Intraday Price Action Trading - 5 Minute Chart with Forex Alchemy

Greetings ForexAlchemy,


Thanks for all the trade examples. I currently use 15 min candles, so I need to get familiar with 5 min.
What sessions do you trade? I trade the Asia session only.

Cheers

Hey N2FX

I only trade the Euro/UK session for 2.5 hours. At the moment that is 6pm to 8.30pm New Zealand time.

Latest price action analysis and review of trades.

Blog: http://www.forexalchemy.com

Is this 3 letter word controlling your trading?
Latest blog: http://www.forexalchemy.com/three-le...olling-trading

Nice thread ForexAlchemy and thanks for sharing the information. I do trade price action, But on M15 and H1. Never traded 5 Min. Cause I see lot of distraction with uneven candles forming all the way.
How do you deal with that ? And also do you have daily target of 5-15 pips ? or is there any weekly target ?


Thank you.

Hey money89

In regards to the uneven candles I think it comes down to getting familiar with the timeframe. On the higher timeframes the price action candles are more reliable, the lower down you go the less reliable. On the 5 minute chart you really need to focus on the support and resistance and watch as price is reacting off those areas to see how the price action is forming and you need to be looking for multiple candle setups on reversals and double/triple bounces. Retracements off fib levels and also bringing in momentum, the strength of the bounce and how much weight is behind it. You have to really watch the price as it forms.

In regards to pip targets: I don't have any targets as to what I want to get out of the market. I always head into my trading sessions with the frame of mind that the market is going to do what it will do and I am going to flow with the energy of the market and take whatever it is willing to give me, I am going to react to the market conditions and be happy with its offerings. If you don't do this and you are looking to make x pips a day or week, you will find yourself at times searching for trades, pushing the boundaries on take profit levels, and it is kind of like separating yourself from the market by saying I want you to give me xyz. Instead we should be working and flowing with whatever happens.

It's good to know what your averages are over time so you can understand your system and its profitability but for me I don't expect anything from the market. My only focus is to take the next best trade I can and play it to the conditions.

As you said above... ""we should be working and flowing with whatever happens"".

I love the way you stated it... I like xauusd quite a bit as it seems to favour this type of trading, which I do quite a bit of. Setups seem to be easier to spot with reversal bowl formations on M1/M5, trend lines, etc

Impulse candles can be a good one to watch, where price jumps or even gaps a bit... it could retrace a bit and then continue very soon. manually (by eye) I can get in a lot sooner than my old EA (Growthbot) which wasn't bad for a long time, but IMHO the human factor is always better.

And as you said... ""My only focus is to take the next best trade I can and play it to the conditions"" ... Something a robot can't do very well, but we can recognize... If all else fails, I just leave indicators alone, stare at one timeframe for a while until it makes sense. Then see where it fits with the next timeframe. ...

Aahhr! .. I waffle too much, what you said above is great.

Hey Johno77

Thanks for the feedback, and insights appreciate it!
I find that the key to successfully scalp the market is to have the ability to get into the movements as soon as possible with out trying to be picking tops and bottoms. The price action confirms and as you say the momentum is a great confirming indication that allows early entry.

Latest price action video analysis this time on the EURJPY 5 min chart below.

Blog post with trade results: http://www.forexalchemy.com/scalping...3#.Uo7UJ8TI2pU

Here is a great example of a flowing market and a price action continuation pattern. From 25th Nov 2013, EURJPY during the start of the US session

Price has just made a strong momentum move down after a upwards retrace, moving averages have rolled down signalling short term direction now down.
Price then retraces to the moving averages and the 61.8 fib retracement level and forms a rejection candle followed by 3 inside candle, the last being a small pin bar. The market is saying that it no longer wants to be buying and is ready to leg down.

Latest intraday price action analysis and review of price action setups

Blog: http://www.forexalchemy.com

Intraday price action setups review of the EURJPY 3rd December 2013 from the Euro and US sessions.



Blog post: http://www.forexalchemy.com/intraday...3#.Up7IwcQW2rk

Video analysis and trade review of intraday price action setups for the European session from the 10th December 2013.

Trade results and full blog: http://www.forexalchemy.com/trading-...-10th-dec-2013

How do you mentally approach your trading sessions? Here are my thoughts... http://www.forexalchemy.com/mental-approach-trading

Price action trade results from current European session. Trading EURJPY 5 min chart.

See blog for full results and commentary: http://www.forexalchemy.com/intraday...s-7th-jan-2014

Live price action scalping trading session EURJPY

http://www.forexalchemy.com