Daily Bearish outside engulfing bar on NZDUSD. But it is an inside bar in a larger bullish candle. Again learning and watching this from the sidelines.
james16 Chart Thread
- #128,221
- Oct 21, 2013 9:28pm Oct 21, 2013 9:28pm
- Joined Mar 2009 | Status: Hobby Trader | 4,477 Posts
- #128,227
- Oct 22, 2013 3:26am Oct 22, 2013 3:26am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} Isn't this pin bar trading straight into a trouble area a little above BRN 1.0500? Is it a minor area or a major area? How can we know which FTA is minor or major?
The strong break of the pin bar allowed price to crash through in which case it was headed straight for the consolidation box high (see chart) after it broke through the 1.05.
Doesn't mean we're ignoring the round number, just based on the solidity of the S/R underneath we can expect price to test that region.
There are objective ways to anticipate the strength of a trouble area. The number of touches, other confluences lining up, simply the way price moves into them (rapidly vs dragging) and other trouble areas around (for example one extremely obvious trouble/target area vs quite a few clustered inside of a period of consolidation) are some of the popular means to gauge the strength before hand.
None of this though stops price from reacting very strongly at an anticipated minor area and other times flow through with ease through a major trouble area. This is precisely why I am not married to the idea of set and forget trade plans. The best thing to do is to simply watch how price reacts at your trouble areas. This can lead to timely signals of momentum exhaustion that lead to a timely exit, or simply enable you to hold on even through a tough area because the current unfolding action provides you with all the reasons to do so. Whatever you do, its important to just be logical and dynamic.
hope this makes sense.
g.
I believe . . .
- #128,228
- Edited 3:57am Oct 22, 2013 3:32am | Edited 3:57am
Hi, I come from ghous "fake out" thread,
Here, I just read several link from post 1, I think this thread has similar soul like ghous's, so I feel like a home here
EUR/CAD
Nice to watch how price will act next.
my opinions:
As a trendliners, I can sell now.
As a fakey, no I won't sell and won't wait any setup.
As a break up trader, still waiting.
Here, I just read several link from post 1, I think this thread has similar soul like ghous's, so I feel like a home here
EUR/CAD
Nice to watch how price will act next.
my opinions:
As a trendliners, I can sell now.
As a fakey, no I won't sell and won't wait any setup.
As a break up trader, still waiting.
- #128,229
- Oct 22, 2013 3:40am Oct 22, 2013 3:40am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} In EUR CHF if a pin forms at your arrow aren't you worried about the previous swing highs? I want to learn how to trade pin bars with trend line confluence but I don't know if I should trade straight into those swing highs.
Really good question.
Pattern breakouts operate within their own dynamics. In a normal move up, those swing highs would stick out like sore thumbs. But a breakout of a long term wedge can create massive order flow of its own. Put another way, there is a genuine reason for a lot buying to come in. In situations like these a bullish bias and the anticipation that price should be able to to meander its way through those prior swing highs is acceptable.
By the very nature of such breakout patterns price is always going to be changing gears and moving from a sideways compressed market to initiating a trend. So a wedge breakout, by virtue of market dynamics, is a completely different story than simply going long in a sideways market where those prior swing highs would stick out like sore thumbs.
Again this doesn't mean we can go ahead and sit on our hands till our long trades can take us to the moon. We are fully aware that fake breakouts exist and that breakout trades need to be high momentum trades. You can leave some of the decision making for the time when more information is revealed which happens when price actually does start testing those swing points.
just saying that a general bullish bias out of situations like these need not be bullied off by the prior consolidation mess as that's exactly what price needs to be striving to get free off if its a true breakout.
g.
I believe . . .
- #128,230
- Oct 22, 2013 3:42am Oct 22, 2013 3:42am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
eurusd 4 hr rounded retest of whcr. entry above the high of the pinbar, sl below the low, target 1.37 {image}
g.
I believe . . .
- #128,231
- Oct 22, 2013 3:49am Oct 22, 2013 3:49am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
Being a workholic by nature, mentally I am finding it so hard to just sit on my arse and wait for an A+ setup. I convince myself before the beginning of the week that I am going to trade only the daily charts, A+ fakey setups. However when the week begins, I start day trading all sorts of setups. I am likening my situation to that of a chain smoker who really wants to give up smoking but finds it extremely hard to do. Neytiri
Remember, anybody could be boasting about 300% gains accumulated in a period of 2 months because the market was in a favorable condition. What completes a trader is the ability to see through ALL phases. Rake in the cash during the fruitful months and learn to sit on the the hands and preserve capital during the rough tides.
These are exactly the times when people all over would be blowing up because they took 20 trades on average during the initial months of the year and towards the end just can't find any. Some are chewing their nails off wondering if the markets sniffed out their methods and they are not going to work anymore. Some are clicking their accounts in and out in a nonsensical way because that's what they are used to. A small bunch is smiling after a busy few months and know its time to relax and catch up on life while the markets sort themselves and get ready to be milked for the next round.
g.
I believe . . .
- #128,233
- Oct 22, 2013 3:50am Oct 22, 2013 3:50am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
A trade on equities from previous week. Nice pop up. Target around 29. And a few things to watch
Mike's smiling somewhere.
g.
I believe . . .
- #128,234
- Oct 22, 2013 3:54am Oct 22, 2013 3:54am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
Hey Ghous, NZDSGD D2 Is this a valid fakeout with divergence. Neytiri {image}
yes it is albeit a tricky one due to the minor swing high that its off and also because its headed into a big block of consolidation. I am glad you identified that consolidation box high as the FTA.
g.
I believe . . .
- #128,235
- Oct 22, 2013 4:00am Oct 22, 2013 4:00am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} Today lesson: How I can anticipate the strength of FTA if I chose the wrong one. {image}
Actually the entry for a our bearish pin bars is a few pips below the low of the pin bar. That level is under the consolidation box high. In fact the very pin bar could also be considered a fake breakout attempt of the consolidation box you're referring to.
Again all of this makes sense because price literally dropped like a stone to the downside. The Pin bar broke hard which validates it big time.
We're not arguing that this pin bar had tonnes of space. The original point was to simply indicate how the wick protruding beyond the prior swing high adds to the strength of the pin bar which in turn could be the major reason why price was actually able to push through all the mess we're pointing out.
g.
I believe . . .
- #128,237
- Oct 22, 2013 10:32am Oct 22, 2013 10:32am
Hi everyone. Just this two quick request. Maybe Mike, Ghous or anyone can help:
1. I need the back testing software for MT4. Though i got one (MT4i Trading Simulator) sometimes ago but i could not really get my way around it and i have not being chanced to work on it
. I will be glad if i can get heads up on using the package.
2. I also like to have a trading journal software to keep my trading log. I got this one (Forex Control Center) and its working fine but maybe there could be something better. Thanx
Jibson
1. I need the back testing software for MT4. Though i got one (MT4i Trading Simulator) sometimes ago but i could not really get my way around it and i have not being chanced to work on it
. I will be glad if i can get heads up on using the package.2. I also like to have a trading journal software to keep my trading log. I got this one (Forex Control Center) and its working fine but maybe there could be something better. Thanx
Jibson
Still trying to get to meet myself...
- #128,238
- Oct 22, 2013 11:04am Oct 22, 2013 11:04am
Mike and Ghous pls examine the chart i attached. i was watching this setup and it broke with a BEOB but a very weak close so i was scared to take it. Pls comment on this type of setup, if you were in my shoes will you also pass on this one or what should i expect if i had taken it.
Jibosn
Jibosn
Still trying to get to meet myself...
- #128,240
- Oct 22, 2013 11:24am Oct 22, 2013 11:24am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
Hi everyone. Just this two quick request. Maybe Mike, Ghous or anyone can help: 1. I need the back testing software for MT4. Though i got one (MT4i Trading Simulator) sometimes ago but i could not really get my way around it and i have not being chanced to work on it
A2) For many an excel spreadsheet works. You could also try myfxbook or tradeslide (google them) to host your trading performance. You can always choose to keep all information only private so only you have access to to it. Depends majorly on how deep you want to go with being able to document your performance.
g.
I believe . . .