:59pm Jul 22, 2013 4:59pm
that was a hidden gem, no doubt about it - now, how about a retracement type entry and then hang on for the ride ... or will give reverse signal ???
Attached Image (click to enlarge)
Click to Enlarge Name: 23-07-2013 07-56-20.png Size: 89 KB
It takes a lot for me to IGNORE you, but you can try.
  • #27
  • Jul 22, 2013 8:29pm Jul 22, 2013 8:29pm
Quoting Erebus
that was a hidden gem, no doubt about it - now, how about a retracement type entry and then hang on for the ride ... or will give reverse signal ??? {image}
Ideally, we'd want to see a retracement on GBP/USD back to a key support level, and then a bullish price action rejection signal off that support level to ride back upwards with the main trend.

Below is a picture of a good area to look for potential set ups on GBP/USD.

http://i.imgur.com/ltYsXoX.png
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #28
  • Jul 23, 2013 4:56am Jul 23, 2013 4:56am
http://i.imgur.com/ljhEay1.png

Pictured above is NZD/JPY on the Daily time frame.

At a first glance, we can see that this market has been trending well recently, as the bulls are having their way.

Along the way of this bullish momentum, price dropped off a bullish price action signal at a key level to garner our interests.

Looking at yesterday's daily candle, we can see the two long wicks sticking out of the body, and the close near the open, around the middle of the candle's body.

This type of candle formation suggests indecision in the market, and is thus known as an "indecision candle".

Indecision in the market like this usually ends in big break outs. The longer the period of indecision, the bigger the break out.

We are keeping an eye out on this pair, as we look to catch a decisive break out of this indecision, in the direction of the overall market momentum. We'll be eyeing up our sights for longs.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #29
  • Jul 23, 2013 9:03am Jul 23, 2013 9:03am
Quoting DnBPriceAct
{quote} Ideally, we'd want to see a retracement on GBP/USD back to a key support level, and then a bullish price action rejection signal off that support level to ride back upwards with the main trend. Below is a picture of a good area to look for potential set ups on GBP/USD. {image}
I also forgot to mention that we don't want to go anywhere near that sell button in such bullish conditions. All we see is a bullish market and we're looking bullish price action signals to form near the trend mean value there to get us in the market at a good price.

Selling here is like driving on the wrong side of the road.

Regards
Anastasius
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #30
  • Jul 23, 2013 2:23pm Jul 23, 2013 2:23pm
Quoting DnBPriceAct
{quote} I also forgot to mention that we don't want to go anywhere near that sell button in such bullish conditions. All we see is a bullish market and we're looking bullish price action signals to form near the trend mean value there to get us in the market at a good price. Selling here is like driving on the wrong side of the road. Regards Anastasius
Just to let you know Anastasius you are doing great and you are not talking to yourself pal.
  • #31
  • Jul 23, 2013 3:25pm Jul 23, 2013 3:25pm
Quoting Tedge UK
{quote} Just to let you know Anastasius you are doing great and you are not talking to yourself pal.
Am I on the right track ? bullish engulfing at Support?
Attached Image (click to enlarge)
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  • #32
  • Jul 24, 2013 4:01am Jul 24, 2013 4:01am
I have a question about your inside bar setups, specifically, about its SL placement.
We can use a SL above/below the IB or at the 50% ret. to improve RR. Its writen that when price charges into one direction a 50% ret SL can be used, while, when it retraces past the 50% ret before moving in your direction, the full body SL should be used.

But consdering that you place the SL when you place your order,as advised, how can you know if and how much the price will retrace?
Can u shed some light on that?
Thoughts are things
  • #33
  • Jul 24, 2013 4:14am Jul 24, 2013 4:14am
Quote
Am I on the right track ? bullish engulfing at Support?

You have identified a strong support level there, but I don't see any solid price action signal, none that we use anyway. We do trade outside candles which are also know as engulfing bars, but the low much be lower than the previous candle low and high much be higher than the previous high. Looking at your chart, that market looks pretty neutral at the moment, we try to target the markets that are moving in a clear direction.



Quote
I have a question about your inside bar setups, specifically, about its SL placement.
We can use a SL above/below the IB or at the 50% ret. to improve RR. Its writen that when price charges into one direction a 50% ret SL can be used, while, when it retraces past the 50% ret before moving in your direction, the full body SL should be used.

But considering that you place the SL when you place your order,as advised, how can you know if and how much the price will retrace?

Can u shed some light on that?

Well inside days are consolidation flags, so we are looking to trade the breakouts. DnB recommends placing the stop on the other side of the inside day and avoid taking any breakouts that occur during the early asian session as they tend to lead to failure.

Some traders in the war room don't place any orders until around London, then when a breakout trade is triggered they can put their stop under the current low or high for the day, or under that 50% level. But DnB states that this is riskier, but yes potentially offers more reward.

Forex is just a giant game of risk/reward balancing, the more risk you take on the higher chance you will get knocked out, but also the more returns you will receive if your plan works out.

Anastasius
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #34
  • Jul 24, 2013 5:14am Jul 24, 2013 5:14am
Tnx for the answer.
I will follow the thread, I like what I see for now.
Thoughts are things
  • #35
  • Jul 25, 2013 3:39am Jul 25, 2013 3:39am
Have a pending short on GU. Engulfing on weekly level + 61.8 fib ret.
Attached Image (click to enlarge)
Click to Enlarge Name: download.png Size: 39 KB
Thoughts are things
  • #36
  • Jul 25, 2013 9:33am Jul 25, 2013 9:33am
Quoting DnBPriceAct
{image} In the last few weeks, this market has been chopping and consolidating itself into an untradeable mess. The last few daily candles and recent price movement shows us that price recently broke upwards and closed above the consolidation containment resistance, which livens up this market a bit. Shortly thereafter, we can see that price retested the break out area, which is now confirmed to be holding price as support, while it drops off displays of bullish price action rejection. This has us anticipating further higher prices. We will be waiting...
http://i.imgur.com/4jg3Zy7.png

An update on NZD/USD.

Price played this out perfectly for us, as the daily candle that I mentioned above closed as a bullish rejection candle. This kind of price action in the market was hinting to us that higher prices were getting more and more desirable, until price finally took off and left the bears in their tracks.

A good example of how powerful price action trading can be.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #37
  • Jul 25, 2013 9:36am Jul 25, 2013 9:36am
Quoting Quezoy
Have a pending short on GU. Engulfing on weekly level + 61.8 fib ret. {image}
You correctly spotted out an engulfing/outside bar candle, however, this isn't the type of set up we'd trade.

We don't favour trading against strong momentum, and the dynamics of GBP/USD tell us that we should be favouring long set ups at the moment.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #38
  • Jul 26, 2013 6:45am Jul 26, 2013 6:45am
http://i.imgur.com/mKV9MXe.png

To finish off this week's trading, we're looking at Silver.

We are starting to see the dynamics of a bullish-trending market building up. In the past few weeks, this market has continuously made higher swing highs, suggesting to us that there's more bullish interest than bearish.

XAG/USD recently broke through a key resistance level, then retested it, which is now holding price as key support.

The market tried to push price back down past the key level, but couldn't hold prices at lower levels as the bullish interest pushed it right back up to create a bullish rejection candle.

Taking a look at this market now, we're not expecting price to rally upwards to get us into a potential break out upwards, however, we always like to be prepared for all situations.

If price rallies upwards and breaks the high of the bullish rejection candle during New York session, we have reason to anticipate further higher prices as the metal markets display the highest levels of volatility during this period due to the open of the Chicago Mercantile Exchange, which is where the majority of metal-based trading occurs.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #39
  • Jul 28, 2013 11:39am Jul 28, 2013 11:39am
http://i.imgur.com/6c9JQ7L.png

In the last few weeks in this market, price has continuously made new swing higher highs, and swing higher lows, and has established itself a clear bullish trend.

After a slight halt in bullish momentum, price tried to push back downwards, but couldn't secure position on lower prices, which followed with the bulls pushing price back upwards to create two consecutive bullish rejection candles in a row.

This kind of price action is telling us that there's a lot more bullish interest at the moment, as they won the tug-o-war contest against the bears two days in a row.

The market has shown us via price action that lower prices are not favoured by the market at the moment. With a strong uptrend in place, and two consecutive bullish rejection candles developed recently, we have reason to anticipate further higher prices.

We'll keep an eye out on this market as the week progresses.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
  • #40
  • Jul 30, 2013 7:57am Jul 30, 2013 7:57am
http://i.imgur.com/URd6rn5.png

We can see at a glance that price has historically struggled maintain a good, clear, established trends in this market. In the last few weeks, price attempted to establish a bullish trend, up until a few days ago.

Last Friday, price slammed through support, and held lower prices. We can see that price retested the support level, which is now holding price as key resistance, and has pushed today's price back down, which could possibly end up being an inside bar/bearish rejection candle combination.

This kind of price action is the markets' way of communicating to us that higher prices are not as desirable any more.

We will keep an eye on this pair to see how things develop. If price breaks the low of the previous day with aggressively bearish pressure, then we can expect more lower prices. Alternatively, we can wait for a close of today's candle and possibly look to get into the market with a retracement.
Obsessed with Price Action Trading, Swing Trading & Breakout Strategies
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