g.
I believe . . .
- #601
- Sep 12, 2013 1:41am Sep 12, 2013 1:41am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
I believe . . .
- #602
- Sep 12, 2013 1:44am Sep 12, 2013 1:44am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} Hey dyscan.... Why don't you look at the big picture.... {image}
He also identified the first trouble area the same as you drew. A fake out scenario here on the 4H leaves some space for price to make it to the FTA.
But yes, a big part of understanding the bigger picture here deals with knowing how important that FTA is.
g.
I believe . . .
- #603
- Sep 12, 2013 1:56am Sep 12, 2013 1:56am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
I believe . . .
{quote} We have a few people inquiring about EUR/GBP. just couldn't get married to this setup despite the daily lining up with a weekly fake out too. For me the tiny fake out bar always seemed ill matched to the massive wedge breakout to the downside. And price pulling back to the LLS again just looks like another chapter from the same story as opposed to a really positive sign of the bullish fake out setup gaining strength. More thoughts on the chart: {image} g.
Even for the fist time: I Noted that we got some bad-ass bearish trend lol...
ALTHOUGH- you say that the tinier the bar is, the better, since then our SL will be closer. Or is just my memory playing with me?
@Pinbar!
Great video! Damn now i got the feeling that I should make a quick video too. Unfortunately my knowledge is nowhere to yours, so my video will have to wait a few years...
PS: You got a nice calm voice
Stephen
It's all psychology...
- #605
- Sep 12, 2013 2:31am Sep 12, 2013 2:31am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} I'm kinna happy here cause my thoughts were the same
g.
I believe . . .
- #615
- Sep 12, 2013 10:06am Sep 12, 2013 10:06am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
dear ghous, Dear Ghous, First I want to thank you for describing your fakeysetup in this thread. You mentioned that we should look for fakey set ups at swing points on daily charts. In the EURGBP daily chart, the previous swing low is a consolidation region. So my question is if the lowest low of support a part of a consolidation box does it have the same degree of reliability when compared to other distinct swing lows which are not consolidation regions? Also, you mentioned "Similarly for Long I am looking for a move below the LLS (Lowest Low...
Firstly, I consider single bar LLS/HHR as more stronger than an LLS/HHR whereyou have a cluster of highs or lows lining up. This is for three reasons.
1) A single bar HHR/LLS tells you that the opposing order flow that came in at that point was extremely strong, and definitive. Whereas a consolidation at the LLS/HHR shows an accumulation attempt before price finally takes off. This "accumulation" will most likely get most of the traders on board before price reverses but with your single bar swing points, the high speed reversal most likely leaves some traders off who are willing to get in when price pulls back to the LLS/HHR for the fake out. Hence...
2) You are more likely to get a good strong trade at a single bar swing point than at a high/low of a consolidation area simply because of the difference in the number of traders who initially missed the train.
3) It is extremely rare to find multiple bar highs/lows lining up almost perfectly with the LLS/HHR price level. Hence mostly, you have these levels working as zones. Now this method requires the fake out bar to close back into the HHR/LLS, which is still a single price level, in such situations this is not a strong enough indication that former resistance has failed to turn into support or vice versa. In these cases, you normally require a confident close above the "entire zone" and not just the HHR/LLS. However, with your single bar swing points, the HHR/LLS levels work great for obvious reasons.
For your other question,
Yes its always better to see a deeper penetration of the region beyond the swing point as opposed to minor one. This would boil down to the situation at hand though, where if the location is very strong and the swing point deep, then even a test of a few pips beyond the HHR/LLS, enough to visually see it through the naked eye then that's good enough. With trickier situations or speaking in general, the larger the penetration the more stronger the setup is. Needless to say, a larger penetration means hitting more orders and taking out more stops - put another way, just putting on more muscle.
Hope this is clear.
Let me know if you have more questions.
g.
I believe . . .
- #616
- Sep 12, 2013 10:19am Sep 12, 2013 10:19am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} Great questions there!
g.
I believe . . .
WOW
"A bit about me and my style
I am 23 years old and downloaded my first demo mt4 at 18. Since my time here at FF, I have gone through many different trading systems, some of which are still active today and kicking along as they should. The real breakthrough came about when I dropped by the James16 thread and the rest is really memorable history.
For quite some time I wouldn't consider myself a true trader if I wasn't looking at my charts 6 hours a day with at least 10-15 trades per day. It was not until a couple of years that I realized I wasn't meant to be a trader on the m5.
I trade the daily the 4H and the 1H TF. I don't need 10 hours a day in front of charts anymore. In fact 2-4 hours is all I need. I am no longer fighting the "noise" of news spikes and short term order flow. I am no longer exposing my capital to 10 trades a day. I have on my watch list as many pairs as my broker offers. Around here you will find charts ranging from majors to the most exotic pairs. Well price is price and it doesn't change its course of action in exotic markets and for that matter even in the non-FX markets.It is not uncommon for me to be watching 50+ pairs at any given time and yeah I still need a handful of hours to take/manage trades.
I primarily trade Support and Resistance as taught at the James16 group. However I only use the knowledge in an indirect way in validating and managing trades. My "system" is different to the conventional james16 stuff to an extent yet its still a pure modification of the material itself through ideas and research work of the very senior members at the group and at Forex Factory forums in general. "
I am a bit older than you (only 10years, lol) but this statement of yours is exactly what currently I am in my trading career. I don't look at 50 crosses/pairs though, but still 25 - 28 pairs are on my watch list. I'm in trading from last 2 years, went through all of the stuff a usual trader goes thru, MC, blown accounts, poor money management, time frame confusion, jumping from one strategy to another and all what you can think off. Learnt the use of proper MM and use of SL the "hard way". But now from some months i'm improving. And guess what only after using a similar method that you are using and explaining here, I loved your work and your thread made me get registered in this very forum and this is my 1st ever posts in this forum.
Love you be active here along with some other forums I'm on and hoping to learn a lot from your, I only lack confidence in this trading style, ignore some setups, they went good in the predicted direction, then upon repenting enter in a less frequency trade and face loss. This loss then hinders me to enter next good setup. So its a ping pong situation for me, just need some good support from an experienced trader in this method to follow him, share trade ideas with him and get professional advice from him to get me going, hope I get all of this from here. Let the journey begins.....
"A bit about me and my style
I am 23 years old and downloaded my first demo mt4 at 18. Since my time here at FF, I have gone through many different trading systems, some of which are still active today and kicking along as they should. The real breakthrough came about when I dropped by the James16 thread and the rest is really memorable history.
For quite some time I wouldn't consider myself a true trader if I wasn't looking at my charts 6 hours a day with at least 10-15 trades per day. It was not until a couple of years that I realized I wasn't meant to be a trader on the m5.
I trade the daily the 4H and the 1H TF. I don't need 10 hours a day in front of charts anymore. In fact 2-4 hours is all I need. I am no longer fighting the "noise" of news spikes and short term order flow. I am no longer exposing my capital to 10 trades a day. I have on my watch list as many pairs as my broker offers. Around here you will find charts ranging from majors to the most exotic pairs. Well price is price and it doesn't change its course of action in exotic markets and for that matter even in the non-FX markets.It is not uncommon for me to be watching 50+ pairs at any given time and yeah I still need a handful of hours to take/manage trades.
I primarily trade Support and Resistance as taught at the James16 group. However I only use the knowledge in an indirect way in validating and managing trades. My "system" is different to the conventional james16 stuff to an extent yet its still a pure modification of the material itself through ideas and research work of the very senior members at the group and at Forex Factory forums in general. "
I am a bit older than you (only 10years, lol) but this statement of yours is exactly what currently I am in my trading career. I don't look at 50 crosses/pairs though, but still 25 - 28 pairs are on my watch list. I'm in trading from last 2 years, went through all of the stuff a usual trader goes thru, MC, blown accounts, poor money management, time frame confusion, jumping from one strategy to another and all what you can think off. Learnt the use of proper MM and use of SL the "hard way". But now from some months i'm improving. And guess what only after using a similar method that you are using and explaining here, I loved your work and your thread made me get registered in this very forum and this is my 1st ever posts in this forum.
Love you be active here along with some other forums I'm on and hoping to learn a lot from your, I only lack confidence in this trading style, ignore some setups, they went good in the predicted direction, then upon repenting enter in a less frequency trade and face loss. This loss then hinders me to enter next good setup. So its a ping pong situation for me, just need some good support from an experienced trader in this method to follow him, share trade ideas with him and get professional advice from him to get me going, hope I get all of this from here. Let the journey begins.....
Patience really does PAY and a lack of patience will make YOU pay.
WOW "A bit about me and my style I am 23 years old and downloaded my first demo mt4 at 18. Since my time here at FF, I have gone through many different trading systems, some of which are still active today and kicking along as they should. The real breakthrough came about when I dropped by the James16 thread and the rest is really memorable history. For quite some time I wouldn't consider myself a true trader if I wasn't looking at my charts 6 hours a day with at least 10-15 trades per day. It was not until a couple of years that I realized I wasn't...
Looking forward to your charts
have a nice evening,
Stephen
It's all psychology...
