Supply and demand in a nutshell by Alfonso Moreno | Page 52 | Forex Factory

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Supply and demand in a nutshell by Alfonso Moreno

  • #1,021
  • Aug 13, 2013 8:14am Aug 13, 2013 8:14am
These are the D1/WK/Monthly supply and zones I've on my spreadsheet for now. I have not finnished going through all of my pairs, but those are the ones holding for now.

Don't go against them, that is, don't sell into D1 or higher timeframe's demand areas, and don't buy into higher timeframe's supply areas. That's key in order to be consistent and profitable or you will have lots of losses while trying to go against higher timeframes.

Alfonso
Attached Image (click to enlarge)
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Set and Forget supply and demand trading community
  • #1,022
  • Aug 13, 2013 8:19am Aug 13, 2013 8:19am
Congratulations to both of you on your trades, nice job! Well done Sekbor (eurusd short) and Wbh (usdjpy long)!

Quoting sebkor6
{quote} price in target +116 pips {image}
Quoting wbh
Target hit on USDJPY 98.20 , +133{image}
Set and Forget supply and demand trading community
  • #1,023
  • Aug 13, 2013 8:19am Aug 13, 2013 8:19am
Quoting panoramia
I was trying to look for a trade setup on H4 on NZDUSD, but I arrived a bit late. I've been trying to go long on H4 demand on NZDUSD while on holidays since it started to rally but I had no opportunity, I had a couple of set & forget longs but none of them triggered, pity. The only one available was when price had already hit the D1 supply area (yellow trendline). That would be too high to buy, so the long trade was no longer valid. The ascending trendline is no longer valid for 2 reasons: D1 supply has been hit. Once a D1 SD area is hit the trendline...
Hi Alfonso, yes did take the trade but bailed early. Was looking for around 0.7880 but it looked like it was stalling, now it will probably go there.
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  • #1,024
  • Aug 13, 2013 8:47am Aug 13, 2013 8:47am
It's a pity you bailed early Wayne, because it looks like NZDUSD is dropping. Couldn't catch it on the way up, missed the first entry on the way down. Now I'm trying to catch it on that newly formed H4 speedbump supply. We'll see if it wants to make it there and give me a winner!

Alfonso
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Quoting wbh
{quote} Hi Alfonso, yes did take the trade but bailed early. Was looking for around 0.7880 but it looked like it was stalling, now it will probably go there.{image}
Set and Forget supply and demand trading community
  • #1,025
  • Aug 13, 2013 10:10am Aug 13, 2013 10:10am
Anyone else take the short on eur/usd at 1.33873 (H4). Up 150 pips and dropping!

H4
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DAILY
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Keep your blades sharp!
  • #1,026
  • Aug 13, 2013 11:12am Aug 13, 2013 11:12am
Quoting Nametaker
Anyone else take the short on eur/usd at 1.33873 (H4). Up 150 pips and dropping! H4 {image} DAILY {image}
NICE !!!!

I was in that too. I closed with 116 pips +

Congratulations
  • #1,027
  • Aug 13, 2013 12:29pm Aug 13, 2013 12:29pm
Quoting Bc97
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Oh My God! Is it really that simple? Here take all my money!
Keep your blades sharp!
  • #1,028
  • Aug 13, 2013 1:09pm Aug 13, 2013 1:09pm
Planning a long trade on H1 demand on GBPJPY.

Price bounced D1 demand, created several H1/H4 demand areas but no entries available.

On H4/H1 previous supply had been absorbed, so we have a nice profir margin to go long at. Conegested H4 supply area, too much time at the area, easily absorbed, room to D1 supply. This H4 supply area was also resistance on the D1 chart. This is why it's not good to use SD areas with too much trading in the zone and having hit the D1 demand, they can be easily taken out.

Trendlines are giving us the direction: up. Price bouncing of D1 demand, with room to opposiing D1 supply

Alfonso
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Set and Forget supply and demand trading community
  • #1,029
  • Aug 13, 2013 1:31pm Aug 13, 2013 1:31pm
@panoramia:


http://www.forexfactory.com/showthre...96#post6889996
Thank you again for the very warm welcome

Just wanted to say bye my friend.

  • #1,030
  • Aug 13, 2013 7:34pm Aug 13, 2013 7:34pm
Hi Alfonso,
The new rectangle reader is not working like the previous version. It is leaving the distal and proximal line numbers on the charts, which is covering the width of the rectangle. It also does not extend the rectangle back to the source of the supply or demand zone.

Am I the only one having this difficulty, or is this a problem with the new version.

Thank you very much for such a great indicator.

Best regards,
Pippa Princes
  • #1,031
  • Aug 14, 2013 2:11am Aug 14, 2013 2:11am
Hi Pippa!
Me and a few others have been using the new rectangle indicator for some days without any issues. I don't know what could be happening to yours.

It looks to me like you are not using the rectangle indicator properly by the statements I've read.

A couple of things:
- You say that it's leaving the distal and proximal line numbers on the charts. If that happens it's because there are no ticks. Once you remove or extend the rectangle, those labels and pips will be automatically deleted. That's how it's always worked and is working right now
- The rectangle reader does not extend the rectangle back to the source of a SD zone, because the indicator DOES NOT do that. You have to locate the source and then the indicator will extend the rectangle.

Alfonso

Quoting PippaPrinces
Hi Alfonso, The new rectangle reader is not working like the previous version. It is leaving the distal and proximal line numbers on the charts, which is covering the width of the rectangle. It also does not extend the rectangle back to the source of the supply or demand zone. Am I the only one having this difficulty, or is this a problem with the new version. Thank you very much for such a great indicator. Best regards, Pippa Princes
Set and Forget supply and demand trading community
  • #1,032
  • Aug 14, 2013 3:21am Aug 14, 2013 3:21am
Quoting sebkor6
{quote} NICE !!!! I was in that too. I closed with 116 pips + Congratulations
I closed at +152 pips because i realised i was in that original/fresh demand area to the left. I set my T/P close to the d1 demand originally, felt abit greedy lol.

EDIT: +146pips actually
Keep your blades sharp!
  • #1,033
  • Aug 14, 2013 3:43am Aug 14, 2013 3:43am
nzd usd h4 supply sell, let's see if it works
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  • #1,034
  • Aug 14, 2013 5:13am Aug 14, 2013 5:13am
Yes, I got triggered as well Sekbor. Let's see what it does, it's all a numbers game. It follows the rules, so we must take it.

One thing I realized is that your SL is too close to the distal line, you need to add some wiggle room. On H4 minimum 5-7 pips. My SL is at 0.8016 for example, like 11 pips above, it's right above the non-fresh H1 supply. I always add some wiggle room, or you will be kicked out many times and then see that the trade was in ur favour. Remember we're trading forex, it's unregulated, brokers use slippage, spread widening to kick us out!

Alfonso

Quoting sebkor6
nzd usd h4 supply sell, let's see if it works {image}
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Set and Forget supply and demand trading community
  • #1,035
  • Aug 14, 2013 5:21am Aug 14, 2013 5:21am
what do you think about that Alfonso? Closer to daily and weekly supply... Is this good for short?
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  • #1,036
  • Aug 14, 2013 5:39am Aug 14, 2013 5:39am
NZDUSD hit the SL
  • #1,037
  • Aug 14, 2013 5:57am Aug 14, 2013 5:57am
Quoting bobyv87
NZDUSD hit the SL
yeah mine also -25 pips
In the end its just a stupid numbers game
  • #1,038
  • Edited 6:17am Aug 14, 2013 6:04am | Edited 6:17am
My NZDUSD was also a loss But that's the way it is, sometimes we win, others we lose
It would be very strange to see a thread or a system where all trades are winners, we need to see losers, we'll lose MANY trades, but that's fine!

Yesterday we had a nice 125-150 pips EURUSD short which some of you took, today this NZDUSD short was a loss. We never know what's gonna happen, so we take the loss and on to another trade opportunity!

NZDUSD is now at another H4 supply, there are 2 levels, level on top of level. Price could eventually react in this area, a bit higher than our entry!

Alfonso

Quoting danzka
{quote} yeah mine also -25 pips
Set and Forget supply and demand trading community
  • #1,039
  • Aug 14, 2013 6:15am Aug 14, 2013 6:15am
Hi Boby!

GBPAUD is bouncing off Monthly supply, shorts are higher odds. I don't see any levels on your chart, so I don't know where you were intending to sell. I don't see any rectangles, so I can't tell you.

I've attached my H4 chart. There is no possibility of drawing a descending trendline because there are not 2 obvious swings (peaks). So that H4 speedbump supply could be a nice area to short. Right underneath we have compressed demand, that is, domino effect, all levels are absorbed, not too much imbalance, and can be easily absorbed. The last place where there was a nice imbalance was the H4 supply on the chart attached.

Alfonso


Quoting bobyv87
what do you think about that Alfonso? Closer to daily and weekly supply... Is this good for short? {image}
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Set and Forget supply and demand trading community
  • #1,040
  • Aug 14, 2013 6:16am Aug 14, 2013 6:16am
Hello Alfonso! I have a question about new h1 fresh level which is formed in D1 demand. H1 level can be taken without taking into account h4 supply levels if that is formed in d1 demand? I put some charts In this case you have 3 losses in a row and next time price will not hit the entry. How to avoid that?
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