Disliked{quote} I hear you P. I am in the same boat. In fact I have recently graduated and just made the toughest decision of my life. I chose my heart over mind. I left the safety of the herd by choosing to NOT do what the other 99% graduates were going to do. Get a job. Frankly speaking I had no idea I was going to take up trading as my profession when I had got into uni but for some reason the idea of getting a job offer from even the most prestigious companies out there never thrilled me. My friends would day dream and night dream about it. In fact...Ignored
james16 Chart Thread
- #128,282
- Oct 23, 2013 10:02pm Oct 23, 2013 10:02pm
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} I have a trading question. I have a taken a trade on the Daily chart of CAD/CHF pair. It is in a nice downtrend with lots of space to the left but I could not get any PA trigger. I don't see any nearby support points nearby though there a couple based on what price respected on weekly. Now my question is ...do you consider this a A setup or what grade you give for this trade. Is it ok to take the trade without a PA signal if it is trending and there is space. What are the chances of winning such a trade. Now how do we manage this trade as...
Yes there does exist the possibility of taking trades without a PA bar trigger but its an advanced concept and one that I would only recommend digging into once you have had ample practice with the basic material first - that is if you might still be interested.
Importantly though, the dynamics for both touch trading or PA bar trading more or less stay the same. So you're going to have to still spot the sweet locations and make notes of the space available. The overall story will also come in big time. As an example just take a look at Dan's last trade touch trade he took here (post #128,105). Great example of using a solid PPZ for a touch trade. But once again if you're still pretty new and haven't had a great deal of practice trading with just the basics going down the road of touch trading will not help. Moreover, just the very knowledge acquired by practicing with the basics will go a long way in helping you touch trade later on because as mentioned much of the dynamics are still the same if your mindset is still pretty much hooked to taking the best trades off the best locations.
Now going short at a swing low that too via a touch trade is just about as risky as it gets. We did have a daily push through to the round number PPZ that we're now sitting at but then again all of this selling could actually just feed the bulls if they are wanting to come into the market now (at support). This is essentially why shorting so low and trying to hop in to a train that has left the station is just never a good idea. One of the primary reasons why touch trading is so aggressive and advanced is because it reduces the the need to be selective by eliminating the conditions of "A strong bar". This can be misunderstood by a novice, as a license to trade where they can now execute traders whenever they have a strong feeling of where price is going. It takes a lot of time and practice to be able to still retain the "ambush hunting" mentality with touch trading when course, its a natural means to approaching your PA bar trading.
g.
I believe . . .
- #128,283
- Oct 23, 2013 10:06pm Oct 23, 2013 10:06pm
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} Hey guys, Its always nice to see price do what you expect it to do. It provides reassurance and confidence in future trades. This seems to happen more and more often to me nowStill got work to do though - but now its leaning more to the psych side of trading rather then the technical aspect of it. Chart below {image} Take care Dan
Good work.
When you're expecting momentum and you suddenly get that "notorious hangup in the middle" where price fears to even close beyond the prior bar's low, you know its time to sit up
Great to see you beginning to realize how its less and less on the chart and more and more in your head. As this progresses you'll see how its actually ALL in the head and nothing on the chart
g.
I believe . . .
- #128,284
- Oct 23, 2013 10:09pm Oct 23, 2013 10:09pm
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} Ghous, you are lucky to start trading very earlier. I am 37 yrs old working in a big multinational company for the past 16 years. Same job, same routine and very boring. For the past 3 years, I am struggling to get success in my trading and want to get out of my job. Hope I will achieve it within few months. As you said in your blog, a tiny person in a large organization. You have selected correct choice. Never work for other people because rich will never work for others. No other business will provide this much free time and relaxation...
g.
I believe . . .
- #128,285
- Oct 23, 2013 10:12pm Oct 23, 2013 10:12pm
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} Ghous and P, Your posts are full of inspiration and wisdom. I am fortunate to have a J-O-B that I actually love and compensates me very well but it does demand time that I would rather use differently. Not unlike many I had visions of riches when I initially encountered the world of trading through a less-than-honest trader who took 10K of my money and lost 7.5K in 36 hours during the 2008-2009 crash. Now I am nearing retirement and my trading aspirations are much more humble. I merely want to supplement my retirement income. I wished I...
I have no regrets
This is ALL THAT MATTERS. I am glad that you found your job great and exciting and that you are happy with it.
g.
I believe . . .
- #128,286
- Oct 23, 2013 10:20pm Oct 23, 2013 10:20pm
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
I believe . . .
- #128,287
- Oct 23, 2013 10:23pm Oct 23, 2013 10:23pm
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
I believe . . .
- #128,288
- Oct 23, 2013 10:26pm Oct 23, 2013 10:26pm
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} I love your post ghous! I'm 18 and it's almost 2 years that I'm into forex. I really like trading and I also see it as a mean that can help me do something I like in life without having to worry about things like income. Important in life is to have fun and be happy
You probably don't even realize now how much ahead that puts you. I didn't either. At least not to the extent that I realize now staring back into the past and hindsight.
g.
I believe . . .
- #128,289
- Oct 23, 2013 11:04pm Oct 23, 2013 11:04pm
Thanx Ghous i have kepi the chart in my archive as you advised. Pls i need to get more understanding of this. Pls examine the EURCAD chart i attached its similar to the EURJPY chart. You mentioned something like a solid support below the PA Bar like a box to give a strong story. i dont understand. if you are looking to long the EURCAD on this chart what and what will you be expecting befor you take your entry. Tanx i am sure its a great thing to make expensive mistakes now. Thats y its called learning... still a learner
The message above was what i wanted to post yesterday. The Eurcad chart i mentioned was another trade i took because i was pretty up in the EUPJPY trade before the market broke down while i was asleep, kind of similar to the eurjpy. So i killed the Eurcad trade up about 60 points because i had to believe i didn't know what i was doing until i can get some clarifications.
jibson
The message above was what i wanted to post yesterday. The Eurcad chart i mentioned was another trade i took because i was pretty up in the EUPJPY trade before the market broke down while i was asleep, kind of similar to the eurjpy. So i killed the Eurcad trade up about 60 points because i had to believe i didn't know what i was doing until i can get some clarifications.
jibson
Still trying to get to meet myself...
- #128,291
- Oct 24, 2013 12:27am Oct 24, 2013 12:27am
I Don't want to loose my head
This question are to refresh my mind and correct where ever i might be making mistakes unaware.
1. Question to Mike:
Below are USDCHF charts crop from an old video of yours. You mentioned that you preferred an up brk with pull bck to the R turns to S area. I guess that's inline with what ghous was trying to tell me. Then you stressed that you would pass the trade if it brks downwards because it was in an uptrend and it will be heading into traffic otherwise. The question is if there is still a gap yet to close below despite the traffic its headed into will that change your perspective, i see you emphasizing how open gaps catches the attention of traders. 
2.I want Mike's and Ghous reply on this also. Its about pull backs, i attached chart of two different pairs. 
jibson
This question are to refresh my mind and correct where ever i might be making mistakes unaware.1. Question to Mike:
Below are USDCHF charts crop from an old video of yours. You mentioned that you preferred an up brk with pull bck to the R turns to S area. I guess that's inline with what ghous was trying to tell me. Then you stressed that you would pass the trade if it brks downwards because it was in an uptrend and it will be heading into traffic otherwise. The question is if there is still a gap yet to close below despite the traffic its headed into will that change your perspective, i see you emphasizing how open gaps catches the attention of traders.
2.I want Mike's and Ghous reply on this also. Its about pull backs, i attached chart of two different pairs.
jibson
Still trying to get to meet myself...
- #128,293
- Oct 24, 2013 1:34am Oct 24, 2013 1:34am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
Thanx Ghous i have kepi the chart in my archive as you advised. Pls i need to get more understanding of this. Pls examine the EURCAD chart i attached its similar to the EURJPY chart. You mentioned something like a solid support below the PA Bar like a box to give a strong story. i dont understand. if you are looking to long the EURCAD on this chart what and what will you be expecting befor you take your entry. Tanx i am sure its a great thing to make expensive mistakes now. Thats y its called learning... still a learner The message above was what...
This is a good example of how a long at a swing high can be justified by a bullish story from under. Clearly that BUOB was a breakout of the larger and the smaller consolidation box that you drew. This means that instead of just looking at a bar and instinctively thinking long because it looks like a BUOB you are actually making sure that the BUOB makes sense and represents true bullish strength.
Since breakouts create their own order flow, they can push through former swing points, as when price breaks out of a wedge with clear touches to the edges of the wedge which look like trouble areas for price or simply push higher from a swing high position as in the case of the chart you showed.
g.
I believe . . .
- #128,294
- Oct 24, 2013 2:14am Oct 24, 2013 2:14am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
I Don't want to loose my head
For the first chart, that is a valid breakout scenario looking at the double top and the lovely congestion inside the wedge. The breakout point though for me would be a little earlier when we formed the bearish IPB (see chart below). Seeing how price made a second pull back this would probably have been a breakeven trade for me (with the entry being close of the IPB). All just hindsight of course and truth be told I trade a method which is a slight modification of the basic material so I am really only looking for very few PA bar trades as I don't really want to be over trading and going overboard with setups from both methods.
For the second chart,
I am not looking at a PA bar at all. That's just a bearish bar and that means no trade to begin with. A pullback to the former trend line and some PA trigger to support a down move would appeal more. Only slightly more. perhaps not even good enough to make up a trade unless its a really cool bar. We actually broke out of a pretty steep trend line and the move down has been a strong one. More like a "no pull back runaway sort of a story". If price pulls back to the trend line now it sort of changes the context of the story a bit as the pullback itself might constitute some bullish strength.
For a bullish story which IMO would be the stronger of the two due to the round number 160 we would need price to obviously make a move higher above the 160 and then gradually make a rounded pullback to it and then a nice BUOB
g.
I believe . . .
- #128,296
- Oct 24, 2013 3:26am Oct 24, 2013 3:26am
{quote} I hear you P. I am in the same boat. In fact I have recently graduated and just made the toughest decision of my life. I chose my heart over mind. I left the safety of the herd by choosing to NOT do what the other 99% graduates were going to do. Get a job. Frankly speaking I had no idea I was going to take up trading as my profession when I had got into uni but for some reason the idea of getting a job offer from even the most prestigious companies out there never thrilled me. My friends would day dream and night dream about it. In fact...
I didn't intended doing this any soon, but i guess i will have to do it over and over again. 'Good things don't come easy'. I was 20yrs precisely 2007 just 2yrs older than you but i guess around the same year you got to know trading exists. Despite the passion i have for trading as early as that time, coupled with my being aware i have to learn a lot before i can get into it fully(not hyping my self) here i am today. i made enough mistake to stop me from following my dream.
I mention earlier in one of my posts, how i was thought some basic of trading by a guy (around my age group also) for a couple of dollars (Naira in my own currency here in Nigeria) even though it was package 'like an all in all' about the market . I was doing this same to other people organizing private FX training trying to raise a huge capital so that when i eventually learn all i needed to know about the market i can start trading with it. I lost more than $2000 i had accrued in the process of the private training when i decided to organize an bigger FX trading seminar which wasn't fruitful as i had though. For me, this was a huge loss coupled with some other disappointments i had faced in other areas i had invested before, i gave up and devoted all my time to my Education because i didn't see any reason i want to continue after the lost and even if i wanted to where is the money to finance my self (demotivated).
I graduated in 2011 with a 2nd class upper in Civil Engineering. I served in a big construction company for my youth corp year. This was what brought my mind back to my dream of becoming a professional trader. WHY? I discovered i have some much strength and people here enjoys exploiting the less privileged of my type of there ability and charisma, they use you and pay you penny. They can not be trusted, if they make sweet promises to you based on your performance, they will fail you. Many has done these to me several times. I have been getting couple of job offers of recent but i have decided to invest this strength i have in myself.
One of my great challenge is that starting capital. But now believe even a greater one is having the edge. I wish there is someone very close to me who understands me well and can always tell me you can do it. This present moment has being very though and challenging for me, i wish i can have that edge tomorrow, but i can only keep trying and hoping because i don't have it. The guy i spoke about earlier (the one who introduced me to FX) eventually made it,he got the financial freedom. Meet him last week after 6yrs (deliberately searched for him ). He even have some guys he trained and they trade for him now, maybe i should say he formed a corporation... sort of. I loved his life style because he his so free, he can do almost anything he wants now and he his so young. That as always being my dream, I wished i didn't stopped bck then.
Jibson
Still trying to get to meet myself...
- #128,297
- Oct 24, 2013 4:01am Oct 24, 2013 4:01am
{quote} I'm in from yesterdays 4h BEOB, we are now at the point of a retrace. If sellers wont come i'll cut it in a loss. {image} {image}
If not up, then down, otherwise sideways :-)
{quote} I didn't intended doing this any soon, but i guess i will have to do it over and over again. 'Good things don't come easy'. I was 20yrs precisely 2007 just 2yrs older than you but i guess around the same year you got to know trading exists. .
- #128,299
- Oct 24, 2013 4:34am Oct 24, 2013 4:34am
{quote} More than a half risk reduced. That's already good. So far as expected. Now lets go to TP
When the going gets weird, the weird turn pro.
- #128,300
- Oct 24, 2013 7:02am Oct 24, 2013 7:02am
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
{quote} I didn't intended doing this any soon, but i guess i will have to do it over and over again. 'Good things don't come easy'. I was 20yrs precisely 2007 just 2yrs older than you but i guess around the same year you got to know trading exists. Despite the passion i have for trading as early as that time, coupled with my being aware i have to learn a lot before i can get into it fully(not hyping my self) here i am today. i made enough mistake to stop me from following my dream. I mention earlier in one of my posts, how i was thought some basic...
wishing you the best Jib,
g.
I believe . . .