Similarity Trading - The ZZBB Method

Was trying to close a counter-short on the train and the connection went down and the extra click closed my 0.5 long. Grrr.
Opened another long at 3210 and looking for higher. So 2 longs @ 3207 and 3210

The 5M presents a Black Hole Price target. Black Hole, because the Stoch did not COBB even though it appears Price has. It's relevant since it also is the top level of the DS Zone, which even though was momentarily cleared, wasn't done in a convincing manner. The price action suggests to me that alot of buyers wanted lower prices to get in the action and the sellers allowed that to happen.

I've closed all longs.

Stupidly I forgot to check the calendar and hadn't realised that the US has a bank holiday today. There won't be a significant move upwards today without a full market. If anything, I can see patterns that would require a downward move short term back to 3200 or 3195. A few zones to clear.

Quite busy today so I will set alarms for price to be at or above 1.3226 to 1.3234. I will look for a short there, 15M timeframe is the reference.

Quick Recap
Okay before I go off for a couple of hours, here's a quick recap.

The 4H shows 3 continuous up candles for today's session (Asia and London) which despite the many views that we are in a continuing "bear" territory, to me signals a temporary reprieve at least until the 300EMA is re-tested. Failure is confirmation of lower, Break and we are back to Bullish territory. This may take a few days/weeks to play out.

The 1H is the interesting one and says "caution" to me. The DS Zone price is currently going through is not born yet and I suspect that price will go below it in order to clear it. Hence my short term bearish sentiment on the 15M. The bollinger bands are also contracting so the ZZT is expected to make an appearance but it could actually be a lower low.

Here's another view of the 15M just based on the current price action. Looks like she's sideways now which is to be expected when the market is thin.
3234-54 to cap the current range, with 54 being the previously printed ZZT/*3* Semafor.

I would say you have way too much shit going on your charts, you will have hard time trading it LIVE.

Good luck with your method.

I am trading it live. The "shit" is what this thread is about. As long as I can read it, it's up to you to follow - or not.

EDIT:
Just got an indicator from the EURUSD thread. If I can incorporate a MTF view of the world, I may consolidate the view.
I'm finding that while the CCI was great for some bits it's not constantly great so I may remove it from my template and add something from my normal trading which I use as a trend confirmation type indicator. The question remains as to whether to continue using 2 stochastics.

keep up the good work vlady1974.
Interesting charts and methods in trading.
Got so much more to learn from what you share daily.

Cheers Hennessy.
This is a warts and all look at how to keep discipline using one method. It's a pain in the ass as I can't use Fibs or Demand/Supply, S/R as I just don't want to dilute this. The thread/journal is not meant to be my own personal trading journal... it's to focus on this "method/recipe/plan" which is highly discretionary and non-mechanical.

In addition, I made a hack of the start by being drawn-down over 50% in the first week after not reading things right.

But that's trading. I think it will be useful for newbies to see how I trade my way out of this negative return. I'm honestly cheating I am using other things like candlesticks and S/R... but using my eyes and not drawing on the chart. If i do that then the purpose of the thread is dead.

If people who are interested in the ZZBB method can see how I trade it then the good thing maybe that they will spot some of my weakness and then turn it into their own strength. And I'll be happy with that.

Well I can only describe most of the trades today as scalps - but according to the trade explorer, I've taken 67 pips today against a daily target of 40.
I guess that's something to smile about.

Morning


Been feeling ill since Friday. At home at the moment and the price has been ill too. LOL.

Price found support at 3163.5. I've been building up Longs for the last 40 pip range between 3160 and 3200. Main target is 3228 but that keeps diminishing on the 15M as the 300EMA crosses into the DS Zone. At the minimum, if price can target 31935 I can get at least 2 winners, 1 or 2 BE and 2 losses.

If you add volume analysis, you'll find that the drop to 1.3160 had increasing volume and (on the 15M) the retest of that bottom had increased volume which to me is a signal of buyers entering. Not sure yet if this is the turn we're looking for as the 1H is still under the 300EMA. We shall have to see.

Short Term Outlook
Based on the 15M, I'm still looking for a 1.3200ish retrace. The 1H still indicates Bear Bias but I don't want to short until 1.3337 is retested. I could be wrong on this view... but I seem to be wanting some zones to be cleared out for the Short to be valid in my mind.

Anyway, on this view, the 1M and 5M are in sync, the 15M is not and I am projecting where I think the ZZT will appear.

Let's see if the 5M turns at the BBMid.

Repaint! This time, all ZZBs now... Up time?

Sure hope its UPtime...
Has been repainting on 1H for days now.

Being sick and trading suck big time.

1.31635 held as ultimate support for the current downward move. Volume analysis did help in understanding this, so I may permanently incorporate this into the ZZBB Method.

Closed the underwater longs as it didn't matter if I entered new longs closer to 3163 with the same lot size. So as it stands, my equity is the same as if I had left them open, after taking some scalping moves today.

The current retrace move is being held up by the following on the 5M.
Once these are cleared, the 15M could play out.

Wow! Just woke up to find this!

In the 2 months of studying ZZBB I've not encountered PA like this.... it almost nullifies everything yet still keeps it intact.
Failure at 300EMA I can understand but to not clear a born DS Zone? And then be attracted to an unborn DS Zone and then clear it in the opposite bias only to find support at the origin of the whole move??????

I guess this is why we forward test this stuff. Also we are in a transition period of bull to bear bias on the 1H and 4H. I tested this during a trending Bull period. This type of BBZZ behaviour has just dumbfounded me.

On a trading level, I'm clearly underwater. No shit! But before I went to bed, I actually wanted to put a stoploss on the entry of the Long at 3193. My main reason not to was that the unborn DS Zone would not attract it... but if it did I placed a buy pending below the zone... then I deleted it as it didn't make sense.

I also wanted to put a small short at the test and failure of 300EMA but I canned the idea based on volume of the move and rejection of 3164. Looking at a naked 1H I can see that clearer... but looking at a 5M with 1H superimposed doesn't make sense.... it looks like a bull setup. The bear bar at Frankie Open looks like a bull setup.

Oh well... I feel better today so I'm gonna head into work. Let's see what London does. It could seriously wipe out the account but I'll address this later as I've been devising a trading strategy with SL. That could be for Demo Attempt #3

Here's the 5M chart... not seen a ZigZag like this before. Incredible!

Inverted H/S?

Hmmm... back to the start? Or is it going to be a wild NFP day?

What a move.